PMR - PRE-2006 - PENSION DELINKED FROM QS OF 33 YRS

Indian Military Veterans

                                                                                                                 UPDATED 30 APR 2016

 33 YEARS RULE FOR FULL PENSION GOES

BACKGROUND :   Shri MO Inasu, an Ex-Servicemen was re-employed in Central Govt Services in Kerala and had retired prior to Jan 2006. He filed a case in CAT Ernakulam, challenging the rule of 33 years. He pleaded that since this rule is not applicable for post-2006 retirees as also in accordance with the judgment of Hon’ble Supreme Court in Maj Gen SPS Vains Vs UOI case, the same benefit should also be extended to pre-2006 pensioners. CAT Ernakulam ruled that the said Rule of 33 years violates  Art 14 and 16 of our Constitution as such should be abrogated. After a prolonged legal battle the H’ble Supreme Court upheld the judgment of CAT Ernakulam.

     Therefore those officers/JCO and ORs  who cannot mark up their QS for 33 Yrs even by including the rank weight-ages, such  that all Sepoys who serve upto 15 years (extended by two years), Naiks and Havildars who cannot serve up to  33 years minus the Rank  Weightage (Sepoy = 12 years; Naik = 10 years; Havildar = 8 years) as also who proceed on premature retirement would benefit in pension by knocking down this rule. Ministry of Personnel, Pensions and Public Grievances has therefore been in the process of obtaining Govt sanction to remove this restriction of 33 years to all Pre–06 retirees for over 8 months which has so been obtained.

     The Govt has finally issued orders to delink the Rule of 33 Yrs for Pre-2006 Retirees in line with the Recommendations of the 6th CPC for Post -2006 retirees which is placed below. The signed copy can also be downloaded through the link as placed there. PCDA(P) will soon issue implementation Circular for the Armed forces personnel. It has already issued Circular C-149 (Placed Below) for payments to be made to Defence Civilians.

HOW IT EFFECTS THE LESS THAN 33 YRS QS CASES - The principle behind delinking of QS for revision of pension for Pre 2006 retirees is the Supreme court ruling that "NO  PENSIONER WILL GET PENSION LESS THAN 50% OF THE MINIMUM PAY IN PAY BAND (MP-in-PB)  plus GP and MSP"  corresponding   to the rank and group of pensioner, as for the post 2006 retirees. There will thus be no pro rata reduction below this "MP in PB". It means that the pension cannot be less than half of one's emoluments should he/she retire soon after being promoted or without earning any increment what so ever on completion of minimum qualifying service.

      Therefore where ever one is getting pension lesser  than this half of "MP-in-PB" the same stands to revision upwards. These figs of MP-in-PB  must be known to every one from various instructions. The QS however still remains linked for pensions which are more than the MP-in-PB  like the pensions of Post 2006 retirees and the pensions under the OROP Scheme.

REVISION OF PENSION- Consequently PCDA(P) will soon issue instructions to Banks for the revision of the pension of all the Fauji PMR cases or where the officers, JCOs and ORs have not completed 33 yrs of service before retirement. It means that all Pre - 2006 retirees will get the same pension irrespective of the Qualifying Service  (QS) they had rendered upto the time the OROP scheme got implemented. To cite an example the full pension of a Lt Col with 28+5=33 years of service with rank weightage under 6 CPC has been Rs 26265/-pm, therefore, those who took premature retirement with less than 28 years of service will also get Rs 26265/- per month as Basic Pension upto 30 Jun 2014. The difference in pension paid and payable will be arrears from 01 Jan 2006 to 30 Jun 2014.  With these provisions the Table given in PCDA (P) Circular No 500 will reduce to 2 lines only as below.

HOW TO WORK OUT ARREARS. We have endeavoured to give a very simple method of knowing your arrears that may accrue both for JCOs and ORs as well as for Officers. The first and foremost is to know your basic pension what you are getting. Most of the pensioners would know the same however one can easily calculate or verify  the same 'Without Tears' as follows in case its not sure:-

1.   Note down the pensions from your pass book you got for the months of Jun, Jul, Dec 2015 and Jan-2016 before deduction of any TDS. The amount credited for Jun and Jul-15 should be same as also for Dec-15 and Jan-16. In case your commutation payment is still being deducted please note the figure per month for the purpose of understanding let us suppose this amount to be Rs 4422/- pm. In case you have already paid for the commutation take this figure to be ZERO in place of 4422/- . Hypothetically let us also assume that you  received Rs  44741/-  for Jun as well as for  Jul 2015  and Rs  46125/- for Dec-15 and Jan 16.

