7th CPC Defence Pension : DESW Orders issued on 29.10.2016
Implementation of Government’s decision
on the recommendations of the Seventh Central Pay Commission Revision
of Pension of Pre-2016 Defence Forces Pensioner/Family Pensioners
No.17(01)/2016-D(Pen/Pol)
Government of India
Ministry of Defence
Department of Ex-Servicemen Welfare
New Delhi
Dated 29th October 2016
To
The Chief of the Army Staff
The Chief of the Naval Staff
The Chief of the Air Staff
Sub: Implementation of Government’s
decision on the recommendations of the Seventh Central Pay Commission-
Revision of Pension of Pre-2016 Defence Forces Pensioner/Family
Pensioners.
Sir
The undersigned is directed to state that in pursuance of Government’s
decision on the recommendations of 7th Central Pay Commission, notified
vide Government of India, Ministry of Defence Resolution
No.17(1)/2014/D(Pen/Policy) dated 30th September 2016 based on Ministry
of Personnel, Public Grievances and Pension, Department of Pension &
Pensioners Welfare Office Resolution No. 38/37/2016-P&PW(A) dated
4th August, 2016 and Office Memorandum F.No.38/37/20l6-P&PW(A)(ii)
dated 4th August,2016, sanction of the President is hereby accorded to
regulate the Pension/Family Pension of all Pre-1.1.2016
pensioners/family pensioners of the Defence Forces with effect from
1.1.2016 in the manner indicated in succeeding paragraphs. Separate
Orders will be issued by this Ministry in respect of Defence Force
Personnel who retired/died on or after 1.1.2016 and for revision of
disability element in respect of Pre-2016 Defence Pensioners.
2. Applicability :
These orders shall apply to all Defence Forces pensioners/family
pensioners who were drawing pension/family pension as on 1.1.2016 under
the Pension Regulations of the three Services/ State Forces and various
Government orders issued from time to time.
3. Non-Applicability : The provisions of this letter do not apply to the following
categories:
(i) Gallantry awardees drawing only monetary allowance attached to the award, such as Param
Vir Chakra, Ashok Chakra etc.
(ii) United Kingdom/Hong Kong & Singapore Royal Army( UK/HKSRA) Pensioners.
(iii) Persons in receipt of Compassionate Allowance, Guzara, Reservist
Allowance or any other Allowance on which dearness relief is not
admissible.
(iv) Reservists in receipt of Ex-gratia payment at Rs 750/- per month
covered under Govt. of India, Ministry of Defence letter No.
1(06)/2010-D(Pen/Policy) dated 22”d Nov 2013.
(v) Families of the deceased Reservists in receipt of Ex-gratia family
pension at Rs 645/- per month covered by Govt. of India Ministry of
Defence letter No.1 (06)/2010-D (Pen/Policy) dated 22nd Nov 2013.
4. Definitions : (a) ‘Existing Pensioner’ or ‘Existing Family Pensioner’
means a pensioner who was entitled to/drawing pension/family pension on
31.12.2015. This will also include a pensioner/family pensioner who
became entitled to pension/family pension with effect from 1.1.2016
consequent upon retirement/discharge/death of Defence Forces Personnel
on 31.12.2015. For the purpose of family pension, it also covers members
of family to those who retired/discharged prior to 1.1.2016 and in
whose case family pension had not commenced as the pensioner was alive
on 31 .12.2015.
(b) Existing Pension means the basic pension inclusive of commuted
portion of pension, if any, due on 31.12.2015 and covers all kinds of
pension viz. Retiring/Service/ Special/Reservist/Invalid Pension/
Service element of Disability/ Liberalized Disability Pension/ War
Injury Pension. This will also include Pension/Family Pension which
became due with effect from 1.1.2016 consequent on retirement/discharge/ death of Defence
Force Personnel on 31.12.2015.
(c) Existing Family Pension means the basic family pension drawn on
31.12.2015 under the Pension Regulations of the three Services/ State
Forces and other orders issued on the subject from time to time. It also
covers Special Family Pension/ Dependent Pension/2nd Life award of
Special Family pension and Liberalized Family pension sanctioned in
battle and non-battle casualty cases.
(d) ‘Pension Disbursing Agency’ (PDA) means Treasury, Post Office, Pay
and Accounts Office. Defence Pension Disbursement Office (DPDO), Indian
Embassy, Nepal and authorized Public Sector/Private Sector Banks.
(a) ‘Pension Sanctioning Authority’ (PSA) means PCDA (Pensions)
Allahabad, PCDA (Navy) Mumbai, and CDA (AF) Delhi, as the case may be.
