(a) The Government, after consideration, has decided to accept the recommendations of the Commission in respect of the categories of employees covered in its Terms of Reference contained in the aforesaid Resolution dated the 28th February, 2014 in the manner as specified hereinafter.
(b) The recommendations on allowances (expect Dearness Allowance) will be referred to Committee comprising Finance Secretary and Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Health and Family Welfare, personnel and Training, Posts and Chairman, Railway Board as Members. The Committee will submit its report within a period of four months. Till a final decision on Allowances is taken based on the recommendations of this committee, all Allowances will continue to be paid at existing rates in existing pay structure, as if the pay had not been revised with effect from 1st January 2016.
(c) The Government has accepted the recommendations of the Commission on upgrading of posts except for those specified at Annexure III of the Resolutions. The recommendations on the upgradations specified at Annexure III will be separately examined by Department of Personnel and Training for taking a comprehensive view in the matter. These are as under:-
Sl.No
Name of Posts
(para No. of 7th CPC Report)
Present Grade Pay
Grade Pay Recommended by 7thCPC
Up gradation other than Apex Level
1
Assistant Account Officer, Finance Div of Defence, MoD (11.12.140)
4800
5400 (PB-2) on Completion of 4 years service
Up-gradation to Apex Scale
2.
Director General (Indian Coast Guard) (11.12.27)
(d) Recommendations not relating to pay, pension and Allowances and other administrative issues specific to Department/Cadres/Posts will be examined by the Ministries/Departments concerned as per the Allocation of Business Rules or Transaction of Business Rules.
(e) Anomalies committees will be set up be Department of personnel and Training to examine individual, Post – Specific and Cadre-specific anomalies arising out of implementation of the recommendations of the Commission.
2. The above provisions of the Resolution are brought to the knowledge of all the Administrative Division of MoD for their information and for taking necessary action in respect of the posts/cadres existing under their control. The copy of the Resolution is available for download at the website of finmin.nic.in.
(Gurdeep Singh)
Under Secretary to the Govt. of India
Fixation of Pay in 7th CPC Scales in respect of officials who got MACP-II from 2.1.2016 to 1.7.2016
For illustration purpose date of 2nd financial up-gradation under MACPS of a PA is taken as 18.1.2016
(i)
Pre-revised Basic Pay as per VI CPC
Scale on 1.1.2016 (13950 + 2800 G.P)
16750/-
(ii)
Granted 2nd MACP financial up-gradation on 18.1.2016 & Basic pay as per (13950 + 4200 G.P)
VI CPC Scales on 18.1.2016 (Opted to fix pay from DNI on 1.7.2016)
18150/-
(iii)
Basic pay as per VI CPC Scales on 1.7.2016
(14980 + 4200 G.P)
(Pay Fixation done 2nd MACP financial up-gradation in VI CPC Scales)
19180/-
Pay Fixation (in 3 different options exercise as per Rule 5 of CCS(RP) Rules, 2016) in 7th CPC Scales :-
(a)If Option exercised to switch over to 7th CPC scales from 1.1.2016:-
1
Pre-revised Basic Pay as on 01.01.2016
16750/- [ 13950 + 2800 G.P]
2
Applicable level in pay matrix
5
3
Amount at Col.3 above arrived by multiplying by 2.57
43047.50 say 43048/-
4
Applicable cell level either equal to (OR) just above the figure arrived at Col.5
44100
5
Revised Basic Pay on 1.1.2016 in 7th CPC Pay Matrix Level
44100
6
Pay fixation on account of 2nd MACP financial up-gradation granted w.e.f. 18.1.2016 as per Rule 13 of CCS (RP) Rules, 2016
46200/- (Level 6 in Pay Matrix)
7
DNI as per Rule 9 of CCS (RP) Rules, 2016
1.1.2017 to the stage of Rs.47600/-
8
Eligibility of Arrears = Arrears eligible from 1.1.2016 onwards.
(b)If option exercise to switch over to 7th CPC scales from the Date of Next Increment in Pre-revised pay structure i.e. on 1.7.2016: –
1
Pre-revised Basic Pay as on 01.01.2016
16750/- [13950 + 2800 G.P]
2
Pau drawn in pre-revised pay structure i.e. VI CPC Scales on account of 2nd MACP financial up-gradation w.e.f. 18.1.2016
13950 + 4200 (G.P) = 18150/-
3
Pay fixation done on 1.7.2016 in pre-revised pay structure i.e. VI CPC Scales on account of 2nd MACP financial up-gradation granted from 18.1.2016
14980 + 4200 (G.P) = 19180/-
4
Applicable level in Pay Matrix for Rs.4200/- G.P. (Pay Band – 2)
6
5
Amount an Col.3 above arrived by multiplying by 2.57
49292.60 say Rs.49293/-
6
Applicable Cell level either equal to (or) just above the figure arrived at Col.5
50500/- (level 6 of Pay Matrix)
7
Revised Basic Pay on 1.7.2016 in 7th CPC Pay Matrix Level
50500/-
8
DNI as per Rule 9 of CCS(RP) Rules, 2016
1.7.2017 to the stage of Rs.52000/-
9
Eligibility of arrears = Arrears from 1.1.2016 to 30.6.2016 are to forego. Arrears are eligible from 1.7.2016 onwards
(C)If Option exercised to switch over to 7th CPC scales from the Date of Promotion/Financial up-gradation under MACPS i.e. on 18.1.2016:-
1
Pre – Revised Basic Pay as on 01.01.2016
16750/- [ 13950 + 2800 (G.P)
2
Pay drawn in Pre-revised pay structure i.e. VI CPC scales on Account of 2nd MACP financial up-gradation w.e.f. 18.1.2016
13950 + 4200 (G.P) = 18150/-
[ Option already exercised for fixation in old pay scales from DNI on 1.7.16 cannot be revised now ]
3
Applicable level in Pay Matrix for Rs.4200/- G.P
(Pay Band – 2)
6
4
Amount at Col.2 above arrived by multiplying by 2.57
46645.50 Say Rs.46646/-
5
Applicable cell level either equal to (Or) just above the figure arrived at Col.4
47600/- (Level 6 of Pay Matrix)
6
Revised Basic Pay on 18.1.2016 in 7th CPC Pay Matrix Level
47600/-
7
DNI as per Rule 9 of CCS (RP) Rules, 2016
1.1.2017 to the stage of Rs.49000/-
8
Eligibility of Arrears. = Arrears from 1.1.2016 to 17.1.2016 are to forego. Arrears are eligible from 18.1.2016 onwards.
