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 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 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 6th CPC regime in the scale of Rs. 67000-79000:
Amount in Rs. | ||
1. | Basic Pension fixed in 6tH CPC | 39,500 |
2. | Revised Pension fixed under 7tnCPC (using a multiple of 2.57) | 1,01,515 |
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 | 1,940 |
2. | Basic Pension as revised in 6th CPC | 12,600 |
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 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).
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/re- employed 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 terms of 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.
Sd/-
(Vandana Sharma)
Joint Secretary to the Government of India
K, Vijay Kumar says
It is confirmed that the above order does not cover the pensioners of Autonomous bodies. The Government is bent upon to delay as much as possible, possibly upto 2019, the implementation of 7 CPC to the pensioners of Autonomous Bodies. This is the first time in the history of this country the pensioners are being ignored from pay commission benefits. The faith in this government is eroding fast..
Sarwan Ram says
My date of retirement from the post of Superintendent is 31-12-2003 . My Basic Pay as 31-12-2003 was 7600/- and 10 month average was Rs. 7530/- . My pension was fixed from 1-01-01-2004 is Rs. 3765/- and commutation of pension is 1506/- and after commutation total pension is Rs. 2259/-
My pay scale as superintendent was 5500-175-9000/- Date of joining Central Govt. Service is 07-05-1964 and my I have completed 39yrs & 7months Govt. service..
Now what will be my revised pension as per 7th CPC Report?
P Muralidhar says
Central Government employees ((including service personnel) who were absorbed in PSUs/ABs and who had commuted entire pension, are at present, allowed restoration of one-third portion on completion of 15 years from the date of commutation.. Legally they are entitled for 100% restoration. The legal provisions/judicial decisions in support of this contention are as under :-
(a) S.12 of Pensions Act, 1871 declares that all assignments, agreements, orders, sales and securities of every kind made by any person entitled to pension ….or … are null and void
(b) As per apex court judgment dated 9 Dec 1986 in WP 3958-61 of 1983 (reproduced under S.10 CCS (Commutation)) of Pension Rules, 1981,those who have commuted the admissible portion of their pension are entitled to have the commuted portion restored on expiry of 15 years. The admissible portion for absorbees was 100% while it was one-third/40% for normal retirees.
(c) Armed Forces Tribunal, Regional Bench Kochi in OA 34/2011 decided on 8.07.2013 Maj Gen (R) VP Yadav vs UoI, taking cue from certain paras of apex court judgment at (b) above upheld that the Applicant is entitled for restoration of entire portion of pension. The AFT is equivalent to High Court and appeal lies to Supreme Court.. Though more than three years are over, the decision has not been challkenged.
(d) The apex court in Civil Appeal 6048/2010 UoI vs (late) Ganeshan upheld the decision of Madras High Court that (late) Ganeshan is entitled for restoration of 100% Pension.
It is crystal clear that the absorbees are legally eligible for 100% restoration.
I request the Government not to be misguided by negatively charged buroaucrats and become a source of litigation.,I wish to recollect that in the past too the absorbees .were denied justice at official level but got remedy from CATs/HC/SC. The threat of facing contempt petition solved the problem.
.
Nand Ram says
Why delay in issue of pension orders in case of absorbees who have encashed 100% pension and became entitled for 1/3rd pension based on the judgement of the supreme court ? This is a very small segment of pensioners..Kindly issue orders so that this group may also avail of real time benefit. The orders may also cover the protection of pension and DR drawn on 31-12-2015 in the revised pension under 7th pay commission. .
G.yellaiah says
Why delay for defence pensioners when others got already.we are upset before festival time .we request to expedite the process immediately.weare always grateful to you.
Ex-sub varada viswanadharao says
The pay commission already declard why delay what are govt give we satisfy so kinly sanctoin as so as possible because we done chidrens education levels so pl.
Niranjan Prashad Saha says
As said in Para 7(a) of OM dated 04 08 2016, is any such O.O regulating pension of Govt. absorbees in any PSU who have received 100% one-time lumpsum amount for the pension and continue on receiving 1[3rd pension restored under the orders of the Deptt. of Pension issued from time to time iissued ? If so , OO NO PLEASE.