2.   You will  calculate your basic pension with this data as under :-

   (a)  From Jun & Jul - B P =  (44741+4422)/2.13 = 23081
    (b)  From Dec & Jan – B P =   (46125+4422) divided by 2.19 = 23081
   (Here 2.13 and 2.19 are constants corresponding  to DA rates at     that time)

3.   Hence you basic pension entitled is Rs 23081/-(This is, by the way,    

the fig for Lt Col with QS 22 Yrs as given in PCDA (P) Cir No 500.)

4.   In order to work out your arrears proceed as under:-

(a)    Difference 26265 - 23081 = Rs 3184 PM

(b)   Arrears from 01 Jan  06  to 30 Jun 14 with DA incl = 3184 x 143.40 = 456586/-(143.40 is a constant - For details see CONSTANT M.F Below).

(c)    TOTAL  = Rs 456586/- 

5.   Similarly by the said method any one can work out his own arrears, The full Pension for various Ranks of Pre-2006 Vintage under 6 CPC (PCDA (P) Circular Number 500) are given in succeeding paragraphs.

"HAPPY -  खुशयां मनाओ और सुप्रीम कोर्ट का शुक्रिया करो "

CONSTANT M.F (MULTIPLICATION FACTOR).    In order to avoid month wise complicated calculations either manually or using Excel Sheets in Microsoft Office in Windows OS which is not every ones cake, our Maths Wizard has simplified the long Array of each month and the DA rates from time to time (t2t) has derived the constant factors together for a particular period. Constant 143.40 is for the period from 01 Jan 06 to 30 Jun 2014. The constant for the entire period of 6th CPC for 10 years from 01 Jan 06 to 31 Dec 2015 has been worked out to be 181.74 which can be used by the affected pensioners mostly our Civilian Pensioners.

      The amount of difference multiplied by this constant will give you the total amount for the period having taken into account the DR rates for each month pertaining to the period.

FAMILY PENSION - There will be no change for Ordinary Family Pension since the same had already been de-linked from the 33 yrs of Rule for full pension and was termed as Min Guaranteed Family Pension (MGFP).

OROP SCHEME. Since the OROP Scheme has equalised the pensions of all retirees prior to 2014 this  new development of delinking the 33 Yrs rule will effect only up to 30 Jun 2014

JCOs & ORs . Since the pensions of JCOs & ORs were not based on minimum pension of pay in pay band wef July-2009 as given in PCDA(P) Circular number 430, it is not yet clear as to how this will affect their pensions. However we have tried to give a simple method of knowing your likely arrears as mentioned in the succeeding paragraphs in case one has been getting pension lesser than the "MP-in-PB" figures shown in charts and tables in this post.

         It may have shortcomings as such we will seek input and views of veterans who are in better picture on the issue of JCOs and ORs. It is requested that further feed back on this be posted under the COMMENTS in this post. Please do write your Rank, Name and Email  ID at the end of your comment as otherwise our reply may not be forthcoming.

                                                                 

OFFRS:- BY ADDING THE RANK WEIGHTAGE OFFRS GET FULL PENSION i.e  50% OF MINIMUM PAY IN PAY BAND WITH THE SERVICE AS UNDER :-

These are the minimum figures of Pension  based on 50% od the Pay in Pay Band in respect of officers as given in PCDA (O) Circular Number 500 including Grade Pay and Military Service Pay. The Rank Weightages are shown under the Qualifying Service Figures in brackets as for for various ranks.

MEDICOS . In case of Medical Officers the figures as given in circular number 24 be taken as the 50% of Min of the Pay in Pay Band and arrears calculates as above. An extract of the table is placed below:-

JCOs AND ORs:- (INCL EQUIVALENT RANKS OF IN & IAF)

This data pertaining to minimum of pay in pay band ("MP-in-PB") for all groups and categories of JCOs and ORs and their equivalent ranks Navy and Air Force has been extracted from Circulars of PCDA (P) issued during the currency of  6 CPC is placed below in the table for the convenience of All Ranks other than officers.

These then are the figures of Minimum Pension  for  a Rank, Group and Categories  irrespective of the years of service rendered by various ranks. In case one is getting more than these figures will continue to do so, however, where ever one has been getting lesser than these figures will be entitled to the benefit of this Delinked Rule, Full Pension for PMR Cases.

