Saturday 21 November 2015

Pre-2006 Pensioners get some relief from 7th CPC - A gain among huge other losses!!

Options recommended to Pre-2006 Pensioners 
by 7th CPC!

While making either retrograde recommendations on many issues and perpetuation of 6th CPC recommendations on a number of issues, there is some relief to Pre-2006 Pensioners in the matter of fixation of pension. Many pre-2006 pensioners are requesting CHQ to give details of this recommendation.

The 7th CPC has recommended two options as follows:

1. Like all others they can opt for fixation by multiplication of their existing basic pension (including commuted pension) by 2.57 factor. For example if the basic pension to a pre-1996 pensioner retired in pay scale 3000-4500 (and drawn 9 increments in that scale before retirement) was fixed under 4th CPC as Rs.1940/-; and prefixed from 1.1.2006 as Rs.12543/-; then now by multiplying this basic pension 12543 X2.57 = 32,236/- as new basic pension w.e.f 1.1.2016.
2. Option 2: The present minimum of pay scale corresponding to 4th CPC pay scale of 3000-4500 is 67,700. Add 9 increments notionally to this @ 3%x 9=27% that comes to 20,700/- to a total of Rs.88,400 notionally; 50% of this notional pay is 44,200/-; The pre-2006 pensioner can opt for this amount of 44,200/- as new basic pension from 1.1.2016.
This recommendation of adding the number of increments earned in the pay scale before retirement of a pre-2006 pensioner is more or less like the increments being added to Armed Forces Pensioners under OROP system; Definitely an improvement formula to pre-2006 pensioners. Only thing short of full parity between past and future pensioner is the denial to grant the benefit of any upgraded pay scale granted to the same cadre by successive pay commissions. 

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