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Tuesday, September 14, 2010

Pension shall not be less than 50% of minimum of pay within the pay-band corresponding to the pre-revised scale of a retiree : AFT

As most of you would be aware, the 6th CPC had recommended that the revised pension shall not be less than 50% of the sum of the minimum of pay in the pay band + the grade pay (+MSP in case of defence personnel) thereon corresponding to the pre-revised pay scale from which the pensioner had retired. The minimum of pay within the pay band was notified by way of a fitment formula of Old Scale X 1.86 on the basis of which fitment tables were published by the govt. For example, in case of a Major, the pay band applicable was Pay Band-3, that is, Rs 15600 – 39100 and the minimum of pay within the pay band was Rs 12,800 (minimum of old scale) X 1.86 which came to Rs 23,810. Hence the pension fixation could not be less than 50% of Rs 23,810 + Rs 6600 (Grade Pay) + Rs 6000 (MSP), that is, 50% of 36410 = Rs 18,205.

The above formula was accepted by the government through a gazette notification. However, later a clarification was issued in which it was stated that it is not the minimum of pay in the pay band that shall be taken into consideration but the minimum of the pay band itself irrespective of the pre-revised scale of pay. Meaning thereby that the pension of all the three ranks - Lieutenants, Captains and Majors, was to be fixed by taking the minimum of Rs 15600 which happened to be the lowest point of the Pay Band itself and essentially the starting pay of a Lieutenant. This meant that the minimum possible pension of a Major was to be fixed at Rs 14,100 rather than Rs 18,205.

To be fair to the Department of Pensions and Pensioners’ Welfare, they tried their best to reason out with the Department of Expenditure that their (DOE's) interpretation of pension fixation for pre-2006 retirees was not right and that it needed to be corrected and the clarification revised. But despite the fact that the Ministers (MoS) of both the Finance and the Personnel Ministries were in favour of the correction in the right spirit of the 6th CPC recommendations, it was ensured by the lower level babus at the Ministry of Finance that it did not happen. The case was taken up time and again by the DoP&PW but was always rejected by the DoE.

The first correction now comes from the Hon’ble Principal Bench of the AFT which has rightly interpreted the term ‘minimum of pay’ as being the minimum of pay within the pay band and not the minimum of pay band itself. Hopefully the DoE shall see reason and ensure that the dockets of Hon’ble Courts and Tribunals are not burdened with unnecessary litigation on the same point and also see that pre-2006 retirees, both civilian and defence, are ensured equity.

The havoc that the incorrect interpretation had led to can be fathomed by the fact that while the difference between the minimum possible pension of a Captain and a Major was Rs 875 till the 5th CPC, it went down to Rs 250 after the 6th CPC rather than escalating with the increased scales. While on the other hand, the difference of pension between a Major and a Time Scale Lt Col was only Rs 950 till the 5th CPC era and today it has gone up to Rs 11,600 after the 6th CPC. And this my friends had been termed as ‘parity’ by the mandarins at the Finance Ministry !

24 comments:

VNATARAJAN,PRESIDENT, PENSIONERS' FORUM, CHENNAI said...

Dear Maj Navdeep Singh/ Lt Cdr Avtar Singh and all,

GREAT NEWS!

AS YOU ARE VERY MUCH AWARE -this is what I and many pre-2006 pensioners (including CiVIL/ MILITARY- yourself too- and - ALSO RTD LT CDR AVTAR SINGH AND HIS GROUP WHO HAD ALWAYS BEEN IN TOUCH WITH MY GROUP) had been pursuing since Oct 3rd, 2008 WITH THE GOVT TO OBTAIN justice FOR ALL WITHOUT GOING TO courts, ever since the "two pension authrorities viz CPAO (26th Sept 2008) and DOPW (3rd/14th Oct2008)" had brought in the expression "MINIMUM OF THE PAY BAND" into "an errornoeus operation" in their orders in the place of "MINIMUM OF THE PAY IN THE PAY BAND" (????) . IT HAS TAKEN AT LEAST TWO YEARS AND at last the AFT DELHI verdict had come up in support of the pre-2006 pensioners' prayers for JUSTICE.

I hope all authorities concerned "wake up" to the reality of the situation and avoid all LITIGATIONs to save TIME of Hon Courts/ Tribunals and also avoid INFRUCTUOUS expenses of the Govt.
VNatarajan

Anonymous said...

