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Wednesday, March 18, 2015
Pay arrears of pension to all Pre-2006 retiree Central Govt pensioners from 01 January 2006 rather than 24 September 2012 : Supreme Court
As most readers would know, there were anomalies in the fixation of pension of pre-2006 central govt retirees with effect from 01 Jan 2006 and the question was whether pension was to be calculated based on the minimum of each grade/rank within the newly introduced pay-bands or on the minimum of the pay-band itself. The said anomaly was resolved by way of judgements of the Central Administrative Tribunal (CAT)as well as Armed Forces Tribunal (AFT)which inter alia ruled that pension would be calculated on the basis of minima of each rank/grade within the pay-band. The judgement of the CAT was challenged by the Govt before the Delhi High Court. In the meantime however, the Govt itself removed the anomaly but granted the benefits from 24 Sept 2012 rather than 01 Jan 2006 which was the date of the inception of the anomaly.
Hence the exact controversy now stood narrowed down to whether the benefits of the correct pension were to flow from 01 Jan 2006 which was the date from which the 6th Central Pay Commission recommendations were implemented or from 24 Sept 2012 which was when the Govt had decided to remove the anomalies in the pension structure after the said Pay Commission.