7th Pay Commission – Pensioners wants notional pension instead of fixation with fitment factor 2.57

| August 26, 2016


(All India Federation of Pensioners’ Associations)

2913A – LGF Backside. Jnngpura -‘A’.

New Delhi – 110 014

No. SG/BPS/PC7/016/08.

Dt.19 August, 2016

The Secretary

Deptt of Administrative Reforms & Pensioner’ Grievances,

Ministry of Personnel, Public Grievances & Pensions,

Patel Bhawan, New Delhi – 110001.

( Kind Attention: Shri Chirravuri Vishwanath IAS ).

Subject: Feasibility of implementation of recommendations accepted by GOI contained in paras 10.1.67 & 10.1.68 of 7CPC report.


In connection with feasibility of implementation of recommendation contained in para 10.1.67 of 7CPC report relating to pre-2016 pensioners, the undersigned, on behalf of Bharat Pensioners Samaj (Federation) a conglomerate of over 628 pensioners Associations, submits as follows:

i). Your kind attention is invited to 5th CPC recommendation contained in Para 137.14 of the report together with GOI’s decision there on which reads as under:

The pension of all pre-1986 retirees may be updated by notional fixation of their pay as on 1.1.1986 by adopting the same formula as for the serving employees. Thereafter, all the past pensioners who have been brought on the Fourth CPC pay scales by notional fixation of their pay and those who have retired on or after 1.1.1986 can be treated alike regarding consolidation of their pension as on 1.1.1996 by allowing the same fitment weightage as may be allowed to the serving employees. However, the consolidated revised pay of the post held by the pensioner at the time of retirement. (137.14)

Govt Decision:

Accepted to the extent that pension of pre 1.1.96 retirees including pre-86 retirees shall be consolidated as on 1.1.1996 as recommended but the consolidated pension shall be brought on to the level of 50% of the minimum of the revised pay of the post held by the pensioner at the time of retirement. Nos. 45/86/97-P&PW(A) Part-II dt. 27.1099 & 45/1098-P&PW(A) dt 17.12.98 refer.

ii). Similarly 6th CPC recommendation on the subject of revision of pre-2006 pensioners were possible as per GOI orders contained in F No.38/37/08-P&PW(A) dated 01.09.2008 and amendments issued by DOP& PW thru F No.38/37/08-P&PW(A) dated 28-01-2013 wherein para 4.2 reads ” That is, the fixation of pension will be subject to the provision that the revised pension , in no case shall be lower than 50% of the minimum of the pay in the pay band plus grade pay corresponding to the pre revised pay scale from which the pensioner had retired. In case of HAG+ and above scales, this will be 50% of the minimum of the revised pay scale.”

iii). Pension record is of permanent nature and if it is to be destroyed, proper permission from the competent authority is to be obtained. In any case, these record can always be reconstructed taking the details from various sources available in the department and the material collected from the Pensioner. In this regard attention is also drawn to recent CAT Bombay Nagpur Bench judgement dated 09.03.2015 in case of Smt. Saija vs. General Manager, Central Railway O.A.No. 2131 of 2011(CAT Bombay Bench at Nagpur) It is also pointed out that never ever any department in any of the Court cases brought out the issue of non-availability of records.

2. It was possible to implement the above recommendations of pay panels and issue revise PPOs as records were traced out, probably due to some incentive given to the staff concerned for revising the PPOs of pre-1986 retirees involving notional fixation. Railway administration for certain gave incentive to the staff concerned for implementing 5th CPC recommendations. It is reliably learnt that as no incentive for additional work involved in revision of PPOs after 6thCPC was offered. Rly Admn did face some difficulties in implementing recommendations of 6th CPC and consequential issue of revised PPOs to pre-2006 retirees, still as per Rly Board 100% PPOs could be revised. Govt. records can speak of the position of incentive offered by various departments concerned. It is one of the suggestions to consider incentive to staff to ease the problem of locating old records/information required, since in 90% cases records are available and remaining can be recasted.

3. 7th CPC considered the long standing demand of pensioners retired in earlier CPCs regimes to grant them parity in fixation of pension with those retiring subsequently after implementation of its report. Accordingly, 7th CPC has recommended granting benefit of increments earned by the pensioner in the Pay Band and Grade Pay/Scale of Pay for 01.01.2006 Pensioners, while determining their notional pay as on 01-01-2016 at a level in the pay matrix given by the 7th CPC. Pension would be fixed at 50% of the notional pay so arrived.

4. Apprehension of non-feasibility of recommendation, discussed in para 3 , due to non-availability of records is further narrowed & not zeroed. PPOs issued at the time of retirement and revised afterwards do reflect changes prescribed by the Govt. in the pay scales on the recommendations of different Pay Commissions, record the stage of pay in the Pay Scale/Pay Band of a person retired. But it is silent on the number of increments earned after promotion to the grade in which a particular pensioner had retired. May please recall that pay fixation on promotion, as per FR 22, is arrived at after granting one increment in the pre-promotion scale followed by stepping up the same to the immediate next stage of pay in the higher grade if there is no stage after grant of increment in the lower grade. Some of the promotees may get fixed at the minimum (First stage) of the higher grade whereas others may get fixed at the second or third next stage depending upon the pay in the lower grade.

5. The recommendation of 7thCPC vide their para 10.1.67(option1) for Parity of Pension is based on legal & Constitutional grounds and as such to maintain sanctity it needs to be implemented in toto.

6. It is a history that pensioners retired earlier were always at a discount in the matter of revised pensions.7th CPC has tried to give some relief to pre-2016 retirees. For the purpose of determining pension under para 10.1.67 of 7th CPC in cases where all attempts to trace records or to recast missing ones fail, it is suggested that such of the pensioners may be given option to get their notional pay determined on the basis of stage of pay in the grade indicated in the PPO this information is invariablaly available in all PPOs. If in some PPOs if LPD is not indicated it can be determined from family pension which is 30% of LPD

7. Fixation of notional pay of pre 2016 pensioners on the basis of the stage corresponding to the grade of pay in which a pensioner had retired would offer a fair & equitable option in all cases where records cannot be traced inspite of best efforts.

8 To meet the ends of justice, Bharat pensioners Samaj request that a personal hearing be granted to its delegation before any adverse decision is arrived at by the Committee.

Thanking you in anticipation.

With regards

Yours sincerely

(S. C. Maheshwari)

Secretary General, Bharat Pensioners Samaj.

Source : Bharat Pensioners Samaj

Category: News, Seventh Pay Commission

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