Revision of Pension of pre 2016 pensioners after implementation of 7th Pay Commissions recommendations – anomaly in determining notional pay

No.29018/02/2019. AIS-II(Pension)
Government of India,
Ministry of Personnel, P.G. and Pensions
Department of Personnel and Training
AIS-II (Pension)

To,
All Chief Secretaries to the States

Subject: Revision of pension of pre 2016 pensioners after implementation of seventh Central pay Commissions recommendations-anomaly in determining notional pay.

Sir,
I am directed to refer to various communications from State Governments on the above subject and to state that the matter raised in various representations of the pensioners seeking revision of their pension after implementation of 7th CPC recommendations, has been examined in this Department in consultation with Department of Pensions and Pensioner’s Welfare.

The basis for the re-fixation of the pension of pre-2016 pensioners are DoPT OM No.14021/4/2016-AIS-1I dated 19th May, 2017 (mutatis-mutandis based on DoP&PW OM dated 38/37/2018-P&PW(A) dated 12th May,2017) and the Concordance Tables issued by DoP&PW vide OM dated 38/37/2018-P&PW(A) dated 6th July,2017.

Prior to re-fixation of the pension of pre-2016 pensioners / family pensioners etc., following instructions/ pension may be followed:-

(a) Para 4 of the OM dated 12th May, 2017 provides inter alia that the “revised pension / family pension w.e.f 01.01.2016 in respect of all Central Civil pensioners retired prior to 01.01.2016, may be revised by notionally fixing their pay in pay matrix recommended by the 7th CPC in the level corresponding to the pay in the pay scale/pay band and grade pay at which they retired. This will be done by notional pay fixation under each intervening Pay Commission based on the Formula for revision of pay. While fixing pay on notional basis, the pay fixation formulas approved by the Government and other relevant instructions on the subject in force at the relevant time shall be strictly followed. Further, para 7 of the OM provides inter alia that in case of those Government servants who retired or died on or after 01.01.1986 but before 1.1.2016, the actual pay and the pay scale from which they retired or died would be taken into consideration for the purpose of calculation of the notional pay as on 01.01.2016 in accordance with para 4 above.

(b) Accordingly, the pay of pre-2016 pensioners was notionally fixed in relevant cell of pay matrix of 7th CPC as per the formula of pay fixation approved by the Government. The pay of the serving IAS officers (including of Selection Grade officers) is also fixed in relevant cell of Pay Matrix of 7th CPC as per the formula of pay revision from 6th CPC to 7th CPC as approved by the Government. Also, the pay of serving officers who had been promoted on 1.1.2016 in JAG or Selection Grade is first fixed in the relevant cell of Pay Matrix of 7th CPC as per the formula of pay revision approved by the Government. Thereafter, they had to be promoted in next scale and their pay fixed in that level as per IAS Pay Rules 2016, granting them two increment in the promotion level.

(c) The pay of only those officers who were promoted on or after 1.1.2016 is to be fixed in 3rd cell of level-13. The pay of the officers who were already in selection grade i.e. level-13 as on 1.1.2016 is fixed as per the formula of pay revision from 6th to 7th Central Pay Commission (CPC). The notional pay of the officers who had retired before 01.01.2016 has to be similarly fixed. Therefore, the contention of any pensioner that his/her notional pay cannot be in any case less than the lowest level at which the pay of a serving officer of the Selection Grade of IAS can be fixed, is not tenable. Their pay is to be notionally arrived at by the formula of pay revision from 6th CPC to 7th CPC at par with other serving IAS officers.

Pension of pre-2016 pensioners/ family pensioner may be revised w.e.f 1.1.2016 in accordance with the instructions contained in D/o P&PW OM dated 12.5.2017.

Accordingly, the representations of pre-2016 pensioners may be examined by the State Government and the concerned pensioner(s) may be informed.

This issues is with the approval of the competent authority.