It is very sad that the rules are being misinterpreted by the 'boos' of DOE. Understandably it does seem unfair !!

However, when the same affected people (Retd offrs) willingly 'misinterpret' the guidelines of 6PC and treat newly appointed (post 2009) PGT/TGT/PRT of AWES run Army Shools in similar lines (they cannot comprehend that PGT/TGT/PRT are as different as Lieut / Maj / Lt Col) and deny them their dues, it is WORSE !!!

Hope you will deal with this issue, Maj Navdeep.

Anonymous said...

Sir,
When the "NOT AFFECTED" decide, such results need not be unexpected.
And Courts are expected to deliver the "LOGICAL CONCLUSION".
And the system thrives on such inconsistencies to no end.

Anonymous said...

Dear Aggrieved,

Many times - many like me- had pointed out that "todays in-service personnel are tomorrow's pensioners".

Similarly any "uncontested "violation" of so called "Rule" becomes the "firmed up "Mis-Rule" forever and personnel suffer.

Unless the "hungry" cries/ shouts, none will feed the "baby"!

Many keep a low profile due to fear of "intimidation" and "victimisation".

Lack of ETHICS in GOVERNANCE has become the order of the day.

EVEN THE HONEST OPINIONS OF HON MsP/ MINS. OF STATE/ CsAG/ CHIEFs/ why even Hon Apex Court's JUDGMENTS appear to be treated as "what I can call" - by a few who are responsible for such CRISES!

Anonymous said...

MSP is Basic, so 3pc of 6000 i.e. 180 Rs should be part of one's annual increment effective 01 Jul 2010. Just check whether one has got that or not i.e. 3pc ANNUAL increment should include 3pc of BASIC plus 3 pc of Grade pay plus 3 pc of MSP.

JUSTIN said...

this is the correct meaning of 6 cpc very important clause which giveS almost parity in pension.and which has been misinterpreated by concern authority. let us all effected get 2 gather and force the issue.

Anonymous said...

If this is being implemented, then it would be almost close to OROP. Very appricable and precise move by AFT. Hope and pray that this should pass thorugh without any hurdle from bureacracy!!!!

ramu said...

After this jugement the pensioner are entiltled for their right. The Governments order had insulted the pensioners who were in receipt of higher pay scales prior to 2006. For example the pay scale of Rs.5000-8000; 5500-9000; 6500-10500 etc was merged to single pay band begining with Rs.9300/- which is arrived at by calculating 5000 X 1.86 and the same formula has been made applicable by the Government to other pre revised scales.

Anonymous said...

Now that the Aft has given its verdict, and there would be no appeals(hopefully so),
What is the next step.
Will there be a Goi issued on basis of which the banks would act?
Pl.Clarify

Sunil said...

Dear Maj Navdeep, I am extremely confused about the commutation of pension which is now 50% of the pension at the max. I have opted for the same. My question is the recovery of commuted portion supposed to be interest free to us? If not what is the ROI on this amount?

venkat said...

We were all very disappointed by the meagre hike for the lt,captand majors. We are grateful to you major, for your efforts.We hope and expect the govt to take necessary action in this regard. Thank you.

Anonymous said...

Dear Major Navdeep Singh/Lt Cdr Avtar singh and all,

LONG AWAITED GREAT SUCCESS.
Hope AFT verdict would suffice and no more representation/interpretations would come forward. Soon all dues would be cleared.
Sir, I had served 13yrs & 4 months as Officer, but because decision of granting Lt Cols and equavailent ranks on 13 yerars came in Dec 04, I could not get benefit, though I served38 years & 45 days. I feel there may be very few Majors & equivalent of such category. I request you all to kindly get me some justice if not given at that time at least in pension.

Rajababu said...

Dear all,

You may like to read a related artcile posted by Hon MP Shri Rajeev Chandrashekhar in his blog a few days back.

Of the many things that the civilian society takes for granted - Freedom and peace perhaps feature high on the list. We don’t seem to have the time or inclination to spare a thought for the men and women who ensure we enjoy the freedom and peace. That we as a nation don’t seem not to care about the difficulties our soldiers face, was featured recently in a national magazine.

Apart from ensuring security, our armed forces and the men that have led them over the decades have also been responsible for the strengthening of our democracy – maintaining a professional distance away from Politics, while the armies of many newly independent nations of that time fell to the tempatation of Politics and Power as in our own neighbourhood.

