Monday, July 4, 2016

Implementation of Recommendations of Seventh Central Pay Commission (7 CPC) : Col Ramesh Khatri (Retd)

Dear All,
The Cabinet Committee has approved recommendations of the 7 CPC. These shall be effective from 1st January, 2016.
7 CPC has amalgamated the Basic Pension and the DA Relief on it. For example, if A’s post OROP Basic Pension is Rs. 1.00 and current DA Relief on it is @Rs 1.25. Hence, Rs 2.25 (1.00 + 1.25)
7 CPC has allowed an ENHANCEMENT of 0.32 [2.57 (proposed by 7 CPC) – 2.25 (amalgamated pension)] on the post OROP Pension, ie, 1.00 x 0.32  =  0.32.
Please add this 0.32 to A’s post OROP Amalgamated Pension, that is, Rs. 2.25 + 0.32  = Rs. 2.57 shall be A’s (final) Pension wef 01 – 01 – 2016.  This is what ‘A’ (you) shall be receiving in August 2016 with the Pension of July 2016.
As the enhancement is being paid from 01 – 01 – 2016, hence, the arrears of six months (Jan – June 2016) Rs. 0.32 x 6  = Rs. 1.92 are likely to be paid in August or September 2016.
‘A’ (You) will receive the above Minus the Income Tax.
I am sure, it not being complicated and everyone can calculate what they would be receiving!!.
A’s post OROP Pension = Rs. 36130
DA Relief on Rs. 36130 x 1.25 = Rs. 45163
Amalgamated Pension (36130 + 45163) = Rs. 81293
Enhancement (0.32) of post OROP (36130 x 0.32)  =  Rs Rs 11562
Hence, 7 CPC Recommended Pension effective 01–01–2016 shall be (81293 + 11562) = Rs.  92855

Deduction of Income Tax, say@12855 per month. Hence net pension being remitted to A’s bank account will be (92855 - 12855) = Rs. 80,000 per month
With kind regards,
Colonel Ramesh Khatri (Retd)

(Source- Via e-mail from Col SS Sohi (Retd)


  1. Sir, thank you for aclear cut and simple information on pay commission's bonanza to employees.Just for joke sake I am writing the following .Please not to be serious about it.
    For a moment the Gabbar Singh(Sholay)came to my thought.Just imagine he yelled at the Justice Mathur "Yeh pay commission wale ne kamaal kardhiya"

  2. Gr8 Col Saab ,this is d first simple calculation till date I hav read so far,0.32 is what one exactly one gets.TIA.

  3. Respected col khatri, Diff in Msp is also to be added. MF 0,32 is also applicable on diff of MSP

  4. Post orop our base year was 2013. u missed that calculation of present rank basic

  5. Sir, I Avtar Singh retired from Army Corps of Signals on 01/09/2006 as Hony Lt in active service and my pension was fixed Rs 13500/- pm from my date of retirement. The same was revised to Rs 15465/- pm wef 24/09/2012 due to some anomaly noticed in 6th pay commission. However, Supreme Court in its verdict ruled that the anomaly notices at later date in 6th pay commission to be paid from 01/01/2006 on case filed by pre 01/01/2006 retirees. The same has been implemented for the pre 01/01/2006 and post 01/01/2006 retirees have been left in lurk. On approaching PCDA pension Allahabad they replied that they have received the instructions to pay the arrears to pre 01/01/2006 retirees and no instruction have been received for post 01/01/2006 which is an injustice to post 01/01/2006 retirees and now created an anomaly for post 01/01/2006 retirees. Post 01/01/2006 retirees are also entitled for revision of their pension from their date of retirement to 23/09/2016 as the Supreme Court ruled in its verdict that arrears to be paid to all. Govt should pay attention to resolve this problem to avoid rushing the post 01/01/2006 retirees to The Court to get justice done to them.