Wednesday, 11 April 2018

Equal basic Pension under 7th CPC – Lok Sabha Q&A

Equal basic Pension under 7th CPC – Lok Sabha Q&A

Government of India
Ministry of Finance
Department of Expenditure
LOK SABHA

UNSTARRED QUESTION No.6447
TO BE ANSWERED ON FRIDAY, APRIL 6, 2018/CHAITRA 16, 1940 (SAKA)

EQUAL BASIC PENSION UNDER SEVENTH CPC

6447: SHRI P. K. KUNHALIKUTTY
Will the Minister of FINANCE be pleased to state:

(a) whether the Seventh Central Pay Commission (CPC) has recommended option-I for ensuring equal basic pension to pre – 2016 and post – 2015 pensioners retiring from similar/equal posts and stages and if so, the details thereof;

(b) whether the Government has finally not accepted that recommendation and if so, the details thereof; and
(c) the steps taken/being taken by the Government to ensure that such similarly placed pensioners get equal basic pension from 01.01.2016?

ANSWER

MINISTER OF STATE FOR FINANCE
(SHRI P. RADHAKRISHNAN)

(a) to (c) The 7th Central Pay Commission had recommended two formulations for revision of pension of employees who retired before 01.01.2016 and the employees were given option to choose whichever formulation was beneficial. As per the first formulation, the Commission recommended for revision of pension based on notional pay arrived at by adding the number of increments an employee had earned in the appropriate level while in service. This formulation was later on examined by a Committee under the Chairmanship of Secretary, Department of Pension and Pensioners’ Welfare.

The Committee recommended that instead of counting of increments earned in the retiring scale and applying directly to the 7th Pay Commission Pay Matrix, a more scientific and rational method would be to refix pay in each successive Pay Commission as per the formula for revision of pay right up to the 7th Pay Commission. This method of fixing notional pay and pension would benefit a larger number of pensioners as compared to the increment method which benefits only a select segment of pensioners who served for a longer period in the retiring scale without being promoted to a higher grade.

This has been accepted by the Government and appropriate orders have been issued.

Source : Lok Sabha
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GOVERNMENT OF INDIA
MINISTRY OF DEFENCE
DEPARTMENT OF EX-SERVICEMEN WELFARE
LOK SABHA

UNSTARRED QUESTION NO.6124
TO BE ANSWERED ON THE 4TH APRIL, 2018

DISABILITY PENSION

6124. SHRI KRUPAL BALAJI TUMANE:
SHRIMATI BHAVANA PUNDALIKRAO GAWALI PATIL:

Will the Minister of DEFENCE be pleased to state:

(a) whether concerns expressed by armed forces before Seventh Central Pay Commission regarding disability pension are being resolved and if so, the details thereof;

(b) the reasons for converting existing percentage based system of disability pension into slab based system;

(c) the steps taken by the Government to rectify the discrepancies that have emerged in disability pension system after Seventh Central Pay Commission;

(d) whether the Government is considering to bring disability pension of defence services equivalent to disability pension in civil sector in Seventh Central Pay Commission and make a review thereof; and

(e) if so, the details thereof and if not, the reasons therefor?

ANSWER

MINISTER OF STATE (DR. SUBHASH BHAMRE)
IN THE MINISTRY OF DEFENCE

(a) to (e): The 7th Central Pay Commission (CPC) recommended the following on disability pension:-

The Commission is of the considered view that the regime implemented post 6th CPC needs to be discontinued, and recommended a return to the slab based system. The slab rates for disability element for 100 percent disability would be as follows:-

 

The above recommendation was accepted and Resolution dated 30.09.2016 issued accordingly.


The 6th CPC dispensation of the calculation of disability element on percentage basis, however, continued for civil side which resulted in an anomalous situation. The issue was accordingly referred to the Anomaly Committee. The Anomaly Committee recommended that parity with civilians for grant of disability element which was granted to the Defence Forces Personnel under 6th CPC may be maintained which was approved by the Cabinet. Government order in this regard has been issued on 4th September, 2017.

Source: http://loksabha.nic.in/

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