Defence: option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI

Option for Fixation of Pay on Promotion from the Date of Next Increment - MoD Orders dt.22.3.2018

Availability of option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI, if opted for, in respect of Army Pay Rules 2017, Air Force Pay Rules 2017 and Navy Pay Regulations 2017 in respect of Officers and JCOs/ORequivalent

No.1(20)/2017/D(Pay/Services)
Ministry of Defence
D (Pay/Services)

Sena Bhawan, New Delhi
Dated 22nd, March 2018

OFFICE MEMORANDUM

Subject: Availability of option for fixation of pay on promotion from the Date of Next Increment (DNI) in the lower post and method of fixation of pay from DNI, if opted for, in respect of Army Pay Rules 2017, Air Force Pay Rules 2017 and Navy Pay Regulations 2017 in respect of Officers and JCOs/OR equivalent.
Reference is invited to Special Army Instructions (SAI-2008), Special Air Force Instructions (SAFI-2008), Special Navy Instructions (SNI-2008) dated 11.10.2008 and Army Pay Rules 2017, Air Force Pay Rules 2017 and Navy Pay Regulations 2017 dated 3.5.2017 in respect of Officers and JCOs/OR equivalent.

2. In 6th CPC regime pay fixation on promotion in respect of Defence Services Personnel was governed by provisions contained in SAI-2008, SAFI-2008 and SNI-2008. These provisions regulates pay fixation on promotion, wherein an Officer has an option to get his pay fixed in the higher post either from the date of his promotion or from the date of next increment. Similarly, consequent upon implementation of ih CPC, the pay fixation on promotion from the date of promotion is regulated by Rule 12 of the Army Pay Rules 2017, Air Force Pay Rules 2017 and Navy Pay Regulations 2017 dated 3.5.2017 in respect of Officers and JCOs/OR equivalent. This methodology of fixation of pay on promotion to a post carrying duties and responsibilities of greater importance, of a Defence Services Personnel in case he opts for pay fixation from the Date of Next Increment (DNI) has been considered in this Department.

3. After due consideration in this matter, the following is decided as follows:

(i) A Defence Personnel, who is promoted or upgraded from one rank to another, subject to the fulfilment of the eligibility conditions as prescribed in the relevant Recruitment Rules, to another post carrying duties or responsibilities of greater importance than those attaching to the post held by him/her. Such, Defence Personnel may opt to have his/her pay fixed from the Date of his/her
Next Increment (either 1st July or 1st January, as the case may be) accruing in the Level of the post from which he/she is promoted, except in cases of appointment on deputation basis to an ex-cadre post or on direct recruitment basis or appointment/promotion on ad-hoc basis, as applicable in the Defence Services.

(ii) In case, consequent upon his/her promotion, the Defence Personnel opts to have his/her pay fixed from the date of his/her next increment (either 1st July or 1st January, as the case may be) in the Level of the post from which Defence Personnel is promoted, then, from the date of promotion till his/her  DNI, the Defence Personnel shall be placed at the next higher cell in the level of the post to which he/she is promoted.

Illustration:

1.	Level in the revised pay structure: Level 4		Pay Band	5200 - 20200
2.	Basic Pay in the revised structure: 29600		Grade pay	2000	2400	2800
3.	Granted promotion in Level 5.		Levels	3	4	5
			1	21700	25500	29200
			2	22400	26300	30100
4.	Pay in the upgraded Level i.e., Level 5: 31000 (next higher to 29600 in Level 5)		3	23100	27100	31000
			4	23800	27900	31900
			5	24500	28700	32900
5.	Pay from the date of promotion till DNI: 30100		6	25200	29600	33900
			7	26200	30500	34900
			8	26800	31400	35900
			9	27600	32300	37000
			10	28400	33300	38100

(iii) Subsequently, on DNI in the level of the post to which Defence Personnel is promoted, his/her Pay will be re-fixed and two increments (one accrued on account of annual increment and the second accrued on account of promotion) may be granted in the Level from which the Defence Personnel is promoted and he/she shall be placed, at a Cell equal to the figure so arrived, in the Level of the post to which he/she is promoted; and if no such Cell is available in the Level to which he/she is promoted, he/she shall be placed at the next higher Cell in that Level.

1.	Level in the revised pay structure: Level 4		Pay Band	5200 - 20200
2.	Basic Pay in the revised structure: 29600		Grade pay	2000	2400	2800
3.	Granted promotion in Level 5.		Levels	3	4	5
			1	21700	25500	29200
			2	22400	26300	30100
4.	Pay from the date of Promotion till DNI: 31000		3	23100	27100	31000
			4	23800	27900	31900
			5	24500	28700	32900
5.	Re-Fixation on DNI: Pay after giving two increment in Level 4: 31400		6	25200	29600	33900
			7	26200	30500	34900
			8	26800	31400	35900
			9	27600	32300	37000
6.	Pay in the Upgraded Level i.e., Level 5: 31900 (either equal to or next higher to 31400 in Level 5)		10	28400	33300	38100

Illustration:
(iv) In such cases where Defence Personnel opts to have his/her pay fixed from the date of his/her next increment in the Level of the post from which he/she is promoted, the next increment as well as Date of Next Increment (DNI) will be regulated accordingly.