Note: Exercising Option to switch over to 7th CPC Scales from the date of next increment in pre-revised pay structure i.e. on 1.7.2016 would be beneficial [ i.e. 1st proviso to Rule 5 of CCS (RP)Rules, 2016] by forgoing arrears from 1.1.2016 to 30.6.2016.
Restoration of 1/3rd commuted portion of pension in respect of Government servants who had drawn lumpsum payment on absorption in Central Public Sector Undertakings/Central Autonomous Bodies —Stepping up of notional full pension w.e.f. 1.01.2006 for the purpose of Dearness relief and additional pension for old pensioners
No.4/38/2008-P&PW (D)
Government of India
Ministry of Personnel, Public Grievances & Pensions
(Department of Pension & Pensioners’ Welfare)
3rd Floor, Lok Nayak Bhawan
New Delhi-110 003.
Dated the 4th August, 2016
OFFICE MEMORANDUM
Subject :- Restoration of 1/3rd commuted portion of pension in respect of Government servants who had drawn lumpsum payment on absorption in Central Public Sector Undertakings/Central Autonomous Bodies —Stepping up of notional full pension w.e.f. 1.01.2006 for the purpose of Dearness relief and additional pension for old pensioners.
Orders for revision of 1/3rd restored pension of absorbees, who had drawn lumpsum payment on absorption, were issued vide this Department O.M. of even number dated 15.9.2008 as amended/ modified vide OM No. 4/30/2010-P&PW(D) dated 11.07.2013. As per these memorandums, the full pension of the absorbees was notionally revised w.e.f. 1.1.2006 in accordance with the instructions contained in this Department O.M. No.38/37/08-P&PW(A) dated 1.9.2008. The payment of DR and additional pension to old pensioners is regulated on the basis of the notional full pension.
2. Instructions were issued vide this Department’s OM No.38/37/08- P&PW(A) dated 28.1.2013 for stepping up of the pension of pre-2006 pensioners w.e.f. 24.9.2012. Accordingly, the notional full pension of the absorbee pensioners was also stepped up w.e.f 24.09.2012 in accordance with the instructions contained in the aforesaid OM dated 28.1.2013 vide this Department’s OM of even number dated 03.04.2013.
3. Instructions were issued vide this Department’s OM No 38/37/08- P&PW(A) dated 30.07.2015 for revision of pension/ family pension of all pre-2006 pensioners/ family pensioners in accordance with this Department’s OM dated 28.01.2013 with effect from 1.01.2006 instead of 24.09.2012. Accordingly, the notional full pension of absorbee pensioners was also revised in accordance with the instructions contained in aforesaid OM dated 30.07.2015 w.e.f. 1.01.2006 instead of 24.09.2012 for purpose of payment of dearness relief and additional pension for old pensioners vide this Department’s OM of even no. Dated 17.02.2016.
4. Instructions have now been issued vide this Department’s OM No. 38/37/08 P&PW(A) dated 6.04.2016 that the revised consolidated pension of pre-2006 pensioners shall not be lower than 50% of the minimum of the pay in the Pay Band and the grade pay (wherever applicable) corresponding to the Pre-revised pay scale as per fitment table without pro-rata reduction of pension even if they had qualifying service of less than 33 years at the time of retirement. Accordingly, the notional full pension of absorbee pensioners would also be revised in accordance with the instructions contained in aforesaid OM dated 6.04.2016 w.e.f. 1.01.2006 and dearness relief and additional pension for old pensioners would be admissible on such notional revised full pension. There will, however, be no change in the actual 1/3 rd restored pension determined in accordance with the OM dated 15.09.2008 read with OM dated 11.07.2013.
5. This issues with the concurrence of Ministry of Finance, Department of Expenditure vide their I.D.No.1(5)/E.V/2012 dated 4.07.2016.
Productivity Linked Bonus to Railwaymen for the year 2015-16
In reference to out discussion with the Additional Member (Staff), Railway Board, on 2nd August, 2016, we have explained threadbare about the modalities and norms fixed for the Productivity-Liked Bonus to railwaymen for the year 2015-16. It is a well-known fact that, the formula envisaged for calculation of number of days for PLB in November 1979 has been sacrosanct and the federations had never agreed for any alteration in that formula…..
A.I.R.F
All India Railwaymen’s Federation
(Estd, 1924)
4,State Entry Road
New Delhi – 110 055
India
No.AIRF/387
Dated:03-08-2016
The Secretary(E)
Railway Board
New Delhi Kind Attn: Shri Dhruv Singh,
EDPC-I, Railway Board
Dear sir,
Sub: Productivity – Linked Bonus to Railwaymen for the year 2015-16
In reference to our discussion with the Additional Member (Staff), railway Board, on 2nd August, 2016, we have emplained threadbare about the modalities and norms fixed for thr Productivity -Liked Bonus to railwaymen for the year 2015-16.
It is a well-known fact that, thr formula envisaged for calculation of number of days for PLB in November 1979 has been sactosanct and the federations had never agreed for any alteration in that formula.
Railway Board is quite aware that the railwayment are putting their best efforts for running Indian Railways system smoothly and efficiently 365 x 24 x 7 days even by laying their precious lives, therefore, any alteration with PLB Formula, which reduces the number of days, will demotivate them and will be proved counter – Productive to the interests of the Indian Railways. Though the number of railwayment is being reduced, they are carrying more number of passenger and freight trains, therefore, it is quite evident that, productivity of the railwaymen has increased to a great extent.
