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Wednesday, 31 May 2017

7th Pay Commission: A list of allowances Central government employees may not get after June 1 .

The Empowered Committee of Secretaries (E-CoS) is likely to deliberate on the recommendations of the Ashok Lavasa panel report tomorrow and subsequently present it to the Union cabinet for the final approval.
Central government employees' representatives, miffed with the long delay in implementation of allowances, met on Tuesday to discuss the same.

At the meeting of the National Council (Staff side) Joint Consultative Machinery (JCM), several issues were taken up, including the proposed slash in House Rent Allowance by the Seventh Pay Commission. The JCM said it will wait for a week or two before it decides on the future course of action if Narendra Modi government were to further delay the implementation of revised allowances. As Central government employees wait for some positive news on revised allowances, here's a list of the 53 allowances the Seventh Pay Commission recommended doing away with and the 36 allowances that could be subsumed into bigger ones.
Acting Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Additional Post Allowance'.
Air Despatch Pay: Abolished.
Air Steward Allowance: Abolished. Assisting Cashier Allowance: Abolished. ASV Allowance: Abolished.
Bad Climate Allowance: Abolished as a separate allowance. Subsumed in Tough Location Allowance-III.
Breakdown Allowance: Abolished.
Camp Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Territorial Army Allowance.
Caretaking Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'.
Cash Handling Allowance: Abolished. Clothing Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.
Coal Pilot Allowance: Abolished. Command Allowance: Abolished. Commando Allowance: Abolished. Commercial Allowance: Abolished. Compensation in Lieu of Quarters (CILQ): Abolished as a separate allowance. Eligible employees to be governed by the newly proposed provisions for Housing for PBORs.
Condiment Allowance: Abolished.
Court Allowance: Abolished.
Cycle Allowance: Abolished.
Desk Allowance: Abolished.
Diet Allowance: Abolished.
Dual Charge Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Additional Post Allowance'.
Electricity Allowance: Abolished. Entertainment Allowance for Cabinet Secretary: Abolished.
Entertainment Allowance in Indian Railways: Abolished.
Extra Duty Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'.
Family Accommodation Allowance (FAA): Abolished as a separate allowance. Eligible employees to be governed by the newly proposed provisions for Housing for PBORs.
Family Planning Allowance: Abolished. Fixed Monetary Compensation: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Additional Post Allowance'. Flag Station Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'.
Flight Charge Certificate Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'. Flying Squad Allowance: Abolished. Funeral Allowance: Abolished.
Haircutting Allowance: Abolished as a separate allowance. Subsumed in Composite Personal Maintenance Allowance.
Handicapped Allowance: Abolished. Headquarters Allowance: Abolished. Higher Proficiency Allowance: Abolished as a separate allowance. Eligible employees to be governed by Language Award or Higher Qualification Incentive for Civilians.
Holiday Compensatory Allowance: Abolished as a separate allowance. Eligible employees to be governed by National Holiday Allowance.
Hutting Allowance: Abolished.
Initial Equipment Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance. Instructional Allowance: Abolished as a separate allowance. Eligible employees to be governed by Training Allowance. Investigation Allowance: Abolished. Judge Advocate General Department Examination Award: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed Higher Qualification Incentive for Defence Personnel.
Kit Maintenance Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance. Language Reward and Allowance: Abolished.
Launch Campaign Allowance: Abolished. Library Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'.
Metropolitan Allowance: Abolished.
Night Patrolling Allowance: Abolished. Official Hospitality Grant in Defence forces: Abolished.
Operation Theatre Allowance: Abolished. Organization Special Pay: Abolished.
Out of Pocket Allowance: Abolished as a separate allowance. Eligible employees to be governed by Daily Allowance on Foreign Travel.
Outfit Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.
Out-turn Allowance: Abolished.
Overtime Allowance (OTA): Abolished. Qualification Grant: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed Higher Qualification Incentive for Defence Personnel.
Rajbhasha Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'.
Rajdhani Allowance: Abolished.
Rent Free Accommodation: Abolished. Risk Allowance: Abolished.
Robe Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.
Robe Maintenance Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance. Savings Bank Allowance: Abolished. Secret Allowance: Abolished.
Shoe Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.
Shorthand Allowance: Abolished.
Single in Lieu of Quarters (SNLQ): Abolished as a separate allowance. Eligible employees to be governed by the newly proposed provisions for Housing for PBORs.
Soap Toilet Allowance: Abolished as a separate allowance. Subsumed in Composite Personal Maintenance Allowance.
Space Technology Allowance: Abolished. Special Appointment Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed 'Extra Work Allowance'. Special Compensatory (Hill Area) Allowance: Abolished.
Special Compensatory (Remote Locality) Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed Tough Location Allowance-I, II or III.
Special DOT Pay: Abolished.
Special NCRB Pay: Abolished.
Special Scientists' Pay: Abolished. Spectacle Allowance: Abolished.
Study Allowance: Abolished.
Sumptuary Allowance in Training Establishments: Abolished.
Sumptuary Allowance to Judicial Officers in Supreme Court Registry: Abolished. Sunderban Allowance: Abolished as a separate allowance. Subsumed in Tough Location Allowance-III. TA Bounty: Abolished as a separate allowance. Subsumed in the newly proposed Territorial Army Allowance. Technical Allowance: Abolished as a separate allowance. Eligible employees to be governed by the newly proposed Higher Qualification Incentive for Defence Personnel. Training Stipend: Abolished. Treasury Allowance: Abolished. Tribal Area Allowance: Abolished as a separate allowance. Subsumed in Tough Location Allowance-III. Uniform Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance. Vigilance Allowance: Abolished. Washing Allowance: Abolished as a separate allowance. Subsumed in the newly proposed Dress Allowance.

Saturday, 27 May 2017

7th Pay Commission update: Central government employees clueless about allowance recommendations

The central government employees are truly unaware about the allowances they will get - they do not know when will the reformed structure for allowances will finally be implemented, or what reforms have been made in structure in the first place.
A letter submitted by National Council (Staff Side) Joint Consultative Machinery for Central Government Employees to Cabinet Secretary Pradeep Kumar Sinha reflected that the central government employees have not been told about the recommendations by Lavasa Committee about allowance reforms under the 7th pay commission. "The Committee on Allowances took longer time while finalizing its recommendations, but it is a matter of deep regret that, even after submission of the report by the said committee, the same has not been made available to the Staff Side (JCM), therefore, we do not know what recommendations have been made by the said committee," stated the letter undersigned by secretary Shiv Gopal Mishra. "Staff Side (JCM), therefore, requests that the recommendations of the Allowances Committee should be made available to the Staff Side (JCM).

Moreover, it would be highly appreciated that, the Allowances should be implemented without any further delay, and the date of the implementation should be w.e.f. 01.01.2016," the letter further read. The 7th pay commission had recommended that 52 allowances out of a total of 196 should be abolished completely and 36 allowances should be merged with existing ones instead of being treated with separate identities.

The Lavasa Committee was formed to look into these changes regarding allowances and to address the representations sent in by various staff associations and ministries. Now, the Empowered Committee of Secretaries (E-CoS) will go through the review report by Ashok Lavasa-led Committee of Allowances on or before June 1 and will let their findings be known by the same date, according to reports. It will then be consolidated and sent to the Cabinet for final approval.

The recommendations include several issues of conflicts between the government and staff, like House Rent Allowance, arrears on delayed allowances and increase in basic pay. The Lavasa Committee has made suggestions for the central government employees on matter like HRA, TA, DA and such. Here's a look:

House Rent Allowance (HRA)
The 7th pay commission has suggested that HRO should be reduced for central government employees irrespective of their place of deployment. For employees living in metros, the 7th CPC has recommended their HRA be reduced to 24 per cent, 16 per cent and 8 per cent of basic pay for Class X, Y and Z cities respectively against the outgoing rates of 30 per cent, 20 per cent and 10 per cent. The Lavasa Committee has suggested the rates be revised to 27 per cent, 18 per cent and 9 per cent when DA is more than 50 per cent, and revised to 30 per cent, 20 per cent and 10 per cent when it is more than 100 per cent. Arrears on revised allowances The recommendations made by the 7th CPC regarding salaries and pensions have been approved by the Cabinet in June last year, but those about allowances have been put on hold considering the radical changes suggested. Employees and pensioners are getting paychecks and pensions according to the new pay scale. That is not the case with allowances, though, which are being paid on old rates. Central government employees have demanded that the changes regarding allowances should be put into effect from January 1, 2016 and relevant arrears be paid against the allowances. Hike in basic pay The central government employees were disappointed with the marginal pay hike in their salaries and pensions. They have been depending on the recommendations by the Committee of Allowances to bump up the pay scale for their benefit.