Most importantly, the Armed forces have repeatedly and unfailing stepped in whenever there were Political failures, despite the costs to the lives and limbs of many young men and suffering to many people across the country.

63 years on post Independence, as a nation we are facing unprecedented challenges of security – being a nation in a region racked by terrorism, civil unrest in J&K, compounded by the threats of naxalism growing on the back of decades of exploitation by the political class (and their crony businessmen friends) of tribals and other marginalized communities. The first and indeed the only line of defence between chaos/anarchy/lawlessness and a semblance of order is the uniformed man – be it in the Para Military or Armed forces.

Try and think of the implications if this line of defence is breached or gives up. Its precisely for this reason, that’s important for us to reflect upon the way we treat our soldiers ; and learn to understand, appreciate and empathise with sacrifices of the soldiers and their families. For starters, citizens must remember that they able to work, party and go back home to sleep in peace because the men in uniform stay awake and ensure their safety. That we have the responsibility to show our gratitude to the brave men and women who are sacrificing their today for our tomorrow.

In turn, these uniformed men and their families would come to realize that the nation and indeed most of its people support their sense of duty and service to the country. Why should any man or woman in uniform want to lay his life and career on the line, if its not seen or appreciated by the people and the nation they do it for.

Rajababu said...

Some exerpts from the Hon MP Rajeevji Blog

Of the many things that the civilian society takes for granted - Freedom and peace perhaps feature high on the list. We don’t seem to have the time or inclination to spare a thought for the men and women who ensure we enjoy the freedom and peace. That we as a nation don’t seem not to care about the difficulties our soldiers face, was featured recently in a national magazine.

Apart from ensuring security, our armed forces and the men that have led them over the decades have also been responsible for the strengthening of our democracy – maintaining a professional distance away from Politics, while the armies of many newly independent nations of that time fell to the tempatation of Politics and Power as in our own neighbourhood.

Most importantly, the Armed forces have repeatedly and unfailing stepped in whenever there were Political failures, despite the costs to the lives and limbs of many young men and suffering to many people across the country.

63 years on post Independence, as a nation we are facing unprecedented challenges of security – being a nation in a region racked by terrorism, civil unrest in J&K, compounded by the threats of naxalism growing on the back of decades of exploitation by the political class (and their crony businessmen friends) of tribals and other marginalized communities. The first and indeed the only line of defence between chaos/anarchy/lawlessness and a semblance of order is the uniformed man – be it in the Para Military or Armed forces.

Rajababu said...

Try and think of the implications if this line of defence is breached or gives up. Its precisely for this reason, that’s important for us to reflect upon the way we treat our soldiers ; and learn to understand, appreciate and empathise with sacrifices of the soldiers and their families. For starters, citizens must remember that they able to work, party and go back home to sleep in peace because the men in uniform stay awake and ensure their safety. That we have the responsibility to show our gratitude to the brave men and women who are sacrificing their today for our tomorrow.

In turn, these uniformed men and their families would come to realize that the nation and indeed most of its people support their sense of duty and service to the country. Why should any man or woman in uniform want to lay his life and career on the line, if its not seen or appreciated by the people and the nation they do it for.

Sadly, the truth is reverse. The civil society elite seems to be uncaring and unconcerned about our soldiers ! For example, independent India’s first Military Memorial Park that is coming up in Bangalore met with opposition from a small group of ultra elite of the city who felt their morning walks will be affected because of the Memorial Park and suggested the Memorial be pushed to outskirts of the city. Another esteemed citizen questioned the need for a war memorial questioning why honour the soldiers who are just doing their duty and who are paid to die ! Shocking insights into the way some parts of ‘modern India’ are thinking! The widow of a Indo-Pak war hero is made to survive on a Pension of Rs 80/month; The political leaders seek to scapegoat the Army in J&K to cover up their own political failures! Unseemly sight of proud veterans of our forces asking for honor through One Rank,One pension and surreal sight of them returning their medals to the Govt!!

Nothing can be more demoralising for the soldiers, who fighting night and day to keep the citizens safe, to know that the nation or Government is not backing them and people have no sense of appreciation to their efforts.

In the United States, soldiers and ex-servicemen are treated as heroes and people go out their way to demonstrate their respect, love for the men and women in uniform. There is always something sacred about the way people in US or many other nations treat their soldiers.