AIRF has already explained thatm any reduction in the number of days of PLB in comparison to last year will never be tolerated, and that can lead to further agitations.
Here it is pertinent to mention that, every time when the government changed, ceiling of the PLB also changed in the Railways. Last time (in 2009-10) when PLB ceiling was changed from Rs.2500 to 3500 p.m., railwaymen were paid PLB along with the arrear. Similarly, we expect that, this time also, since PLB ceiling has been enhanced from Rs.3500 to Rs.7000 p.m., Railwaymen will be paid PLB @ Rs.7000 p.m. along with arrear.
12 Point Charter of Demands for All India General Strike on 2nd Sept 2016
CONFEDERATION OF CENTRAL GOVT. EMPLOYEES & WORKERS
2nd SEPTEMBER 2016 -ALL INDIA GENERAL STRIKE
MAKE IT A GRAND SUCCESS
The Joint platform of Central Trade Unions (CTUs) of the Country along with Independent National Federations of employees of different industries and services including Confederation of Central Govt. Employees and Workers, have decided to organize All India General Strike on 2nd September 2016, against the anti-people, anti-workers policies and authoritarian attitude of the NDA Government. Intensive campaign and preparation to make the general strike a resounding historical success is going on in full swing throughout the country. The attitude of the NDA Government is profoundly negative and hugely challenging to the working class including Central Govt. employees. The issues in the Charter of demands submitted by the Trade Unions to the Govt. relate to basic interest of the country’s economy and also issues concerning the livelihood of the working people of both organized and unorganized sectors.
Govt. has not taken any meaningful step to curb price rise of essential commodities and to generate employment except making tall baseless claims. Govt. is mysteriously silent on the question of retrieving the black money stashed abroad and recovering lakhs of crores of rupees of bad debts of public sector banks. Whole range of social security measures are under severe attacks including the pension of post – 2004 entrants in Central Govt. Services. Govt. has launched atrocious attack of drastic cut in interest on small savings deposits. Totally ignoring the united opposition of the working class, the Govt. has been moving fast to demolish existing labour laws thereby empowering the employers with unfettered rights to “hire and fire” and stripping the workers and trade union of all their rights and protection provided in laws. Alongwith the peasantry and agri- labourers are also under severe attack. Attack on public sector has been pushed to unprecedented height with Govt. announcing mega strategic sale and also allowing unlimited FDI in strategic sectors like Railways, Defence and financial Sector as complimentary to the move of privatization and Public Private partnership etc. The anti-worker and authoritarian attitude of the Government is also nakedely reflected in their refusal to implement the consensus recommendations of 43rd, 44th and 45th Indian Labour Conference for formulations of minimum wages, equal wage and benefits of regular workers to the Contract workers.
The neo-liberal economic policies pursued by the Govt. has landed the entire national economy in distress and decline affecting the working people the most.
Central Govt. Employees worst affected:
The policy offensives of the Govt. like downsizing, outsourcing, contractorisation, corporatization and privatization has affected the Central Govt. departments and employees in a worst manner. Ban on creation of new posts and non-filling up of about six lakhs vacant posts had increased the work load of the existing employees and adversely affected the efficiency of the services. The New Pension Scheme (NPS) implemented with affect from 01.01.2004, is nothing but a “No Pension Scheme”, as it is fully dependent on the vagaries of share market forces. The Govt. is not ready to grant civil servant status to Gramin Dak Sevaks and to regularize the services of causal, contingent and contract workers. The 5% ceiling on compassionate appointment is not yet removed. The bonus ceiling enhancement from Rs.3500/- to Rs. 7000/- is not made applicable to Central Govt. Employees. Govt. is not ready to modify the 7th CPC recommendations, which is worst ever made by any pay commissions. The assurance given to the staff side regarding enhancement minimum pay and fitment formula is yet to be implemented. All other retrograde recommendations like reduction in the percentage of HRA, abolition of 52 allowances etc. are yet to be modified. Overall the attitude of the Modi Govt. is totally negative towards the Central Govt. employees and pensioners.
The National Secretariat is of the firm opinion that unless the policy of the Govt. is changed, more attacks are likely to come on the Central Govt. employees and working class. To change the policy the united struggle of entire working class is required. It is in this background the Confederation of Central Govt. employees and workers has decided to join the General Strike along with other sections of the working class of our country.
The Confederation National Secretariat calls upon the entirety of Central Govt. employees to make intensive campaign and preparation for making the 2nd September 2016 strike a grand success. Along with the 12 Point charter of demands of the working class, the Confederation has decided to submit the demands pertaining to the Central Govt. employees also as Part-B of the Charter of demands to the Govt. The Chater of demands (Part A and B) is furnished below:
2016 September 2nd General Strike 12 Point Charter of Demands of Joint Platform of Central Trade Unions submitted to government:
PART – A
1.Urgent measures for containing price rise through universalization of public distribution system and banning speculative trade in commodity market.
2.Containing unemployment through concrete measures for employment generation.
3.Strict enforcement of all basic labour laws without any exception or exemption and stringent punitive measures for violation of labour laws.
4.Universal social security cover for all workers.
5.Minimum wage of not less than 18000/- per month with provisions of indexation (for unskilled worker).
6.Assured enhanced pension not less than 3000 p.m for the entire working population (including unorganized sector workers).
7.Stoppage of disinvestment in Central/state public sector undertakings.
8.Stoppage of contractorisation in permanent/perennial work and payment of same wage and benefits for contract workers as that of regular workers for the same and similar work.
9.Removal of all ceilings on payment and eligibility of bonus, provident fund and increase in quantum of gratuity.
10.Compulsory registration of trade unions within a period of 45 days from the date of submitting application and immediate ratification of ILO conventions C-87 and C-98.
11.No FDI in Railways, Defence and other strategic sectors.
12.No unilateral amendment to labour laws.
PART – B
Demand of the Central Govt. Employees
1.Avoid delay in implementing the assurances given by Group of Ministers to NJCA on 30thJune 2016, especially increase in minimum pay a fitment formula. Implement the assurance in a time bound manner.