5. Revision of Pension :
5.1 For existing pensioners, who have retired/died before 01.01.2016,
the revised pension/family pension with effect from 01.01.2016 shall be
determined by multiplying the Basic Pension (before commutation)/Basic
Family Pension (exclusive of Dearness Relief) as had been drawn as on
31.12.2015 by 2.57 to arrive at revised pension under 7th CPC. The
amount of revised pension/family pension so arrived at shall be rounded
off to next higher rupee. The Disability Element will be regulated as
per Para 9. Illustrations for revision of pension are annexed in
Annexure-A attached to this letter…
5.2 For this purpose, the existing
Pension/Family Pension will be the Basic Pension(before commutation)/
Basic Family Pension only without the element of Additional Pension
(referred to at Para 12) available to the old pensioners/ family
pensioners of the age of 80 years and above. The Additional
Pension!Family Pension payable to the old pensioners/family pensioners
will be worked out in accordance with Para 12 of this order.
5.3 Since the revised pension will be
inclusive of commuted portion of pension, if any, the commuted portion
will be deducted from the said amount while making monthly
disbursements.
5.4 Minimum and Maximum Pension:The
minimum basic pension with effect from 01.01.2016 will be Rs. 9000/- per
month (excluding the element of additional pension admissible to old
pensioners). The upper ceiling of pension/ family pension will be 50%
and 30% respectively of the highest pay in the Government (The highest
pay in the Government is Rs. 2,50,000/- with effect from 01.01.2016).
5.5 The revised Pension/Family Pension
arrived at as per paragraph 5.1 includes dearness relief sanctioned from
time to time by the Government.
6. Where the revised Pension/Family
Pension in terms of paragraph 5.1 above works out to an amount less than
Rs. 9000/-, the same shall be stepped up to Rs. 9000/-. This will be
regarded as Pension/Family Pension with effect from 11.2016.
7. The existing instructions regarding
regulation of Dearness Relief to employed/ re-employed pensioners/family
pensioners, as contained in Department of Pension 6 Pensioner’s Welfare
OM. No. 45/73/97-P&PW(G) dated 02.07.1999 and as amended from time
to time, shall continue to apply.
8. Applicability to Permanent absorbees
in PSUs/ Autonomous Bodies: Pension of a Defence Forces Personnel who
has been permanently absorbed in Public Sector Undertaking/Autonomous
Body will be regulated as under:
8.1 Pension: Where the Defence Force
Personnel on permanent absorption in Public Sector Undertaking/
Autonomous Body continues to draw pension separately from the
Government, the pension of such absorbees will be revised in terms of
these orders. in cases, where the Defence Forces Personnel has drawn one
time lump-sum terminal benefits equal to 100% commutation of the
pension and has become entitled to the restoration of 43% / 45% commuted
portion of pension as per the orders issued by this Ministry from time
to time, such cases will not be covered by these orders. Orders for
regulating pension of such pensioners will be issued separately.
8.2 Family Pension: In cases, where on
permanent absorption in Public Sector Undertakings/Autonomous Bodies,
the family pension is being drawn by the family of the PSU absorbee
under the orders applicable to the Defence Forces, the same will be
revised in accordance with these orders.
9. Disability Element:The implementation
of 7th CPC recommendations relating to methodology for calculation of
disability element has been referred to the Anomalies Committee. The
disability element which was being paid to ore-2016 Defence Pensioners
as on 31.12.2015 will continue to be paid till decision on the
recommendations of Anomalies Committee is taken by the Government.
10. Following elements will continue to
be paid as separate elements in addition to the Pension/Family Pension
revised under these orders. These payments will not be taken into
account for the purpose of revision as well as for applicability with
regard to the minimum limit of Pension/Family Pension is. Rs. 9000/- per
month.
(i) Monetary Allowance attached to Gallantry Awards such as Param Vir Chakra, Ashok Chakra
etc.
(ii) Constant Attendant Allowance (CAA), matter to be examined by
Committee comprising Finance Secretary and Secretary(Expenditure) as
Chairman and Secretaries of Home Affairs, Defence, Posts, Health &
Family welfare, Personnel & Training and Chairman Railway Board as
members. Till a final decision is taken on the recommendation of the
Committee, Constant Attendant Allowance shall be paid at the existing
rates.
11. Where a pensioner is in receipt of
Disability/ Liberalized Disability/ War Injury Pension, the minimum
limit of Rs. 9000/- will be applicable to Service Pension/Service
Element. Disability/ War Injury Element will be payable in addition to
Service Pension/Service Element.
12. Additional Pension for Pensioners of age 80 years and above: The quantum of
Additional Pension/Family Pension available to the old pensioners/family pensioners shall be
as follows:
The amount of additional pension will be shown distinctly. For example,
in case where a pensioner more than 80 years of age and his/her revised
pension in terms Para 5.1 above is Rs.1000/-pm, the pension will be
shown as (i) Basic pension: Rs 10000 and (ii) Additional Pension Rs 2000
p m (20% of revised basic pension Rs 10000). The pension on his/her
attaining the age of 85 yrs will be shown as (i) Basic Pension = Rs
10000 and (ii) additional pension = Rs 3000 pm. Dearness relief will
also be admissible on the additional pension available to old
pensioners.