Thursday, 25 May 2017

Deptt of Post: Revision of pension of Pre- 2016 pensioners/family pensioners - Govt's decision on 7th CPC Recommendations

Deptt of Post: Revision of pension of Pre- 2016 pensioners/family pensioners - Govt's decision on 7th CPC Recommendations
No. 4-3/2017-
Pension Government of India Ministry of Communications Department of Posts (Pension Section) Dak Bhawan,
Sansad Marg, New Delhi - 110 001
23rd May, 2017

To

All Head(s) of Circles All Directors/Dy. Directors of Accounts (P) APS Headquarter Head of PLI and BD Directorate Director,
Postal Staff College, Ghaziabad
All Directors of Postal Training Centres

Sub: Implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission- Revision of pension of pre- 2016 pensioners/family pensioners etc-reg.

Sir/Madam,

I am directed to say that based on the decisions of the Government, Department of Pension and Pensioners’ Welfare has issued O.Ivl. No. 38/37/2016-P&PW(A) dated 12.05.2017 for fixation of pension/family pension of pre-2016 pensioners/family pensioners to the higher of the two formulations. A copy of the OM. is circulated herewith for information and necessary action.
2. The pension/family pension of all pre-2016 pensioners/family pensioners shall be revised in line with instructions contained in the DoP&PW OM. dated 12.05.2017. The higher of the two formulation i.e.
(i) the pension/family pension already revised in accordance with DoP&PW O.M. dated 4.8.2016 or
(ii) the revised pension/family pension as worked out in accordance with para 4 of the DoP&PW OM. dated 12.5.2017, shall be treated as revised pension/family pension w.e.f 1.1.2016. It shall be the responsibilities of the Head of Department and concerned Director of Accounts (Postal) to revise the pension/family pension of pre-2016 pensioners/family pensioners w.e.f 1.1.2016 in accordance with these orders and to issue a revised pension payment authority.

3. As envisaged in the DoP&PW O.M., the Pension sanctioning Authority (PSA) would impress upon the concerned Head of Office for fixation of pay on notional basis at the earliest. The information can be obtained in Proforma A. Based on notional pay so fixed, the revision proposal will be sent by Pension Sanctioning Authority to concerned DA (P) to apply necessary checks and issue revised authority under the existing PPO number. To facilitate fixation of notional pay, DA (P) will provide copy of PPO/pension papers to concerned PSA immediately on requisition.

All PSAs will maintain records of processing cases of retirees year-wise in Proforma 8. DA (P) will maintain data of proposal received and authority issued in software as has been done in case of 6th CPC revision of PPOs.

4. Since there will be large number of cases for revision, concerted efforts of all authorities will be required to accomplish the task. It is requested to take immediate action for revision of pension/family pension at the earliest.
This issues with approval of Secretary (Posts).
Encl: As above
(Smriti Sharan)/ Dv.
Director General (Estt.)

Disability pension - A few beneficial provisions with respect to disability pension(DP)

Dear Veterans/ Friends,

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1. If DP sanctioned is less than 50% it can be rounded off to 50 % . if between 50-75 to 75% and 75-100 to 100%.

2. If the Disability assesed by the Release Medical Board is less than 20 % and is not sanctioned by the Competent Authority, it can be claimed by following a due process.

3. Even if the Disability is held to be neither attributed nor aggravated due to military service during Release Medical Board, it can be claimed by following a due process.

4. If retired in S1A1 Med Cat and some problem occurs within 07 years of retirement and there is a medical document to show that this problem originated while in service, DP can be claimed by following a due process.

5. All service personnel who retire from service on superannuation /completion of engagement term/PMR with disability are eligible for DP.

6. Medically Board out is not a necessary condition to claim DP. If retired with disability on superannuation /completion of engagement term/PMR, it is considered as medically boarded out for the purpose of DP.

7. If a person is getting DP, he is exempted from paying Income Tax on the entire service pension.

We provide legal assistance in *all service matters including DP*.

Contact for consultation and necessary assistance.
Mobile 9873103881/
email shaktijaidwal@yahoo.co.in

With best wishes.
Cdr Shakti Jaidwal ( Retd)

7th Pay Commission: Meeting on central government employees' allowances likely today

Central government employees may get a chance to rejoice as reports suggest that Empowered Committee of Secretaries (E-CoS) are likely to meet today to deliberate over their reformed allowance structure.

During this meeting, this committee of secretaries will go through the recommendations of Lavasa Committee regarding allowances and firm up their findings to be sent to Union Cabinet for approval.
House Rent Allowance (HRA) rates are one of the major topics that can be taken up in the course of this meeting. Central government employee unions are pushing for HRA at 30 per cent, 20 per cent and 10 per cent of the basic pay against the 24 per cent, 16 per cent and 8 per cent recommended by the 7th pay commission.
Increase in basic pay and arrears on revised allowances are the topics that might be discussed. Central government employees disappointed with the marginal increase in their salaries by the 7th pay commission are expecting any increase in allowances to lead to heftier paychecks.

The Lavasa Committee had received representations from government agencies and offices as well as armed forces and security personnel, referring to 79 allowances 'which have been examined in detail by the Committee.'

The Seventh Pay Commission had suggested that 52 out of 196 allowances be scraped in entirety, whereas 36 of them should be clubbed together with other allowances.
A Committee of Allowances was formed under Finance Secretary Ashok Lavasa last year in June to screen these recommendations, which handed over its review report to Union Minister Arun Jaitley on April 27.
This review report was then studied by the Department of Expenditure and then handed over to the E-CoS set up to screen the recommendations by 7th pay commission and consolidate their findings that can be presented before the Cabinet for its nod. Meanwhile, when Centre is still lagging behind in implementing the 7th pay commission, some states are making some headway in implementing 7th pay commission for their respective state government employees too.

Below are the developments some states have seen in this direction:

Bihar State
Cabinet put the 7th pay commission in effect for its employees, increasing their salaries by 14 to 15 per cent. The pay hike will affect 3.6 Bihar state government personnel and 6 lakh pensioners.

Chhattisgarh
The Raman Singh government implemented the 7th Pay Commission for the state on March 30 benefiting around 3 lakh employees.

Maharashtra
Maharashtra state government announced the 7th Pay Commission on March 31 for its staff, putting an additional burden of Rs 500 crore on the exchequer.

Jammu and Kashmir
J&K government mentioned in its budget that the recommendations made by the 7th Pay Commission will be implemented from April 2018 to give a hike of 23,5 per cent to its employees and pensioners.

Saturday, 20 May 2017

Revision of Pension as per 7th CPC for Pre-2016 Pensioners: Orders issued on the report of Pension Committee

Indian Military Veterans

Revision of Pension as per 7th CPC for Pre-2016 Pensioners: Orders issued on the report of Pension Committee

