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Thursday, April 12, 2012

Two important pensionary anomalies resolved by the Ministry of Defence

Pension of post-1996 retiree Majors whose scales were upgraded to pay-scale of Lt Col on completion of 21 years of service:- The Govt of India, as a one-time measure after the 5th CPC, had provided vide MoD letter No 1(5)/97/D (Pay/Services) dated 21 Nov 1997 and Para 5(a) (iv) of SAI 2/S/98 that officers who had become substantive Majors prior to 01 Jan 1996 and who were in service as on 01 Jan 1996, were to be granted the pay scale of a Lt Col (TS) on completion of 21 years of service, that is, pay scale of a Selection Grade Lt Col with the rank pay of a Major. Such Majors who could hence not be promoted as Lt Col (TS) due to medical or other criterion were granted the scale of the said rank purely as a one-time measure. Naturally, their pensions were also to be fixed in accordance with the scale of Lt Col since pension is directly linked to the pay drawn and is basically granted @ 50% of reckonable emoluments at the time of retirement. Even after the 6th CPC, as per Govt of India letter dated 11 Nov 2008, the pensions of such affected officers were to be fixed at a rate not lower than 50% of the revised replacement scale of a Lt Col which corresponds to the pre-revised scale (and not rank) from which they had retired. Pension as we know is based on the scale held on retirement and not rank. The pension of such Majors who were holding the pay scale of Lt Col (TS) at the time of retirement was to be fixed at Rs 25,700 for full service calculated on the basis of Pay Band-IV as applicable to Lt Cols.  

However though the above proposition was amply clear from the orders issued after the 6th CPC, there was lack of co-ordination between the PCDA(O) which had to issue the Last Pay Certificates (LPCs) and the PCDA(P) which had to issue the revised PPOs. As a result, whereas some officers were suo-moto granted the benefit, some were refused.

Now the MoD has clarified to all concerned that such affected post-1996 retirees who had retired in the rank of Major in the pay-scale of a Lt Col, would be granted the benefit of Pay Band-4 with the Grade Pay of Rs 8000 for the purposes of pension also.

This issue which had resulted in multiple rounds of litigation hence stands resolved.

Anomaly of lower ranks drawing more pension than higher ranks in cases of Other Ranks and Junior Commissioned Officers:- After the implementation of the report of the Committee of Secretaries with effect from 01 July 2009, tables for revised pension were issued by the office of PCDA(P) vide a Circular in March 2010. There were however instances wherein lower ranks were being paid more pension than higher ranks with the same length of qualifying service.

This anomaly has been rectified and revised tables have been issued by the Govt of India wherever this anomaly had been observed and identified. 

Many thanks to the staff at the Army HQ, especially the PS Directorate and the Army Pay Commission Cell for pushing the above through. 



I congratulate majors for their achievement
But a new anamoly has crept in. ie, LT.COLs with more than 21 years of service in the rank are equated with majors.
And surprisingly, a COLs pension is just Rs.100/= ABOVE THAT OF lt.col; AND NOW A AMJOR WITH 21 YEARS OF SERVICE.
I fully agree with the concept that pension should be based on the "LAST PAY DRAWN/LIKELY TO BE DRAWN AND NOT ON RANK"
That is why the CAT in their judgement recently, issued orders to the effect that "in the new pay scale, a corresponding pay of the no. of years served in should be fixed and half of that shouls be taken as the pension"
So, instead of complecating the issue and create heartburns amongst various ranks, the following can be adopted.
1. Make a scale for each rank, with yearly increments
2. Fix the corresponding pay as to the number of years
3. Halkf of this will be the pension figure to be arrivd.
This may solve the problem of OROP alo simultaneously.
The civilians are already assuered of getting the "equivalent of OROP"
ESMs pl. do something.

Unknown said...

How about those 'Majors' who retired with 21 yrs of service or more prior to 1996 like in my case. I rtd with 21 yrs in 1984.

JUSTIN said...

maj navdeep tx 4 update
if possible pl provide link for tables. " at present basic pension of gp 1 lac is 5591 and gp 1 sgt is 5495"

Anonymous said...

where can i get the revised tables for pbor

JUSTIN said...

it is a pity that poor pbor's welfare noone is interested.
the irony is the basic pension of gp 1 lac is 5519 ref t-102 cir 430,gp 1 cpl is 5395 t-106,& gp 1 sgt is 5492 t-111. this anamoly was there since cir 430 was implmented. there is lot of hallagullah about rank pay case and offrs welfare points but noone is interested about jawan,s welfare.
ok brother thai is how life goes.... have 2 pegs and enjoy the life. t.q.