2.Settle issues raised by the NJCA, regarding modifications of the 7th CPC recommendations, submitted to Cabinet Secretary on 10th December 2015.
3. Scrap PFRDA Act and New Pension System (NPS) and grant Pension/Family Pension to all Central Government employees under CCS (Pension) Rules 1972.
4. No privatization, outsourcing, contractorisation of Government functions.
5.(i) Treat Gramin Dak Sevaks as Civil Servants and extend all benefits on pay, pension and allownaces of departmental employees.
(ii) Regularise casual, contract, contingent and daily rated workers and grant equal pay and other benefits.
6.Fill up all vacant posts by special recruitment. Lift ban on creation of new posts.
7.Remove ceiling on compassionate appointments.
8. Extend benefit of Bonus Act amendment 2015 on enhancement of payment ceiling to the Adhoc bonus/PLB of Central Govt. employees with effect from the financial years 2014-15. Ensure payment of revised bonus before Pooja holidays.
9.Revive JCM functioning at all levels.
All affiliated organisations and C-O-Cs are requested to plan phased campaign programme during the month of August 2016 by conducting squad work, general body meetings, conventions, and printing and circulating notices, pamphlets and posters. Each affiliated organization should issue their own separate circulars and instructions to all their units endorsing the decision of the Confederation National Secretariat.
Serve Strike Notice on 12.08.2016
Strike notice should be served to all Departmental heads by the affiliated organisations on 12thAugust 2016. On that day demonstrations should be conducted in front of all offices and copy of the strike notice may be served to all lower authorities also. Confederation CHQ will also serve strike notice to Cabinet Secretary on 12th August 2016.
As per the 7th Pay Commission Pension Order, the retired central government employees will now get a minimum pension of Rs 9,000, from the current Rs 3,500.
As per Office Memorandum, para 4.4
“4.4. The minimum pension with effect from 01.01.2016 will be Rs. 9000/- per month (excluding the element of additional pension to old pensioners). The upper ceiling on pension/family pension will be 50% and 30% respectively of the highest pay in the Government (The highest pay in the Government is Rs. 2,50,000 with effect from 01.01.2016).”
Also refer para 5 in the above said OM
“5. Where the revised pension /family pension in terms of paragraph 4.1 above works out to an amount less than Rs. 9000/-, the same shall be stepped up to Rs. 9000/-. This will be regarded as pension/family pension with effect from 1.1.2016.”
So, the Minimum pension will be Rs. 9000/- and maximum pension will be 2,50,000 with effect from 01.01.2016
Multiplication factor
Basic pension shall be multiplied by 2.57
As per para 4.1 in the above said order,
“4.1 For existing pensioners, who have retired before 01.01.2016, the revised pension/family pension with effect from 01.01.2016 shall be determined by multiplying the pension/family pension, as had been fixed at the time of implementation of 6th Central Pay Commission (CPC) recommendations, by 2.57. The amount of revised pension/family pension so arrived at shall be rounded off to next higher rupee.”
Example 1
Pensioner ‘A’ retired at last pay drawn of Rs.79,000 on 31st May, 2015 under the 6th CPC regime in the scale of Rs.67000-79000 :
Amount in Rs.
1
Basic Pension fixed in 6th CPC
39500
2
Revised pension fixed under 7th CPC (using a multiple of 2.57)
101515
Example 2 :
Pensioner ‘B’ retired at last pay drawn of Rs.4,000 on 31st January, 1989 under the 4th CPC regime in the pay scale of Rs.3000-100-3500-125-4500:
Amount in Rs.
1
Basic Pension fixed in 4th CPC
1940
2
Basic Pension as revised in 6th CPC
12600
3
Revised Pension fixed under 7th CPC (Using a Multiple of 2.57)
32,382
Based on the latest order, we have updated the calculation method in the 7th Pay Commission Pension & Arrears Calculator, check the latest pension details in the following link.
The Government of India has accepted the recommendation of the Seventh Pay Commission with regard to Modified Assured Career Progression (MACP) scheme and withholding of annual increments as under:-
(i) Benchmarking for performance appraisal for promotion and financial upgradation under MACPS to be enhanced from ‘Good’ to ‘Very Good’.
(ii) Withholding of annual increments in the case of those employees, who are not able to meet the benchmark either for MACP or a regular Promotion within the first 20 years of service.
This was stated by the Union Minister of State (Independent Charge) Development of North-Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances & Pensions, Atomic Energy and Space, Dr. Jitendra Singh in a written reply to a question by Shri Rajeev Shukla in the Rajya Sabha today .
(TO BE PUBLISHED IN THE GAZETTE OF INDIA (EXTRAORDINARY), PART I, SECTION 1)
GOVERNMENT OF INDIA
MINISTRY OF PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS
(Department of Pension and Pensioners’ Welfare)
RESOLUTION
New Delhi, the 4th August, 2016
No.38/37/2016-P&PW (A) – The Terms of Reference of the Seventh Central Pay Commission as contained in Ministry of Finance (Department of Expenditure) Resolution No.1/1/2013-E.III (A) dated 28.2.2014 included the following:
“To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the New Pension Scheme (NPS).”
2. The Commission, on 19th November, 2015, submitted its report to the Government on Terms of Reference as contained in aforementioned Resolution dated 28.02.2014. Government, after consideration, has decided to accept the recommendations of the Commission on pensioner benefits to the Central Government civil employees, including employees of the Union Territories and Members of All India Services subject to certain
modifications, as specified hereinafter ..
3. Detailed recommendations of the Commission relating to pensionary benefits and the decisions taken thereon by the Government are listed in the statement annexed to this Resolution.
4. The revised provisions regarding pensionary benefits, which have been accepted as indicated in the Annexure, will be effective from 01.01.2016.
(Vandana Sharma)
Joint Secretary to the Govt. of India
Annexure
statement showing the recommendations of the Seventh Central Pay Commission relating to principles which should govern the structure of pension and other terminal benefits and the decisions of the Government thereon.