“The feasibility of the first option recommended by 7th CPC has been examined by a Committee headed by Secretary, Department of Pension Pensioners’ Welfare. The aforesaid Committee has submitted its Report and the recommendations made by the Committee have been considered by the Government. Accordingly, it has been decided that the revised pension/family pension w.e.f 01.01.2016 in respect of all Central civil pensioners/family pensioners, including CAPF’s, who retired/died prior to 01.01.2016, may be revised by notionally fixing their pay in the pay matrix recommended by the 7th CPC in the level corresponding to the pay in the pay scale/pay band and grade pay at which they retired/died.”
No.38/37/2016-P&PW(A)
Ministry of Personnel, PG & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhawan
Khan Market, New Delhi
Dated, the 12th May, 2017
Office Memorandum
Sub:- Implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission – Revision of pension of pre-2016 pensioners/family pensioners, etc.
The undersigned is directed to say that the 7th Central Pay Commission (7th CPC). in its Report, recommended two formulations for revision of pension of pre-2016 pensioners. A Resolution No.38/37/2016-P&PW (A) dated 04.08.2016 was issued by this Department indicating the decisions taken by the Government on the various recommendations of the 7th CPC on pensionary matters. [Click to view the orders issued on 4.8.2016]
2. Based on the decisions taken by the Government on the recommendations of the 7th CPC, orders for revision of pension of pre-2016 pensioners/family pensioners in accordance with second Formulation were issued vide this Department’s OM No. 38/37/2016-P&PW (A) (ii) dated 04.08.2016. It was provided in this OM. that the revised pension/family pension w.e.t. 1.1.2016 of pre-2016 pensioners/family pensioners shall be determined by multiplying the pension/family pension as had been fixed at the time of implementation of the recommendations of the 6th CPC, by 2.57.
3. In accordance with the decision mentioned in this Department’s Resolution No. 38/37/2016-P&PW (A) dated 04.08.2016 and OM No. 38/37/2016-P&PW(A) (ii) dated 04.08.2016, the feasibility of the first option recommended by 7th CPC has been examined by a Committee headed by Secretary, Department of Pension Pensioners’ Welfare.
4. The aforesaid Committee has submitted its Report and the recommendations made by the Committee have been considered by the Government. Accordingly, it has been decided that the revised pension/family pension w.e.f 01.01.2016 in respect of all Central civil pensioners/family pensioners, including CAPF’s, who retired/died prior to 01.01.2016, may be revised by notionally fixing their pay in the pay matrix recommended by the 7th CPC in the level corresponding to the pay in the pay scale/pay band and grade pay at which they retired/died. This will be done by notional pay fixation under each intervening Pay Commission based on the Formula for revision of pay. White fixing pay on notional basis, the pay fixation formulae approved by the Government and other relevant instructions on the subject in force at the relevant time shall be strictly followed. 50% of the notional pay as on 01.01.2016 shall be the revised pension and 30% of this notional pay shall be the revised family pension wet. 1.1.2016 as per the first Permutation. In the case of family pensioners who were entitled to family pension at enhanced rate, the revised family pension shall be 50% of the notional pay as on 01.01.2016 and shall be payable till the period up to which family pension at enhanced rate is admissible as per rules. The amount of revised pension/family pension so arrived at shall be rounded off to next higher rupee.
5. It has also been decided that higher of the two Formulations is the pension/family pension already revised in accordance with this Department’s OM No. 38/37/2016-P&PW(A) (ii) dated 04.08.2016 or the revised pension/family pension as worked out in accordance with para 4 above, shall be granted to pre-2016 central civil pensioners as revised pension/family pension w.e.f. 01.01.2016. In cases where pension/family pension being paid w.e.f. 1.1.2016 in accordance with this Department’s OM No. 38/37/2016~P&PW(A) (ii) dated 04.08.2016 happens to be more than pension/family pension as worked out in accordance with para 4 above, the pension/family pension already being paid shall be treated as revised pension/family pension w.e.f. 1.1.2016.
6. Instructions were issued vide this Department’s OM No. 45/86/97-P&PW(A) (iii) dated 10.02.1998 for revision of pension! family pension in respect of Government servants who retired or died before 01.01.1986, by notional fixation of their pay in the scale of pay introduced with effect from 01.01.1986. The notional pay so worked out as on 01.01.1986 was treated as average emoluments/last pay for the purpose of calculation of notional pension/family pension as on 01.01.1986. The notional pension/family pension so arrived at was further revised with effect from 01.01.1996 and was paid in accordance with the instructions issued for revision of pension/family pension of pre-1996 pensioners/family pensioners in implementation of the recommendations of the 5th Central Pay Commission.
7. Accordingly, for the purpose of calculation of notional pay w.e.f. 1.1.2016 of those Government servants who retired or died before 01.01.1986, the pay scale and the notional pay as on 1.1.1986, as arrived at in terms of the instructions issued vide this Department’s OM 45/86/97~P&PW(A) dated 10.02.1998, will be treated as the pay scale and the pay of the concerned Government servant as on 1.1.1986. in the case of those Government servants who retired or died on or after 01.01.1986 but before 112016 the actual pay and the pay scale from which they retired or died would be taken into consideration for the purpose of calculation of the notional pay as on 1.1.2016 in accordance with para 4 above.
8. The minimum pension with effect from 01.01.2016 will be Rs. 9000/- per month (excluding the element of additional pension to old pensioners). The upper ceiling on pension/family pension will be 50% and 30°16 respectively of the highest pay in the Government (The highest pay in the Government is Rs. 250,000 with
effect from 01.01.2016).
9. The pension/family pension as worked out in accordance with provisions of Para 4 and 5 above shall be treated as ‘Basic Pension’ with effect from 01.01.2016. The revised pension/family pension includes dearness relief sanctioned from 1.1.2016 and shall qualify for grant of Dearness Relief sanctioned thereafter.

10. The existing instructions regarding regulation of dearness relief to employed/re-employed pensioners/family pensioners, as contained in Department of Pension & Pensioners Welfare OM. No. 45/73/97-P&PW(G) dated 02.07.1999, as amended from time to time, shall continue to apply.
11. These orders would not be applicable for the purpose of revision of pension of those pensioners who were drawing compulsory retirement pension under Rule 40 of the CCS (Pension) Rules or compassionate allowance under Rule 41 of the CCS (Pension) Rules. The pensioners in these categories would continue to be entitled to revised pension in accordance with the instructions contained in this Department’s OM. No. 38/37/2016~P&PW(A)(ii) dated 4.8.2016.
12. The pension of the pensioners who are drawing monthly pension from the Government on permanent absorption in public sector undertakings/autonomous bodies will also be revised in accordance with these orders. However, separate orders will be issued for revision of pension of those pensioners who had earlier
drawn one time lump sum terminal benefits on absorption in public sector undertakings, etc. and are drawing one-third restored pension as per the instructions issued by this Department from time to time.
13. in cases where, on permanent absorption in public sector undertakings/autonomous bodies, the terms of absorption and/or the rules permit grant of family pension under the CCS (Pension) Rules, 1972 or the corresponding rules applicable to Railway employees/members of All India Services, the family pension being drawn by family pensioners will be updated in accordance with these orders.
14. Since the consolidated pension will be inclusive of commuted portion of pension, if any, the commuted portion will be deducted from the said amount while making monthly disbursements.
15. The quantum of age-related pension/family pension available to the old pensioners/ family pensioners shall continue to be as follows-
The amount of additional pension will be shown distinctly in the pension payment order. For example, in case where a pensioner is more than 80 years of age and his/her revised pension is Rs.10,000 pm, the pension will be shown as (i) Basic pension = Rs.10,000 and (ii) Additional pension = Rs.2,000 pm. The pension on his/her attaining the age of 85 years will be shown as (i).Basic Pension = Rs.10,000 and (ii) additional pension = Rs.3,000 pm. Dearness relief will be admissible on the additional pension available to the old pensioners also.
16. A few examples of calculation of pension/family pension in the manner prescribed above are given in Annexure-I to this OM.
17. No arrears on account of revision of Pension/Family pension on notional fixation of pay will be admissible for the period prior to 1.1.2016. The arrears on account of revision of pension/family pension in terms of these orders would be admissible with effect from 01.01.2016. For calculation of arrears becoming due on the revision of pension/ family pension on the basis of this O.M., the arrears of pension and the revised pension/family pension already paid on revision of pension/family pension in accordance with the instructions contained in this Department’s OM No. 38/37/2016-P&PW(A) (ii) dated 04.08.2016 shall be adjusted.
18. it shall be the responsibility of the Head of Department and Pay and Accounts Office attached to that office from which the Government servant had retired or was working last before his death to revise the pension! family pension of Pre-2016 pensioners/family pensioners with effect from 01.01.2016 in accordance with these orders and to issue a revised pension payment authority. The Pension Sanctioning Authority would impress upon the concerned Head of Office for fixation of pay on notional basis at the earliest and issue revised authority at the earliest. The revised authority will be issued under the existing PPO number and would travel to the Pension Disbursing Authority through the same channel through which the original PPO had travelled.
19. These orders shall apply to all pensioners/family pensioners who were drawing pension/family pension before 1.1.2016 under the Central Civil Services (Pension) Rules, 1972, and the corresponding rules applicable to Railway pensioners and pensioners of All India Services, including officers of the Indian Civil Service retired from service on or after 111973. A pensioner/family pensioner who became entitled to pension/family pension with effect from 01.01.2016 consequent on retirement/death of Government servant on 31.12.2015, would also be covered by these orders. Separate orders will be issued by the Ministry of Defence in regard to Armed Forces pensioners/family pensioners.
20 These orders do not apply to retired High Court and Supreme Court Judges and other Constitutional/Statutory Authorities whose pension etc. is governed by separate rules/orders.
21 These orders issue with the concurrence of Ministry of Finance (Department of Expenditure) vide their ID. No. 30~1l33(c)/2016-IC dated 11.05.2017 and ID. No.30-1133(c)/2016-IC dated 12.05.2017.
22. In their application to the persons belonging to the Indian Audit and Accounts Department, these orders issue in consultation with the Comptroller and Auditor General of India.
23. Ministry of Agriculture etc. are requested to bring the contents of these orders to the notice of Heads of Department/Controller of Accounts. Pay and Accounts Officers, and Attached and Subordinate Offices under them on top priority basis. All Ministries/Departments are requested to accord top priority to the work of revision of pension of ore-2016 pensioners/family pensioners and issue the revised Pension Payment Authority in respect of all ore-2016 pensioners,
24. Hindi version will follow.
sd/-
(Harjit Singh)
Director
Authority: Pensioners Portal

