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Friday, May 5, 2017

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

This issue was much close to my heart. Thankfully, the then Defence Minister, Mr Manohar Parrikar, fully understood the consequences and took personal interest in getting the matter 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 in circulation 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 an extreme case of over-interpretation and negative imagination of fertile minds. SAI/SNI/SAFI were never issued under the authority of the Chiefs or 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 benefit of multiplication for Index of Rationalization (operative at the beginning of the entry pay) has also been extended to Lieutenant Colonels, Directors to Government of India and Colonels, that is, Levels 12A and 13 of the Pay Matrix. Further, just to clarify, this multiplication factor has no link with pensions whatsoever. 

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.

78 comments:

ashwanisarda said...

Dear Maj Navdeep,

The blog post states, in respect of OROP for defence pensioners, "...military OROP is operated on live date of fresh retirees".

The data and amounts published in Circular 555 for OROP raise several questions. The basis of parities provided for older retirees, especially those who had retired prior to implementation of AVS Committee (phase one recommendations), is highly ambiguous. I had tried to outline some of the issues in this blog post.

Now, even as the anomalies of OROP await resolution, there is an additional ambiguity in the manner in which index and level of older retirees will be fixed as per provisions of Method 1 (Option 2) of VII CPC recommendations. This would again be especially crucial for older, pre December 2004 Officer retirees in ranks that are now time-bound and are given at much lower qualifying service than older retirees.

I personally feel that civilian retirees will get pensions closer to the concept of OROP under 7 CPC as their pensions would be based on a firm index and level in a defined matrix and not averaging of some non-transparent pension figures as in some of the cases of OROP.

Regards,

Ashwani Sarda

Amit said...

As per Army Pay Rules posted on MoD website, the multiplication factor is 2.57 for all officers. Can you pl clarify where is the multiplication factor of 2.67 mentioned for 12, 12A and 13A mentioned .

Navdeep / Maj Navdeep Singh said...

Amit, please read the complete post again from the beginning. However, for your benefit, I will reproduce the relevant part again, below:

"...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...."

Anonymous said...

If the anomalies were not rectified why was the pay rules issued. If the anomalies had to be rectified at a later time why was the 7 CPC not granted with civilians. If it was because the Chiefs had told to withold the pay rules why was their viewpoint disregarded now......

Raghu P said...

Navdeepji has put things in very clear perspective!
I would request him to kindly post on the progress of the NFU case and indicate the implications of the outcome.
Regards
R Pathak

vishnuprataps said...

sir
multiplication factor has increase to 2.67 or only rio. if only index table increases than lot of lt col and col will stand to loose rather gain. this is important as press release says only rio pl give your expert comments sir

Anonymous said...

Too confusing! Why cant govt orders be clear, unambiguous and simple to understand and implement? Are any more notifications or approvals required before salaries are disbursed as per 7 CPC? Thanks Navdeep for deciphering the complicated instructions for us.

Raveesh Chaudhary said...

Dear Major

The noble job you are doing as the lone crusader in the interest of all service/retired personnel is more than commendable. It entails a high level of dedication to the cause and a greater level of perseverance to continuously fight for the rights of armed forces personnel. A big salute to you and your efforts

Jai Hind

kiranmandhir said...

Is the multiplication factor of 2.67 also applicable to Pensioners in the rank of Lt Col & Col for the enhancement of pension ???
It's effect on Disability pension ?
Effect on re-emp offers???

Anand Basera said...

By when is it likely to be implemented as far as defense pensioners are concerned?

Anand Basera said...

Does the new factor applicable to Cols too now implies 36130*2.67?

Anonymous said...

On one hand 3 levels were increased in levels 12A & 13 & 2 in 13A, but than why is one level reduced in each of the revised pay matrices 12A, 13 & 13A.

Is it not mischief....

RAJIV KUMAR said...
This comment has been removed by the author.
Smaran Singh Gauba said...

I perceive that only IOR has changed from 2.57 to 2.67 . Multiplication factor is same across all the grades ,i.e, 2.57. It has only affected the starting scale of a vertical and consequently the increments!