Item No.
Recommendation
Decision of Government
1
Fixed Medical Allowance
The commission notes that this allowance was enhanced from Rs.300/- p.m. to Rs.500/-p.m. from 19.11.2014. As such, further enhancement of this allowance is not recommended.
(Para 8.17.52 of the Report)
To be examined by a committee comprising Finance Secretary and Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Posts, Health & Family Welfare, Personnel & Training
and Chairman, Railway Board,as Members. Till a final decision is taken based on the recommendations of the
Committee, Fixed Medical
Allowance shall be paid at existing rates.
2
Constant Attendance Allowance
The allowance may be increased by a factor of 1.5 i.e to Rs.6750/- per month. The Allowance needs further increase by 25% each time DA rises by 50%
(Para 8.17.29 of the Report)
To be examined by a Committee comprising Finance Secretary and Secretary (Expenditure) as Chairman and Secretaries of Home affairs, Defence, Posts, Health & family welfare, personnel & Training and chairman, Railway Board as Members. Till a final decision is taken based on the recommendations of the committee. Constant attendant Allowance shall be paid at existing rates.
3
General Provident Fund
Status quo may be maintained in this respect.
(Para 9.4.4 of the Report
Accepted
4
Rates of Pension & Family Pension
The Commission does not recommend any further increase in the rate of pension and Family Pension from the existing levels.
(Para 10.1.25 of the Report)
Accepted
5
Quantum of Minimum Pension
The recommendations of the commission in relation to pay of a personnel will lead to a significant increase in the minimum from the existing Rs.7,000 per month to Rs.18,000 per month. This, based on computation of pension, will raise minimum pension from the existing Rs.3500 to Rs.9,000. The minimum pension based on the recommendations of the commission will increase by 2.57 times over the existing level.
(Para 10.1.27 of the Report)
Accepted
6
Rate of additional Pension and Family Pension to the older pensioners
The commission is of the view that the existing rates of additional pension and additional family pension are appropriate.
(Para 10.1.30 of the Report)
Accepted
7
Time Period for enhanced family pension.
The commission notes that the recommendation with regard to period of eligibility of the enhanced family pension of 10 years in case of death of a serving employee was made based on the recommendations of VI th CPc Report. No further change is being recommended by the commission.
Accepted
8
Gratuity Ceiling and its indexation.
The Commission recommends enhancement in the ceiling of gratuity from the existing Rs.10 lakh to Rs.20 Lakh from 01.01.2016. The Commission further recommends the ceiling on gratuity may increase by 25% whenever DA rises by 50%.
(Para 10.1.37 of the Report)
Accepted
9
Rationalization of death gratuity
The Commission, after examination of the matter, recommends the following rates for payment of death gratuity:
Length of Service
Rate of Death Gratuity
Less than One Year
2 times of monthly
One year or more but less than 5 years
6 times of monthly emoluments
5 years or more but less than 11 years
12 times of monthly emoluments
11 years or more but less than 20 years
20 times of monthly emoluments
20 years or more
Half month of emoluments for every completed six monthly period of qualifying service subject to a maximum of 33 times of emoluments.
Para 10.1.41 of the Report
Accepted
10
Commutation of Pension and restoration of commuted pension
The Commission does not recommend any change either in the maximum percentage of commutation or in the period of restoration.
(Para 10.1.43 of the Report)
Accepted
11
Revision of Pension of Pre 7th CPC Retirees
The Commission Recommends the following pension formulation for civil employees including CAPF personnel who have retired before 01.01.2016
(i)All the civilian personnel including CAPF who implementation of the Seventh CPC recommendations) shall first be fixed in the pay Matrix being recommended by this commission, on the basis of the Pay Band and Grade Pay at which they retired, at the minimum of the corresponding level in the Matrix. This amount shall be raised, to arrive at the notional pay of the retiree, by adding the number of increments he/she had earned in that number of increments he/she had earned in that level while in service, at the rate of three percent. Fifty percent of the total amount so arrived at shall be the revised pension.
(ii) The second calculation to be carried out is as follows. The pension, as had been fixed at the time of implementation of the VI CPC recommendations, shall be multiplied by 2.57 to arrive at an alternate value for the revised pension.
(iii) Pensioners may be given the option of choosing whichever formulation is beneficial to them.
It is recognized that the fixation of pension as per formulation in (i) above may take a little time since the records of each pensioner will have to be checked to ascertain the number of increments earned in the retiring level. It is therefore recommended that in the first instance the revised pension may be calculated as at (ii) above and the same may, be paid as an interim measure. In the event calculation as per (i) above yields a higher amount the difference may be paid
subsequently.(Para 10.1.67 and Para 10.1.68 of the Report)
Both the options recommended by the 7th Central Pay Commission as regards pension revision be accepted subject to feasibility of the implementation. Revision of pension using the second option based on fitment factor of 2.57 be implemented immediately. The first option may be made applicable if its implementation is found feasible after examination by the Committee comprising Secretary (Pension) as Chairman and Member (Staff). Railway Board, Member (Staff), Department of Posts, Additional Secretary & Financial Adviser, Ministry of Home Affairs and Controller General of Accounts as Members
12
Ex-gratia Lumpsum Compensation
The Commission recommends a Common regime for payment of ex-gratia lump-sum compensation for civil and defence forces personnel, payable to the next of Kin at the following rates:
Circumstances
Existing
Proposed
Death occurring due to accidents in course of performance of duties
10 Lakh
25 Lakh
Death in the course of performance of duties attributed to acts of violence by terrorists, anti social elements etc.