Employees must Wait another Week for Update on 7th CCP

Indian Military Veterans

7th Pay Commission – Alas! – Central Government Employees must Wait another Week for Update on 7th CPC

Central government employees will have to wait for yet another week to receive any update on the revised allowance structure as recommended by the 7th Pay Commission. The Empowered Committee of Secretaries (E-CoS) is expected to convene next week to ponder on the recommendations before being presented before the Union Cabinet for their nod.
The 7th pay commission had proposed a total of 196 allowances; a Committee of Allowances was formed under the Finance Secretary Ashok Lavasa to screen them. On April 24 this year, the Committee submitted its report to Finance Minister Arun Jaitley, recommending that 52 allowances suggested by the pay commission be entirely scraped and 36 of them be incorporated with other allowances instead of dealing with them separately.
The recommendations made by the Lavasa-led review committee regarding allowance structure were to be tabled before the E-CoS after consideration by Department of Expenditure. Following which committee of secretaries will table the proposal for implementing the recommendations made by the 7th pay commission, complete with the suggestions from Committee of Allowances, will be presented before the Cabinet for approval.
Cabinet Secretary PK Sinha will preside over the E-CoS meet, as per reports. Officials from Home Affairs, Finance, Health and Family Welfare, Railways, Personnel and Training and Post will also take part in the meeting.
Central government employees have been waiting for months for an update on the allowances suggested by the 7th pay commission. It was rumored earlier this week that some union ministers might meet some senior officials to seek updates on the recommendations, inciting expectations in the Centre staff and pensioners.
The employees’ union has been pressing for an update. A member of the union informed that they are hopeful that the proposal regarding the allowances would be cleared by next week. Government sources informed that the E-CoS is looking into the recommendations on allowances made by the 7th Pay Commission. It would submit its report to the Union Cabinet following which the same would be cleared the source also confirmed.
However, reports of no such meeting were confirmed by either the Finance Ministry or officials who sat in the review committee, adding to the month-long frustration that central government employees waiting for an update since the report landed in the Finance Ministry.
Source : oneindia

Friday, 19 May 2017

10th Result - 2017 : விருதுநகர் மாவட்டத்திற்கு பெருமை சேர்த்த ராஜபாளையம் மாணவி.

2017-ம் ஆண்டுக்கான 10-ம் வகுப்பு தேர்வில், தனியார், அரசு பள்ளிகள் என ஒட்டுமொத்தமாக பார்க்கும்போது, வருவாய் மாவட்ட அளவிலான தேர்ச்சி விகிதத்தில் விருதுநகர் மாவட்டம் 98.55 சதவீதத்துடன் முதலிடத்தைப் பிடித்துள்ளது.
அந்த விருதுநகர் மாவட்டத்திற்கு மேலும் பெருமை சேர்க்கும் வகையில் அம்மாவட்டத்தில் உள்ள ராஜபாளையத்தில் தனியார் பள்ளியில் படித்த மாணவி பத்ம பிரியா 498 மதிப்பெண்கள் பெற்று மாநில அளவில் சிறந்த இடத்தை பெற்றுள்ளார்.
அவர் பாடவாரியாக பெற்ற மதிப்பெண்கள் : தமிழ் - 99
ஆங்கிலம் - 99
கணிதம் - 100
அறிவியல் - 100
சமூக அறிவியல் - 100
அவருக்கு, அவருடைய பெற்றோர் மற்றும் ஆசிரியர்கள் வாழ்த்துக்களை தெரிவித்துள்ளனர்.
 தேர்ச்சி பெற்ற அனைவருக்கும்  வாழ்த்துக்கள்.

Thursday, 18 May 2017

Central government employees must wait another week for update on 7th Pay Commission

Central government employees must wait another week for update on 7th Pay Commission

Central government employees will have to wait for yet another week to receive any update on the revised allowance structure as recommended by the 7th Central Pay Commission.
The Empowered Committee of Secretaries (E-CoS) is expected to convene next week to ponder on the recommendations before being presented before the Union Cabinet for their nod. The 7th pay commission had proposed a total of 196 allowances; a Committee of Allowances was formed under the Finance Secretary Ashok Lavasa to screen them.

On April 24 this year, the Committee submitted its report to Finance Minister Arun Jaitley, recommending that 52 allowances suggested by the pay commission be entirely scraped and 36 of them be incorporated with other allowances instead of dealing with them separately. The recommendations made by the Lavasa-led review committee regarding allowance structure were to be tabled before the E-CoS after consideration by Department of Expenditure.
Following which committee of secretaries will table the proposal for implementing the recommendations made by the 7th pay commission, complete with the suggestions from Committee of Allowances, will be presented before the Cabinet for approval. Cabinet Secretary PK Sinha will preside over the E-CoS meet, as per reports. Officials from Home Affairs, Finance, Health and Family Welfare, Railways, Personnel and Training and Post will also take part in the meeting. Central government employees have been waiting since for an update on the allowances suggested by the 7th pay commission. It was rumored earlier this week that some union ministers might meet some senior officials to seek updates on the recommendations, inciting expectations in the Centre staff and pensioners.

However, reports of no such meeting were confirmed by either the Finance Ministry or officials who sat in the review committee, adding to the month-long frustration that central government employees waiting for an update since the report landed in the Finance Ministry.

Source : Business Today

Tuesday, 16 May 2017

7th Pay Commission: Updates on revised allowances today

7th Pay Commission: Updates on revised allowances today after employee leaders-Finance Ministry meet

The commission was constituted in February 2014 to review the principles and structure of emoluments of all central government civilian employees.

A crucial meeting regarding the updates on allowances of the 7th Pay Commission on allowances will take place today. Union leaders and top government officials will be meeting to discuss the issue. At the meet today between the Finance Ministry and the employees' representatives revised allowances, House Rent Allowance, arrears on allowances and a hike in basic pay are likely to be discussed. An update on the revised allowances under the 7th Pay Commission will be shared by the government after the meeting.

The commission was constituted in February 2014 to review the principles and structure of emoluments of all central government civilian employees including defence forces and submitted its report on 19 November 2015. The central government employees had fixed May 23 as the date to protest and had even called for a strike. However the government had assured that their demands on allowances as per the pay panel would be fulfilled. The employees had said that they would go on strike seeking fulfilling of their demands including a hike in allowances as per the pay panel.

The central government employees would now seek an update from the government officials on the assurances that were made to them. Sources said that the meeting will take place today. if they do not find the answers suitable and in case there is an indication of a delay they would be forced to protest, the source also added.  The employees had protested against the recommendations of the pay panel following which the Narendra Modi government had formed a committee under Finance Secretary Ashok Lavasa.

The committee was put in charge of reviewing the suggestions. The central government employees had expressed regret that the government was delaying the hike in allowances. After the government implemented the recommendation of the 7th Pay Commission from January 1, 2016 in respect of basic pay and dearness allowances, the Committee on Allowances, headed by Finance Secretary Ashok Lavasa was constituted in June last year.