(Sandeep Kumar Sinha)
Under Secretary to the Government of India

Source: DoPT

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DOP&PW is likely to issue Fitment Tables & Ready Reckoners soon for Revised Pension of Pre-2016 Pensioners as per OM Dated 12-5-2017 – as requested by RSCWS & BPS – to avoid delay in implementation of orders due to delay in issuing the Revised PPOs by the PSAs – i.e. the Offices from which the Pensioner Retired.

Copy of Memorandum to Secretary Pension for issue of Fitment Tables for Revision of Pension of Pre-2016 Pensioners as per DOP&PW OM Dated 12-5-2017

RAILWAYS SENIOR CITIZENS WELFARE SOCIETY
CHANDIGARH
(Estd. 1991, Regd. No. 1881 – Under Registration of Societies Act)

No. RSCWS/ CHQ/CHD/

Dated:16-05- 2017

Secretary, GOI,
Department of Pension, GOI,
Patel Bhawan, New Delhi-110001

Dear Sir,

Subject: Issue of Fitment Tables for Revision of Pension as per Notional Pay in 7th CPC Pay Matrix

Regarding: Implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission – Revision of pension of pre-2016 & post-2016 pensioners/family pensioners. Reference: DOP&PW OM NO.38/37/2016-P&. PW(A) Dated 12-5-2017

Kind attention is invited towards the DOP&PW OM Dated 12-5-2017 regarding Implementation of Government’s decision on the recommendations of the Seventh Central Pay Commission – Revision of pension of pre-2016 & post-2016 pensioners/family pensioners.

Incidentally, Fitment Tables and the Ready Reckoners have not been issued with the said orders as was done after every Pay Commission – both in respect of the Pay and Pension.

This will make the Revision of Pension very difficult, and time consuming as Notional Pay has to be fixed from one Pay Commission to the next since the Retirement of the employee for Revising their Pension as per Notional Pay in the Pay Matrix of 7th CPC.

This will substantially delay the issue of Revised PPOs and implementation of the said orders this time, causing hardship to the old Pensioners.

It is, therefore, earnestly requested that

i) Scale-wise Fitment Tables and Ready Reckoners may please be issued early for the Pensioners who had retired in the regimes of various Pay Commissions (especially those who retired from Pay Scales of Fourth, Fifth, Sixth and Seventh Pay Commissions.

ii) A dedicated Software may please be posted on the Pensioners Portal for the Revision of pension of pre-2016 & post-2016 pensioners/family pensioners and for expeditious issue of the Revised PPOs and for placing them on the Internet.

Yours truly,
(Harchandan Singh),
Secretary General, RSCWS.

Copy for information and kind consideration:

i) Mrs. Vandana Sharma, Additional Secretary, Department of Pension & Pensioners Welfare, 3rd Floor Lok Nayak Bhawan, Khan Market, New Delhi – 110003.

ii) Shri Harjit Singh, Director, Department of Pension & Pensioners Welfare, 3rd Floor Lok Nayak Bhawan, Khan Market, New Delhi – 110003.

iii) Shri Prem Kumar, Senior Consultant (PP), Department of Pension & Pensioners Welfare, 3rd Floor Lok Nayak Bhawan, Khan Market, New Delhi – 110003.

Source: RSCWS

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3 Floor, Lok Nayak Bhawan
New Delhi-10003.
Dated the 3rd April, 2013

OFFICE MEMORANDUM

Sub:- Revision of 1/3rd commuted portion of pension in respect of Government servants who had drawn lumpsum payment on absorption in Central Public Sector Undertakings/Central Autonomous Bodies — stepping up of notional full pension w.e.f.24.9.2012.

Orders for revision of 1/3 restored pension of absorbees, who had drawn lumpsum payment on absorption, were issued vide this Department O.M of even number dated 15/9/2008 As per para 2A of the said OM, the full pension of the absorbees was notionally revised w.e.f. 1.1.2006 in accordance with the instructions contained in this Department OM. No.38/37/08-P&PW(A) dated 1.9.2008. The payment of DR and additional pension to old pensioners is regulated on the basis of the notional full pension.

