Get info on Welfare of Ex serviceman regarding Revision of Pension, SPARSH, OROP, CSD, ECHS, KSB Welfare Schemes, Pay Fixation and reemployment after discharge from Army Navy and Airforce. Updated info on all Rules, regulations, Orders, circulars and instructions related to Exserviceman, issued by DESW/Record offices/ KSB or any other Govt authorities.
20 June 2016
24 March 2016
Clarification on pay fixation
CENTRAL CIVIL SERVICES (FIXATION OF PAY OF RE-EMPLOYED PENSIONERS) ORDERS, 1986.
(1).Para 2. APPLICATION:
Save as others wise provided in these orders these orders shall apply to all persons who are reemployed in Civil Services and posts in connection with the affairs of the Union Government after retirement on pension gratuity and / or Contributory Provident Fund benefits from the service of Union Government including Railways, Defence and posts and telegraphers State Governments and Union Territory Administrations and Public Sectors Undertaking Local Bodies Autonomous Bodies like Universities or Semi Government organizations like Posts and telegraphers.
******The pay fixation is granted to employees of Railways, EPFO, LIC, PSUs, Banks, postal and state departments. How DOPT have two sets of interpretations? It is clear violation of article 14 (Right of Equality) of constitution. *******
(2).Para 3 (2).PRE-RETIREMENT PAY: means the substantive pay last drawn before retirement.
(ix) In the case of retired Defence Services Personnel of the rank of JCO, NCO, or OR in the Army and corresponding ranks in the Navy or Air Force, the items of emoluments mentioned below shall constitute pre-retirement pay.
ARMY (JCO, NCO or OR)
AIR FORCE
Basic Pay, Good Service/Good conduct pay, air proficiency pays badge pay
War service increments, classification pay, deferred pay.
****MSP and Grade pay***** (added vide DOPT OM 3/19/2009 Estt (pay II) dated 08/11/2010. Grade pay concept introduced in 6thCPC.
(3). ANNEXURE I: whereas in accordance with the orders contained in the Ministry of Finance Office Memorandum No. 8(34) Estt.III/57 dated the 25th Nov, 1958. As modified up to date, the initial pay or re-employment plus the gross amount of pension and/or the pension equivalent of other forms of retirement benefits shall not exceed
The pay he draw before his retirement (pre-retirement pay) or
Rs.3500 whichever is less.(*****changed to Rs.80,000/-)
***Pension/PEG and retirement benefits are ignored by 1986 OM issued by DOPT. So Gross pension need not to be added in initial pay fixed to find out hardship*****
***1964 Finance ministry OM clearly states that pre-retirement pay is to be taken into account for initial pay fixation.
****DOPT OM 3/19/2009 dated 08/11/2010 states that MSP to be included in pre-retirement pay of re-employed PBOR for initial pay fixation*****
(4). Para 4 (d) (i) : In the case of persons retiring before attaining the age of 55 years and who are re-employed, pension (including pension equivalent of gratuity and other forms of retirement benefits) shall be ignored for initial pay fixation to the following extent:
In the case of ex-serviceman who held posts below commissioned officer rank in the Defence Forces and in the case of Civilians who held posts below Group ‘A’ posts at the time of their retirement, the entire pension and pension equivalent of retirement benefits shall be ignored.
In the case of service officers belonging to the Defence Forces and Civilian Pensioners who held Group ‘A’ posts at the time of their retirement, the first Rs.500/- of the pension and pension equivalent of retirement benefits shall be ignored.
*****Ignorable amount for officers is changed from Rs.500/- to Rs. 4000/-.
*****Entire amount of Pension/PEG and retirement benefits is ignored for PBOR who retired before 55 years of age. *****
****Initial pay of PBOR is to be fixed as per pre retirement pay Para 3(2)(ix) of 1986 OM of DOPT.
No. 3/19/2009 Estt. Pay II Ministry of Personnel, Public Grievances & Pensions Department of Personnel & Training, New Delhi,
8th November 2010
Office Memorandum
(5). Subject: Fixation of pay of re-employed pensioners -Treatment of Military service Pay
In the instructions issued by the Ministry of Defence vide their letter No. 1/69/2008/D (Pay/Service) dated 24th July 2009, Pre-retirement pay has been defined as under:
In respect of re-employment taking place on/or after 1.1.2006 pre-retirement pay for those who retired after 1.1.2006 means the pay in the pay band plus grade pay but inclusive of Non-Practicing Allowance (NPA) if any, last drawn before retirement.
Post -2006 retirees, the MSP is not reckoned in the pre-retirement pay for the purposes of pay fixation on re-employment. However, for pension purposes the reckonable emoluments are – basic pay + grade pay + MSP + NPA wherever admissible. Therefore, while MSP is not taken into consideration for the purposes of pay fixation on re-employment, the element of MSP in pension is deducted.
Hence, In respect of all those Defence officers/personnel, whose pension contains an element of MSP that need not be deducted from the pay fixed on re-employment?
*****who are those lucky ex-servicemen for whom DOPT is directing, MSP to be included in pre-retirement pay for the purpose of fixation of initial pay on re-employment?***********
No. 3/19/2009 Estt. (Pay II)
Government of India Ministry of Personnel, Public Grievances & Pensions Department of Personnel & Training, New Delhi,
Dated: 05th April, 2010
(6) Para 3 (v): Fixation of pay of personnel/officers who retired prior to 1.1.2006 and who have been re-employed after 1.1.2006:
In the case of personnel/officers who had retired prior to 1.1.2006 and who have been re-employed after 1.1.2006, their pay on re-employment will be fixed by notionally arriving at their revised basic pay at the time of retirement as if they had retired under the revised pay structure. This will be done with reference to the fitment table of the Defence Service Rank/Civilian service post (as the case may be) from which they had retired and the stage of basic pay at the time of their retirement. Their basic pay on re-employment will be fixed at the same stage as the notional last basic pay before retirement so arrived at. However, they shall be granted the grade pay of the re-employed post. The maximum basic pay cannot exceed the grade pay of the re-employed post plus pay in the pay band of Rs.67000 i.e. the maximum of the pay band PB-4. In all these cases, the non-ignorable part of the pension shall be reduced from the pay so fixed.
(7). Para 4(b) (i): In all cases where the pension is fully ignored, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the reemployed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008.
Clarification 1: Letter issued by MOD (finance),CGDA dated 15/02/93 justifying pay fixation of EXSM under 4(b) (i) as per last pre-retirement pay.
Clarification2: Initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 does not imply that on re-employment pay will be fixed at entry pay only. Please read carefully,”Initial pay on re-employment shall be fixed as per entry pay (not on entry pay) i.e. entry pay should be taken into account while fixing the initial pay of PBOR. It should not be at the stage lower than entry pay.
(8).FIXATION OF PAY ACCORDING TO RULE 7 CCS (RP) Rules 2008
The procedure of initial pay fixation has been completely changed after VI CPC has come to force wef 01/1/2006. The DOPT has issued guidelines for initial pay fixation of re-employed pensioners including retired from armed forces of Indian Union vide OM No.3/13/2008-Estt. (Pay II) dated 11th November, 2008. The OM clearly directs without any doubt that the initial pay of all re-employed pensioners should be fixed according to the provisions of Rule 7 of CCS (RP) Rules 2008.
Rule 7 of CCS (RP) Rules 2008 provides that the initial pay of central govt employees should be fixed in respect of their substantive pay. Which means the initial pay of re-employed ex-servicemen should be fixed at the same stage of pay (substantive pay) last drawn by them before retirement from military service.
Here a doubt arises, when we read the para 4 (b) (i) of DOPT OM dtd 05/4/2010 which says, in cases where entire pension is ignored, initial pay should be fixed as per entry pay of the re-employed post as in the case of direct recruits employed wef 01/1/2006. Here the line “pay shall be fixed as per entry pay of the re-employed post” implies the pay scale/structure of the re-employed post to be considered while initial pay fixation and not the minimum pay at which pay is to be fixed.
Taking this para as an excuse, central govt depts fix the initial pay at the minimum of the re-employed post. Which totally wrong since such pay fixation falls under Rule 8 of CCS (RP) Rules 2008. Whereas DOPT OM dtd 11/11/2008 clearly directs to fix the initial pay according to the provisions of Rule 7 of CCS (RP) Rules 2008. Hence correct procedure to be adopted while initial pay fixation of re-employed ex-servicemen is that, the initial pay should be fixed as per entry pay of the re-employed post but Rule 7 of CCS (RP) Rules 2008 should be applied as provded vide Para 2 (i) of the DOPT OM dtd 11/11/2008. Hope all understood the conclusion. i.e. Without any doubt all re-employed ex-servicemen in civil central govt departments are eligible to get their last pay drawn(substantive pay) fixed while initial pay fixation but in the pay scale/structure of re-employed post
(9) Pay fixation on the basis of Hardship/Advance increment. Supreme Court verdict of B. Ravindra Vs DG post ( 1996) and Finance ministry’s OM of 1958.