Anonymous said...

will 2.67 apply to a brig retd in 1992?

Rajiv Kalra said...

Dear Navdeep,
Only one query- why after 67 years of establishing of our Republic, the government has decided to publish Pay Rules under article 309 instead of a SAI? Was it proposed by The COSC? Rajiv Kalra

Anonymous said...

Is it just 24-40 stages or artificial suppression of salaries have been take out comparative to civilian matrix. I think issue chiefs raised was uniform pay matrix. So will it be now accommodated within civilian pay matrix of 40 or same suppressed 24 stages to 40 stages is the clarity reqd.

Anonymous said...

We love you Maj Navdeep

Amal Sarkar said...

Thanks Navdeep for clear carification.

Anonymous said...

thanx for the clarification...already expected confusion was spreading

Raviraman Bashyam said...

Even though the multiplication factor of 2.57 has been increased for Lt Cols and Cols, it has also been increased for Directors in the Civilian pay matrix. The main point of contention is the depressed starting pay of Lt Cols in PB4. The same has been calculated by multiplying 45400(37400 plus 8000)by the multiplication factor of 2.57, which has been now been increased to 2.67. The starting pay of Directors has been calculated by multiplying 46100(37400 plus 8700)by the multiplication factor 2.57, which has also been now increased to 2.67. whereas the starting pay in the PB4 band of 6cpc for Directors was 37400 plus grade pay 8700, the starting pay in the PB4 band of 6cpc for Lt Cols was 38530 plus 8000. Thus, by reducing the entry pay for Lt Cols in 7cpc defence pay matrix, the depressed pay for Lt Cols continues to persist, and will affect all those offrs who have got promoted as Lt Cols after 01 Jan 16. Thsi will have a cascading affect as such offrs will continue to draw depressed pay as and when they get promoted to higher ranks

Bharat Chevur said...

Dear Maj Navdeep,

In the Civilian Matrix, the starting level of erstwhile Pay Band -4, has been placed at Level 13.

In the Defence Matrix, the starting level of erstwhile Pay Band - 4, has been placed at Level 12A. This is another clever bureaucratic machination to retrospectively downgrade the Lt Cols (wef 7th Pay Commission), into Pay Band - 3 of the 6th Pay Commission . Ideally the levels for Pay Band - 4 should have been fixed as under:-

Lt Col - Level - 13
Col - Level - 13 A
Brig - Level - 13 B
Maj Gen -Level - 14

Could you please study this matter and see if there is scope for legal re-dressal of this issue ?

If this is not addressed at this stage, there is bound to be permanent down-gradation of Lt Cols vis-a-vis their traditional status.

Thanking you,
Lt Col Bharat Chevur

Gopi Anand said...

IOR for Lt Col & Col increased from 2.57 to 2.67 but the new pay matrix still shows same pay from index 1 to 18 for Lt Col & index 1 to 16 for Col. Whereas for Brig the new pay matrix shows an increase in pay from ₹5200 to ₹7600 from index 1 to 14. Could you please clarify on the matter for better understanding.

Anonymous said...

Please note that the multiplication factor is 2.57 for all scales it is only the Rationalisation of Index that is 2.67 for 12A, 13 and 13A. It means the starting will be multiplied by 2.67 and then the increment of 1.03 with each step.

vishnuprataps said...

sir ior0 has only changed or multiplication factor for col and lt col and if only ior then its implcation

Navdeep / Maj Navdeep Singh said...

For all those who have queried about the Index of Rationalization qua the multiplication. Of course the multiplication only refers to the IoR. Even earlier it was the multiplication factor for IoR that had been changed for the rank of Brig and now it has been extended to Lt Cols, Directors GoI and Colonels too. To remove confusion, I have added a line. The change is to be connected with the earlier change for Brigs.

For Bharat Chevur: Sir, Lt Cols have been retained in PB-4. Further, there is no cleverness displayed in this since the degradation of Lt Col below Directors is continuing since earlier, wherein Lt Cols were placed in GP 8000 and Directors in GP 8700. The same situation has been perpetuated by the 7th CPC without any additional downgradation. The vexed parity issue still remains to be resolved.