7th Pay Commission: Update On Allowances Likely Tomorrow

The committee which examined the 7th pay commission's recommendations on allowances submitted its report to the finance minister on April 27. Edited by Surajit Dasgupta STORY HIGHLIGHTS Lavasa committee had submitted its report on allowances on April 27 Out of 196 allowances, the commission recommended that 52 be abolished Cabinet had earlier approved in recommendations in change of pensions

The committee examining 7th pay commission's recommendations on allowances has submitted its report. Union leaders of central government officials are likely to meet government officials on Tuesday and will seek an update on 7th pay commission allowances, said a union leader who would be part of the delegation. The committee, which examined the 7th pay commission's recommendations on allowances, submitted its report to the finance minister on April 27.

The committee was headed by Finance Secretary Ashok Lavasa and had Secretaries of Home Affairs, Defence, Health & Family Welfare, Personnel & Training, and Post, and Chairman, Railway Board, as Members, and Joint Secretary (Implementation Cell) as Member Secretary. by Taboola Sponsored Content 2017 - The new Siemens hearing aids, small and powerful hear.com The Lavasa committee has suggested some modifications in some allowances that are applicable universally to all employees as well as certain other allowances which apply to specific employee categories, the finance ministry said in a statement.

The finance ministry said that an Empowered Committee of Secretaries (E-CoS) will screen the allowance committee report on 7th pay commission recommendations. The empowered committee will then firm up the proposal for approval of the Cabinet The 7th pay commission had recommended that house rent allowance or HRA be paid at the rate of 24 per cent, 16 per cent and 8 per cent of the new basic pay, depending on the type of city.
The 7th pay commission had also recommended that the rate of HRA be revised to 27 per cent, 18 per cent and 9 per cent when DA crosses 50 per cent, and further revised to 30 per cent, 20 per cent and 10 per cent when DA crosses 100 per cent. With regard to allowances, employee unions have demanded HRA at the rate of 30 per cent, 20 per cent and 10 per cent.

The 7th pay commission had recommended that of a total of 196 allowances, 52 be abolished altogether and 36 be abolished as separate identities by subsuming them in another allowance.
The Cabinet had earlier approved modification in recommendations of the 7th pay commission relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on recommendations of a high-level panel.
The decision will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.

Notional Pay Calculation from 4th CPC to Find 7th CPC Basic Pension

Notional Pay Calculation from 4th CPC to Find 7th CPC Basic Pension
OM No.38/37/2016-P&PW(A) dated 12.5.2017 :
Implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission – Revision of pension of pre-2016 pensioners/family pensioners, etc :

(i)REVISED PENSION OF PENSIONERS WHO RETIRED BETWEEN 1-1-1986 & 31-12-1995 (4TH CPC SCALES)

Step 1:
work out Notional pay as on 1.1.1996 = LPD at the time of retirement + DA as on 1-1- 1996 was 148 % up to Rs.3500 BP and 111% for BP Rs.3501 to 6000 with minimum of Rs.5180 + IR 1 Rs 100/- + IR II =10% of BP (min Rs100) + 40% fitment benefit sum total be placed in appropriate stage in the 5th CPC scale corresponding to the scale from which retired e.g 4th CPC scale =2000-60-2300-75-3200 LPD 2300 Notional pay = 2300 +3404 +100 +230 + 920 =6954 placing it at appropriate level of Corresponding 5th CPC scale = 6500-200-10500 Notional pay as on 1.1.96 comes to Rs 7100/

Step 2:
Work out Notional pay in 6th CPC PB 2 Rs 9300-34800 GP 4200 =7100 X1.86 +4200 = 17406

Step 3:
work out Notational pay 7th CPC = 17406 x 2.57 = 44735plce it in pay matrix level 6 = 44900

Step 4:
7th CPC pension = Rs 22450 family pension

(ii) REVISED PENSION OF PENSIONERS WHO RETIRED BETWEEN 1-1-1996 & 31-12-20055 (4TH CPC SCALES) e.g
5th CPC scale S 19 10000- 15200 LPD Rs 11300
Step 1:
work out notional pay 6th CPC PB 3 GP 6600 =11300×1.86 +6600 = 27620
Step2:
Work out Notional Pay 7th CPC in accordance with OM No.38/37/2016-P&PW(A) dated 12.5.2017 = 27620 x 2.57 = 70 984 place it at appropriate stage in Pay Matrix Level 11 = 71800/

Step 3 :
Pension = 35900/ family Pension = Rs 21540/ Example: In case of a pensioner retired at last pay drawn of Rs.4000 on 31st January, 1989 under IV CPC regime, having drawn 9 increments in the pay scale of Rs.3000-100-3500-125-4500… Find the corresponding 6th CPC Grade Pay Rs.6600 and enter 9 earned increments in the calculator.

Thursday, 11 May 2017

ECHS Over Sight Committee

Subject:ECHS Over Sight Committee

ECHS has been in existence for nearly a decade now, and expanded a fair deal. As of now 290 of the sanctioned 426 Polyclinics are operational. While a lot needs to be done, numerous improvements continue to be incorporated.
From a User Perspective, while 'Advisory Committees' exist at station level, no such mechanism exists at Service Hq level.

An 'Oversight Committee' has accordingly been created vide Army Hq letter No B/49760/AG/ECHS dated 4 May 2012, to provide regular objecttive feedbacks about functioning of the scheme to COAS/ AG.
This will facilitate MD ECHS in ensuring that the quality of medicare provided to the beneficiaries is maintained at desirable level.

Constitution of the 'Oversight Committee' is as under
Maj Gen RR Oberoi, YSM (Retd). -Chairman.
Brig Trigunesh Mukherjee, AVSM (Retd). Brig Sateesh Kuthiala (Retd).
Brig MM Dewan (Retd).
Col RP Chaturvedi (Retd).

The 'Oversight Committee' has following charter: Obtain regular feedback from beneficiaries on the quality of medicare provided by ECHS and make recommendations to overcome deficiencies, if any. Make recommendations to optimise utilization of resources available with ECHS. Carry out periodic appraisal of the functioning of polyclinics and empanelled hospitals Review existing procedures and make recommendations to enhance the quality of medicare. Examine service conditions of the staff and make recommendations to improve the same, where required. Make recommendations to obviate malpractices, if any, and also suggest measures to redress grievances. Members of the 'Oversight Committee' will visit ECHS polyclinics as directed by AG, to obtain feedback on functioning of the polyclinic and resolve grievances in situ by interacting with the Station Commander, SEMO, and the OC of the Polyclinic concerned. After the visit, concerned Committee member would submit a report to the AG on the same.

You are requested to send in your suggestions and any inputs to me on my id: rpchaturvedi@gmail.com

Kindly don't post your comments on any blogs/ groups since it would not be possible to compile them.

You are requested to give this mail wide publicity.
Thanks.
With Warm Regards,
Col RP Chaturvedi, A-35, Sector 36, Noida 201303.
Mob: +919891279035
E Mail ID: rpchaturvedi@gmail.com

Wednesday, 10 May 2017

Pensions- Ex Servicemen

Pensions
Pension Regulations This Division administers
(i) Pension Regulations for the Army(PRA), 1961, revised as PRA, 2008 (ii) Pension Regulations for the Air Force, 1961, and
(iii) Navy (Pension) Regulation, 1964. It also deals with Entitlement Rules for Casualty Pensionary Awards, 2008.

Kinds of Pension Pension Division deals with policy matters relating to pensionary matters of Defence Forces Personnel which includes:-

Service Pension is granted @ 50% of emoluments last drawn or average of reckonable emoluments during the last 10 months, whichever is more beneficial subject to minimum of Rs. 9000 /p.m. The minimum qualifying service to earn pension is 20 years in case of Commissioned Officer and 15 years in the case Personnel Below Officer Rank.

Ordinary Family Pension is granted @ 30% of reckonable emoluments last drawn subject to a minimum of Rs.9000/- p.m. (in case of natural death of the individual).

Special Family Pension is granted at a uniform rate of 60% of reckonable emoluments last drawn by the deceased. (in case of death of a individual attributable to military service).

Liberalized Family Pension is granted equal to the reckonable emoluments last drawn by the deceased (to the families of personnel killed in war or war like operations,counter-insurgency operations, encounter with terrorists etc.)

Disability Pension matter has been reffered to Anomaly committee-Ministry of Finance, Department of Expenditure.