2. Instructions have been issued vide this Departments OM No.38/37/08-P&PW(A) dated 28.1.2013 for stepping up of the pension of pre-2006 pensioners w.e.f. 24.9.2012. Accordingly, the notional full pension of the absorbee pensioners would also be stepped up w.e.f. 24/9/2012 in accordance with the instructions contained in the aforesaid OM dated 28.1.2013. No arrear of DR and additional pension on notional full pension would be payable for the period prior to 24/9/2012.

3. Instructions have been issued on issuance of revised authority in respect of pre 2006 pensioners vide this Department OM No.38/37/08-P&PW(A) dated 13.2.2013. These instructions will also be applicable for issuance of revised authority in respect of absorbee pensioners.

4. This issues with the concurrence of Ministry of Finance, Department of Expenditure, vide their ID. No 1(5)/E.V/2012 dated 15.03.13 and with concurrence of office of CAG, vide their ID No. 26-Staff Hak(rules)/4-2013 dated 25.03.2013.

sd/-
(Harjit Singh)
Deputy Secretary to the Govt. of India

Source: www.persmin.nic.in
[http://ccis.nic.in/WriteReadData/CircularPortal/D3/D03ppw/RevisionofPension_03042013.pdf]

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Subject : Notional fixation of pay to officers included in USSL 2009 and 2010 reg.

The undersigned is directed to refer to references received from Ministries/ Departments forwarding therewith requests of officers included in USSLs 2009 & 2010 for notional fixation of pay in the grade of Under Secretary from 1 July of the Select List year. The issue has been examined in this Department.

2. It is informed that as per DPC guidelines promotions are effective from a prospective date. Grant of notional fixation of pay from a date prior to the date of actual promotion is not as per the general instructions on promotion. The pay and allowances attached to a post is admissible only w.e.f. the date of appointment to the post and for actual pay benefit, assumption of charge of the promotional post is the criterion.

3. It was decided by this Department that notional fixation of pay would not be allowed to any grade/ service on the ground of delayed holding of DPC. Accordingly, in the Office Memorandum of even number dated 26.11.2012 issued by this Department for inclusion of officers in USSL-2009 & 2010 no instructions were issued for notional fixation of pay.

4. Accordingly, notional fixation of pay in respect of officers included in USSL-2009 and 2010, w.e.f. 1 July of the Select List year is not consistent with extant rules/instructions on the subject and is not, therefore, allowed. All the Ministries/Departments are, therefore, requested to review the cases of fixation of pay of officers included in USSLs 2009 & 2010 and take steps to rectify the pay fixation in all those cases where the benefit of notional fixation of pay has incorrectly extended.

Source: www.persmin.nic.in
[http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02csd/NotionalPay_Fixation_US200910.pdf]

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Subject: – Issue of consideration of Stagnation Increment for the purpose of notional increment at the time of promotion.

The undersigned is directed to enclose BHEL. letter No. AA/HR/IR/520 dated 14.6.2012 on the subject mentioned above.

2. On promotion, the executive would be entitled to the benefit of one notional increment (3%) on his Basic Pay + Stagnation Increment, if any, and the pay would be fixed (rounded off to the next Rs.10), in the promoted scale. However, on promotion the pay so fixed should not exceed the maximum of the scale to which the executive  is promoted. In case his pay so arrived at is less than the minimum of the promoted
scale, he/she would be entitled to get the minimum of the scale. Further, DPE has recently issued detailed O.M. dated 14.12.2012 on various pay related issues of executives of CPSEs. A copy of O.M. dated 14.12.2012 is available on DPE website www.dep.nic.in

3. DHI being the administrative Ministry in respect of BHEL may suitably clarify to BHEL.

End. As above

DHI
(Shri S.K.Mishra, Under Secretary)
Udyog Bhawan,
New Delhi

Source : www.dpe.nic.in
[http://dpe.nic.in/sites/upload_files/dpe/files/glch04d24_08012013.pdf]

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