Supreme Court in its judgment dated 08/11/96 Director General of Post Vs. B.Ravindran and ors has given reference of Finance Ministry’s OM dated 25/11/1958,1964,1978,1983 and 1985. On 25/11/58 the Government of India took a policy decision in the matter of procedure to be adopted in fixing the pay of pensioners re-employed in central Civil Dept. “The initial pay on re-employement should be fixed at the minimum stage of the scale prescribed for the post in which an individual is re-employed. In cases where it is felt that the fixation of initial pay of the re-employed official at the minimum of the prescribed scale will cause undue Hardship, the pay may be fixed at a higher stage by allowing one increment for each year of service which the officer has rendered before retirement.
The intention behind the orders issued by Finance Ministry was to give some more benefits to the re-employed pensioner. The effect of the benefit was to be given at a stage prior to the consideration of hardship. The ignorable part of the pension was to be ignored while totaling up initial pay plus gross pension in order to find out whether retired pensioners thereby was likely to get more or less what he was getting at the time of retirement( pre-retirement pay).
It appears that the effect of making the entire pension ignorable in certain cases was examined by DOPT in consultation with finance ministry. It was decided to issue the following clarification with respect to the mode of fixation of re-employed pensioners:-
When a re-employed pensioners asks for re-fixation of pay under 1983 orders, his pay has to be fixed at the minimum of the scale. The question of granting him advance increment arises only if there is hardship. Hardship is seen from the point( whether pay plus pension plus PEG whether ignorable or not ) is less than the last pay drawn at the time of retirement. If there is no Hardship no advance increment can be granted.
PCDA Allahabad circular 166 and 179 dated 07/03/2013 and 12/05/2015 and defence minister/Finance minister Sh. Arun Jaitley reply in Rajya Sabha dated 12/08/2014” If the pay of re-employed pensioners who held post below the ranks of commissioned officer (PBOR) at the time of their retirement before attaining the age of 55 years, is fixed at a higher stage because of advance increment and no protection of the last pay drawn is being given the pay is treated as fixed at a minimum of the pay scale for the purpose of ignoring the entire pension and allowing Dearness relief on pension.
Prepared by : Ehsan, Kanpur
(1).Para 2. APPLICATION:
Save as others wise provided in these orders these orders shall apply to all persons who are reemployed in Civil Services and posts in connection with the affairs of the Union Government after retirement on pension gratuity and / or Contributory Provident Fund benefits from the service of Union Government including Railways, Defence and posts and telegraphers State Governments and Union Territory Administrations and Public Sectors Undertaking Local Bodies Autonomous Bodies like Universities or Semi Government organizations like Posts and telegraphers.
******The pay fixation is granted to employees of Railways, EPFO, LIC, PSUs, Banks, postal and state departments. How DOPT have two sets of interpretations? It is clear violation of article 14 (Right of Equality) of constitution. *******
(2).Para 3 (2).PRE-RETIREMENT PAY: means the substantive pay last drawn before retirement.
(ix) In the case of retired Defence Services Personnel of the rank of JCO, NCO, or OR in the Army and corresponding ranks in the Navy or Air Force, the items of emoluments mentioned below shall constitute pre-retirement pay.
ARMY (JCO, NCO or OR)
AIR FORCE
Basic Pay, Good Service/Good conduct pay, air proficiency pays badge pay
War service increments, classification pay, deferred pay.
****MSP and Grade pay***** (added vide DOPT OM 3/19/2009 Estt (pay II) dated 08/11/2010. Grade pay concept introduced in 6thCPC.
(3). ANNEXURE I: whereas in accordance with the orders contained in the Ministry of Finance Office Memorandum No. 8(34) Estt.III/57 dated the 25th Nov, 1958. As modified up to date, the initial pay or re-employment plus the gross amount of pension and/or the pension equivalent of other forms of retirement benefits shall not exceed
The pay he draw before his retirement (pre-retirement pay) or
Rs.3500 whichever is less.(*****changed to Rs.80,000/-)
***Pension/PEG and retirement benefits are ignored by 1986 OM issued by DOPT. So Gross pension need not to be added in initial pay fixed to find out hardship*****
***1964 Finance ministry OM clearly states that pre-retirement pay is to be taken into account for initial pay fixation.
****DOPT OM 3/19/2009 dated 08/11/2010 states that MSP to be included in pre-retirement pay of re-employed PBOR for initial pay fixation*****
(4). Para 4 (d) (i) : In the case of persons retiring before attaining the age of 55 years and who are re-employed, pension (including pension equivalent of gratuity and other forms of retirement benefits) shall be ignored for initial pay fixation to the following extent:
In the case of ex-serviceman who held posts below commissioned officer rank in the Defence Forces and in the case of Civilians who held posts below Group ‘A’ posts at the time of their retirement, the entire pension and pension equivalent of retirement benefits shall be ignored.
In the case of service officers belonging to the Defence Forces and Civilian Pensioners who held Group ‘A’ posts at the time of their retirement, the first Rs.500/- of the pension and pension equivalent of retirement benefits shall be ignored.
*****Ignorable amount for officers is changed from Rs.500/- to Rs. 4000/-.
*****Entire amount of Pension/PEG and retirement benefits is ignored for PBOR who retired before 55 years of age. *****
****Initial pay of PBOR is to be fixed as per pre retirement pay Para 3(2)(ix) of 1986 OM of DOPT.
No. 3/19/2009 Estt. Pay II Ministry of Personnel, Public Grievances & Pensions Department of Personnel & Training, New Delhi,
8th November 2010
Office Memorandum
(5). Subject: Fixation of pay of re-employed pensioners -Treatment of Military service Pay
In the instructions issued by the Ministry of Defence vide their letter No. 1/69/2008/D (Pay/Service) dated 24th July 2009, Pre-retirement pay has been defined as under:
In respect of re-employment taking place on/or after 1.1.2006 pre-retirement pay for those who retired after 1.1.2006 means the pay in the pay band plus grade pay but inclusive of Non-Practicing Allowance (NPA) if any, last drawn before retirement.
Post -2006 retirees, the MSP is not reckoned in the pre-retirement pay for the purposes of pay fixation on re-employment. However, for pension purposes the reckonable emoluments are – basic pay + grade pay + MSP + NPA wherever admissible. Therefore, while MSP is not taken into consideration for the purposes of pay fixation on re-employment, the element of MSP in pension is deducted.
Hence, In respect of all those Defence officers/personnel, whose pension contains an element of MSP that need not be deducted from the pay fixed on re-employment?
*****who are those lucky ex-servicemen for whom DOPT is directing, MSP to be included in pre-retirement pay for the purpose of fixation of initial pay on re-employment?***********
No. 3/19/2009 Estt. (Pay II)
Government of India Ministry of Personnel, Public Grievances & Pensions Department of Personnel & Training, New Delhi,
Dated: 05th April, 2010
(6) Para 3 (v): Fixation of pay of personnel/officers who retired prior to 1.1.2006 and who have been re-employed after 1.1.2006:
In the case of personnel/officers who had retired prior to 1.1.2006 and who have been re-employed after 1.1.2006, their pay on re-employment will be fixed by notionally arriving at their revised basic pay at the time of retirement as if they had retired under the revised pay structure. This will be done with reference to the fitment table of the Defence Service Rank/Civilian service post (as the case may be) from which they had retired and the stage of basic pay at the time of their retirement. Their basic pay on re-employment will be fixed at the same stage as the notional last basic pay before retirement so arrived at. However, they shall be granted the grade pay of the re-employed post. The maximum basic pay cannot exceed the grade pay of the re-employed post plus pay in the pay band of Rs.67000 i.e. the maximum of the pay band PB-4. In all these cases, the non-ignorable part of the pension shall be reduced from the pay so fixed.
(7). Para 4(b) (i): In all cases where the pension is fully ignored, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the reemployed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008.
Clarification 1: Letter issued by MOD (finance),CGDA dated 15/02/93 justifying pay fixation of EXSM under 4(b) (i) as per last pre-retirement pay.
Clarification2: Initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 does not imply that on re-employment pay will be fixed at entry pay only. Please read carefully,”Initial pay on re-employment shall be fixed as per entry pay (not on entry pay) i.e. entry pay should be taken into account while fixing the initial pay of PBOR. It should not be at the stage lower than entry pay.
