Relief to lakhs of pre-2006 retirees of the Armed Forces and Central Government

Relief to lakhs of pre-2006 retirees of the Armed Forces and Central Government

Pre-2006 retirees get pension relief

Finally, after many twists and turns, it has arrived! In a relief to lakhs of pre-2006 retirees of the armed forces and central government, their pension has been revised with effect from January 1, 2006, rather than from September 24, 2012.

The department of pension and pensioners’ welfare (DoPPW) issued the universal orders regarding this revision on Thursday. Anomalies in the fixation of the pension of the pre-2006 central government retirees had come to light after the implementation of the recommendations of the sixth Pay Commission. The issue was whether pension was to be calculated based on the minimum of pay for each rank/grade within the newly introduced bands or on the minimum of the pay-band itself.

The Central Administrative Tribunal (CAT) and Armed Forces Tribunal (AFT) then corrected it and ruled that the pension would be calculated on the basis of the minimum of pay for each rank/grade within a particular band, which gives the retirees a higher pension