Andy said...

Sir, what is the expectation from allowances report. Is it a classified doc till decision or else like a report while submitted gets to be kown in the public domain especially when concerns masses.As such the report is well delayed and how would you soothen our expectations from it . Worth a wait or the situation will go even worse???
Thanks for being pathfinder always. Regards

Rakesh Sharma said...

Thank you Maj Navdeep for providing clarity
Col Rakesh Sharma

AirForce One said...

Please be aware that the increase in IOR from 2.57 to 2.67 may be detrimental to some and may result in lower pay fixation after this change. For example, a Col drawing Pay in Band 59010/- will have his new pay calculated as (59010/- + 8700/-) * 2.57 = 1,74,014/-. In the earlier pay matrix his pay would have been fixed at 1,79,200/- (next available stage in Level 13), whereas after change of IOR to 2.67, his pay will be fixed at 1,75,500/-. A loss of 3700/-.

Gp Capt Navneet S Bindra

Saktidas66 said...

I understood that officers retired pre 2006 in the rank of Maj/Lt.Cdr / with a length of service more than 20 yrs but less than 21 years would be given pay equivalents to Lt.Col/Cdr as no commissioned officer will ever retired as Maj/Lt.Cdr after 20 yrs of service.
Can you please throw some clarification on the issue?

Maj Devakumar R N said...

Can you please confirm whether pre 2004 Major and equivalents with more than 13 years commissioned service and 20 years qualifying service will get Lt Col pension as there is no serving Majors after thirteen years commissioned service in the Army today.

nairpg said...

what is there for the poor soldiers populace in all this 7CPC confusion?

Mk Vasudevan said...

Sir, What about Majors and equivalents who has put up more than 13 years service in rank and more total service?

Serat Rahman said...

Sir, for those who have been promoted to the rank of Lt Col or equivalent after 01 Jan 2016, say in Aug- Sept 2016 which option would be beneficial in the form of option for acceptance of revised pay? i.e from 01 Jan 2016 or from the date of promotion? Regards

Sanjeev Kr said...

But PayMatrix shown in Pay Rules uploaded by MoD is old one only. This change ROI from 2.57 to 2.67 has not been amended. The revised Pay Matrix will be uploaded later ???

PBOR said...

How can group pay be removed for pension calculation which was previously there. Can it be done?

Pradeep sharma said...

Dear Navdeep

1. I got retd in Feb 2006. And I don't understand this calculation of my pension as per formula mentioned. (Option 1 & option 2).
2. If I take my pension what I used to get as per the last PPO and multiply with 2.57 the amount which comes , my pension is lesser then that.
3. How to address this issue. And how to calculate my pension.

4. Can u plz through some light dear.

Unknown said...

Sir any clarifications on PMR vis a vis OROP?
Any hopes on NFU & DACP ?

Warm regards
Raveesh

sunny said...

Great job navdeep, now lets hope for an early implementation. When are changes in allces expected? Offrs staying in rented house are suffering becaz there will be no arrears. Plz comment, 93 reg

Gopal Singh said...

Plzzzzzz Major साहब reply if there for other ranks

HARKISHAN SINGH BRAR said...

Dear Maj Navdeep
Your detailed note has clarified many wrong perceptions on the subject. You are doing superb service to the serving and pensioner soldier in regard to pay and pensions and deserve all the praise for your consistent and continuing efforts . Many thanks. Brig HS Brar

chamanlal gupta said...

Dear Major Navdeep.

Would you please clarify the following. A.What will be the benefit to pre-2006 retiree majors in the pension who retired with less than 20 years of commission service but more than 33 years of Qualifying service. B. Clarification about what is the benefit to pre 2004 retiree Majors (before implantation of AVS Committee recommendations)with 13 to 20yrs commission service and 39 yrs of Qualifying service. Thanks and Regards.Maj C L Gupta

Raghu P said...