War Injury Pension
The rates of War Injury Element for 100% disability for various rank shall be equal to the reckonable emoluments last drawn in case of invalided out and 60% of reckonable emoluments last drawn in case of discharge, which would be proportionately reduced where disability is less than 100%.

Processing of appeal
A Defence Forces Personnel, who is boarded out on medical grounds or is discharged / released / retires in low medical categories has the right to appeal against the denial of disability pension within a period of six months from the date of rejection of his initial claim. He will submit his claim to his Record Office(JCO /ORs) / Service Hqrs (Commissioned Officers), which, in turn, will forward the same to Service Hqrs, as the case may be, to place it before the Appellate Committee. Similarly, right of appeal is available to next of kin to Defence Forces Personnel, whose initial claim for Special Family Pension has been rejected.

This Committee comprises of:-
Chairman : DDG(PS)/equivalent rank in Air Force and Navy Members :
(a) DDG(Pens), Office of DGAFMS :
(b) DFA (Pension) :
(c) Dir PS-4 / equivalent rank in Air Force and Navy.
In case the individual is not satisfied with the decision of the Appellate Committee for First Appeal, he has right to make another appeal through his Record Office(PBOR)/Service Hqrs(Commissioned Officers), which, in turn, will forward the same AG/PS, Army Hqs or equivalent in Navy/Air Force along-with all the records to place it before the Second Appellate Committee on Pension.
This committee comprises of:-
Chairman : Vice Chief of Army Staff or equivalent in Navy & Air Force.
Members :
a. Addl. DGPS or equivalent in Navy & Air Force.
b. DGHS (Rep of DGAFMS )
c. Joint Secretary & Addl. FA, MoD (Fin) d. Judge Advocate General of the Service other than to which the appellant belongs.

After consideration of all relevant issues involved in the case, the Appellate Committee will give its decision by upholding or rejecting the appeal.

Processing of Pension claims
The process for grant of pension is initiated by the Unit where the individual is posted, 18 months ahead of discharge/retirement. JCO's/ORs is attached with the concerned Record Office(RO) for completion of pension documents one month prior to discharge/retirement. Pension claim is initiated by the concerned RO in the case of PBOR and by Service Hqrs in case of Commissioned Officers and is forwarded to the respective Pension Sanctioning Authorities for notifying the Pension Payment Order (PPO). PPO is notified by Pr. Controller of Defence Accounts (Pen), Allahabad, in the case of Army personnel, Pr. Controller of Defence Accounts (Navy), Mumbai in the case of Naval personnel and Controller of Defence Accounts (Air Force), New Delhi in respect of Air Force personnel.
A pensioner can approach his Pension Disbursement Agency on any working day after the date of retirement for getting his pensionary dues. Defence Pensioners and disbursement agencies
There are 24 lakhs Defence pensioners and approximately 55,000 pensioners are added every year. The pension is disbursed across the country by approximately 45000 branches of the Public sector branches, 640 Treasury offices of the various State Governments, 61 Defence Pension Disbursing offices, two Post offices, Five Pay Accounts Offices of Indian Embassy, Nepal. PCDA(Pension) Allahabad is centrally responsible for accounting and audit of such pension payments, which amounts to approximately Rs. 45,495 crores during the year 2013-14.

Defence Pension Adalat
A large community of Ex-servicemen specially Personnel Below Officers Rank (PBOR) and their families are settled in the interiors as also remote areas. The lack of awareness at the ground level both at the end of the pensioners as well as amongst the local authorities specially the disbursing agencies leads to generation of grievances either on delays in disbursement or on incorrect payments. Defence Pension Adalats provide a credible forum for redressal of grievances of the defence pensioners near to their place of residence/work. Reforms in disbursement of pension is a continuous process. The whole idea is to make the life of the defence pensioners dignified and hassle free so that they can get their due entitlement promptly without running from pillar to post. Since representatives of concerned organizations are present in the Adalat, it is possible to take appropriate decisions on the spot to the extent possible. The Adalat disseminates latest information, order circulars, procedures, forms and formats not only to the pensioners but also to various local authorities like Banks and Treasury offices etc besides providing clarification of doubts on pension provisions and procedures. Six such Adalats are held in a year.

D (Pension Grievances)
D (Pension Grievances) receives on average representations around 600 to 1000 in a month from Ex-Servicemen. These are examined by the concerned Dealing Hand and referred to the concerned agencies for redressal manually with a copy to the individual so that he should know as to where his case has been referred. States have also been requested to set up grievance redressal mechanism for the ex-servicemen. Further, around 500-700 online grievances are also being received through pgportal.gov.in, an online grievance redressal mechanism, which are being processed electronically with the concerned organization/Service Hqrs who redress the grievance of the ex-servicemen and status of redressal is also updated in the portal. By this, the petitioner can see the status of his grievance electronically by simply clicking their registration number in the pgportal.gov.in.

Process for disposal of Court cases
The Legal Notices and Writ Petitions/Original Petitions, relating to pensionary matters, filed in various Courts are forwarded to the respective Service Hqrs for defending the case on behalf of UoI and others and to take necessary action for filing counter reply, briefing the Govt. Counsel and attending the Court’s hearings. Powers for implementation or otherwise of the Court cases have been delegated to the Service Hqrs who in turn have re-delegated the powers to lower formations like line directorate/Records Offices, etc. Special Leave Petition (SLP) in the Supreme Court is, however, processed by them with Ministry of Law through Department of Ex-Servicemen Welfare. DP&PW is also consulted wherever necessary.

Status of recommendations of 7th CPC The Government order No. 17(01)/2016-D(Pen/Pol) regarding implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission for revision of pension of pre-2016 Defence Forces Pensioners/Family Pensioners has been issued on 29.10.2016.

Tuesday, 9 May 2017

7th Pay Commission: Changes In Pension, Defence Pay Matrix And More

Indian Military Veterans
The benefit of the modifications will be available with effect from January 1, 2016, the date of implementation of 7th pay commission's recommendations.
The Cabinet had in June last year approved implementation of 7th pay commission recommendations
The Cabinet had in June last year approved implementation of 7th pay commission recommendations

HIGHLIGHTS

  1. The benefit will be available with effect from January 1, 2016
  2. Central government's pension bill is likely to go up to Rs.1,76,071 crore
  3. It will benefit over 55 lakh pre-2016 pensioners
The Union Cabinet chaired by Prime Minister Narendra Modi approved important proposals relating to modifications in the 7th pay commission recommendations on pay and pensionary benefits including those of defence forces. The benefit of the modifications will be available with effect from January 1, 2016, the date of implementation of 7th pay commission recommendations. The Cabinet had in June last year approved implementation of the 7th pay commission's recommendations with an additional financial outgo of Rs. 84,933 crore for 2016-17 (including arrears for 2 months of 2015-16). With the increase approved by the Cabinet, the annual pension bill alone of the central government is likely to be Rs. 1,76,071 crore.

Here are highlights of some of the important decisions of the Cabinet:

The Cabinet approved modifications in the recommendations of the 7th pay commission relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the committee chaired by Secretary (Pensions). 

The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs. 5,031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor.

It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners. In order to provide the more beneficial option to the pensioners, the Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner.

The Cabinet also approved the retention of percentage-based regime of disability pension implemented after sixth pay commission, which the 7th pay commission had recommended to be replaced by a slab-based system. The decision which will benefit existing and future defence pensioners would entail an additional expenditure of approximately Rs. 130 crore per annum.

The Cabinet has approved further modifications in the pay structure and the three Pay Matrices, i.e. Civil, Defence and Military Nursing Service (MNS).

The 7th pay commission had recommended a compact Pay Matrix for Defence Forces personnel keeping in view the number of levels, age and retirement profiles of the service personnel. The Ministry of Defence raised the issue that the compact nature of the Defence Pay Matrix may lead to stagnation for JCOs or junior commissioned officers in Defence Forces and proposed that the Defence Pay Matrix be extended to 40 stages. The Cabinet decision to extend the Defence Pay Matrix will benefit the junior commissioned officers who can continue in service without facing any stagnation till their retirement age of 57 years.

Index of Rationalisation or IOR for Levels 12 A (Lt. Col. and equivalent) and 13 (Colonel and equivalent) in the Defence Pay Matrix and Level 13 (Director and equivalent) in the Civil Pay Matrix has been increased from 2.57 to 2.67: Variable IOR ranging from 2.57 to 2.81 has been applied by the 7th CPC to arrive at Minimum Pay in each Level on the premise that with enhancement of Levels from Pay Band 1 to 2, 2 to 3 and onwards, the role, responsibility and accountability increases at each step in the hierarchy.