(8).FIXATION OF PAY ACCORDING TO RULE 7 CCS (RP) Rules 2008
The procedure of initial pay fixation has been completely changed after VI CPC has come to force wef 01/1/2006. The DOPT has issued guidelines for initial pay fixation of re-employed pensioners including retired from armed forces of Indian Union vide OM No.3/13/2008-Estt. (Pay II) dated 11th November, 2008. The OM clearly directs without any doubt that the initial pay of all re-employed pensioners should be fixed according to the provisions of Rule 7 of CCS (RP) Rules 2008.
Rule 7 of CCS (RP) Rules 2008 provides that the initial pay of central govt employees should be fixed in respect of their substantive pay. Which means the initial pay of re-employed ex-servicemen should be fixed at the same stage of pay (substantive pay) last drawn by them before retirement from military service.
Here a doubt arises, when we read the para 4 (b) (i) of DOPT OM dtd 05/4/2010 which says, in cases where entire pension is ignored, initial pay should be fixed as per entry pay of the re-employed post as in the case of direct recruits employed wef 01/1/2006. Here the line “pay shall be fixed as per entry pay of the re-employed post” implies the pay scale/structure of the re-employed post to be considered while initial pay fixation and not the minimum pay at which pay is to be fixed.
Taking this para as an excuse, central govt depts fix the initial pay at the minimum of the re-employed post. Which totally wrong since such pay fixation falls under Rule 8 of CCS (RP) Rules 2008. Whereas DOPT OM dtd 11/11/2008 clearly directs to fix the initial pay according to the provisions of Rule 7 of CCS (RP) Rules 2008. Hence correct procedure to be adopted while initial pay fixation of re-employed ex-servicemen is that, the initial pay should be fixed as per entry pay of the re-employed post but Rule 7 of CCS (RP) Rules 2008 should be applied as provded vide Para 2 (i) of the DOPT OM dtd 11/11/2008. Hope all understood the conclusion. i.e. Without any doubt all re-employed ex-servicemen in civil central govt departments are eligible to get their last pay drawn(substantive pay) fixed while initial pay fixation but in the pay scale/structure of re-employed post
(9) Pay fixation on the basis of Hardship/Advance increment. Supreme Court verdict of B. Ravindra Vs DG post ( 1996) and Finance ministry’s OM of 1958.
Supreme Court in its judgment dated 08/11/96 Director General of Post Vs. B.Ravindran and ors has given reference of Finance Ministry’s OM dated 25/11/1958,1964,1978,1983 and 1985. On 25/11/58 the Government of India took a policy decision in the matter of procedure to be adopted in fixing the pay of pensioners re-employed in central Civil Dept. “The initial pay on re-employement should be fixed at the minimum stage of the scale prescribed for the post in which an individual is re-employed. In cases where it is felt that the fixation of initial pay of the re-employed official at the minimum of the prescribed scale will cause undue Hardship, the pay may be fixed at a higher stage by allowing one increment for each year of service which the officer has rendered before retirement.
The intention behind the orders issued by Finance Ministry was to give some more benefits to the re-employed pensioner. The effect of the benefit was to be given at a stage prior to the consideration of hardship. The ignorable part of the pension was to be ignored while totaling up initial pay plus gross pension in order to find out whether retired pensioners thereby was likely to get more or less what he was getting at the time of retirement( pre-retirement pay).
It appears that the effect of making the entire pension ignorable in certain cases was examined by DOPT in consultation with finance ministry. It was decided to issue the following clarification with respect to the mode of fixation of re-employed pensioners:-
When a re-employed pensioners asks for re-fixation of pay under 1983 orders, his pay has to be fixed at the minimum of the scale. The question of granting him advance increment arises only if there is hardship. Hardship is seen from the point( whether pay plus pension plus PEG whether ignorable or not ) is less than the last pay drawn at the time of retirement. If there is no Hardship no advance increment can be granted.
PCDA Allahabad circular 166 and 179 dated 07/03/2013 and 12/05/2015 and defence minister/Finance minister Sh. Arun Jaitley reply in Rajya Sabha dated 12/08/2014” If the pay of re-employed pensioners who held post below the ranks of commissioned officer (PBOR) at the time of their retirement before attaining the age of 55 years, is fixed at a higher stage because of advance increment and no protection of the last pay drawn is being given the pay is treated as fixed at a minimum of the pay scale for the purpose of ignoring the entire pension and allowing Dearness relief on pension.
Prepared by : Ehsan, Kanpur
22 March 2016
CPMG DELHI CIRCLE ALLOWED THEIR REEMPLOYED ESM TO GET THE PAY FIXED AS LAST PAY DRAWN
Several orders/office memorandum are there to regulate the pay of reemployed pensioner/exservicemen but the controlling administrative authority is misleading the employer department as a result we are being deprived. Two employees of O/o The CPMG, national capital city are drawing their pay as last pay drawn before retirement from the armed forces. their pay particulars are mentioned below :
Present post held by both the reemployed Esm : PA 7500/- + GP - 2400 = Rs 9900/-
Employee - I
Present pay in the post of PA = 16480 + GP 2400 = Rs 18880/-
Employee-II
Present pay in the post of PA = 14810 + GP 2400 = Rs 17210/-
The above pay particulars of the December 2015 received from the concerned office. Audit of the pay has already been completed and no objection raised by the AO. So, we may expect for the good. Our approach to the government authority should be positive and still we are in the right way. We should keep win win strategy. On behalf of the Association I assure you that we must win the battle. Thank you.
Present post held by both the reemployed Esm : PA 7500/- + GP - 2400 = Rs 9900/-
Employee - I
Present pay in the post of PA = 16480 + GP 2400 = Rs 18880/-
Employee-II
Present pay in the post of PA = 14810 + GP 2400 = Rs 17210/-
The above pay particulars of the December 2015 received from the concerned office. Audit of the pay has already been completed and no objection raised by the AO. So, we may expect for the good. Our approach to the government authority should be positive and still we are in the right way. We should keep win win strategy. On behalf of the Association I assure you that we must win the battle. Thank you.
14 March 2016
INCOME TAX EXEMPTION OF DISABILITY PENSION : DISABILITY AND SERVICE ELEMENT
F. No. 200/51/00-ITA-1 dt. 02.7.2001 from Ministry of Finance Deptt. Of
Revenue Central Board of Direct Taxes, New Delhi.]
Subject: Exemption from income tax to disability pension, i.e. ”
disability element” and “service element” of disabled officer of the
Indian Armed Forces- Instructions regarding.
Reference have been received in the Board regarding exemption from income
tax to disability pension, i.e. “disability element” and “service element”
of a disabled officer of the Indian Armed Forces.
2. It appears that field formations in certain cases are not uniformly
allowing disability, pension in spite of Board’s Instruction No.136 dated
14th January, 1970 (F.No.34/3/68-IT(A.1)).
3. The matter has been re-examined in the Board and i*t has been decided to
reiterate that the entire disability pension, i.e. ” disability element”
and “service element” of a disabled officer of the Indian Armed Forcescontinues to be exempt from income tax.*
4. This may be bought to the notice of all the officers working under you.
Sd/-
B.L. Sahu
Officer on Special Duty (ITA .1)
*Press Release, dated 20-12-2007*
It has been reported in the press that some banks were deducting tax from
pension of disabled exservicemen in violation of Government instructions.
RBI was requested to have the matter investigated and remedial action
taken. After examination, RBI discovered that in one specific instance, due
to oversight, the pensioner’s disability pension was wrongly taken into
account while calculating income-tax. RBI has issued instructions to all
agency banks to strictly adhere to the provisions of para 88.3 of Defence
Pension Payment Instructions, 2005, regarding exemption of income-tax of
the disability pension of the pensioners of Armed Forces. Banks have been
advised to issue suitable instructions to all their pension disbursing
branches that income-tax should not be deducted from the disability pension
Revenue Central Board of Direct Taxes, New Delhi.]
Subject: Exemption from income tax to disability pension, i.e. ”
disability element” and “service element” of disabled officer of the
Indian Armed Forces- Instructions regarding.
Reference have been received in the Board regarding exemption from income
tax to disability pension, i.e. “disability element” and “service element”
of a disabled officer of the Indian Armed Forces.
2. It appears that field formations in certain cases are not uniformly
allowing disability, pension in spite of Board’s Instruction No.136 dated
14th January, 1970 (F.No.34/3/68-IT(A.1)).
3. The matter has been re-examined in the Board and i*t has been decided to
reiterate that the entire disability pension, i.e. ” disability element”
and “service element” of a disabled officer of the Indian Armed Forcescontinues to be exempt from income tax.*
4. This may be bought to the notice of all the officers working under you.
Sd/-
B.L. Sahu
Officer on Special Duty (ITA .1)
*Press Release, dated 20-12-2007*
It has been reported in the press that some banks were deducting tax from
pension of disabled exservicemen in violation of Government instructions.