It is not possible for Maj Navdeepji to answer each of our specific questions regarding our pay fixation. Hopefully others following this blog will pitch in and help the needy if they ​have complete knowledge

S D Bansod Ex HMT(EME) said...

Dear Sir,

New group pay Rs 6200, Xgp(Diploma) has been introduced for PBOR whose minimum essential qualification is Diploma. Will such pensioner benefit be passed over to the retired PBOR i.e. HMTs from EME, Diploma course qualified PBOR from Signal? Because OROP doesn't bifurcate Xgp.

vishnuprataps said...

sir
all lt col and col will loose basic with IOR 2.67 except time scale col

Ratnam said...

Dear Maj. Navdeep, Greetings. Your clarifications are crystal clear. Lots of misconceptions have been removed. Giving the Pay Rules a constitutional status atleast now is laudable, whosoever is responsible for that deserve a pat. The remaining anomalies in r/o all ranks, if properly addressed and resolved asap will go a long way in earning the good will of Defence Forces. Please continue your valuable service. Regards, Lt.Col. A.R. Ratnam, Veteran.

Col Peeyush Avarwal,Vet said...

No for pre2016 retirees factor remains 2.57 for pension

AK Singh said...

Thankyou for elaborating. For almost 10 years your blog is the only place where one can find authentic details on service matters.

I have not understood how multiplying by an IoR of 2.67 can lead to a lower basic vis-a-vis 2.57 as some are commenting. How can a higher multiplication factor lead to lower value?

vishnuprataps said...

ior 2.67 and multiplication with 2.57 will be loss to al l lt col and col of different batches from previous matrix of 2.57 .i dont kow what homework was done by pay cell. if demand is made all pros and cons should be seen and in no case it should reduce from what was given. infact all batch of lt col and col will lose from basic with ior 2.67

corona8 said...

With this far from clear recent announcement, we are all in an area far greyer than was previously the case. http://goo.gl/DKgK8c

Unknown said...

How x group pay excluded from pension.earlier x pay of 1400 was included in pension.another major anomaly is no increment on x pay.

sanju said...

X Pay has been removed from pension. Now X group person will get less pension in VII cpc in comparision with VI cpc. Now government had kill OROP of X group, because those who retire on jan 2016, they will get Rs 3100/ less basic pension. By this increase in VII cpc will be subsided, and earlier retiree in VI cpc will not ask for OROP. This is cheating made before accepting one man committee.

Abhijit said...

@ AK Singh at May 6, 2017 at 4:23 PM. Yes, it is true that IOR of 2.67 will lead to lower pay than 2.57 in certain cases. Please remember that IOR and "fitment factor" are not the same. Fitment factor remains at 2.57 for all. However, when you multiply the entry pay by IOR (rounded off to next Rs. 100), Stage 1 pay is arrived at. Rest of the stages are 3% increment over stage 1 rounded off to nearest Rs. 100. Since, the table values have now changed, fixation at lower levels becomes a distinct possibility.

For example,

a Lt Col drawing (BP+GP) 40180+8000=48180. If you multiply by 2.57, you get 123822.6, hence getting fixed at next higher level of 127500 of column 12A.

However, when IOR of 2.67 is applied to Column 12A, the values will be as follows:-
121300 124900 128600 132500 136500 (first 5 stages).
hence, he will now get fixed at 124900 (a notional loss of Rs. 2600.

Maybe, Maj Navdeep can comment whether this would be a fit case for examination by anomaly committee.

vishnuprataps said...

ak singh this is because of formula if your basic is 46240 plus gp 8000 then your pay is 54240 mulitply by 2.57 you get 139398. if you take ior 2.57 the pay is more then 139300 which is nearest slab so you go to next slab that is 143500.but with ior 2.67 the nearest slab is 140500 you are less than 140500 so you go in that slab so loss of 3000.this is happening to most of the col and lt col of differnt batch.

Anonymous said...

http://egazette.nic.in/(S(dxifkadqkewx4ghuxymnotpl))/RecentUploads.aspx?Category=6

2 Gazette Notifications published for each service... Any comments? Under Section 309 / respective service instructions...some confusion...

