Restoration of 1/3rd commuted portion of pension

Restoration of 1/3rd commuted portion of pension

No.4/38/2008-P&PW (D)
Government of India
Ministry of Personnel, Public Grievances & Pensions
(Department of Pension & Pensioners Welfare)

3rd Floor, Lok Nayak Bhawan
New Delhi-110 003.
Dated the 4th August, 2016

OFFICE MEMORANDUM

Subject-Restoration of 1/3rd commuted portion of pension in respect of Government servants who had drawn lumpsum payment on absorpt ion in Central Public Sector Undertakings/Central Autonomous Bodies – Stepping up of notional full pension w.e.f . 1.01.2006 for the purpose of Dearness relief and additional pension for old pensioners.

Orders for revision of 1/3rd 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 amended/ modified vide OM No.4/30/201 0-P&PW(D) dated 11.07.2013. As per these memorandums, the full pension of the absorbees was notionally revised w.e.f . 1.1.2006 in accordance with the instructions contained in this Department O.M. 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 were issued vide this Department’s 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 was also stepped up w .e.f 24.09.2012 in accordance with the instructions contained in the aforesaid OM dated 28.1.2013 vide this Department’s OM of even number dated 03.04.2013.

3. Instructions were issued vide this Department’s OM No 38/37/08- P&PW(A) dated 30.07.2015 for revision of pension/ family pension of all pre- 2006 pensioners/ family pensioners in accordance with this Department’s OM dated 28.01.2013 with effect from 1.01.2006 instead of 24.09 .2012 . Accordingly , the notional full pension of absorbee pensioners was also revised in accordance with the instructions contained in aforesaid OM dated 30.07.2015 w.e.f. 1.01.2006 instead of 24.09.2012 for purpose of payment of dearness relief and additional pension for old pensioners vide this Department’s OM of even no. Dated 17.02.2016.

4. Instructions have now been issued vide this Department’s OM No. 38/37/08 P&PW(A) dated 6.04.2016 that the revised consolidated pension of pre-2006 pensioners shall not be lower than 50% of the minimum of the pay in the Pay Band and the grade pay (wherever applicable) corresponding to the pre-revised pay scale as per fitment table without pro-rata reduction of pension even if they had qualifying service of less than 33 years at the time of retirement. Accordingly , the notional full pension of absorbee pensioners would also be revised in accordance with the instructions contained in aforesaid OM dated 6.04.2016 w.e.f. 1.01.2006 and dearness relief and additional pension for old pensioners would be admissible on such notional revised full pension . There will, however , be no change in the actual 1/3rd restored pension determined in accordance with the OM dated 15.09.2008 read with OM dated 11.07.2013.

5. This issues with the concurrence of Ministry of Finance, Department of Expenditure vide their I.D. No.1(5)/E.V/2012 dated 4.07.2016.

sd/-
(Harjit Singh)
Director

Source: NFIR

The feedback of meeting with Secretary, Pension AR & PG on Pensionary Matters published by Confederation

The feedback of meeting with Secretary, Pension AR & PG on Pensionary Matters published by Confederation
MEETING OF THE REPRESENTATIVES OF STAFF SIDE NATIONAL COUNCIL WITH SECRETARY, PENSION AR & PG ON PENSIONARY MATTERS.

CONFEDERATION OF CENTRAL GOVERNMENT
EMPLOYEES AND WORKERS.
First Floor, North Avenue Post Office Building
New Delhi. 110 001
Website: www.confederationhq. Blogspot.com.
E mail: confederation06@yahoo.co.in

Dated: 30th May, 2013.

Dear Comrade,

A meeting of the representatives of Staff Side National Council with Secretary, Pension AR & PG on pensionary matters was held on 28.5.2013. Staff Side was represented by S/ Shri S.G. Mishra and Rakhal Das Gupta (AIRF), Guman Singh (NFIR) and K.K.N.kutty and S.K.Vyas (Confederation)

Old Items

The following issues have been discussed

1. Ex-gratia Payment to SRPF / CPF beneficiaries who had voluntarily retired or medically invalidated. It has been decided to implement the Kerala High Court judgment in general and extend the benefit of exgratia payment to the meagre number of pre 1986 optees who retired voluntarily or on medical invalidation after rendering 20 years of service. The enabling orders are to be issued shortly.