4. It is further reiterated that in order to enable the officials to exercise the option within the time limit prescribed, the option clause for pay fixation on promotion with effect from date of promotion/ON I shall invariably be incorporated in the promotion/appointment order, as per applicability, so that there are no cases of delay in exercising the options due to administrative lapse.
5. This issues with the concurrence of Ministry of Finance vide their 1D No. 4-23/2017-IC/E.III (A) dated 22.3.2018.

sd/-
(Prashant Rastogi)
Under Secretary to the Government of India

Source: https://mod.gov.in/

7th CPC anomalies in respect of the Armed Forces

7th CPC anomalies in respect of the Armed Forces

Press Information Bureau
Government of India
Ministry of Defence

14th September 2016

Statement by Air Chief Marshal Arup Raha Chairman, Chief of Staff Committee (COSC) regarding 7th pay commission: Armed Forces

The 7th Pay Commission anomalies in respect of the Armed Forces were discussed with the Hon’ble Raksha Mantri in detail by the Service Chiefs and the members of the Armed Forces Pay Commission Cell. The Hon’ble Raksha Mantri is seized of all the issues and has assured to resolve them at the earliest. The Services are satisfied with the response.

7th Pay Commission Resolution for Armed Forces personnel

7th Pay Commission Resolution for Armed Forces personnel

Implementation of recommendations of 7th CPC- issue of Resolution in respect of Armed Forces Personnel-(Officers)

MINISTRY OF DEFENCE
RESOLUTION

New Delhi, the 5th September, 2016

No. 01(E).— 1. The Seventh Central Pay Commission (CPC) was set up by the Government of India vide Ministry of Finance (Department of Expenditure) Resolution No. 1/1/2013-E.III(A,) dated 28th February, 2014. The Commission submitted its report on 19th November, 2015. The report covered among other things, matters relating to structure of emoluments, allowances and conditions of service of Armed Forces personnel. Government has given careful consideration to the recommendations of the Commission relating to these matters in respect of Officers of the Armed Forces and have decided that the recommendations of the Commission on the aforementioned matters in respect of these categories of Defence personnel shall be accepted as follows. Some of the major points in respect of Defence Personnel(Officers) are as mentioned below:-

(i) Implementation of the revised pay structure will be w.e.f 01.01.2016;

(ii) Pay related Matter;

a) The existing system of Pay Band and Grade Pay has been replaced with separate Pay Matrices for both Defence and Military Nursing Services personnel.

b) Fixation of pay of each employee in the new Pay Matrix as on 01.01.2016 would be done by multiplying his/her basic pay by a factor of 2.57.

Note-1 With regard to fixation of pay in the new Pay Matrix as on 01.01.2016, the existing pay (Pay in Pay Band plus Grade Pay) in the pre-revised structure as on 31.12.2015 shall be multiplied by a factor of 2.57. The figure so arrived at is to be located in the Level Corresponding to employee’s Grade Pay in the new Pay Matrix. If a Cell identical with the figure so arrived at is available in the appropriate Level, that Cell shall be the revised pay; otherwise the next higher cell in that Level shall be the revised pay of the employee.

Note-2 After fixation of pay in the appropriate Level as specified in Note-1 above, the subsequent increments shall be at the immediate next Cell in that Level.

c) General recommendations on pay recommended by the Commission have been accepted with the following exceptions in Defence Pay Matrix, namely:

i. The index of Rationalisation of Level 13A (Brigadier) in Defence Pay Matrix may be revised upward from 2.57 to 2.67.

ii. Additional 3 stages in Levels 12A (Lt. Col), 3 stages in Level 13 (Colonel) and 2 stages in Level 13A (Brigadier) may be added appropriately in the Defence Pay Matrix.