Aar Sea said...

Sir,
My Basic + GP is (51280 + 8000) as on 01 Jan 2016. One increment on 01 Jul 2016 (53060 + 8000) and got promoted to Col in Nov 2016 (54900 + 8700). When should I choose for Fixation of pay which would be most beneficial. from the date of promotion / from 01 Jan 2016. I am not very clear about the increment which would be due and when. E.g. In case I get the pay fixed wef 01 Jan 2016 and take the increment in Jul 2016 how the Basic level be arrived at on promotion. OR what would be first level in case I choose the fixation wef date of promotion in Nov 2016. What would be the levels as on 01 Jan 16. 01 Jul 16, 01 Nov 16, 01 Jan 17, 01 Jul 17 in either cases

Please advice.... Regards Rajib

vishnuprataps said...

abhijit it is not notional loss but very much on ground which will affect on currnt pay fixation and pension also so a choice required if possibe between previous pay matrix or new ppay mmatrix

RAMA said...

I have no regrets in mentioning we are too good in digging our own grave without realising it; till we r dead & burried there.
Can we for a moment stop blaming the bureaucrats and have guts to question our own bosses when in uniform , to speak up and stake their promotions.
How many of us have done that??????
We r good in speaking and giving the ruling at hindsight , rather than on time. It just is not there in many who manoeuvre to go up the ladder without any qualms.

Maj Lalit Kant Baghel said...

Dear Navdeep Sir,
As always your persistent support to fight for the rights of Disabled has been greatly fruitful....or else we would have accepted slab based peanuts formula suggested by 7th CPC. We all ex-servicemen with disability owe you. God Bless you Sir.
Regards & Jai Hind


Major Lalit Kant Baghel, ex 3 GARH RIF

ashish said...

It is just a bad luck that after ior 2.67,with new pay matrix most of the lt col and col are in loss as now settling in the lower index level then the previous matrix(IOR2.57).No body except your luck to be blamed for it.(i hope i am wrong)

AK Singh said...

@Abhijit, May 7, 2017 at 7:09 PM and @vishnuprataps, May 7, 2017 at 7:50 PM - Sirs, thankyou for explaining. I was assuming that the Pay Matrix remains the same. Apparently it doesn't. Even after so many years I seem to be completely clueless about these matters, blindly presuming that staff in SHQ will go into details on behalf of all of us.

Lt Col O'Neill said...

Sir,
Till date the new/amended pay matrix for Lt Cols & Cols with entry pay calculated with index of 2.67 has not been promulgated. As it stands pay is hoing to be fixed with the matrix of entry pay having indexation of 2.57 only.

SBS Kochar said...

dear navdeep. in my long and eventful career in the army never have i seen such dedication towards the services. My appreciation cannot be put in words for a person in whom, selfishness is completely annihilated.Your contribution is all embracing regardless of the colour of the uniform. Bless you. Lt Gen SBS Kochar

SK arora said...

Sir I wud like to know all col (ts) wud reach the top most scale of pay plus map will cross the pay of all brigs/MAJ gen/ lt gen. Their pensions wub b higher than all those SR offrs as per index of Rationalisation 2.67. Please comment n Clarify?

Anonymous said...

Fixation of pay without NFU will prove to be the largest differentiator...allowances will tell the real story.

unni said...

I am at level 13 of civil matrix. (promoted to that level on 1 jan 2010). now i understand that value in each cell will change as the multiplication for fitment will be done with 2.67 instead of the earlier 2.57. However, as the multiplication for pay fixation as on 1 jan 2016 will be done with 2.57. Now i see that with the new matrix for 13, i will be getting less pay than that i got with the earlier matrix. the new matrix will benefit only for those who are promoted recently

a r unnikrishnan
9868238604

vishnuprataps said...

sir
with 2.67 ior 90% lt col and 60%col are at loss than 2.57 which was old matrix on pay fixation. sir can you advice what action can be tacken other than waiting for anomaly committee to solve as you are aware still sixth pay commission anomaly not solved for defence

Col V Ahlawat said...