This principle has not been applied in respect of Levels 12A (Lt. Col. And equivalent), 13 (Colonel and equivalent) and 13A (Brigadier and equivalent) of Defence Pay Matrix and Level 13 (Director and equivalent) of the Civil Pay Matrix on the ground that there was a disproportionate increase in entry pay at the level pertaining to GP 8700 in the 6ht pay commission regime. The IOR for Level 13A (Brigadier and equivalent) in the Defence Pay Matrix has already been revised upwards with the approval of the Cabinet earlier. In view of the request from Ministry of Defence for raising the IOR for Levels 12 A and 13 of the Defence Pay Matrix and requests from others, the IOR for these levels has been revised upwards to ensure uniformity of approach in determining the IOR.

To ensure against reduction in pay, benefit of pay protection in the form of Personal Pay was earlier extended to officers when posted on deputation under Central Staffing Scheme (CSS) with the approval of Cabinet. The benefit will also be available to officers coming on Central Deputation on posts not covered under the CSS.
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Roll out of e-Revision utility of CPAO for 7th CPC revision of pension in all Delhi based PAOs.

Indian Military Veterans

SBI Salary Bank Accounts: Zero Balance, Free Services You Get

Indian Military Veterans
SBI account holders under the Corporate Salary Package scheme are not required to maintain monthly average balance.
SBI or State Bank of India offers zero balance salary accounts to individuals working in companies and institutions including hotels, hospitals and transport corporations. Under its Corporate Salary Package scheme, SBI offers a variety of benefits to salary account holders such as an overdraft facility up to two months of salary. This was said on microblogging site Twitter by India’s largest bank SBI. Some of the other features that come with Corporate Salary Package accounts include nil salary disbursement charges, centralised online salary administration and insurance – accidental and health – covers, SBI – which merged its operations with six other banks last month – further said.
Under the scheme, SBI offers salary accounts in four variants – silver, gold, diamond and platinum – depending on the gross monthly income of employees, SBI said.
Customers of SBI accounts under the Corporate Salary Package scheme are not required to maintain monthly average balance, unlike its savings bank accounts which attract penalty in case of non-compliance.
The salary accounts are provided free facilities such as online NEFT/RTGS transactions, demand drafts and SMS alerts free of cost, apart from unlimited ATM transactions, SBI said.
“The Package can be specially customized depending upon the business relationship that the Corporate/Institution has with the Bank,” SBI said on its website.
Here are some of the other features offered by SBI under its Corporate Salary Package, as per its website:
For employers:
Reduced paperwork and salary administration cost
No charges for uploading of salaries
Instant credit of salaries
For employees:
Free internet banking, mobile banking
Unique lifetime account number
Zero balance facility
On request auto sweep facility – “Surplus amount in Savings bank account beyond threshold balance is transferred automatically into Term Deposits (multi option deposits) in multiple of Rs.1000/- and vice versa,” the website said.
Free personalized multi-city cheques
SMS alerts
Maximum daily withdrawal of Rs. 40,000 on domestic cards, Rs. 50,000 on gold cards and Rs. 1,00,000 on platinum cards

Sunday, 7 May 2017

7th Pay Commission – E-CoS may take 2-3 Weeks to Screen the Allowance Committee Report on 7th CPC

7th Pay Commission – E-CoS may take 2-3 Weeks to Screen the Allowance Committee Report on 7th CPC

An employee union leader said the Empowered Committee of Secretaries (E-CoS) may take 2-3 weeks to screen the allowance committee report on 7th pay commission recommendations. The Empowered Committee of Secretaries will then firm up the proposal for approval of the Cabinet.
The employee union leader earlier this week met top government officials where he was told about the tentative time to be taken by the Empowered Committee of Secretaries on screening the allowance committee report on 7th pay commission recommendations. The Ashok Lavasa committee on allowances, which examined the 7th pay commission’s recommendations on allowances, submitted its report to the finance minister on April 27.
The allowance committee has suggested some modifications in some allowances that are applicable universally to all employees as well as certain other allowances which apply to specific employee categories, the finance ministry said in a statement. The allowance committee report is being currently examined by the Department of Expenditure. Once that is done, it will be placed before the Empowered Committee of Secretaries (E-CoS) set up to screen the 7th pay commission recommendations and to firm up the proposal for approval of the Cabinet.

The employee union official said that the allowance report will be soon taken up by the Empowered Committee of Secretaries. The 7th pay commission had recommended that house rent allowance or HRA be paid at the rate of 24 per cent, 16 per cent and 8 per cent of the new basic pay, depending on the type of city. The 7th pay commission had also recommended that the rate of HRA be revised to 27 per cent, 18 per cent and 9 per cent when DA crosses 50 per cent, and further revised to 30 per cent, 20 per cent and 10 per cent when DA crosses 100 per cent.
With regard to allowances, employee unions have demanded HRA at the rate of 30 per cent, 20 per cent and 10 per cent. The 7th pay commission had recommended that of a total of 196 allowances, 52 be abolished altogether and 36 be abolished as separate identities by subsuming them in another allowance.

The Cabinet on Wednesday approved modification in recommendations of the 7th pay commission relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on recommendations of a high-level panel. It is said that the decision will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.

Source: NDTV

Saturday, 6 May 2017

7CPC MODIFICATIONS

Indian Military Veterans

7CPC MODIFICATIONS

New Delhi: The Union Cabinet on Wednesday approved important proposals relating to modifications in the 7th CPC (Central Pay Commission) recommendations on pay and pensionary benefits in the course of their implementation. Earlier, in June, 2016, the Cabinet had approved implementation of the recommendations with an additional financial outgo of Rs 84,933 crore for 2016-17 (including arrears for 2 months of 2015- 16).
The benefit of the proposed modifications will be available with effect from 1st January, 2016, i.e., the date of implementation of 7th CPC recommendations. With the increase approved by the Cabinet, the annual pension bill alone of the Central Government is likely to be Rs 1,76,071 crore.

Some of the important decisions of the Cabinet are mentioned below:

o. Revision of pension of pre – 2016 pensioners and family pensioners: The Cabinet approved modifications in the recommendations of the 7th CPC relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the Committee chaired by Secretary (pensions) constituted with the approval of the Cabinet. The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs 5031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor. It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.

While approving the implementation of the 7th CPC recommendations on 29th June, 2016, the Cabinet had approved the changed method of pension revision recommended by the 7th CPC for pre-2016 pensioners, comprising of two alternative formulations, subject to the feasibility of the first formulation which was to be examined by the Committee.

In terms of the Cabinet decision, pensions of pre-2016 pensioners were revised as per the second formulation multiplying existing pension by a fitment factor of 2.57, though the pensioners were to be given the option of choosing the more beneficial of the two formulations as per the 7th CPC recommendations.

In order to provide the more beneficial option to the pensioners, Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner. The revised procedure of fixation of notional pay is more scientific, rational and implementable in all the cases. The Committee reached its findings based on an analysis of hundreds of live pension cases. The modified formulation will be beneficial to more pensioners than the first formulation recommended by the 7th CPC, which was not found to be feasible to implement on account of non-availability of records in a large number of cases and was also found to be prone to several anomalies.

o Disability Pension for Defence Pensioners The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system.

The issue of disability pension was referred to the National Anomaly Committee by the Ministry of Defence on account of the representation received from the Defence Forces to retain the slab-based system, as it would have resulted in reduction in the amount of disability pension for existing pensioners and a reduction in the amount of disability pension for future retirees when compared to percentage-based disability pension.

The decision which will benefit existing and future Defence pensioners would entail an additional expenditure of approximately Rs 130 crore per annum.

(SOURCE : Group E-mailfrom a veteran)

Modifications in the 7th CPC recommendations on pay and pensionary benefits approved by the Cabinet on 3rd May, 2017

Indian Military Veterans

Kindly click the undermentioned link

http://finmin.nic.in/7cpc/Press_Note_Modification_7CPC_pensioners04052017.pdf

Friday, 5 May 2017

Govt orders payment of 7th Pay Commission scales to military

Soldiers, sailors and airmen of the three defence services will hereafter be paid salaries recommended by the 7th Central Pay Commission (7CPC).