RBI was requested to have the matter investigated and remedial action
taken. After examination, RBI discovered that in one specific instance, due
to oversight, the pensioner’s disability pension was wrongly taken into
account while calculating income-tax. RBI has issued instructions to all
agency banks to strictly adhere to the provisions of para 88.3 of Defence
Pension Payment Instructions, 2005, regarding exemption of income-tax of
the disability pension of the pensioners of Armed Forces. Banks have been
advised to issue suitable instructions to all their pension disbursing
branches that income-tax should not be deducted from the disability pension
CLARIFICATION REGARDING PAY FIXATION
CLARIFICATION REGARDING PAY FIXATION
Q-Is the Hon’Supreme court Judgement of 2013, civil appeal no 9873/2013, U.T. Chandigarh Vs Gurucharan Singh applicable to all Re-employed ?
Ans-(i)Ref. to CCS RP Rule 2008, page 01,Sl-2-2(i) , judgment is for employee of U.T Chandigarh who doesnot come under the preview of CCS Rule- and hence can not be applicable to the other re-employed ESM.
(ii) Ref to CS Rule 1986 Para 16,page 9,and Min of Finance (Dept of Expenditure) O.M F-6(8)/E-III/63 dated 11/04/1963 separate provision exists for fixation of pay for ex-Combatent Clerks and Store Keepers.
In view of the above The above Judgment can not be imposed for all Re-employed ESM. And instead the Ref to Hon Supreme Court Judgement of 8 Nov 1996 in the case of DG Post Vs B Ravindran can be refered for those retired before the age of 55.
Q-Can the Amount paid to Re-employed EXSM be recovered by the departments?
Ans-Ref to DOPT OM F.No.18/03/2015-Estt. (Pay-I) dated 2nd March, 2016, para 4, the excess paid if any to GP C,D employees can not be recovered if the employee is facing hardship.
Q- When a Re-employed ESM will be considered for undue hardship.
As per the provision the re-employed ESM will be considered for undue hard ship iff The Present Pay +Non Ignourable Part of Pension(i.e pension and pensionary benefits) is less than the substansive pay(i.e last Pay drawm). As per existing orders the part Non Ignourable Part of Pension(i.e pension and pensionary benefits) is ignored for those retired before the age of 55 .
Hence the re-employed ESM will be considered for undue hard ship iff The Present Pay is less than the substansive pay(i.e last Pay drawm).-Ref to Hon Supreme Court Judgement of 8 Nov 1996 in the case of DG Post Vs B Ravindran.
Courtesy : Kedar Satapathy,
Ex- Indian Naval Petty Officer
Postal Assistant
Berhampur Head Post Office(760001)
Berhampur Head Post Office(760001)
05 February 2016
MEETING OF NODAL OFFICERS - IMPLEMENTATION OF 7TH CPC
04 February 2016
03 February 2016
EXAEMPTION OF INCOME TAX - DISABILITY PENSION
[F.
No. 200/51/00-ITA-1 dt. 02.7.2001 from Ministry of Finance Deptt. Of Revenue
Central Board of Direct Taxes, New Delhi.]
Subject: Exemption from income tax to disability
pension, i.e. ” disability element” and “service element” of disabled officer of the Indian Armed Forces-
Instructions regarding.
Reference have been received in the Board
regarding exemption from income tax to disability pension, i.e. “disability
element” and “service element” of a disabled officer of the Indian Armed
Forces.
2.
It appears that field formations in certain cases are not uniformly allowing
disability, pension in spite of Board’s Instruction No.136 dated 14th January, 1970
(F.No.34/3/68-IT(A.1)).
3.
The matter has been re-examined in the Board and it has been decided to
reiterate that the entire disability pension, i.e. ” disability element” and
“service element” of a disabled officer of the Indian Armed Forces continues to
be exempt from income tax.
4.
This may be bought to the notice of all the officers working under you.
Sd/-
B.L. Sahu
Officer on Special Duty (ITA .1)
Press Release, dated
20-12-2007
It
has been reported in the press that some banks were deducting tax from pension
of disabled exservicemen in violation of Government instructions. RBI was
requested to have the matter investigated and remedial action taken. After
examination, RBI discovered that in one specific instance, due to oversight,
the pensioner’s disability pension was wrongly taken into account while
calculating income-tax. RBI has issued instructions to all agency banks to
strictly adhere to the provisions of para 88.3 of Defence Pension Payment
Instructions, 2005, regarding exemption of income-tax of the disability pension
of the pensioners of Armed Forces. Banks have been advised to issue suitable
instructions to all their pension disbursing branches that income-tax should
not be deducted from the disability pension paid to the pensioners of the Armed
Forces.
Conclusion
The disability pension given to Armed Forces Personnel are
having two components-disability
element & service element. Both are tax free vide
Ministry of Finance notification read with
clarification from CBDT and also there can not be any TDS as the
amount is fully tax free.
________________________________________________________________________
* (Officer in the sense
all defence personnel)
29 January 2016
08 January 2016
DOPT HAS GIVEN RIGHT DIRECTION : PROBLEM IS ON INTERPRETATION
REPORT BY : Mr Venkanna Kamidi
Regarding Pay fixation on reemployment, DOPT has given right directions even though it is clearly mentioned in their clarification such ruless are not provide last pay drawn protection it is absolutely right because para 4(a) and Para 4(b)(i) is not support.Departments quoting that paras while asking clarifications. I have talked with DOPT it is very clear .It is clearly clarified to department such rules are not provide subject to last pay drawn protection.Remaining Rule 4(b)(ii) and (d)(ii) and Para (v) then only we will get last pay drawn. .it is indirectly saying to the departments these rules are not provide to fix their initial pay at the same stage at which they drawing the last emoluments at the time of retirement.some of the rules which you have not put .so again you put by quoting that letter reference as per that that rules it is clearly said by dopt no such provision. what I am saying that the protection of last pay drawn is there .it is very cleared by the dopt clarification.so you understood first then ask department the rules which you quoted that Para 4(a) Para 4(b)(i) .our protection of last pay drawn is only on the base of Para4(b)(ii) and Para 4(d)(ii) and Para 3(v) if department not accepting then get it writting and move forward that is only court.
RTI REPLY FROM EPFO :-
NATION FORGOT THE SUPREME SACRIFICE OF SOLDIERS : EXSERVICEMEN THROUGHT THE COUNTRY APROACHED CENTRAL ADMINISTRATIVE TRIBUNAL TO GET THEIR LEGITIMATE RIGHTS
Tthe brave soldiers of indian Armed Forces sacrificed their lives to protect the nation since its inception. Even in the recent past terrorist attck on Patahnkot Airbase, 07 brave soldiers sacrificed their lives to protect our nation. Soldiers paid the ultimate sacrifice for their country. Orders of the Commanding officer are the last word for them. Soldier never thought on the battle field that it is dangerous, he might get wounded, he might even die | Had they died, it would be because they laid down their lives for their country. They chose to obey without regard for the cost. The living veteran may not have a grave marker as a memorial, but they nevertheless gave much for our country. Memories linger. But the govt authorities, employer of reemployed exservicemen never thought about us.
Govt of India issued guidelins for pay fixation of reemployed exservicemen from time to time but the employer concerned of most of the department misinterpret the provisions and we are deprived due to wrong clerification/interprettion by so called babus/officers. If we consider the logical facts, service
rendered by an Ex-serviceman never can be compared with the fresher, as
veterans have wide experience of versatile nature of work, highly motivated,
disciplined and trained for prompt actions with demand of situation and it has
been proved in the PSU/Banks that the productivity/efficiency of the ESM
category of manpower is almost 95% more than the fresher and they have honoured
their efficiency/service experience in
the form of allowing the pay fixation/ protection of last pay drawn. According
to the requirement of the stages of life the minimum supported wages to the
reemployed veteran who sacrificed their youthfulness in the sack of nation must
be considered by the competent authority.
This is not a mercy to the veteran, they deserve it and it is the right
of the veterans who were separated from family and relatives for a long, posted
in the field/CI Ops/Hazard area and dedicate their lives to serving their
country to protecting the people of India. The
competent authority should consider the facts and issue necessary instructions
to facilitate the benefit of pay fixation for ex-serviceman (PBOR) on
reemployment at the same stage as the last pay drawn before retirement.
Several requests made before the controlling authority of the various govt deptts but it ends with no result. Finally approx 100 CAT cases have been filed by the exservicemen all over the country, among them the Delhi bench and Hyderabad bench are likely to release the verdict within a few weeks.
Veterans who approached CAT may intimate us the progress for information of all members.
