Sub:Revision of pension of BSNL pensioners/ family pensioners, who retired prior to 10.06.2013 by allowing the benefit of merger of 50% DA/ DR with Basic Pay/ pension, effectively amounting to 78.2% DA/ DR for the purpose of fitment

The pension to combined service optee absorbed employees in BSNL is paid by Government as per sub-rules 21 to 23 of Rule 37-A of CCS(Pension) Rules 1972.

2. Consequent to the Department of Public Enterprises (DPE) orders dated 26.11.2008, revision of pay of employees of BSNL was allowed with effect from 1.1.2007 vide Letter No. 61-01/2009-SU dated 27.02.2009. Subsequently, pension/family pension of employees retired from BSNL who retired between 01.10.2000 and 1.1.2007, was revised vide this office a.M. No. 40-17/2008-Pen (T) Vol.lll dated 15.3.2011.

3. Further to Department of Public Enterprises O.M. No. 2(70)/08-DPE (WC)-GL- VII/09 dated 02.04.2009, the benefit of merger of 50% DA with Basic Pay effectively amounting to 78.2% IDA as on 1.1.2007 for the purpose of fitment, was granted to the BSNL serving employees w.e.f. 10.6.2013 vide Order No. 61-01/2012-SU dated 10.6.2013.

4. The issue regarding revision of pension/ family pension of BSNL IDA pensioners/ family pensioners, who retired prior to 10.06.2013 has been considered by the Government, and the following has been decided:

(a)The pension/ family pension of BSNL IDA pensioners/ family pensioners, who retired prior to 01.01.2007, may be revised as on 01.01.2007 notionally with actual benefit w.e.f. 10.06.2013 by adding together

(i)Existing basic pension/ family pension including commuted portion of pension, if any

(ii)Dearness relief (IDA) @ 78.2%

(iii)Fitment weightage @ 30% of the existing pension/ family pension and dearness relief (IDA) thereon.

The amount so arrived will be regarded as consolidated pension/ family pension with effect from 10.06.2013.

(b)The pension/ family pension of BSNL IDA pensioners/ family pensioners, who retired between 01.01.2007 and 09.06.2013, their pay may be revised notionally with effect from 01.01.2007 by allowing the benefit of merger of 50% DA/DR with Basic Pay/ Pension effectively amounting to 78.2% IDA for the purpose of fitment, and consequential revision of pension on notional pay with actual benefit w.e.f. 10.06.2013, at par with the serving employees of BSNL. However, these pensioners do not get actual benefit of increase in pay/ pension during the period between 01.01.2007 to 09.06.2013, and they would not get increase in the amount of DCRG, leave encashment and commutation of pension on this account.

5.The other conditions with regard to commuted portion of pension, minimum pension and increase in the quantum of pension/ family pension to the old pensioners/ family pensioners, as mentioned in this office O.M. No. 40-17/2008-Pen (T) Vol.lll dated 15.3.2011 shall remain the same.

6.Action to revise pension/ family pension in terms of these provisions may be initiated suo-moto by the concerned Heads of offices. All administrative offices of BSNL handling preparation of pension papers of BSNL pensioners may be directed to initiate the process of consolidation of pension/ family pension to the BSNL IDA pensioners/ family pensioners, who retired prior to 10.06.2013, at the consolidated rates in terms of para 4 above immediately and forward the same to the concerned CCAs for consolidation and issue of revised Pension Payment Orders (PPOs).

7. The exercise to extend benefit of these orders to the pensioners/ family pensioners should be completed by 31.12.2016.

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