All other tables corresponding to 6th CPC  are also available in this blog site and can be viewed under the post "PENSION JCOs & ORs (ARREARS)"   at http://signals-parivaar.blogspot.in/2015/05/pension.html

HOW TO GO ABOUT CALCULATION OF  ARREARS OF JCOs & Ors:-With coming of this rule the arrears will be due to those persons who have been receiving Pension lesser than the 50% of "Minimum of Pay in Pay Band" wef 01 Jan 2006 to 30 June 2014 ie upto the date of implementation of the OROP Scheme.

2.  Hence the first and foremost item to know is the "Min of Pay in Pay Band"  pertaining to your Group and Rank. The above chart has been derived from various Circulars issued by PCDA(P). Do intimate in case there be some changes and modification is needed.

3.   The amount by which you have been getting lesser than this amount is the Basic difference now payable per month.

 
4.   In case of JCOs & ORs three Circulars ie 547, 430 and 501 are important. There will thus be three differences corresponding to periods as under :-

       (a)   Difference between MPinPB and figures in 547 from 01 Jan 2006 to 30 June 2009.

      (b)   Difference between MPinPB and figures of circulat 430 from 01 Jul 2009 to 23 Sep 2012.

(d)   Difference between MPinPB and figures of Circular 501 from 24 Sep 2012 to 30 Jun 2014.

5. Note down these figures where ever  they are less than the MPinPB. However in case they are higher than the MPinPB these are not to be taken into account and the difference be taken as Zero.
6.   Multiply these three differences with Multiplication factors as under to add period and DA:-

  
       (a)  01 Jan 2006 to 30 Jun 2009   =   46.02.
       (b) 01 Jul  2009 to 23 Sep 2012.  =   57.62
       (c)  24 Sep 2012 to 30 Jun 2014.  =   39.76
7.  Add the results these are your likely Arrears:- Let us understand with the help of example of  "Nb Sub / JWO / CPO"  of  "Y" Group. retired with 20 Yrs of service.

(a)      The "MPinPB" for Rank & Gp is Rs 16660/- hence the BASIC PENSION is half of it i.e  Rs 8330/-

(b)     Pensions as per Circulars = 547 is Rs 6311,  430 is Rs 8088/- & 501 is Rs 8088/-

(c)      Differences  (1)  8330-6311= 2019,   (2)  8330-8088= 242,  (3) 8330-8088= 242

NOTE - In case  the pension figs of the Cicular are more than the "MP-in-PB", No arrears are due in such a case for the period and the current pension which is more than "MP-in-PB" will continue.

   Arrears :-  
         (1)      2019X46.02=92914,
         (2)       242X57.62= 13944,
         (3)       242X38.76= 9622,
                      TOTAL  =  116480    Its simple , Isn't it.

COMPARITIVE TABLE JCOs AND ORs - VARIOUS CIRCULARS
NOTE  -  WE ARE EXTREMELY GRATEFUL TO VETERANS WHO HAVE SENT US FEEDBACK ON THE SUBJECT. ANY FURTHER OBSERVATIONS AND CORRECTIONS ARE MOST WELCOME PLEASE PEN THEM UNDER THE COMMENTS HERE UNDER.
     

KINDLY DO GIVE YOUR RANK,  NAME &  EMAIL ID UNDER YOUR NOTE, WE WILL BE HAPPY TO ADDRESS YOU WITH YOUR RANK APPROPRIATELY. 

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PCDA CIRCULAR NUMBER C-149 - REG PAYMENT OF ARREARS BY DELINKING THE QS FROM REVISION.
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OFFICE OF THE PR. CONTROLLER OF DEFENCE ACCOUNTS (PENSIONS)

DRAUPADI GHAT, ALLAHABAD- 211014

Toll Free No. 1800-180-5321

Circular No: C-149 

No:-Gl/C/0198/Vol- V/Tech

O/o the Pr.C.D.A. (Pensions)

Draupadighat Allahabad -211014

Dated: - 08/04/2016

Subject: Revision of pension of Pre-2006 pensioners - reg.

Reference: This office Important Circulars No. 102 dated 11-02-2013 & C-144 dated 14-08-2015.