S K Verma says
Pensioners in ICAR are not in receipt of revised pension, pension for August 2016 was DELAYED up to 10 Sept 2016 and paid by banks at old rates. There is no reference of pay revision by 7th CPC on the website of ICAR http://www.icar.org.in
V S Choudhary says
1. In NCRB (Ministry of Home Affairs) Jt. Assistant Director and Assistant Director have same Pay band and same grade pay. The post of Jt. Assistant Director is the feeder post for Assistant Director in C&S Division in NCRB (MHA).
2. The Pay band for the post of Jt. Assistant Director is Rs. 15600-39100 and Pay grade is 6600/- in 6th CPC ( pre-revised Rs 10,000-15200/- in 5th pay commission)
3. The pay band for the post of Assistant Director is Rs 15600-39100 and pay grade is P.G 6600/- + 8oo Spl Allowance in 6th CPC. (pre-revised Rs 10,000-15200/- +Rs 400/- spl allowance in 5th pay commission)
4. Rs 800/- Spl Allowance is not considered for pension benefits.
5. Myself was promoted to the post of Jt Assistant Director on 6.2.1996 in the scale of Rs 10000-15200 (revised in 6th CPC 15600-39100 + 6600 G.P.).My pay was fixed at the stage of Rs. 10,000/- as on 6.2.1996.
6. Myself was promoted to the post of Assistant Director on 01.8.2004 in the scale of Rs 10000-15200+ Spl Allowance of Rs 400/-( revised Rs15600-39100 + 6600 G.P + 800 spl allowance in 6th CPC). My pay was fixed at stage 13250/- with next increment due on 1.8.2005.
7. I retired as Assistant Director on 31.5.2007 at stage of pay of Rs13900/- in pay scale of Rs 10000-15200/-( Revised pay band of Rs 15600-39100 + 6600 G.P.) .Thus I had earned 12 increments from 6.2.96 to 31.5.2007 in pre-revised pay scale.
Request: How my revised pension will be fixed? and What will be my revised oension?
C K Mansoor Rahman says
Honorable PM Sir Ji, Nameshkar, i am very thankful to you sir & I wish to inform that I have received my revised fixation of basic pension arrears as per 7th CPC & I certify that I have been accepted the revised basic pension with effect from 01.01.2016.
Jai Hind,
With regards,
Yours obediently,
C K Mansoor Rahman,
Retired Govt. Servant,
Govt. Of India.
C K Mansoor Rahman says
Honorable Sir/Madam, as per 7th CPC report in connection with options to fix revised basic pension ie, 6th CPC basic pension multiply into 2.57% and on the basis of increments drawn in the particular scale of pay & grade pay. For opting this formula i am herewith submitting my humble ideas and suggestions for update the employees/pensioners salary details data in the modified digital transparent software of all the ministries/department before implementing this option of adding increments ie, 6th CPC basic pay/basic pension into number of increments drawn @ 3% annual increment that equals the revised basic pay/basic pension as per 7th CPC.
At present the formula implemented by the 7th CPC will be more effective for fixation of revised basic pay/basic pension,as per DOPP&W OM 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.
My humble suggestions is only for the GOI superior authorities only & just for humble discussions only.
With regards,
C K Mansoor Rahman,
Retired Central Govt. Servant,
Government Of India.
C K Mansoor Rahman says
Honorable Sir/Madam, Nameshkar,
With reference to DOPP&W OM No. F.No.38/37/2016-P&PW(A) (ii) issued on 04th August 2016 is still not reached to PDA & the departments of the respective Banks/department as per oral response from the authorities. But as per OM states that as per para No.”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”.
In this connection I humbly request your kind self to please send the copy of the above noted office memorandum to all PDA & Department concerns & kindly grant arrears from 01.01.2016 to 31.07.2016 before 31st August 2016 to the middle class needed pensioners & do the needful please.
This is my humble request to the honorable DOPP&W authorities.
With regards,
C K Mansoor Rahman,
Retired Central Govt. Servant.
J SREE RAMULU IRSSE says
AFTER 9 MONTHS OF SCRUTINY OF THE REPORT ALSO GOVERNMENT COULD NOT FIRM UP THE DECISION AND IF THIS IS THE GOVERNANCE OF THE PRESENT GOVERNMENT, THEN THERE SHOULD NOT BE ANY NECESSITY OF APPOINTING ANY MORE PAY COMMISSIONS THAT TOO HEADED BY JUDGES,ECONOMISTS AND BUREAUCRATS..