Dear Maj Navdeep, We are so grateful for your continued efforts in holding our posts in the corridors of Law.Your hard work lifts our spirits up in remote field locations where 80 percent of us are stationed.I from the bottom of my heart want a system in place where our soldiers (NCOs ,JCO's)are looked after post retirement and not take up jobs as security guards,drivers etc,DGRR needs to wake up on this in we as serving and veterans can easily muster funds to take care on our own. Warm Regards Col V Ahlawat

Krishna Aryan said...

Dear Sir,

I have heard about u and your fight for the cause of our defence community. To start with I am a re-employed ex-servicemen. After having served in the Indian Army for 22 years, I took PMR on 31 Oct 12 and joined civil employment on 06 Nov 2012. The issue I wish to raise is related to pay fixation of re-employed ex-servicemen. This has been bone of contention between Department of Personnel and Training, GOI and all re-employed ex-servicemen. I wish to talk and write you in detail on this issue, given a chance. Your indulgence will help all our ex-servicemen community to get the benefit in real terms.

with regards,

P Kumar
Mob : 9871673348
Email : piyush1244@gmail.com

AM Manohar said...

Till 2018 we Military pensioners must learn to live with OROP (Original) multiplied by 2.57. Then alone new parity with 2018 July pensioners will be given by the Modi government in June 2019. The OMJC Report might have gone to dustbin already.

Anonymous said...

Sir, Would you please elaborate how the foot soldiers whose number is almost 70% to 80% of the total personnel, who joined in PB1 and will also be discharged from PB1, have been benefited by delaying the implementation of 7th PC for almost one year.

vishnuprataps said...

ashish it is not bad luck that with ior most lt col and col will lose but it is less home work done by pay cell whenever enhancement proposals given pay protection of previous pay is always asked which it seems not done so which was blunder. so you waited 9 months without enhanced pay for less basic it is ridiculous.
now because of our foolish approach we have fight this anomaly infact each is loosing 60000 in arrears and 3000 to 4000 pm on pay and also in pension.
hope sir navdeep can give his expert comments and possible way out .

vishnuprataps said...

sir
with New IOR 2.67 first year lt col and second year lt col pay will be same so bunching of stage can apply which says one more increment will be given if that happens lt col will not be at loss with previous IOR 2.57 the rule is there in pay commission and also in all other service pay rule but in pay rule army this has not been put were as for others it has been put pay cell says issue tacken up .if it does not happen except first year lt col till 26 year all at loss if you can comment on it. the bunching Claus ha
s been omitted in army pay rule may not be deliberate but needs to be put as it effects lt col a
nd if claus put the loss with 2.67 IOR can be compensated

Unknown said...

Dear bansod,moving towards orop the 7 CPC has given only one pay matrix which will be base for future pensions and yr 6200 pm x gp pay will not be taken 4 pension,happy

lakhi said...

Dear Navdeep
Firstly, please accept my sincere appreciation for doing so much on legal front for Armed Forces.

Secondly, as it has come to my notice, our pay cells are calculating pay by multiplying basic+grade pay with 2.57 and fitting into index obtained by multiplication factor of 2.67 in case of Lt Col/Col/Brig.

Perceived anomalies/enquiries in this are:-

1. Officers promoted after 01 Jan 16 will get their basic multiplied by 2.67 effectively as they will start at Stage one, whereas all other officers with more than one increments will get down in lower stages of corresponding levels. For example a Lt Col with 11 years of service as Lt Col was fitting at 12th stage of Level 12A in 2.57 IOR. Now he will be fitting at 10/11th stage with 2.67 IOR. Does it not amount to seniority loss?

2. What happens if new fitment is lower than the 2.57 IOR?

Clarifications from other members who are associated with pay cells are welcome.

Thanks n regards

Wg Cdr Aulakh

Who am I? said...

7th CPC says that the minimum salary hike it gave is 14.2%. Let's have a look how this figure came.