As John F Kennedy said “A nation reveals itself not only by the men it produces but also by the men it honors, the men it remembers”. Character of a society is reflected in the manner it demonstrates gratitude and support to the brave men and women who protect the nation ensure people are free to pursue their dreams. And as our own Kautilya , the great political strategist, wrote to Chandragupta Maurya centuries ago: “The day the soldier has to demand his dues will be a sad day for Magadha. For then on that day, you will have lost all moral sanction to be king”.

To this I add, “If you cant stand behind our Armed forces, feel free to stand in front of them!”

himmat said...

Sir Iam retiring in the month Jan 2011. I have been completed 26 yrs service incl 2 yr extended service in the Army.As per policy of 6th pay commission ACP will be entitled for me but till no confirmation regarding ACP for nb sub. Pl clarify on the sub policy.

Anonymous said...

The recent verdict of AFT,which has brought due justice/relief to the officers of the rank of Major and equivalent in the Air Force and Navy by overruling the misinterpretation of 6cpc recommendations(para 5 of MOD letter No17(4)/2008(1)/D(Pen/Policy)dated 11 Nov 2008 relating to Modified Parity)is heartily welcome.
It is presumed that justice will now be automatically provided to the other sufferers too viz Hony Lts,Hony Capts and equivalents in the other two services, who are victims of the aforesaid misinterpretation,without making them to move from pillars to post to seek for their rights

Anonymous said...

Read the contents with enthsiasm. Now, would the CDA Allahabad/PDA/MOD give a detailed instruction for fresh calculation and re-fixation of the Pension scales of all affected members with retrospective effect? and what would be the time frame? these are the 2 doubts I am raising. Could any one give/post a clarification or opinion on the questions , in this column? Thanks

Anonymous said...

The elaborations on the subject has been clearly made in the 6cpc letter of implementation for pre-2006 pensioners by using 'simple english'
under the head MODIFIED PARITY.Lapses on the part of interpreters has been appropriately identified/established by the AFT and brought to the notice of concerned decision taking authorities for action as deemed necessary.As the matter relates to a claim,which has got definite legitimacy,involving welfare of a lot many pre-2006 pensioners,I request Maj Navdeep Singh Sahib to kindly make it convenient to persuade the issue a little further towards a speedy and objective solution of the case.

Anonymous said...

Bureaucrats are definitely highly qualified personalities and are deeply instrumental in vital decision-taking,after a lot of deliberations, in almost all Govt.-matters.As this is a serious 'identified lapse of interpretation',the isuue would be highly appreciated if related Bureaucrats themselves initiate action to set the anomaly right and provide justice to the sufferers rather than making the affected people to move around and cry for their legitimate demands !

Anonymous said...

The 6cpc Anomaly Committee is still functional and this particular issue,which is not of lesser importance,has definitely come to their knowledge!In this regard,language used in the letter of implementation is not at all confusing/complicated which may need any special analysis to dig out the sense, as such, it is very much desirable that an immediate favorable decision is taken by the empowered authorities without any further lapse of time.

Anonymous said...

The disease having been diagnosed,as a matter of theory,a doctor should take minimum time to prescribe appropriate medicine for an ailing patient to ensure a quick recovery.The concept is equally applicable in this case too!The issue is sufficiently touchy and the decision taking authority be persuaded strongly
to initiate favorable action on top
priority to provide DUE JUSTICE to all those who have been kept debarred,unnecessarily,from legitimate monetary entitlements in the last couple of years. It is very much desirable that progress of the case be periodically updated for information of all readers of this blog.

SQUADRON LEADER(RETD)SM DUBEY said...

Dear Major Navdeep Singh/Lt Cdr Avatar Singh & all other associated members.

No doubt your efforts deserve millions thanks for getting justice to the sufferers. However, as of now more than four months have elapsed, but nothing postive on the ground is seen emerging. Woult it be possible for you, if latest status of the case be brougth to light for the benefits of all sufferers.
Our sincere thanks & awaiting.
Thanking you all

Sqn.Ldr (Retd) S N Sharma said...

Sqn.Ldr (Retd) S N Sharma
sattu_sharma2001@yahoo.com

It is very sad that the Baboos of DOE are misinterpreting the rules.It has been 9 months since honorable AFT has pronounced their Judgement on pension of Major shall not be less than 50% in the pay band but no action has been initiated by the Union Govt.
What is next course of action ?Like Rank Pay case of IV CPC RDOA may have to seek justification from Honourable Supreme Court ?
Kindly intimate latest position for all concerned.