Fixation of Pension as per 7th Pay Commission to Pre-2016 Retirees
RAGHUNATHAN
Retired Central Govt Officer
FIXATION OF REVISED PENSION as per Para 10.1.67 , Sub para (i) of 7th CPC Report :
Pre-2016 RETIREES
Shall First be fixed in the Pay Matrix on the basis of 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 th.e number of Increments he/she had earned in that Level while in Service, at the rate of 3 %. Fifty percent of the Total Amount so arrived at shall be the REVISED PENSION.
To arrive at the Notional Pay, the Number of Increments earned by the Retiree in the PAY SCALE AT THE TIME OF HIS RETIREMENT is to be DETERMINED based on the LAST BASIC PAY drawn in this PAY SCALE.
Hence, the Number of STAGES in the PAY SCALE at the time of Retirement from the STARTING PAY of the Pay Scale UPTO the .LAST BASIC PAY drawn DETERMINES the Number of Increments Earned (GAINED) by the Retiree.
Illustration on Fixation of Pension in Case 2 of Para 10.1.71 is RELEVANT.
In the above Illustration, it is mentioned that Pensioner retired at LAST PAY drawn of Rs.4000/- having drawn 9 Increments in the RETIRING PAY SCALE of Rs.3000-100-3500-125-4500.
The Number of STAGES in this PAY SCALE from the STARTING PAY ( Rs.3000/-) UPTO the LAST BASIC PAY (Rs..4000/-) drawn is obviously 9 (NINE) which is Indicative of the Number of Increments Earned (GAINED) by the Retiree.
In View of the above Explanation, THE NUMBER OF STAGES IN THE RETIRING PAY SCALE FROM THE STARTING PAY OF THE PAY SCALE
UPTO THE LAST PAY DRAWN SHOULD BE TREATED AS THE NUMBER OF INCREMENTS EARNED (GAINED) BY THE RETIREE in the Retiring Pay Scale.
This is for the Purpose of Fixation of Pension as per the Formulation shown in Para 10.1.67, Sub Para (i) of the 7th CPC Report.
Otherwise, Junior Pensioners will get MORE REVISED PENSION THAN SENIOR PENSIONERS resulting in Disparity and Injustice.
This may please given wide Circulation and brought to the Notice of Implementation Committee.
I am THANKFUL AND GRATEFUL to You Sirs, for Your Needful action.
FROM CS T.KOTAYYA HYDERABAD .On plain reading second option seems to be fair as it is based on actual amt earned by way of annual increments .However if 1st option yields more benefiy by any chance .. to pensioner the same may be allowed.Pay matrix as rec0mmended by pc and accepted by Govt may also be implemented soon.The Govt as a MODEL EMPLOYER shd try to give reasonable hike consisting with previous PAY COMMISSION .IT IS NOT FAIR AND JUST TO STICK UP TO VERY VERY MEAGRE HIKE SUGGESTED BY 7TH P.C AS COMPARED PREVIOUS PAY COMMSNS.FOR THE REASONS BEST KNOWN TO THEM.LEVELLING SHD BE TO RAISE INCOME OF LOWER CADRE AND NOT TO REDUCE INCOME OF HIGHER GROUP IN THE NAME REDUCING GAP.
Mr Raghunathan has made very pertinent suggestions which make lot of sense. All the Govt Departments may be directed to straightway implement option 1 in all cases wherever it is monetarily more beneficial to the concerned pensioner without wasting any time waiting for his exercising the option. The counting of increments earned by a pensioner in the last post held by him immediately before retirement should also be done as suggested i..e THE NUMBER OF STAGES IN THE RETIRING PAY SCALE FROM THE STARTING PAY OF THE PAY SCALE
UPTO THE LAST PAY DRAWN SHOULD BE TREATED AS THE NUMBER OF INCREMENTS EARNED (GAINED) BY THE RETIREE in the Retiring Pay Scale..This is for the Purpose of Fixation of Pension as per the Formulation shown in Para 10.1.67, Sub Para (i) of the 7th CPC Report.This is the most logical method for determining the number of increments earned (Gained) by a retiree. It also eliminates the need of rampaging through old records most of which may not be available in proper order even though. the concerned Govt. Departments are the sole and exclusive custodians of their employees’ service records totally responsible for its proper upkeep and maintenance. There is no Govt. record which cannot be reconstructed..
Mr Raghunathan has made very pertinent suggestions which make lot of sense. All the Govt Departments may be directed to straightway implement option 1 in all cases wherever it is monetarily more beneficial to the concerned pensioner without wasting any time waiting for his exercising the option. The counting of increments earned by a pensioner in the last post held by him immediately before retirement should also be done as suggested i..e THE NUMBER OF STAGES IN THE RETIRING PAY SCALE FROM THE STARTING PAY OF THE PAY SCALE
UPTO THE LAST PAY DRAWN SHOULD BE TREATED AS THE NUMBER OF INCREMENTS EARNED (GAINED) BY THE RETIREE in the Retiring Pay Scale..This is for the Purpose of Fixation of Pension as per the Formulation shown in Para 10.1.67, Sub Para (i) of the 7th CPC Report.This is the most logical method for determining the number of increments earned (Gained) by a retiree. It also eliminates the need of rampaging through old records most of which may not be available in proper order even though. the concerned Govt. Departments are the sole and exclusive custodians of their employees’ service records totally responsible for its proper upkeep and maintenance. There is no Govt. record which cannot be reconstructed..
Can a person junior to another person by 5 to 6 years while in sevice can draw more pension than his senior as per 7cpc.
Apart from what is said, the intervening of the 5CPC has also reduced the no. of increments drawn by the pensioner who has served under both the 4th and the 5th CPCs. An example would make it clear. A Pensioner who retires in 1995, before the 5th cpc,with a basic pay of 4375/- inn the grade 3000-3500-125-4500, would have 12 increments to his credit for purpose of fixation of pension under option 1 of 7CPC, whereas his counterpart who would continue in service for 3 or 3 more years, would have landed in corresponding 5th cpc scale and with refixation of pay in 5 cpc, he would draw less no. of increments in the retiring level and thus lose the advantage of his counterpart thus, placed in a disadvantage.