(Note: The additional Pension will not
be admissible on Disability Element Liberalized Disability Element /
War Injury Element of Disability/Liberalized Disability/ War Injury
Pension.)
13. Ex-gratia awards to Cadets in cases of disablement
The following ex-gratia award shall be payable subject to the same
conditions as hitherto in force in the event of invalidment of a Cadet
(Direct) on medical grounds due to causes attributable to or aggravated
by military training:
(i) Payment of monthly ex-gratia award of Rs. 9000/- per month;
(ii) Payment of ex-gratia disability award @ Rs. 16200/- per month for
100% disability during the period of disablement. The amount will be
reduced proportionately from the ex-gratia disability award in case the
degree of disablement is less than 100%;
14. Dearness Relief:
The revised Pension/Family Pension as worked out in accordance with
provisions of Para 5.1 read with Para 6 and additional pension wherever
payable under Para 12 above shall be treated as “Basic Pension” with
effect from 1.1.2016 for the purpose of calculation of dearness Relief
sanctioned thereafter by the Government.
15. Revision of Pension for employed/re-employed pensioners:
The revision of pension in respect of employed/re-employed Commissioned
Officer and Personnel Below Officer Rank pensioners will also be
carried out as per methodology provided in Para 5.1 ie. their Basic
Pension as on 31.12.2015 will be multiplied by 2.57 to arrive at revised
Pension as on 01.01.2016. The revised pension so arrived at will be the
Basic Pension with effect from 1.12016. However, Dearness Relief beyond
1.1.2016 will not be admissible to employed/re-employed Commissioned
Officer pensioners and Personnel Below Officers Rank pensioners, whose
pay on re-employment has been fixed above the minimum of scale of pay of
the re-employed post during the period of employment/ re-employment.
16. Methodology for Implementation and Reporting
16.1. All Pension Disbursing Agencies
handling disbursement of pension to the Defence Pensioners are hereby
authorized to pay pension/family pension to existing pensioners/family
pensioners at the revised rates in terms of Para 5.1 above without any
further authorization from the concerned Pension Sanctioning
Authorities.
16.2 It is considered desirable that the
benefit of these orders should reach the pensioners as expeditiously as
possible. To achieve this objective, it is directed that all Pension
Disbursing Agencies should ensure that the revised pension and the
arrears due to the pensioners in terms of Para 5.1 above is paid to the
pensioners or credited to their account in one installment within two
months from the date of issue of the letter.
16.3 A suitable entry regarding revised
pension with effect from 1.1.2016 fixed in terms of Para 5.1 above, as
the case may be, will be recorded by the Pension Disbursing Agencies in
the Pension records of the pensioners viz. Pension Payment Order, Check
Register/Pension Payment Scroll Register. An intimation regarding
disbursement of revised pension may be sent by the Pension Disbursing
Agencies to the Office of PCDA (P), Allahabad in prescribed Annexure to
these orders so that records can be updated. A hard copy of the said
Annexure-B may invariably be provided by the PDAs to the pensioners
concerned for their information. An acknowledgement shall be obtained by
the Pension Disbursing Agencies from Office of PCDA (Pensions),
Allahabad in token of receipt of the requisite Annexure.
Miscellaneous Instructions
17. If a pensioner/family pensioner to
whom benefit accrues under the provisions of this order, has already
died before receiving the payment of arrears, the LTA will be disbursed
in the following manner:
(i) If the claimant is already in receipt of Family Pension or happens
to be the person in whose favour Family Pension already stands notified
and the awardees has not become ineligible for any reason, the LTA under
the provisions of this letter should be paid to such a claimant by the
PDAs on their own.
(ii) If the claimant has already received LTA in the past in respect of
the deceased to whom the benefit would have accrued, the LTA under the
provisions of this letter should also be paid to such a claimant by the
PDAs on their own.
(iii) If the claimant is a person other than the one mentioned at (i)
& (ii). above, LTA will be paid to the legal heir/heirs as per
extant Government orders.
18. No commutation will be admissible
for the revised pension accruing as a result of this revision. The
existing amount of pension commuted, if any, would continue to be
deducted from the revised pension while making monthly disbursements.
19. Revision of Pension/Family Pension
under these orders will not affect the amount of Retirement Gratuity/
Death Gratuity already determined and paid to the pensioners/ family
pensioners with reference to rules in force at the time of
discharge/death.
20. Any overpayment of pension coming to
the notice or under process of recovery shall be adjusted in full by
the Pension Disbursing Agencies against arrears becoming due on revision
of pension on the basis of these orders.
21. The revision of pension/ family
pension of Defence pensioners arrived in the above manner shall be
subject to the findings and recommendation of the committee set up with
the approval of the Cabinet to examine the feasibility of increment
based formulation recommendation of 7th CPC for revision of pension and
decision of the Government thereon if any.
22. These orders issue with the
concurrence of the Finance Division of this Ministry vide their ID No.
10(6A)/2016/FIN/PEN dated 29.10.2016
sd/-
(Manoj Sinha)
Under Secretary to the Government of India