Attention of all Pension Disbursing Authorities is invited to above cited circulars wherein instructions had been issued for implementation of GOI, Ministry of P,PG and pensions, Deptt of P&PW OM No. 38/37/08-P&PW(A,) dated 28 January, 2013 w.e.f 01.01.2006. According to these orders "The revised pension of the pre-2006 pensioners shall not be less than 50% of the minimum of the pay band+ grade pay, corresponding to the pre-revised pay scale from which pensioner had retired, as arrived at with reference to the fitment tables annexed to Ministry of Finance, Department of Expenditure OM No. 1/1/2008-IC dated 3oth August, 2008, subject to the pension so arrived will be reduced pro-rata, where the pensioner had less than the maximum required service for full pension as per rule 49 of the CCS(Pension) Rules, 1972 as applicable before 1.1.2006 and in no case it will be less than Rs. 3500/- p.m".

(2) Now, GOI, Ministry of P, PG and pension, Dept of P&PW have further issued order under their OM No. 38/ 37/ O8 P&PW (A) dated 6th April, 2016, that "The revised consolidated pension of pre-2006 pensioners shall not be lower than 50% of the sum of minimum of the pay in the Pay Band and the Grade Pay (wherever applicable) corresponding to the pre-revised pay scale as per fitment table annexed to Ministry of Finance, Department of Expenditure oM No. 1/1/2008-IC dated 30th August, 2008 without pro-rata reduction of pension even it they had qualifying service of less than 33 years at the time of retirement." Accordingly, Para 5 of the OM dated 28.01.2013 would stand deleted. The arrears of revised pension would be payable with effect from 01.01.2006.

(3) In case the consolidated pension calculated as per Para 4.1 of OM No. 38/ 37/ 08-P&PW (A) dated 01-09-2008 is higher than the pension calculated in the manner indicated in the OM dated 6th April, 2016, the same (higher consolidated pension) will continue to be treated as basic pension.

(4) All other conditions as given in OM No. 38/37/08-P&PW (A) dated 1.9.2008, as amended from time to time shall remain unchanged.

(5) All pension disbursing authorities (PDAs) are therefore, requested to revise the pension in affected cases in terms of Govt. OM No. 38/37/08-P&PW(A), dated 06-04-2016 w.e.f. 01.01.2006. Payment made w.e.f. 01.01.2006will be adjusted against the arrears now being paid and these cases may be reflected in the monthly account sent to this office as ‘change item’.

(6) Where the PDAs are in doubt in regulating the payment of revised pension under these orders, the cases with full details of pensioner and PPO number etc. may be referred to Audit Section of this office for advice and further action.

(Dr. Upinderbir Singh)

Dy.CD A (P)

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MINISTRY OF PPG & P ( DEPT OF P & PW LETTER DATED 06 APR 16
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No. 38/37/08-P&PW (A)

Government of India, Ministry of Personnel, PG & Pensions Department of Pension & Pensioners' Welfare

3rd Floor, Lok Nayak Bhawan Khan Market, New Delhi-110 003. Dated the 06th April, 2016

OFFICE  MEMORANDUM

Snb:-  Revision of pension of pre-2006 pensioners - delinking of revised pension from qualifying service of 33 years.

    The undersigned is directed to say that as per Para 4.2 ofthis Department's  OM of even number dated 1.9.2008 relatingto revision of pension of pre-2006  pensioners w.e.f.1.1.2006, the revised pension w.e.f. 1.1.2006, in no case,shall be lower than 50% of the sum of the minimum of pay inthe pay band and the  grade pay thereon corresponding to the pre-revised pay scale fromwhich the pensioner had retired. A clarification was issued vide DoP&PW OM of even No.d/d 3.10.2008 that the pension calculated at 50% of the minimum of pay  in the pay band plus grade pay would be calculated at the minimum of the pay in the pay band (irrespective ofthe pre-revised scale of pay) plus the grade pay corresponding to the pre-revised pay scale.

2.  Several petitions were filed in the Central Administrative Tribunal, Prl Bench,New Delhi inter alia claiming thatthe revised pension of the pre-2006 pensioners should not be less than 50% of the minimum of the pay band + grade pay, corresponding to the pre-revised pay scale from which pensioner  had retired, as arrived at with reference to the fitment tables annexed to Min of Finance, Department of Expenditure OM No.1/1/2008-IC d/d 30.8.08

Hon'ble CAT,Principal Bench,New Delhi vide its common orderdated 1.11.11 in OA No.655/2010  and 3 other connected OAs directedto re-fix the pension of all pre-2006 retirees w.e.f. l.1.2006  based on  Resolution  d/d 29.8.08 of  the  Department  of Pension  &Pensioners'Welfare and in light of observations of Hon'ble CAT in that order.