10 Lakh
25 Lakh
Death occurring in border
skirmishes and action
against militants, terrorists,
extremists, sea pirates
15 Lakh
35 Lakh
Death occurring while on
duty in the specified high
altitude, unaccessible border
posts, on account of natural
disasters, extreme weather
conditions
15 Lakh
35 Lakh
Death occurring during enemy action in war or such war like engagements, which are specifically notified by
Implementation 7th Pay Commission Revision of pension of pre-2016 Pensioners/Family Pensioners
F.No.38/37/2016-P&PW(A)(ii)
Government Of India
Ministry Of Personnerl, public Grievances & Pensions
Department of Pension & Pensioners Welfare
Lok Nayak Bhawan, New Delhi – 11003
Dated 4th August 2016
OFFICE MEMORANDUM
Subject: Implementation of Government’s decisions on the recommendations of the Seventh Central Pay Commission – Revision of Pension of Pre-2016 Pensioners/family pensioners etc.
The undersigned is directed to say that in pursuance of Government’s decision on the recommendations of Seventh Central Pay Commission, sanction of the President is hereby accorded to the regulation, with effect from 01.01.2016, of pension/ family pension of all the pre-2016 pensioners/ family pensioners in the manner indicated in the succeeding paragraphs. Separate orders are being issued in respect of employees who retired/died on or after 01.01.2016.
2.1 These orders shall apply to all pensioners/family pensioners who were drawing pension/family pension before 1.1.2016 under the Central Civil Services (Pension) Rules, 1972, Central Civil Services (Extraordinary Pension) Rules and the corresponding rules applicable to Railway pensioners and pensioners of All India Services, including officers of the Indian Civil Service retired from service on or after 1.1.1973. A pensioner/family pensioner who became entitled to pension/family pension with effect from 01.01.2016 consequent on retirement/death of Government servant on 31.12.2015, would also be covered by these orders.
2.2 Separate orders will be issued by the Ministry of Defence in regard to Armed Forces pensioners/family pensioners.
2.3 These orders also do not apply to retired High Court and Supreme Court Judges and other Constitutional/Statutory Authorities whose pension etc. is governed by separate rules/orders.
3. In these orders :
a.‘Existing pensioner’ or ‘Existing Family pensioner’ means a pensioner/family pensioner to whom these orders are applicable in terms of para 2.1 above.
b.‘Existing pension’ or ‘Existing Family Pension means the basic pension (inclusive of commuted portion, if any) or basic family pension. as had been fixed at the time of implementation of 6th CPC Recommendations, which an existing pensioner or family pensioner was entitled to.
4.1 For existing Pensioners, who have retired before 01.01.2016, the revised pension/family pension with effect from 01.01.2016 shall be determined by multiplying the pension/family pension, as had been fixed at the time of implementation of 6th Central Pay Commission (CPC) recommendations, by 2.57. The amount of revised pension/Family pension so arrived at shall be rounded off to next higher rupee.
Illustration:
Case I
Pensioner ‘A’ retired at last pay drawn of Rs.79,000 on 31st May, 2015 under the 6t CPC regime in the scale of Rs.67000-79000:
Amount in Rs.
1
Basic Pension fixed in 6th CPC
39500
2
Revised pension fixed under 7th CPC (using a multiple of 2.57)
101515
Case II
Pensioner ‘B’ retired at last pay drawn of Rs.4,000 on 31st January, 1989 under the 4th CPC regime in the pay scale of Rs.3000-100-3500-125-4500:
Amount in Rs.
1
Basic Pension fixed in 4th CPC
1940
2
Basic Pension as revised in 6th CPC
12600
3
Revised Pension fixed under 7th CPC (Using a Multiple of 2.57)
32,382
4.2 For this purpose, the existing pension/family pension will be the basic pension/family pension only without the element of additional pension available to the old pensioners/family pensioners of the age of 80 years and above. The additional pension/family pension payable to the old pensioners/family pensioners will be worked out in accordance with para 4.5 of this O.M
4.3 since the consolidated pension will be inclusive of commuted portion of pension, if any, the commuted portion will be deducted from the said amount while making monthly disbursements.
4.4 The Minimum pension with effect from 01.01.2016 will be Rs.9000/- per month (excluding the element of additional pension of old pensioners). The upper ceiling on pension/family pension will be 50% and 30% respectively of the highest pay in the Government (The highest pay in the Government is Rs.2,50,000 with effect from 01.01.2016.)
4.5 The quantum of pension/family pension available to the old pensioners/family pensioners shall continue to be as follows:
Age of Pensioner/family pensioner
Additional quantum of pension
From 80 years to less than 85 years
20% of revised basic pension/family pension
From 85 years to less than 90 years
30% of revised basic pension/family pension
From 90 years to less than 95 years
40% of revised basic pension/family pension
From 95 years to less than 100 years
50% of revised basic pension/family pension
100 years or more
100% of revised basic pension/family pension
The amount of additional pension will be shown distinctly in the pension payment order. For example, in case where a pensioner is more than 80 years of age and his/her revised pension in terms para 4.1 above is Rs.10,000 pm, the pension will be shown as (i).Basic pension=Rs.10,000 and (ii) Additional pension = Rs.2,000 pm. The pension on his/her attaining the age of 85 years will be shown as (i).Basic Pension = Rs.10,000 and (ii) additional pension = Rs.3,000 pm. Dearness relief will be admissible on the additional pension available to the old pensioners also.
4.6 The revised pension/family pension arrived at as per paragraph 4.1 includes dearness relief sanctioned from 1.1.2016
5. Where the revised pension/family pension in terms of paragraph 4.1 above works out to an amount less than Rs. 9000/-, the same shall be stepped up to Rs. 9000/-. This will be regarded as pension/family pension with effect from 1.1.2016.
6. The existing instructions regarding regulation of dearness relief to employed/reemployed pensioners/family pensioners, as contained in Department of Pension & Pensioners Welfare O.M. No. 45/73/97-P&PW(G) dated 02.07.1999, as amended from time to time, shall continue to apply.
7.The cases of Central Government employees who have been permanently absorbed in public sector undertakings/autonomous bodies will be regulated as follows:-
(a) PENSION
Where the Government servants on permanent absorption in public sector undertakings/autonomous bodies continue to draw pension separately from the Government, the pension of such absorbees will be updated in terms of these orders. In cases where the Government servants have drawn one time lump sum terminal benefits equal to 100% of their pensions and have become entitled to the restoration of one-third commuted portion of pension as per the instructions issued by this Department from time to time, their cases will not be covered by these orders. Orders for regulating pension of such pensioners will be issued separately.