29 December 2015
IMPLEMENTATION OF CAT ORDERS : PAY FIXATION OF REEMPLOYED EXSERVICEMEN
Dear veteran friends,
Central Administrative Tribunal has issued several orders in favour of exservicemen as pay fixation on reemployment was claimed before the authority. Reemployed veterans who have in recipt of the entitled pay fixation are requested to cooperate with us to assist other applicants. They all are requested to send the copy of Pay orders/ Pay fixation orders issued by their respective departments.
Veterans who are seeking pay fixation from their concerned departments kindly share present status of the case, as exchange of information may help us to achieve our goals. You may send your report to reemployedexsm@gmail.com.
Thank you,
JAI HIND.
Central Administrative Tribunal has issued several orders in favour of exservicemen as pay fixation on reemployment was claimed before the authority. Reemployed veterans who have in recipt of the entitled pay fixation are requested to cooperate with us to assist other applicants. They all are requested to send the copy of Pay orders/ Pay fixation orders issued by their respective departments.
Veterans who are seeking pay fixation from their concerned departments kindly share present status of the case, as exchange of information may help us to achieve our goals. You may send your report to reemployedexsm@gmail.com.
Thank you,
JAI HIND.
22 December 2015
CAT ORDER IN FAVOUR OF REEMPLOYED EXSM OF RAILWAY
IMPORTANT INFORMATION FOR CAT CASE FILING
My dear friends,
Regarding the Case you filled in CAT, please brief the Advocate properly as we donot get pay protection as per existing Govt orders as of now. Due to this terminology used by many of the departments, making us fool on pay fixation matter. we are eligible for only to the last basic pay drawn which is clearly mentioned in para 3(v) of the om dated 05 Apr 2010.
The details are below:-
(a) There is no pay protection to the re-employed ex-serviceman in civil posts but the last basic pay drawn is only being allowed. The Basic Pay can be decided by the Pension pay order /LPDC or with the Corrigendum PPO if any correction to the Basic pays at the time of retirement or as per the Basic pension, as pension is 50% of the last Basic pay drawn while in service. Also the elements of the basic pay to take for the pay fixation is explained in Para 3, sub Para 2(ix) of OM dated 31 Jul 1986 & OM dated 5 April 2010 [note under Para 4(a) for Grade pay & 3(iii) for MSP].
(b) The most important clarification is given in the Para 3(v) of the OM dated 05 April 2010 as, In the case of personnel /officers who had retired prior to 1.1.2006 and who have been re-employed after 1.1.2006, their pay on re-employment will be fixed by notionally arriving at their revised basic pay at the time of retirement as if they had retired under the revised pay structure. This will be done with reference to the fitment table of the Defence Service Rank /Civilian service post (as the case may be) from which they had retired and the stage of basic pay at the time of their retirement. Their basic pay on re-employment will be fixed at the same stage as the notional last basic pay before retirement so arrived at. However, they shall be granted the grade pay of the re-employed post. The maximum basic pay cannot exceed the grade pay of the re-employed post plus pay in the pay band of Rs.67000 i.e. the maximum of the pay band PB-4. In all these cases, the non-ignorable part of the pension shall be reduced from the pay so fixed.
(c) The above para (b) has clarified and confirmed to bring equality to the pre 1.1.2006 and post 1.1.2006 retiree basic pay by allowing notional last basic pay drawn to pre 1.1.2006 retiree so as to bridge the gap between pre and post 1.1.2006 retiree while on re-employment takes place on or after 1.1.2006. This is to be understood thoroughly by the Admin and Audit authority of the department concerned while dealing with the pay fixation of the re-employed ex-servicemen.
So kindly understand and brief every one, Because in the name of pay protection we have been fooled,It is evident in the resent clarification issued by DOPT for your Postal department. Non of the Govt order says last pay drawn pay to be protected( it means pay plus DA drawn ) and no where mentioned only minimum scale of entry pay to be fixed for re-employed ESM who retired before the age of 55 yrs & below in the rank of commissioned officer.
Regards,
Asokkumar T
9447574731
17 December 2015
TEAM HYDERABAD WON THE BATTLE OF PAY FIXATION
XX
08 December 2015
PAY FIXATION IN GUJARAT CIRCLE : A MILESTONE OF SUCCESS OF OUR JOURNEY
Reemployed Exservicemen of Gujarat Postal Circle got gsuccess in the battle of Pay Fixation. The War Veteran Mr Girish retired in 1994 and reemployed in Dept of Post in 1996. Since then he was unrest in getting his dues from the administration regarding Pay fixation. Finally he acheived the goal. He has been granted pay fixation based on the Court Orders of 1996 vide his Divn Order No B9/6/EXS MAN/2015 dated 26/10/2015 and the same has been forwarded to Gujarat Postal Circle & DAP office for verification on 16/11/2015. The verdict of the court was in favour of the Ex Servicemen. The instruction of the court is that, pay fixation of the reemployed central govt employees that of Exservicemen will be in following manner :-
Step - I Calculate the last pay drawn before retirement from the previous service/Defence authority.
Step - II Calculate the the pay of reemployed post with grant of number of advance increment equal to number of years of service in the Armed Forces.
Now the pay of the reemployed exservicemen is to be fixed in the lower amount between I & II and that one will be taken in to acount.
Contact Number of war veteran Mr Girish is : 9429134662.
He will upload the copy of orders once he gets his dues from the authority.
Step - I Calculate the last pay drawn before retirement from the previous service/Defence authority.
Step - II Calculate the the pay of reemployed post with grant of number of advance increment equal to number of years of service in the Armed Forces.
Now the pay of the reemployed exservicemen is to be fixed in the lower amount between I & II and that one will be taken in to acount.
Contact Number of war veteran Mr Girish is : 9429134662.
He will upload the copy of orders once he gets his dues from the authority.
01 December 2015
DA RELATED ORDERS OF CDA (P) ALLAHABAD
Circular No. 166
No. AT/Tech/263- XVI
O/o the Pr. C.D.A. (P), Allahabad
Date: 07.03.2013
To,1. The CMD(Bank of Baroda, Oriental Bank of Commerce, Dena Bank
&Punjab &Sind Bank)
2. The Director of Treasuries of all state …….
3. The Nodal Officers (ICICI/IDBI/AXIS/HDFC Bank)….
4. The CDA (PD) Meerut……….
5. The CDA-Chennai……….
6. The Manger CPPC of Public Sector Banks… (except banks mentioned at
1 above)
7. The Pay & Accounts Officers…………
8. Military & Air Attache, Indian Embassy Kathmandu-Nepal
9. The DPDO…………
10 The Post Master…………..
Sub: - Non payment of Dearness Relief on Disability Element While on Re-
Employment.
*****************
The payment of dearness relief during re-employment / employment /
permanently absorption of pensioners / family pensioners under the Central or
State Government or in a Statutory Corporation / Company / Body / Bank under
them in India or abroad is not being regulated correctly by various Pension
Disbursing Authorities. Where some Pension Disbursing Authorities are
disallowing dearness relief to re-employed pensioner of commissioned officer
on disability element, others are allowing in few cases. Similar irregularities
have been noticed in case of pensioners of PBOR. The instances of not allowing
dearness relief to family pensioners during their employment are also drawing
attention of this office/Ministry from time to time. The position on the subject is
though clearly stipulated in Ministry of Personnel, Public Grievances &
Pensions, Deptt of P&PW letter No. 45/73/97-P&PW(G) dt. 2nd July, 1999 and
Ministry of Defence letter No. 79(1)/95/D (Pen/Services) dated 28th August
2000 and Deptt of P&PW UO No. 41/42/2007-P&PW(G) dt. 3-4-2008.
However, position is re-clarified as under for uniform implementation of above
orders.
(a) In case of re-employed pensioners who hold Group ‘A’ post or posts of
the ranks of commissioned officers at the time of their re-employment will not
be entitled to any dearness relief on pension on the fact that:-
(i) A certain portion of pension is taken into account and is not entirely
ignored.
(ii) The pay in the post of re-employment is not required to be fixed at the
minimum of the scale in all cases, and
(iii) Dearness allowance at the rates applicable from time to time is also
admissible on the pay fixed on re-employment.
(b)(i) The entire pension admissible is to be ignored in the case of civilian
pensioner who held posts below Group ‘A’ and those ex-servicemen who held
posts below the ranks of commissioned officers, at the time of their retirement.
Their pay on re-employment is to be fixed at the minimum of the pay scale of
the post in which they are re-employed. Such civilian pensioners will
consequently be entitled to dearness relief on their pension at the rates
applicable from time to time.