VNatarajan said...

Dear Major NS,
Can I and Shri MLK ji have e-copies of the letters cited or at least the links where to access electronically pl?

M R PENGHAL said...

Maj MRP said.....

Dear Maj Navdeep,

Are those majors commissioned in the rank of Lt from JCO having more than 8 years service and granted 2 yrs antedate seniority for pay only and allowed the benefit throughout the service on having completed 19 years service but drawing pay equal to majors having 21 years service before 1.1.1996 entitled to fixation of their pay in the scale of Lt Col (TS) under para 5 (iv) of SAI 2/S/98 ?

Anonymous said...


Penmil said...

@ WG.CDR.V.SUNDARESAN(RETD),April 13 ,5:11 PM,
You said,
'I fully agree with the concept that pension should be based on the "LAST PAY DRAWN/LIKELY TO BE DRAWN AND NOT ON RANK '
Maj. Navdeep also said in his post dated April,12, the same,
'Pension as we know is based on the scale held on retirement and not rank'.
and clarified in the chat roll at April 17, 2:48,AM,
'It is not the rank which matters while regulating pension but the scale held on retirement'.

All this is fine at the point of retirement. But as time passes and after the next Pay Commission, the scales disappear ,either merging with lowr or higher scales or as it happened in the last 6th CPC, they give way to Pay Bands.
The pensioners of the earlier pay Commission regimes have no datum to find their pay scale in the new structure.
But in the military services there is a Rank with which one can compare at any time( until ranks are abolished or merged) and demand a just pension even after number of Pay Commissions.
Hence the demand/agitation/ petition for One Rank One Pension.
This particular instance of "Pension of post-1996 retiree Majors whose scales were upgraded to pay-scale of Lt Col on completion of 21 years of service", is a special case and no principle of pension can be made from this dispensation.
What one has to say is that 'Pension should be determined by the Rank at the time of Retirement and should get revised without sliding down below that of the minimum for that Rank after any Pay Revision '.

Anonymous said...

Sir,is it applicable 2 Hony Offrs. An MWO getting Hony FO rank gets his pension reduced.Though an order was passed by ATF 2 recalculate his pension and rectify this anomaly no action has been taken by Govt so far. Thank u

Anonymous said...


maj piara singh retd said...

what about those retired maj's who completed more than 13 year's commissioned service but less 21 years and retired before 2004.
after 2004 all officers having 13 years service promoted as lt col.
maj piara singh retd

JUSTIN said...

the payment instructions r issued
link http://www.pcdapension.nic.in/6cpc/Circular-482.pdf

Anonymous said...

Dear Maj Navdeep,
I retired in Jul 2001 as Lt Col(TS) Under these provisions,my pension ought to be 25700/(The pension of such Majors who were holding the pay scale of Lt Col (TS) at the time of retirement was to be fixed at Rs 25,700 for full service calculated on the basis of Pay Band-IV as applicable to Lt Cols.)
My physical service amounts to 24 yrs.I was also admitted 8 years as weightage,to arrive at qualifying service.Now my bankers are fixing my pension considering physical service as qualifying service.How do I address this ?
Thanks & regards

PS said...

i had a problem that pcda deducted my gratuity of approx one lakh saying that you did not have adequate service.pcda denied me the ss service i had put induring trg at IMA and had been paid salary(not stipend) also. pity is that i had to send them a copy of SAI 1/S /94 to convince them that i am authourised these great people cant even read the instructions correctly

S.S. Rawat said...

What about officer commissioned from ranks. have put total years of 37 years ( commissioned service 19years six months and in rank 15 years 05 months)That is my pensionable service is 36 years + some months. What I understand provision is restricted to 21 years commissioned service. That means an officer though substantive before 01-01-1996 have put only 19 years 06 months service as a commissioned officer, he is not eligible for this benefit. Can some one guide.

Best regards;

S.S. Rawat


What about those majors and equivalent in Air Force and Indian Navy who are drawing pension less than JCO's [Hon. Capt] on whose issue AFT had given a ruling for grant of one time increment of Rs. 5000 in September 2010 ? Can we hope to get the benefit of this ruling anytime during our life time ?

capt bs kathayat said...

Capt BS Kathayat,Lucknow

Many thanks to Maj Navdeep for service to the ESM fraternity.There are many officers who retired after a commissioned service of 10 to 12 years and total service of 30 to 34 yrs,however,they are being paid a pension eqv to Hon Capts.Is it not a gross injustice that even MSP difference is also denied to them. Could you kindly do some thing in This regard Please? Thanks.