(b) FAMILY PENSION
In cases where, on permanent absorption in public sector undertakings/autonomous bodies, the terms of absorption and/or the rules permit grant of family pension under the CCS (Pension) Rules, 1972 or the corresponding rules applicable to Railway employees/members of All India Services, the family pension being drawn by family pensioners will be updated in accordance with these orders.
8. The matter regarding Constant Attendant Allowance admissible to the existing pensioners shall be examined by a Committee comprising Finance Secretary and Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Posts, Health & Family Welfare, Personnel & Training and Chairman, Railway Board as Members. Till a final decision is taken based on the recommendations of the Committee, Constant Attendant Allowance shall be paid at existing rates
9. All Pension Disbursing Authorities including Public Sector Banks handling disbursement of pension to the Central Government pensioners are hereby authorised to pay pension/family pension to existing pensioners/family pensioners at the revised rates in terms of para 4.1 and 5 above without any further authorisation from the concerned Accounts Officers/Head of Office etc. Wherever the age of pensioner/ family pensioner is available on the pension payment order, the additional pension/ family pension in termsof para 4.4. above may also be paid by the pension disbursing authorities immediately without any further authorisation from the concerned Account Officer/ Head of Office, etc. A suitable entry regarding the revised pension shall be recorded by the pension Disbursing Authorities in both halves of the Pension Payment Order.
10 The pension/family pension as worked out in accordance with provisions of Para 4.1. and 5 above shall be treated as ‘Basic Pension’ with effect from 01.01.2016. The revised pension/family pension includes dearness relief sanctioned from 1.1.2016 and shall qualify for grant of Dearness Relief sanctioned thereafter.
11. Further orders in regard to revision of pension based on the recommendations of the Committee to be constituted in terms of the Government’s decision on Item No. 11 of this Department’s Resolution No. 38/37/2016-P&PW (A) dated 4th August, 2016, will be issued in due course
12. After a decision as in para 11 above is taken by the Government and orders are issued in this regard, the Head of the Department of the Ministry, Department, Office, etc. from which the government servant had retired or where he was working prior to his demise will revise the pension/family pension of all pensioners/ family pensioners with effect from 1st January 2016 in accordance with those orders and issue revised Pension
Payment Order (PPOs) accordingly.
13. It is considered desirable that the benefit of these orders should reach the pensioners as expeditiously as possible. To achieve this objective it is desired that all Pension Disbursing Authorities should ensure that the revised pension and the arrears due to the pensioners in terms of para 4.1. and para 5 above is paid to the pensioners or credited to their account by 31st August, 2016 or before positively
14. In their application to the persons belonging to Indian Audit and Accounts Department, these orders issue in consultation with the Comptroller and Auditor General of India
15. Ministry of Agriculture etc. are requested to bring the contents of these Orders to the notice of Controller of Accounts/Pay and Accounts Officers and Attached and subordinate Offices under them on a top priority basis. All pension disbursing offices are also advised to prominently display these orders on their notice boards for the benefit of pensioners
16. Hindi version will follow.
(Vandana Sharma)
Joint Secretary to the Government of India
Implementation of Government’s decision on the recommendation of the Seventh Central Pay Commission – Revision of provisions regulating pension/gratuity/ commutation of pension/family pension/disability pension/ex-gratia lump-sum compensation, etc.
F. No 38/37/2016 – P&PW(A) (i)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare
Lok Nayak Bhawan, New Delhi-110003
Dated the 4th August, 2016
OFFICE MEMORANDUM
Sub: Implementation of Government’s decision on the recommendation of the Seventh Central Pay Commission – Revision of provisions regulating pension/gratuity/ commutation of pension/family pension/disability pension/ex-gratia lump-sum compensation, etc.
The undersigned is directed to state that in pursuance of Government’s decision on the recommendation of the Seventh Central Pay Commission, the President is pleased to introduce the following modifications in the rules regulating pension, Retirement/Death/Service Gratuity, Family Pension, disability pension, ex-gratia lump-sum compensation, etc. under the CCS (Pension) Rules, 1972 and Commutation of Pension under CCS (Commutation of Pension) Rules, 1981, CCS (Extraordinary Pension) Rules, 1939, etc.
2. These orders apply to Central Government Employees governed by the CCS (Pension) Rules, 1972. Separate orders will be issued by the Ministry of Defence, Ministry of Railways and the AIS Division of the DOPT in respect of Armed Forces personnel, Railway employees and the officers of All India Services respectively on the basis of these orders.
DATE OF EFFECT
3.1 The revised provisions as per these orders shall apply to Government servants who retire/die in harness on or after 1.1.2016. Separate order have been issued in respect of employees who retired/died before 1.1.2016.
3.2 Where pension/family pension/Gratuity/Commutation of pension, etc has already been sanctioned in cases occurring on or after 1.1.2016, the same shall be revised in terms of these orders. In cases where pension has been finally sanctioned on the pre-revised orders and if it happens to be more beneficial than the pension becoming due under these orders, the pension already sanctioned shall not be revised to the disadvantage of the pensioner in view of Rule 70 of the CCS (Pension) Rules, 1972.
EMOLUMENTS
4.1 The term ‘Emoluments’ for purposes of calculating various pensionary benefits other than various kinds of Gratuity shall have the same meaning as in Rule 33 of the Central Civil Services (Pension) Rules, 1972.
4.2 Basic pay in the revised pay structure means the pay drawn in the prescribed level in the Pay Matrix with effect from 01.01.2016 but does not include any other type of pay like special pay, etc.
4.3 In the case of all kinds of gratuity, dearness allowance admissible on the date of retirement/death shall continue to be treated as emoluments along with the emoluments as defined in Paragraph 4.1 above.
PENSION
5.1. Subject to para 5.2, there shall be no change in the provisions regulating the amount of pension as contained in Rule 49 of the CCS(Pension) Rules.