(b)(ii) The ex-servicemen (PBOR) who retired before attaining the age of 55
years and re-employed thereafter and their pay fixed at a higher stage because of
advance increments and no protection of the last pay drawn is being given, the
pay should be treated as fixed at a minimum only for the purpose of ignoring the
entire pension and allowing dearness relief on pension.
(c) The disability element is part of disability pension, therefore position
explained at a & b above will also apply for regulating dearness relief on
disability element during re-employment of pensioner drawing disability
pension.
(d) The family pension received by the eligible central Govt.
employees/Armed Forces pensioners is, in any case, not taken into account in
determining their pay on employment therefore, dearness relief at the rates
applicable from time to time shall be admissible on their family pension.
Incorrect payment of pension is not only infringement of Govt. orders
but also cause of concern to pensioners. It is, therefore, requested to instruct
Pension Paying Branches / CPPC / Offices / Treasuries under your jurisdictions
to regulate the payment of dearness relief on pension /family pension on reemployment/
employment/permanently absorption of pensioners/family
pensioners as explained above.
(P.N. CHOPRA)
Asst.CDA (P)
Copy to:-
1. T h e C G D A, ULAN BATAR ROAD, Palam Delhi Cantt-110010-
For information w.r.to HQrs. Office letter No.5609/AT-P/XXXI/PF
dt.14.02.2013
2. The Pr.CDA (Navy), Cooperage Road Mumbai.
3. The CDA (AF), New Delhi
4. PA to CDA (AT) / CDA (Gts) in Main Office.
5. PA to all Addl. CDA / Jt.CDA, in Main Office.
6. All GOs, in Main Office.
7. Officer-in-Charge, G-I/ M (Tech), G-I/C (Tech) and. Gts(Ors) /Tech
Section (Local).
8. Officer-in-Charge in all section (Local).
9. Officer-in-Charge EDP Centre (Local). For inclusion and uploading at
Website of this office.
(S.BASUMATARY)
ACCOUNTS OFFICER (P)
18 November 2015
REPRESENTATION ON PAY FIXATION OF RE-EMPLOYED EXSERVICEMEN SUBMITTED TO DESW, MIN OF DEFENCE
REEMPLOYED EXSERVICEMEN ASSOCIATION
Email : reemployedexsm@gmail.com
Website : www.reemployedexservicemen.blogspot.in
*********************************************************************************
Ref No : 4001/Pay Fixn/02 Date : 27 October 2015.
To
The Director General of Resettlement
Ministry of Defence, Govt of India
West Block IV, RK Puram
Delhi
Respected Sir,
Subject : PAY FIXATION OF REEMPLOYED EX-SERVICEMEN (PERSONNEL BELOW OFFICER RANK) IN CENTRAL GOVERNMENT DEPARTMENTS/ MINSTRIES
1. Please Refer to your Reply of grievance to Bikash De vide your office letter No CPGRAM/001015/2015 dated 10 Oct 2015. With profound regards it is submitted that pay fixation of reemployed Central Govt employees belong to ex-serviceman category who held below commissioned officer/Gp A Officer rank at the time of their retirement are not carried out as per Govt Orders issued from time to time due to misinterpretation/wrong clarification by various administrative authorities. The re-employed Ex-servicemen are being deprived by their employer/controlling authorities.
2. Statement of case for regularization/streamlining of pay fixation of reemployed ex-servicemen is enclosed herewith for your kind consideration and further approach to the competent authority/controlling authority i.e. Department of Personnel & Training to facilitate the rights of the veteran members of Indian Armed Forces please
Sd/- xxxxx
(Bikash De)
Secretary
Reemployed Ex-servicemen Association
Enclosures : (a) Statement of case.
(b) Appendix A (Illustration of pay fixation procedure).
(c) Appendix B to R (Related govt orders).
STATEMENT OF CASE FOR REGULARISATION OF PAY FIXATION OF REEMPLOYED EXSERVICEMEN (PERSONNEL BELOW OFFICER RANK) IN CENTRAL GOVERNMENT DEPARTMENTS/ MINSTRIES
INTRODUCTION
Government of India provides reemployment opportunity in various Departments/Ministries, Public Sector Organisation & Autonomous Bodies for Ex-Servicemen of Indian Armed Forces as a rehabilitation measure due to their retirement at early age. Most of the Exservicemen belong to PBOR category retired (discharged) from service on superannuation at the age of 37-40 years. To ensure the minimum survival support earnings govt of India introduced a higher stage of pay in several manners to the reemployed ex-servicemen from time to time. In all cases the pay is fixed either at the same stage as last pay drawn before retirement or grant advance increment for each year of service rendered in defence forces. The practice of fixation of pay in the reemployed post at the same stage as the last pay drawn before retirement by granting advance increment or some other means is still continued in some govt departments according to latest Govt Orders issued vide CCS (fixation of pay of re-employed pensioner) Orders, 1986, issued vide DOP&T O.M. No. 3/1/85-Estt. (Pay II) dated 31 July 1986 read with their O.M. No. 3/19/2009. Esst. Pay dated 05 April 2010, O.M. No 3/13/2008-Estt. (Pay II) dated 11 November 2008 and OM No. 3/19/2009-Estt. Pay-II dated 08 November 2010. (copy enclosed at Appendix B,C,D & E). Public Sector organizations i.e Nationalised Banks, LIC, FCI and other PSUs are still implementing the extended govt orders regarding the pay fixation of reemployed ex-servicemen as mentioned above. Pay protection is not allowed anywhere as the provision is not in extended government orders. It is apparent to mention that pay protection and pay fixation is not the same and the difference is clarified at Appx Fattached.
DETAILED JUSTIFICATION OF THE CASE
2. Departments under Central Government Ministries i.e. Department of Post, Audit & Accounts Department, Defence Accounts Dept, Railways and many others are not agreed to allow the pay fixation as mentioned vide paragraph 1 above to reemployed ex-servicemen belong to below officer rank of the Armed Forces. Basically the fixation of pay of reemployed ex-servicemen is regulated by the Govt Organization according to the instructions given in govt orders as mentioned above. Besides above orders your attention is invited to the Ministry of Finance, Dept. of Expdr. OM No 8(34)/Estt-III/57 dated 25 Nov 1958 and 5 (21) Estt-III(3)/64 dated 15 June 1964, CGDA letter No AT/II/2432-VI dated 15 Feb 1993 and CDA (Pension) Allahabad circular No 179 dated 12 May 2015, (Appx G - J attached).
2
3. (a) The relevant paragraphs of CCS (fixation of pay of re-employed pensioner) Orders, 1986 on which the pay fixation is dealt with as mentioned below :-
Para 4(d)(i) :
Ex-servicemen retired before the attaining the age of 55 years and held posts below Commissioned Officer rank in the Defence Forces and in the case of civilians who held posts below Group 'A' posts at the time of their retirement, the entire pension and pension equivalent of retirement benefits shall be ignored.
Para 4(d)(ii) :
The services officers belonging to the Defence Forces and Civilian Pensioner who held Gp 'A' posts at the time of their retirement, the first Rs.500/-* of the pension and pension equivalent retirement benefits shall be ignored. (*Already revised to Rs.4000/- vide O.M. No. 3/13/2008-Estt. (pay II) dated 11 th November, 2008).
Para 4(b)(i)
where the pension is fully ignored, the initial pay on re-employed shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008.
Para 4(b)(ii) :
In cases where the entire pension and pensionary benefits are not ignored for pay fixation, the initial basic pay on re-employed shall be fixed at the same stage as the basic pay drawn before retirement, However, he shall be granted the grade pay of the re-employed post. The maximum basic pay cannot exceed the grade pay of the re-employed post plus pay in the pay band of Rs. 67000 i.e. the maximum of the pay band PB-4. In all these cases, the non-ignorable part of the pension shall be reduced from the pay so fixed. The specific clause is related to Retired Commissioned Officers of Armed forces category/Gp A Officers only.
(b) Relevant portion of DOPT OM No 3/13/2008/Estt/Pay II dated 11 Nov 2008 are as under :-
(i) The President is pleased to decide that, in partial modification of the Rule 2 (2)(vii) of the Central Civil Services (Revised Pay) Rules, 2008, the provisions of these rules shall apply to such persons also who were in re-employment on 1st January, 2006, subject to the orders hereinafter contained. This decision will cover all Government servants re-employed in Central Civil departments other than those employed on contract whether they have retired with or without a pension and/or gratuity or any other retirement benefits, e.g. contributory fund etc. from a civil post or from the Armed Forces.
3
(ii). Para 2 (i) : The initial pay of a re-employed Government servant who elects or is deemed to have elected to be governed by the revised pay scale from the 1st day of January, 2006 shall be fixed in the following manner namely –
According to the provisions of Rule 7 of the CCS. (R.P.) Rules, 2008, if he is-
(i) a Government servant who retired without receiving a pension, gratuity or other retirement benefit and
(ii) a retired Government servant who received pension or any other retirement benefits but which were ignored fixing pay on re-employment."
