(Source- FB A/c of Vet Achuthan Raghavan)
Friday, May 12, 2017
Friday, May 5, 2017
Wednesday, May 3, 2017
7CPC MODIFICATIONS
New Delhi: The Union Cabinet on Wednesday approved important proposals relating to
modifications in the 7th CPC (Central Pay Commission) recommendations on pay and pensionary
benefits in the course of their implementation.
Earlier, in June, 2016, the Cabinet had approved implementation of the recommendations with an
additional financial outgo of Rs 84,933 crore for 2016-17 (including arrears for 2 months of 2015-
16).
The benefit of the proposed modifications will be available with effect from 1st January, 2016, i.e.,
the date of implementation of 7th CPC recommendations. With the increase approved by the
Cabinet, the annual pension bill alone of the Central Government is likely to be Rs 1,76,071 crore.
Some of the important decisions of the Cabinet are mentioned below:
o. Revision of pension of pre – 2016 pensioners and family pensioners: The Cabinet approved modifications in the recommendations of the 7th CPC relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the Committee chaired by Secretary (pensions) constituted with the approval of the Cabinet. The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs 5031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor. It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.
While approving the implementation of the 7th CPC recommendations on 29th June, 2016, the Cabinet had approved the changed method of pension revision recommended by the 7th CPC for pre-2016 pensioners, comprising of two alternative formulations, subject to the feasibility of the first formulation which was to be examined by the Committee.
In terms of the Cabinet decision, pensions of pre-2016 pensioners were revised as per the second formulation multiplying existing pension by a fitment factor of 2.57, though the pensioners were to be given the option of choosing the more beneficial of the two formulations as per the 7th CPC recommendations.
In order to provide the more beneficial option to the pensioners, Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner. The revised procedure of fixation of notional pay is more scientific, rational and implementable in all the cases. The Committee reached its findings based on an analysis of hundreds of live pension cases. The modified formulation will be beneficial to more pensioners than the first formulation recommended by the 7th CPC, which was not found to be feasible to implement on account of non-availability of records in a large number of cases and was also found to be prone to several anomalies.
o Disability Pension for Defence Pensioners The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system.
The issue of disability pension was referred to the National Anomaly Committee by the Ministry of Defence on account of the representation received from the Defence Forces to retain the slab-based system, as it would have resulted in reduction in the amount of disability pension for existing pensioners and a reduction in the amount of disability pension for future retirees when compared to percentage-based disability pension.
The decision which will benefit existing and future Defence pensioners would entail an additional expenditure of approximately Rs 130 crore per annum.
(SOURCE : Group E-mailfrom a veteran)
Some of the important decisions of the Cabinet are mentioned below:
o. Revision of pension of pre – 2016 pensioners and family pensioners: The Cabinet approved modifications in the recommendations of the 7th CPC relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the Committee chaired by Secretary (pensions) constituted with the approval of the Cabinet. The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs 5031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor. It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.
While approving the implementation of the 7th CPC recommendations on 29th June, 2016, the Cabinet had approved the changed method of pension revision recommended by the 7th CPC for pre-2016 pensioners, comprising of two alternative formulations, subject to the feasibility of the first formulation which was to be examined by the Committee.
In terms of the Cabinet decision, pensions of pre-2016 pensioners were revised as per the second formulation multiplying existing pension by a fitment factor of 2.57, though the pensioners were to be given the option of choosing the more beneficial of the two formulations as per the 7th CPC recommendations.
In order to provide the more beneficial option to the pensioners, Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner. The revised procedure of fixation of notional pay is more scientific, rational and implementable in all the cases. The Committee reached its findings based on an analysis of hundreds of live pension cases. The modified formulation will be beneficial to more pensioners than the first formulation recommended by the 7th CPC, which was not found to be feasible to implement on account of non-availability of records in a large number of cases and was also found to be prone to several anomalies.
o Disability Pension for Defence Pensioners The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system.
The issue of disability pension was referred to the National Anomaly Committee by the Ministry of Defence on account of the representation received from the Defence Forces to retain the slab-based system, as it would have resulted in reduction in the amount of disability pension for existing pensioners and a reduction in the amount of disability pension for future retirees when compared to percentage-based disability pension.
The decision which will benefit existing and future Defence pensioners would entail an additional expenditure of approximately Rs 130 crore per annum.
(SOURCE : Group E-mailfrom a veteran)
7th Pay Commission: Cabinet approves new pension plan, 55 lakh central government pensioners to benefit
The Union Cabinet on Wednesday approved important proposals relating to modifications in the 7th CPC (Central Pay Commission) recommendations on pay and pensionary benefits in the course of their implementation.
New Delhi: The Union Cabinet on Wednesday approved important proposals relating to modifications in the 7th CPC (Central Pay Commission) recommendations on pay and pensionary benefits in the course of their implementation.
Earlier, in June, 2016, the Cabinet had approved implementation of the recommendations with an additional financial outgo of Rs 84,933 crore for 2016-17 (including arrears for 2 months of 2015-16).
Some of the important decisions of the Cabinet are mentioned below:
-Revision of pension of pre – 2016 pensioners and family pensioners
The Cabinet approved modifications in the recommendations of the 7th CPC relating to the method of revision of pension of pre-2016 pensioners and family pensioners based on suggestions made by the Committee chaired by Secretary (pensions) constituted with the approval of the Cabinet. The modified formulation of pension revision approved by the Cabinet will entail an additional benefit to the pensioners and an additional expenditure of approximately Rs 5031 crore for 2016-17 over and above the expenditure already incurred in revision of pension as per the second formulation based on fitment factor. It will benefit over 55 lakh pre-2016 civil and defence pensioners and family pensioners.