5.2 The amount of pension shall be subject to a minimum of Rs.9000/- and the maximum pension would be 50% of highest pay in the Government (The highest pay in the Govt. is Rs 2,50,000 with effect from 1.1.2016). The provisions of sub-rule (2) of Rule 49 of the CCS (Pension) Rules, 1972 shall stand modified to this extent.
5.3 The quantum of additional pension/family pension available to the old pensioners / family pensioners shall continue to be as follows:
Age of pensioner / family pensioner
Additional quantum of pension
From 80 years to less than 85 years
20% of revised basic pension/ family pension
From 85 years to less than 90 years
30% of revised basic pension / family pension
From 90 years to less than 95 years
40% of revised basic pension / family pension
From 95 years to less than 100 years
50% of revised basic pension / family pension
100 years or more
100% of revised basic pension / family pension
The Pension Sanctioning Authorities should ensure that the date of birth and the age of a pensioner is invariably indicated in the pension payment order to facilitate payment of additional pension by the Pension Disbursing Authority as soon as it becomes due. The amount of additional pension will be shown distinctly in the pension payment order. For example, in case where a pensioner is more than 80 years of age and his pension is Rs.10,000 pm, the pension will be shown as (i) Basic pension=Rs.10,000 and (ii) Additional pension = Rs.2,000 pm. The pension on his attaining the age of 85 years will be shown as (i).Basic Pension = Rs.10,000 and (ii) additional pension = Rs.3,000 pm.
Retirement / Death Gratuity
6.1 The rates for payment of death gratuity shall be revised as under:
Length of qualifying service
Rate of Death Gratuity
Less than One year
2 times of monthly emoluments
One Year or more but less than 5 years
6 times of monthly emoluments
5 years or more but less than 11 years
12 times of monthly emoluments
11 years or more but less than 20 years
20 times of monthly emoluments
20 years or more
Half month’s emoluments for every completed six monthly period of qualifying service subject to a maximum of 33 times of emoluments.
Accordingly, Rule 50(1)(b) 50(1)(b) of CCS (Pension) Rules, 1 972shall stand modifiedto this extent.
6.2 The maximum limit of Retirement gratuity and death gratuity shall be Rs. 20 lakh. The ceiling on gratuity will increase by 25% whenever the dearness allowance rises by 50% of the basic pay. Accordingly, first proviso under Rule 50(1)(b) of CCS (Pension) Rules, 1972 shall stand modified to this extent.
FAMILY PENSION 1964
7.1 Family pension shall be calculated at a uniform rate of 30% of basic pay in the revised pay structure and shall be subject to a minimum of Rs,90001-p.m. and maximum of 30% of the highest pay in the Government. Rule 54(2) relating to Family Pension, 1964 under CCS (Pension) Rules, 1972 shall stand modified to this extent.
7.2 The amount of enhanced family pension shall be 50% of basic pay in the revised pay structure and shall be subject to a minimum of Rs.90001-p.m. and maximum of 50% of the highest pay in the Government. (The highest pay in the Govt. is Rs. 2,50,000 with effect from 1.1.2016).
7.3 There will be no other change in the provisions regulating family pension, enhanced family pension and additional family pension to old family pensioners.
COMMUTATION OF PENSION
8.1 There will be no change in the provisions relating to commutation values, the limit upto which the pension can be commuted or the period after which the commuted pension is to be restored.
9.1 The pension/family pension under para 5 and 7 above shall qualify for dearness relief sanctioned from time to time, in accordance with the relevant rules/instructions.
FIXED MEDICAL ALLOWANCE
10.1 Fixed Medical Allowance to the pensioners who are residing in non-CGHS areas and are not availing OPD facility of CGHS shall continue to be paid at the existing rate till a final decision is taken on the basis of recommendations of the Committee constituted for the purpose.
CONSTANT ATTENDANT ALLOWANCE
11.1 The amount of Constant Attendant Allowance to pensioners who retired on disability pension with 100% disability under the CCS (Extraordinary) Pension Rules, 1939, (where the individual is completely dependent on somebody else for day to day functions) shall continue to be paid at the existing rate till a final decision is taken on the basis of recommendations of the Committee constituted for the purpose.
EX GRATIA LUMPSUM COMPENSATION
12.1 The amount of ex gratia lump sum compensation available to the families of Central Government Civilian employees, who die in the performance of their bona fide official duties under various circumstances shall be revised as under:
Circumstances
Amount
Death occurring due to accidents in course of performance of duties
25 lakh
Death in the course of performance of duties attributed to acts of violence by terrorists, antisocial elements etc.
25 lakh
Death occurring in border skirmishes and action against militants, terrorists, extremists, sea pirates
35 lakh
Death occurring while on duty in the specified high altitude, unaccessible border posts, etc. on account of natural disasters, extreme weather conditions
35 lakh
Death occurring during enemy action in war or such war like engagements, which are specifically notified by Ministry of Defence and death occurring during evacuation of Indian Nationals from a war-torn zone in foreign country
45 lakh
13.1. Formal amendments to CCS (Pension) Rules, 1972 and CCS (Extraordinary) Pension Rules, 1939 in terms of the decisions contained in this order will be issued in due course. Provisions of the CCS (Pension) Rules 1972, CCS (Extraordinary) Pension Rules, 1939, and CCS(Commutation of Pension) Rules, 1981 which are not specifically modified by these orders, will remain unchanged.
14.1. These orders issue with concurrence of the Ministry of Finance Department of Expenditure vide their U.O. No. 30-1/33(c)/ 2016-IC dated 03.08.2016
15.1. In their application to the employees of the Indian Audit and Accounts Department, these orders issue in consultation with Comptroller and Auditor General of India.
16. Ministry of Agriculture etc. are requested to bring the contents of these orders to the notice of Controller of Accounts/Pay and Accounts Officers and Attached and Subordinate Offices under them on a top priority basis.
(Vandana Sharma)
Joint Secretary to the Government of India