(c) Para 2 (ii) : The initial pay of a re-employed Government servant who retired with a pension or any other retirement benefit and whose pay on re-employment was fixed with reference to these benefits or ignoring a part thereof, and who elects or is deemed to have elected to be governed by the revised scales from the 1st day of January, 2006 shall fixed in accordance with the provisions contained in Rule 7 of the Central Civil Services (Revised Pay) Rules, 2008. In addition to the pay so fixed, the re-employed Government servant would continue to draw the retirement benefits he was permitted to draw in the pre-revised scales, as modified based on the recommendations of the Sixth Central Pay Commission, orders in respect of which have been issued separately by . the Department of Pension & Pensioners Welfare. However, an amount equivalent to the revised pension (excluding the ignorable portion of pension, wherever permissible), effective from 1.1.2006 or after, shall be deducted from his pay in accordance with the general policy of the Government on fixation of pay of re-employed pensioners. Annual increments will be allowed in the manner laid down in Rule 10 of Central Civil Services (Revised Pay) Rules, 2008, on the entire amount of pay as if pension had not been deducted.
4. From the above reference it is clear that the pay of reemployed ex-servicemen will be fixed according to rule 7 of CCS RP Rules 2008 with adherence to CCS (Fixation of pay of reemployed pensioners) Rules 1986 and DOP&T O.M dated 05 April 2010 in this regard. The term minimum pay refers here the pay last drawn by the reemployed ex-servicemen before retirement (substantive pay) and the pay should be fixed in the pay structure of reemployed post i.e. the grade pay of reemployed post only admissible in such case. Total pay should be equal to the last pay drawn by the pensioner. .In this regards your attention is invited to para 3(v) of DOPT OM dated 05 April 2010 (Appx C).
4
5. Public Sector Banks are still implementing the govt orders (DOP&T OM as per Appx B-Eattached) and pay fixation of the reemployed ex-servicemen allowed at the same stage as last pay drawn before retirement. Circular of Indian Banks Association is attached herewith at Appx K.
6. . Despite specific Government orders issued on the subject matter, the Department/Ministries under central govt. are not agreed to re-fix the pay of reemployed ex-servicemen (PBOR) category as mentioned in para 4 above. The reemployed Ex-serviceman belong to PBOR category are allowed to get their pay fixed only at the minimum/entry pay of re-employed post which is illogical and unlawful decision made by the authority.. The victims need to fight for their rights against the system as it shows the inability to pay the entitled wages to his own employees which is a constitutional right of every citizen. Being Indian we all are aware of Indian Armed Forces and service rendered by the soldiers and their supreme sacrifice for the nation since its inception. There may be some ambiguity in the Office Memorandum issued by DOP&T related to pay fixation but the departments should get the rules/provisions clarified from the issuing authority in a constructive manner. The applications for pay fixation of reemployed ex-servicemen kept un actioned for months after months and after repeated requests and reminders they issue a negative reply to the employee without knowing the rules and regulations of the subject concern. Even though most of the department/ministries do not have the relevant ruling letters available with them. Most of the officers are ignorant of the matter and they put the case deliberately delayed. It is apparent to mention that the reemployed ex-servicemen belongs to Commissioned Officer category are allowed to get their pay fixed at the same stage as last pay drawn before retirement in each and every department of government of India according to para 4b(ii) of CCS (fixation of pay of reemployed pensioners) Rules 1986 (Appx B att.). It shows a huge discrimination between the two different cadres belong to the same fraternity and both performed the same duty – defend our country from external aggression. The Jawans (PBOR) are deprived while in service and even after retirement. As a result a large number of ex-serviceman are suffering from financial hardship besides moral depression. No body think about their family, their life. The policy makers never think about the jawans, rather it was tactfully managed by them that the facility should not be extended to jawans who do not have any participation in formulating the policy. Discrimination created by the bureaucrats with regards to pay fixation of reemployed Officers and Jawans are clarified with illustration in Appx A attached. Now the situation has been changed. Jawans are no more just so called soldier. Besides fighting for the country they have learnt to nurture their own family. So, they are now able to raise their voice after retirement. In this digital era we can imagine that the information of such discrimination easily spreads to the serving soldiers of the three services.
5
The bureaucratic, dictatorship, dominated ruling is over. Hundreds of cases regarding pay fixation has been placed in the Central Administrative Tribunal and higher Judicial systems of the country.
7. After all it is a matter of shame in the realistic view. Quoting the same authority /Govt orders issued by DOP&T the PSU organizations and Banks have facilitate the pay fixation to the ex-servicemen (PBOR) to fix the pay at the same stage as last pay drawn before retirement but the department/ministries under central Govt. are still not agreed to provide the entitlements to the reemployed ex-soldiers. The points have been raised that the commissioned officer has been allowed to get their pay fixed as last pay drawn by them before retirement with condition to deduction of non ignorable portion of pension from the pay so fixed. In general it is an eye wash. Inspite of deduction still their minimum gain from this pay fixation is Rs 16850/-. Whereas the ex servicemen (PBOR) gets a big zero. The actual fact is revealed with practical implementation as per illustration given in Appx A attached.
REMEDIAL ACTION REQUIRED TO BE TAKEN
8. In view of the above, to remove the disparity and ambiguity, it is requested that the relevant portion of CCS (Fixation of pay of reemployed pensioners) Rules 1986 amended vide DOPT OM No 3/19/2009/Estt/Pay(II) dated 05 April 2010 should be modified as mentioned below :-
For :-
Para 4(b) (I)
In all cases where the pension is fully ignored, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide section II, Part A of First Schedule to CCS (RP) Rules, 2008
Read :-
Para 4(b) (I)
In cases where the pension is fully ignored by exercising option, the initial pay on re-employment shall be fixed as per entry pay in the revised pay structure of the re-employed post applicable in the case of direct recruits appointed on or after 1.1.2006 as notified vide section II, Part A of First Schedule to CCS (RP) Rules, 2008. In other cases of ex serviceman who held posts below commissioned officer rank in the Defence Forces and in the case of ex civilians who held posts below Group A posts at the time of their retirement and retired before attaining the age of 55 years,
6
their entire pension will be ignored for initial pay fixation and initial pay on re-employment shall be fixed at the same stage as the last pay drawn before retirement. Their pay will be fixed according to the illustration shown in para 4(b)(ii). In such case any part of pension will not be reduced from the pay so fixed as mentioned in para 4(d)(ii).
9. Once again it is requested that the orders should be issued with free from any ambiguity, clearly mentioning the feasibility of fixation of pay of the reemployed ex-servicemen belongs to below officer rank at the same stage as the last pay drawn before retirement with ignoring entire portion of pension. The reemployed ex-servicemen (PBOR) should also be entitled to draw pension/PEG separately. Thousands of reemployed soldiers suffering from acute financial hardship due to very low earning even after re-employed with Central Civil Services. They would get relief with the right approach and a patriotic initiative if taken at your end.
DOCUMENTARY EVIDENCE OF CORRECT IMPLEMENTATION OF GOVT ORDERS
10. Details of pay fixation orders of few offices who already granted pay fixation to ex-soldiers are appended below with documentary evidence:-
(i) IBA Circular & clerification - Appx K
(ii) Dept of Post, Rajasthan Circle (Jaipur Dn)- Appx L
(iii) Income Tax Department - Appx M
(iv) Employees Privident Fund Organisation - Appx N
(v) Western Railway Pay fixation - Appx O
(vi) Clerification of EPFO - Appx P
(vii) Clerification of Western Railway - Appx Q
(viii) PIB Release - Appx R
Station : Kolkata (West Bengal)
Sd/- xxxxx
Date : 27 October 2015 (Bikash De)
Secretary
Reemployed Exservicemen Association
Appx A
COMPARATIVE ILLUSTRATION OF PRESENT PRACTICE OF FIXATION OF PAY OF REEMPLOYED EXSERVICEMEN BELONGS TO BELOW OFFICER RANK AND COMMISSIONED OFFICER RANK.
Illustration of Pay Fixation of a retired Commissioned Officer reemployed as Section Officer According to para 4 of CCS (fixation of pay of re-employed pensioner) Orders, 1986 (Revised).
Colonel ABC who retired at the age of 54 years.
Entry pay of his reemployed post :-
Pay in the pay band – Rs 15600/-
Grade Pay - Rs 5400/-
Total Pay - Rs 21000/-
|
His Pre retirement pay (Last pay drawn).