The new scales will be paid with effect from January 1, 2016. In June 2016, the Cabinet had approved 7CPC scales for civilian employees with effect from January 1, 2016, resulting in additional financial outgo of Rs 84,933 crore. However, the three service chiefs had requested that payment be made to defence personnel only after an Anomalies Committee resolved the military’s representations against the 7CPC recommendations. While the military’s three key requests have not been addressed in this award, Defence Minister Arun Jaitley revealed two significant concessions in a press briefing in New Delhi on Wednesday.

First, disability pension for soldiers would henceforth be paid at the same scales as civilians. The generals had protested the 7CPC order that disability pensions be paid to the military at a flat slab rate, rather than as a percentage of salary. This had sharply reduced the disability pensions almost across the board. “The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system”, said a government notification.

This would involve an additional outgo of Rs 130 crore per annum. Second, a modified method of calculation will increase the pension of servicemen who retired before 2016, benefiting over 55 lakh pensioners. This involves an additional payout of Rs 5,031 crore for 2016-17, which would increase this year’s pension allocation of Rs 85,740 crore. Even so, there is disappointment within the three services that the award has not addressed three key “anomalies”, which had been strongly endorsed by the three service chiefs.

The first of these relates to errors of logic and arithmetical calculations in fixing the pay scales of various ranks in the military. Second, while “military service pay” (MSP) was fixed at Rs 15,500 per month for officers and Rs 5,200 per month for “junior commissioned officers” (JCOs) and other ranks (ORs), the military pointed out that JCOs, who are Group “B” employees, should receive a higher MSP than ORs, who are Group “C” employees. The third military request involved the grant of “non functional upgradation” (NFU), which involves the automatic upgrade of salary scales for all persons, regardless of whether they were selected for promotion to higher grades, in tandem with those who were selected for promotion, with a lag of two years.

This benefit is granted to all other central government employees. Jaitley clarified that the first two issues are being addressed by the Anomalies Committee, while the NFU issue is before the Supreme Court. The government has appealed to the apex court after the Armed Forces Tribunal ordered the payment of NFU to military personnel. Pending the implementation of the 7CPC award to military personnel, the government had granted an interim salary hike of 10 per cent to all services personnel across the board. Since the average salary hike proposed by the 7CPC amounts to approximately 15 per cent, the new orders will marginally raise the payout of salaries and pensions, and arrears.

(SOURCE : BROADSWORD)

Clarifications and update on the Cabinet decisions on pay and pensionary issues emanating out of the 7th Central Pay Commission

There is a press note floating around on social media regarding certain decisions taken by the Cabinet related to pay and pensionary modalities related to the 7th Central Pay Commission (CPC).

Though many have questioned its veracity, this is to confirm that it is absolutely a valid document and has been officially issued by the Ministry of Finance. That said, let me run through some of the important decisions taken by the Cabinet, clarifications thereon and their impact. Please note that the new Pay Rules issued by the Ministry of Defence do not take into account the changes in the pay structure or removal of anomalies and these shall be incorporated through separate amendments in the rules issued on 03 May 2017.
Restoration of Percentage based Disability Pension Rates The 7th CPC had recommended ‘flat/slab’ rates of disability pension for the defence services rather than the ones based upon ‘percentage of pay’. Civil disabled personnel were however retained on the percentage system as before. As stated earlier, frankly, I never expected this regressive 7th CPC recommendation to be accepted by the Government, but unfortunately it was.

While recommending this aspect, the 7th CPC had also made unfounded and uncharitable remarks against disabled soldiers by casting aspersions on those who have incurred disabilities while in service which was discussed in detail by me earlier in my opeds, here and here. This resulted in a massive decrease after the 7th CPC resulting in a payout even lower than 6th CPC rates for almost all post-2016 retirees of all ranks and also for pre-2016 retirees of certain ranks.
The arbitrariness of this decision becomes evident from the following chart at the apex levels: (100% Disability) Rank Rates under the 6th CPC as on 31 Dec 2015 Rates applicable after the 7th CPC as on 01 Jan 2016
Lt Gen Rs 52,560 Rs 27,000
Head of Central Armed Police Force Rs 52,560 Rs 67,500

Thankfully, the then Defence Minister, Mr Manohar Parrikar, fully understood the issue and took personal interest in getting the issue referred to an Anomaly Committee. The Defence Services HQ as well as the Ministry, and even civilian employee organisations, supported the resolution of this anomaly which now stands addressed and the Cabinet has decided to retain the old system of calculation on percentage basis, that is, 30% of pay shall remain the disability element for 100% disability.
I however do hope that a protection clause is introduced for pre-2016 retirees of lower ranks who stood to gain from the slab rates. Improvement in Pension calculation system for pre-2016 civil and defence retirees The Cabinet has also accepted an improvement over and above the system of pension calculation which was finally effectuated after the 7th CPC.

Rather than basing the pensionary calculations on the “Old Pension X 2.57” formula, an option would be provided to calculate the pension based upon the notional pay stage from which the employee had retired as opposed to the minimum of pay as was the system followed till the 6th CPC. Calculation of pension in this manner would definitely enhance the pension of civil pensioners and perhaps a small number of defence pensioners, who, in all probability would be provided the opportunity of choosing the most beneficial option, that is, the new formula, 2.57 multiplication formula or OROP rates.

Contrary to popular perception, this does not exactly result in OROP for pre-2016 civil employees as is being projected, since while this is based on notional data, the military OROP is operated on live date of fresh retirees, moreover while this system is expected to be revised only after ten years, the military OROP as per the current scheme is meant to be revised after every five years. Issuance of Pay Rules rather than Instructions on Pay There were messages that the Chiefs of the Defence Services have been sidelined and downgraded since the earlier system of issuance of Special Army Instructions, Special Navy Instructions and Special Air Force Instructions (SAI/SNI/SAFI) has been discontinued and a new dispensation of ‘Pay Rules’ has been initiated.

This seems to be the negative imagination of fertile minds. SAI/SNI/SAFI were never issued under the authority of the Chiefs of the Defence Services HQ but were always issued by the Ministry of Defence, that is, the Government of India. ‘Orders’ such as Army Orders (AO) etc were (and are) issued by the Defence Services HQ under the power of the Chiefs. The new Pay Rules have been promulgated under the authority of Article 309 of the Constitution of India and are statutory in character rather than being mere executive instructions like was the case till now. With this, the pay rules of the Defence Services are at par with the statutory pay rules of the civil services which are also issued under the authority of Article 309 of the Constitution of India. Defence Pay Matrix to have 40 stages The 7th CPC had recommended only 24 stages in the defence matrix while 40 stages were provided to civilians. This anomaly has been rectified and now the defence pay matrix shall also have 40 stages. This will particularly be helpful for JCOs towards the retiring years and will also beneficially affect their pension and other retiral benefits. Multiplication factor of 2.67 This anomaly had been rectified earlier for Brigadiers and a multiplication factor of 2.67 had been applied for the said rank. Now the same benefit has also been extended to Lieutenant Colonels, Directors to Government of India and Colonels, that is, Levels 12A and 13 of the Pay Matrix. Other Anomalies There shall be pay protection for the amount of Military Service Pay (MSP) on promotion from the rank of Brigadier to Major General. It may be recalled that MSP is not entitled to ranks above the rank of Brigadier. No decision has been taken by the Government on the aspect of Non Functional Upgradation till now since the matter is being considered sub judice. On directions of the Supreme Court, the Government is re-considering the issue of NFU for Central Armed Police Forces for which a meeting was recently held. The issue is to be considered by the Government and the fresh decision is to be placed before the Supreme Court in August 2017. The most pertinent anomaly of enhancement of Military Service Pay, especially for JCOs, also remains pending along with other matters and probably these issues would be clearer after various anomaly committees submit their reports and a decision is taken thereafter by the Cabinet. Non-inclusion of 'X Group Pay' for pension is also a cause of concern, it may be recalled that till now the same was included as an element for pension. The committee on allowances has already submitted its report which will now be examined by the Government. Unlike pay and pension which are admissible retrospectively from 01 January 2016, most freshly rationalized allowances shall only be admissible prospectively. This is all I have to say at present, please DO NOT mail me individual queries on email or social media. You are free to discuss the above @ the comments section of this post. Thank You.

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