While approving the implementation of the 7th CPC recommendations on 29th June, 2016, the Cabinet had approved the changed method of pension revision recommended by the 7th CPC for pre-2016 pensioners, comprising of two alternative formulations, subject to the feasibility of the first formulation which was to be examined by the Committee.
In terms of the Cabinet decision, pensions of pre-2016 pensioners were revised as per the second formulation multiplying existing pension by a fitment factor of 2.57, though the pensioners were to be given the option of choosing the more beneficial of the two formulations as per the 7th CPC recommendations.
In order to provide the more beneficial option to the pensioners, Cabinet has accepted the recommendations of the Committee, which has suggested revision of pension based on information contained in the Pension Payment Order (PPO) issued to every pensioner. The revised procedure of fixation of notional pay is more scientific, rational and implementable in all the cases. The Committee reached its findings based on an analysis of hundreds of live pension cases. The modified formulation will be beneficial to more pensioners than the first formulation recommended by the 7th CPC, which was not found to be feasible to implement on account of non-availability of records in a large number of cases and was also found to be prone to several anomalies.
-Disability Pension for Defence Pensioners
The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system.
The issue of disability pension was referred to the National Anomaly Committee by the Ministry of Defence on account of the representation received from the Defence Forces to retain the slab-based system, as it would have resulted in reduction in the amount of disability pension for existing pensioners and a reduction in the amount of disability pension for future retirees when compared to percentage-based disability pension.
The decision which will benefit existing and future Defence pensioners would entail an additional expenditure of approximately Rs 130 crore per annum.
(SOURCE ; ZEE NEWS)
Seventh Central Pay Commission orders for pay issued by Ministry of Defence
WEDNESDAY, MAY 3, 2017
The Ministry of Defence has issued the orders for the new pay regime on implementation of the recommendations of the 7th Central Pay Commission for all ranks.
The orders shall now be known as Rules rather than Instructions. For example, the modalities for Ranks other than Commissioned Officers of the Army shall be known as the “Army Pay Rules” rather than “Special Army Instructions”.
The orders for Commissioned Officers of the Army can be accessed and downloaded by clicking here.
The orders for Commissioned Officers of the Navy can be accessed and downloaded by clicking here.
The orders for Commissioned Officers of the Air Force can be accessed and downloaded by clicking here.
(SOURCE : INDIAN MIL WEL & BENEFITS -MAJ NAVDEEP SINGH BLOG)
Govt orders payment of 7th Pay Commission scales to military
By Ajai Shukla
Business Standard, 4th May 17
Soldiers, sailors and airmen of the three defence services will hereafter be paid salaries recommended by the 7th Central Pay Commission (7CPC). The new scales will be paid with effect from January 1, 2016.
In June 2016, the Cabinet had approved 7CPC scales for civilian employees with effect from January 1, 2016, resulting in additional financial outgo of Rs 84,933 crore.
However, the three service chiefs had requested that payment be made to defence personnel only after an Anomalies Committee resolved the military’s representations against the 7CPC recommendations.
While the military’s three key requests have not been addressed in this award, Defence Minister Arun Jaitley revealed two significant concessions in a press briefing in New Delhi on Wednesday. First, disability pension for soldiers would henceforth be paid at the same scales as civilians. The generals had protested the 7CPC order that disability pensions be paid to the military at a flat slab rate, rather than as a percentage of salary. This had sharply reduced the disability pensions almost across the board.
“The Cabinet also approved the retention of percentage-based regime of disability pension implemented post 6th CPC, which the 7th CPC had recommended to be replaced by a slab-based system”, said a government notification. This would involve an additional outgo of Rs 130 crore per annum.
Second, a modified method of calculation will increase the pension of servicemen who retired before 2016, benefiting over 55 lakh pensioners. This involves an additional payout of Rs 5,031 crore for 2016-17, which would increase this year’s pension allocation of Rs 85,740 crore.
Even so, there is disappointment within the three services that the award has not addressed three key “anomalies”, which had been strongly endorsed by the three service chiefs.
The first of these relates to errors of logic and arithmetical calculations in fixing the pay scales of various ranks in the military. Second, while “military service pay” (MSP) was fixed at Rs 15,500 per month for officers and Rs 5,200 per month for “junior commissioned officers” (JCOs) and other ranks (ORs), the military pointed out that JCOs, who are Group “B” employees, should receive a higher MSP than ORs, who are Group “C” employees.
The third military request involved the grant of “non functional upgradation” (NFU), which involves the automatic upgrade of salary scales for all persons, regardless of whether they were selected for promotion to higher grades, in tandem with those who were selected for promotion, with a lag of two years. This benefit is granted to all other central government employees.
Jaitley clarified that the first two issues are being addressed by the Anomalies Committee, while the NFU issue is before the Supreme Court. The government has appealed to the apex court after the Armed Forces Tribunal ordered the payment of NFU to military personnel.
Pending the implementation of the 7CPC award to military personnel, the government had granted an interim salary hike of 10 per cent to all services personnel across the board. Since the average salary hike proposed by the 7CPC amounts to approximately 15 per cent, the new orders will marginally raise the payout of salaries and pensions, and arrears.
(SOURCE : BROADSWORD)
CABINET APPROVES MODIFICATIONS IN PAY & PENSION BENEFITS - IN 7TH CPC RECOMMENDATIONS
Cabinet approves modifications in the Seventh
Central Pay Commission recommendations on pay
and pensionary benefits: @arunjaitley
(SOURCE : TWITTER A/C OF TOI)
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