Pay in the pay band – Rs 53000/-
Grade Pay - Rs 8700/-
MSP - Rs 6000/-
Total Pay - Rs 67700/-
Pension sanctioned ( 50% of last pay drawn) = Rs 33,850/-
Ignorable part of pension for the purpose of pay fixation = Rs 4,000/-
Non Ignorable part of pension for the purpose of pay fixation = Rs 33850/- – Rs 4000/- = Rs 29850/-
Amount required to be deducted from the pay so fixed = Rs 29,850/-
Pay fixed in r/o Colonel (Retd) ABC in the reemployed post according to para 4 of CCS (fixation of pay of re-employed pensioner) Orders, 1986 revised from time to time :-
Total pay to be fixed at the same stage as last pay drawn = Rs 67,700/-
Non ignorable part of pension required to be deducted = Rs 29,850/-
Net pay fixed on reemployment (allowed to draw) = Rs 37,850/-
(Subject to drawal of pay plus gross pension on re-employment will not more than Rs. 80,000/-, the maximum salary payable to
the Secretary to the Government of India under Central Civil Services (Revised Pay) Rules, 2008.)
Pay of the reemployed commissioned officer in the re-employed post of Section Officer is fixed as:-
Pay in the Pay band –III. Band pay = Rs 32,450/- Grade Pay = Rs 5400/-
Entry pay admissible to fresher/new recruit for the post of Section Officer recruited through UPSC:-
Pay in the Pay band –III Band Pay = Rs 15,600/- Grade Pay = Rs 5400/-
Additional benefit allowed to reemployed Gp A/Commissioned officer = Rs 16,850/-
This benefit of pay fixation is not allowed to re-employed ex-serviceman who belongs to below officer rank (PBOR).
2
Illustration of Pay Fixation of an Ex-Serviceman (Personnel Below Officer Rank) reemployed in the post of LDC. According to para 4 of CCS (fixation of pay of re-employed pensioner) Orders, 1986 due wrong interpretation of Govt orders.
Havilder XYZ who retired at the age of 40 years.
Entry pay of his reemployed post (LDC):-
Pay in the pay band – Rs 5830/-
Grade Pay - Rs 1900/-
Total Pay - Rs 7730/-
|
His Pre retirement pay (Last pay drawn).
Pay in the pay band – Rs 9550/-
Grade Pay - Rs 2800/-
MSP - Rs 2000/-
Classification Pay - Rs 300/-
Total Pay - Rs 14650/-
Pension sanctioned ( 50% of last pay drawn) = Rs 7325/-
Ignorable part of pension for the purpose of pay fixation = Rs 7325/- (entire pension/PEG)
Pay of the reemployed Ex Serviceman in the re-employed post of LDC is fixed according to wrong interpretation of Para 4 (b) (i) (by the administrative authority) of CCS (fixation of pay of re-employed pensioner) Orders, 1986 (revised) :-
Pay in the Pay band –I. Band pay = Rs 5830/- Grade Pay = Rs 1900/-
Total pay = Rs 7730/- (Entry pay/minimum pay of the reemployed post as admissible to fresher/new recruit for the post of LDC recruited through SSC/other agencies)
Our demand is to fix the pay of reemployed ex-serviceman at the same stage as the last pay drawn before retirement in the following manner as entitled vide DOPT OM attached at Appx B duly incorporated with DOPT OM dated 11 Nov 2008 (Appx C) :-
PROPOSED
Pay in the Pay band –I. Band pay = Rs 12750 /- Grade Pay = Rs 1900/-
Total pay = Rs 14650/-
Deprived due to incorrect fixation of pay at the minimum pay of reemployed post = Rs 6920/- per month (Basic pay only).
From the above comparative illustration it is revealed that the re-employed Ex-servicemen who held below Commissioned Officer Rank in the Armed Forces at the time of their retirement, are being deprived and this is contrary to the natural justice and violation of fundamental rights.. Commissioned Officers/Gp A officers must get their entitled pay in their reemployed posts as mentioned in the relevant rules/orders issued by DOP&T but PBOR also should get the same if we consider them part of the Indian Armed Forces and we remember their sacrifice for our country besides authorization as mentioned in the constitutionally approved govt orders. .
3
DETAILED CLERIFICATION
The Personnel Below Officer Rank (PBOR) of the Indian Armed Forces mostly retired on superannuation after completion of 17- 20 years of service at an average age of 40 years in the rank of Havilder or Sepoy/Nk and equivalent rank of Navy/Air Force. Scope of resettlement in the Govt sector is too less whereas requirement is too much. Only 3% veterans get Govt job against the 5% Ex-serviceman quota reserved for Gp C & D posts only. The eligible, qualified and experienced Ex-serviceman recruited mostly in the Group D/MTS/LDC/equivalent posts in the Central Govt in Pay Band –I (Rs 5200-20200) with grade pay of Rs 1800/1900. The initial gross pay/entry pay including DA and other allowances as on date is appeared to be less than Rs 17000/-pm. Pension sanctioned including DR at an average is now Rs 10,000/- pm. The total monthly income after 20 years of service is Rs 27,000/- pm. Whereas a central govt servant with similar profile and 20 years of service is drawing his salary not less than Rs 50,000/- pm. Even a newly recruited LDC in any govt office with only 7 years of service is drawing Rs 30,000/-pm.
Service rendered by an Ex-serviceman never can be compared with the fresher, as veterans have wide experience of versatile nature of work, highly motivated, disciplined and trained for prompt actions with demand of situation and it has been proved in the PSU/Banks that the productivity/efficiency of the ESM category of manpower is almost 95% more than the fresher and they have honoured their efficiency/service experience in the form of allowing the pay fixation/ protection of last pay drawn (Copy of Circular of Indian Banks Association enclosed in Appx ).
According to the requirement of the stages of life the minimum supported wages to the reemployed veteran who sacrificed their youthfulness in the sake of the nation must be considered by the competent authority. This is not a mercy to the veteran, they deserve it and it is the right of the veterans who were separated from family and relatives for a long, posted in the field/CI Ops/Hazard area and dedicate their lives to serving their country to protecting the people of India. Soldiers paid the ultimate sacrifice for their country. Orders of the Commanding officer are the last word for them. Soldier never thought on the battle field that it is dangerous, he might get wounded, he might even die | Had they died, it would be because they laid down their lives for their country. They chose to obey without regard for the cost. The living veteran may not have a grave marker as a memorial, but they nevertheless gave much for our country. The memories linger. The competent authority should consider the facts and issue necessary instructions to facilitate the benefit of pay fixation to ex-serviceman (PBOR) on reemployment at the same stage as the last pay drawn before their retirement.
4
APPEAL
The Controlling/Competent authority is requested to go through the relevant orders with a realistic view and reform the rules in favour of Ex-serviceman. Though a few departments/offices under ministries have allowed pay fixation to reemployed Ex serviceman (PBOR) as per Para 4(b)(ii) with a logical view of the provisions of different criteria mentioned in the CCS (Fixation of pay of reemployed rules) 1986 incorporated with DOPT OM dated 11.11.2008 (AppxC). Meanwhile, DOP&T has issued their clarification to the Dept of Post that the Ex-serviceman are not entitled to get pay protection. Though we are not claiming pay protection but pay fixation as allowed to the Gp A officers/Commissioned Officers. The reemployed Gp A/Commissioned officers are still allowed to get the benefit in the version of pay fixation as last pay drawn before retirement. In natural view of justice the practice is inhumane and discriminative. It is apparent to mention that our demand is pay fixation and not pay protection. DOP&T should clarify the provisions of para 4(a) & (b)(i)&(ii) with partial modification if required and issue orders in such a manner with clear indication that the reemployed ex-serviceman who held below officer rank before retirement and retired before attaining the age of 55 years shall be allowed to get their pay fixed at the same stage as the last basic pay drawn by them before retirement.. However, they will be allowed to draw grade pay of the reemployed post only. The entire pension and pension equivalent of retirement benefits shall be ignored in this case. Remaining provision of para 4(c), 4(d) (i) & (ii) should be remain unchanged. An illustration in this regard may provide guidelines to the administrative authorities.
CONCLUSION
In the conclusion it is stated that the pay fixation benefit to the reemployed ex-serviceman on their reemployment as mentioned above should be allowed at the realistic grounds as they deserve it. Competent authority should consider the prayer in order to ensure minimum supportive earning in comparisons with similar profile civilian employees as the same has already been allowed to the Retired Gp A/Commissioned Officers reemployed in the Central Govt Departments/Ministries. An early disposal of the case with positive outcomes is anticipated.
Station : Kolkata (West Bengal)
Sd/- xxxxx
Date : 27 October 2015 (Bikash De)
Secretary
Reemployed Exservicemen Association
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