iii. Increase in Military Service Pay (MSP) of Officers Rank from Rs. 6000/- to Rs. 15500/- p.m. and for Military Nursing Service (MNS) Officers from Rs 4200/- to Rs 10800/- p.m. MSP would be counted only for Dearness Allowance (DA) and Pension purposes;

iv. There will be two dates for grant of increment viz. 1st January and 1st July of every year, instead of existing date of 1st July. However, an employee will be able to avail annual increment only on one of these two dates depending on the date of appointment, promotion or grant of financial upgradation;

v. Recommendations on Allowances (except Dearness Allowance) would be referred to a Committee comprising Finance Secretary & Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Health & Family Welfare, Personnel and Training, Posts and Chairman, Railway Board as Members. The Committee would submit its report within a period of 4 months. Till a final decision on Allowances is taken based on the recommendations of this Committee, all Allowances would continue to be paid at existing rates in existing pay structure, as if the pay had not been revised w.e.f. 1.1.2016 i.e. , status quo would be maintained;

vi. Arrears of Pay would be paid during the current financial year;

vii. Recommendations not relating to pay and allowances and other administrative issues specific to department/ cadres/ posts would be examined separately as per the Transaction of Business Rules/ Allocation of Business Rules.

2. Other instructions on Pay Fixation and increment not specifically covered in these instructions will be as in the Government of India, Ministry of Finance (Department of Expenditure) Resolution No.1-2/2016-IC dated 25th July, 2016.

3. The decisions taken by the Government accordingly on various recommendations of the Commission in respect of Officers of Armed Forces are indicated in the statement at Annexure-I to this Resolution.New Pay Matrix for Defence Service Officers is at Annexure-II and for MNS Officers is at Annexure-III.

[No. 1(6)/2016/D (Pay/Services)]
V. ANANDARAJAN, Jt. Secy.

Authority: www.egazette.nic.in

Click to view the 7th cpc notification for defence personnel

Cabinet approved improvements in the Defence Pay Matrix in Some Levels

Cabinet approved improvements in the Defence Pay Matrix in Some Levels

The Cabinet approved further improvements in the Defence Pay Matrix by enhancing Index of Rationalisation for Level 13A (Brigadier) and providing for additional stages in Level 12A (Lieutenant Colonel), 13 (Colonel) and 13A (Brigadier) in order to bring parity with Combined Armed Police Forces (CAPF) counterparts at the maximum of the respective Levels.

Some other decisions impacting the employees including Defence & Combined Armed Police Forces (CAPF) personnel include :

• Gratuity ceiling enhanced from Rs. 10 to 20 lakh. The ceiling on gratuity will increase by 25 % whenever DA rises by 50 %.
• A common regime for payment of Ex-gratia lump sum compensation for civil and defence forces personnel payable to Next of Kin with the existing rates enhanced from Rs. 10-20 lakh to 25-45 lakh for different categories.
• Rates of Military Service Pay revised from Rs. 1000, 2000, 4200 & 6000 to 3600, 5200, 10800 & 15500 respectively for various categories of Defence Forces personnel.
• Terminal gratuity equivalent of 10.5 months of reckonable emoluments for Short Service Commissioned Officers who will be allowed to exit Armed Forces any time between 7 and 10 years of service.
• Hospital Leave, Special Disability Leave and Sick Leave subsumed into a composite new Leave named ‘Work Related Illness and Injury Leave’ (WRIIL). Full pay and allowances will be granted to all employees during the entire period of hospitalization on account of WRIIL.

7th Pay Commission recommendations for Defence Forces Personnel – An Overview

7th Pay Commission recommendations for Defence Forces Personnel – An Overview

7th Pay Commission has introduced a separate Pay Matrix Table for Defence Forces Personnel. The commission has explained in its report that the unique table structure has been simplified so that each employee can find his or her place in the proposed Matrix. All the employees belonging to various services will proceed according to their respective service conditions by earning increment on the basis of merit.  The Pay Matrix designed for the defence forces personnel is more compact than the civil pay matrix keeping in view the number of levels, age and retirement profile of the service personnel.

The entry pay for various ranks of defence forces personnel, other than MNS Offices, has been arrived at on the same premise, as has been done in the case of civilian. As an illustration, entry pay for a Captain has been arrived at as follows:

Entry pay in existing pay band + (Residency Period for promotion to Captain from Lieutenant x annual increment) + grade pay of the rank of Captain = Rs.15,600 + (2 x Rs.630) +Rs.6,100 = Rs.22,960.

The starting point of a Sepoy (and equivalent), the entry level personnel in the defence forces, has been fixed in the Defence Pay Matrix at Rs.21,700. The starting point in the existing pay structure is Rs.8,460 for a Sepoy/equivalent. The fitment in the new matrix is essentially a multiple factor of 2.57. This multiple is the ratio of the new minimum pay arrived at by the Commission (Rs.18,000) and the existing minimum pay (Rs.7,000). The fitment factor is being applied uniformly to all employees. It includes a factor of 2.25 to account for DA neutralisation, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay as on 01.01.2016. The actual raise/fitment being recommended by the Commission is 14.29 percent. An identical fitment of 2.57 has also been applied to the existing rates of Military Service Pay (MSP), applicable to defence forces personnel only.