Statutorily, Central Govt Rules on HRA also apply on ONGC.No payment of HRA has ever been made in ONGC over and above the rates notified by the Central Govt from time to time. In effect, at one stage Project Allowance admissible at various Projects of ONGC was merged with the respective HRA of the Projects in terms of Memorandum of Settlement (1988) signed between the ONGC and ASTO/Unions. Further, the HRA rules of the Central Govt provide that HRA is admissible with reference to place of posting irrespective of residence. This provision is being violated by ONGC particularly in the case of employees posted at Mumbai Offshore Project.
Moreover, under the said rules, benefit of two HRAs is admissible to the employees posted in NE Region from outside the NE Region. This provision is also not being complied with by ONGC.
Classification of cities is aways based on population of particular city.There is nothig new in this regard in the present order of the Govt. that the earlier categories have been clubbed and replaced by X,Y,Z.. Rates of H.R.A. in respect of all the cities have since been enhanced EXCEPT in the case of formerly A-1' Class cities (now categorised as 'X') consisting of Brihan Mumbai, Chenai (UA), Delhi (UA), and Kolkata (UA) for which HRA rate has been retained at 3O% as was earlier applicable.. ONGC is bound to make HRA payment to its employees at the revised rates w.e.f. the date from which the said rates have been allowed for the employees of Central Goverment.