If 6th CPC basic salary (Pay in Band + Grade Pay) was ₹100, the DA on 1st January 16 was 125%. Thus 6th CPC basic+DA was ₹225.
Now, his 7th CPC became 100×2.57= 257.
The increase in salary 257 - 225= 32.
Thus 32×100/225
=14.2%

Let's have some real life example:

Example 1: Salary of an MTS

6th CPC Basic Pay: 5200+1800 =7000
DA on it 125% of 7000 =8750
6th CPC Total =7000+8750 =15750
7th CPC Basic Pay =(5200+1800)×2.57 =17990,
As per Pay Matrix it becomes 18000.
Rise by 7th CPC =18000-15750 =₹2250
=2250×100/15750
=14.28%

Example 2: Salary of a Diploma holder in Civil

6th CPC Basic Pay: 9300+4200 =13500
DA on it 125% of 13500 =16875
6th CPC Total =13500+16875 =30375
7th CPC Basic Pay =(9300+4200)×2.57 =34695, As per Pay Matrix it becomes 35400.
Rise by 7th CPC =35400-30375 =₹5025
=5025×100/30375
=16.54%


Now let's see what it gave to AICTE Diploma holder Sgt in IAF

6th CPC Basic Pay (Gp X pay was part of Basic Pay in 6th CPC and increments, pension, retirement benefits etc were calculated on it too): 9300+2800+1400 =13500
DA on it 125% of 13500 =16875
6th CPC Total =13500+16875 =30375
7th CPC Basic Pay =(9300+2800)×2.57 =31097 (Group X is excluded from the pay fixation as 7th CPC doesn't consider it as part of basic pay and it will not be considered in increments & calculation pension, retirement benefits etc)
As per Pay Matrix it becomes 31900.
Rise by 7th CPC =31900-30375 =₹1525
=1525×100/30375
=5%

Group-X Pay of 6200/3600 is just an allowance on which DA is paid, another example of such allowance is Transport Allowance. Do you think that pay commission is right in degrading the pay of an AICTE diploma holders Sgt? This was just an example of a rank or basic pay. Other ranks and other examples of basic pays are even worse affected. Let's take the example of a Group Y AC & Group X AC.


Newly recruited Group-Y AC

6th CPC Basic Pay: 6460+2000 =8460
DA on it 125% of 8460 =10575
6th CPC Total =8460+10575 =19035
7th CPC Basic Pay =(6460+2000)×2.57 =21742
As per Pay Matrix it becomes 22400 but starting pay as per Pay Matrix is 21700.
Rise by 7th CPC =21700-19035 =₹2665
=2665×100/19035
=14.00%


Newly recruited Group-X AC

6th CPC Basic Pay (Gp X pay was part of Basic Pay in 6th CPC and increments, pension, retirement benefits etc were calculated on it too): 6460+2000+1400 =9860
DA on it 125% of 9860 =12325
6th CPC Total =9860+12325 =22185
7th CPC Basic Pay = (6460+2000)×2.57 =21742 (Group X is excluded from the pay fixation as 7th CPC doesn't consider it as part of basic pay and it will not be considered in increments & calculation pension, retirement benefits etc)
As per Pay Matrix it becomes 22400 but starting pay as per Pay Matrix is 21700.
Rise (reduction) by 7th CPC =21700-22185
= - ₹485
= -485×100/22185
= -0.22% (i.e. reduction of 0.22% because Group-X Pay is not part of Basic Pay in 7th CPC).

A lonely soul said...

Thank you for all the clarifications. But I do not know the reasons for revision of table for Defence Forces as per the amendment approved. The same for Civil Employees has already been published. Had it been published timely, even CDAO need not have worked twice. I have not seen the table till Date. Has it been published???

Anonymous said...

It is not understood how it is going to benefit JCOs. Let the stages be 400, it will not be beneficial to any JCO. Don't spread misleading facts. May it be beneficial to few direct entry JCOs. What about large number promote JCOs. Why not NFU for all ranks. Why it is limited to certain group.