3.  Orders were issued vide this Deptts OM of even number dated 28.1.2013for stepping up of pension of pre-2006 pensioners w.e.f. 24.9.2012 to 50% of the minimum of pay in the pay band and GPcorresponding to pre-revised pay scale from which the pensioner retired. Para 5 of this OM provides thatin case the consolidated pension/family pension calculated as per para 4.1 of 0.M. No.38/37/08- P&PW (A) dated l.9.2008 is higher than the pension/ family pension calculated in the manner indicated in the O.M. d/d 28.1.2013 the same (higher consolidated pension/familypension) will continue to be treated as basic pension/family pension.

4.   Subsequently, in compliance of order dated 1.11.2011of the Hon'ble CAT Principal Bench in OA No. 655/2010,order dated 29.4.2013 of Hon'ble High Court of Delhi in WP (C) No. 1535/2012 and order dated 17.3.2015of Hon'ble Supreme Court in SLP (C No.36148/2013, order were issued vide this Depts OM of even number dated 30.7.2015that the pension/Family pension of all pre-2006 pensioners/family  pensioners may be revised in accordance with this Dept's O.M. No.38/37/08-P&PW(A) d/d 28.1.2013 w.e.f.1.1.2006 instead of 24.9.2012.

5.  In accordance with the order issued in implementation of the recommendation of the 6th CPC, the pension of Govt servants retired/retiring on or after 1.1.2006 has been delinked from qualifying service of 33 years. In OA No.715

/2012 filed by Shri. M.O. Inasu, a pre-2006 pensioner, Hon'ble CAT, Ernakulam Bench, vide its order dated 16.8.2013 directed that the revised

pension w.e.f. 1.1.2006 under para 4.2 of OM dated 1.9.2008 would not be rreduced based on the qualifying service of less than 33 years. The appeals filed by Department of Revenue in the Hon'ble High Court of Kerala and in

the Hon'ble Supreme Court have also been dismissed. Similar orders have been passed by Hon'bleCAT/High Court in several other cases also.

6.   The matter has  been examined in consultation with the Ministry ofFinance (Dept of Exp). It has also been decided that the revisedconsolidated pension of pre-2006 pensioners shall not be lower than 50% of the minimum of the pay in the Pay Band and the grade pay (wherever applicable) corresp- onding to the pre­-revised pay scale as per fitment table without pro-ratareduction of pension even if theyhad qualifying serviceofless than 33 years atthe time of retirement. Accordingly, Para5 of this Department's OM of even number dated 28.1.2013 would stand deleted. The arrears of revised pension would be payable with effect from 1.1.2006.

7.   Ministry of Agriculture, etc. are requested to bring the contenwot'these orders to the notice of Controller ofAccounts/Pay and Accounts Officers and Attached and Subordinate Offices under them for revising the pension ofall those pre2006 pensioners who had rendered less than 33 years of qualifying service at the time of retirementin the manner as indicated above on top priority. Revised Pension Payment Orders in all these cases may also be issued immediately.

8.   All pension disbursing offices/banks are also advised to prominently display these orders on their noticeboards for the benefit of pensioners.

9.   This issues with the approval of Ministry of Finance, Deptt. of Expenditure vide ID Note No. 2(9)/EV/2015,dated 15.3.2016.

I0.        Hindi version will follow.

                                   (SIGNED -  SEEMA GUPTA)                                                                   Deputy Secretary to the Government of India

To

1.    All  Ministries/Depts  of Govt  of India.  (as per  standard  mailing list).

2.      All SCOVA Members

3.      All identified Pensioners Association

Copy to      (i) NIC Cell for uploading on the website of the Department.

(ii) AD (OL), DoPPW for Hindi Version
DOWNLOAD SIGNED COPY -  CLICK
YOUR OBSERVATIONS AND COMMENTS

Dear Veterans,

1. We at Signals-Family Portal are ordinary people in various matters concerning  serving and Retired Govt Personnel, as such, do heavily bank upon inputs from our readers. Kindly do add, comment and give your observations on this or any other post aimed at improving the posted contents for the benefit of the veterans community.

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4. We will do our best to post our response as quickly as possible after getting the facts vetted from offrs, JCOs and men who are more knowledgeable on particular subject.

With best wishes

Sincerely yours,

Brig Narinder Dhand (Veteran)