2. Raising quantum of ex-gratia to CPF retirees on lines of SRPF.

In respect of SRPF retirees of the Railways, the rate of ex-gratia was raised from Rs. 600/- pm to Rs. 750/- pm to Rs. 3000pm with effect from 1.11.2006. The Govt. have now decided to revise the rate of exgratia in respect of CPF retirees at the above rates I. e. Rs. 750/- to Rs. 3000/- pm w.e.f. 1.11.2006.

3. Issue of Revised PPOs in favour of Pre 2006 retirees and others.

 In the case Civilian departments about 4 lakhs of cases reported pending on 1.8.2012, now only 1.30 lakhs are pending and these would also be cleared by 30.6.2013. In the case of Railways total pendency in August 2012 was 10.8 lakhs which has been brought down to 5.54 lakhs. Now when it has been decided that revised PPOs may be issued suo mottu by the Railway authorities, the entire pending is targeted to be cleared by 30th September 2013.In the case of Defence civilians, action is being taken to issue all pending PPOs by 30.9.2013.

4. Fixation of revised pension by multiplying pre-revised 1/3rd pension (in  respect of PSU absorbees) by a factor of 2.26.In the case the speaking order issued by the Govt. on 26.11.2012 that no further increase in pension of absorbee pensioners would be allowed has been challenged in CAT Hyderabad and the Tribunal has passed orders on 24.4. 2013. This order is under examination.

5. Commutation of Pension.
The Govt. have not agreed to reduce the period of 15 years to 11 years for restoration even in the cases where commutation has been paid at the rates prescribed in the New Table. The Govt. wanted that the matter may be raised before 7th pay commission.

6. Family pension to divorced / widowed / unmarried daughters –nomination for life time arrears by the family pension in respect of his / her daughter. This has not been agreed to.

7. Non payment of arrears of pension on account of Revision of pension w.e.f. 1.1.2006 in case of pensioner of Chandrapur. Now these arrears have been disbursed by all Banks.

New Items.

I. Equitable Gratuity  under Rule 50 of Pension Rules, 1972.

As recommended by IV CPC the following rates of Death Gratuity had been provided for :-

Sl. No.	Length of Service	Rate of Death Gratuity
1.	Less than one year	2 times emoluments
2.	One year or more but less Then 5 years	6 times of emoluments
3.	5 Years or more but less than 20 years	12 times emoluments
4.	20 years or more	half of emoluments for every completed  six monthly period of qualifying service  subject to maximum of 33 times of emoluments

Staff Side suggested the following amendment in Sl. No. 3 above which may be split as under :-

a) Five years or more	12 times the emoluments but less than 11 years.
b) 11 years or more but less than 20 years	20 times of emoluments

The Govt. has not agreed and have suggested that the matter may be raised before the next Pay Commission.

II.Extension of CS (MA) Rules, 1944 to Central Government Pensioners.

The Health Ministry has agreed to extend CS (MA) Rules, 1944 to Pensioners. In many cases which had gone to Court, it has been ruled that pensioners are entitled to full reimbursement of medical expenses incurred by them as per CS (MA) Rules 1944 which are applicable in the case of serving employees. The Department of Expenditure has not agreed to implement the above decision. The pensioners have to wait till the Medical Insurance Scheme is introduced.

III. Grant of modified parity with reference to the Revised Pay Scale corresponding to pre revised Pay Scale of the post from which an employee had retired. The Govt. cited the decision of Supreme Court in K.S. Krishna Swamy Vs UOI (C.A. no.3173-3174/2006 and 3188-3190/2006). According to this the benefit of up-gradation of post subsequent to their retirement would not be admissible to pre 1996 / pre 2006 retirees.

The Staff Side pointed out that the result of this clarification is that a retiree is now being compared with the pay scale of an employee two stages lower and subordinate to the post from which an employee has retired. If V IV CPCs have consciously upgraded certain posts it is established that pay scales granted for these posts were in adequate and only therefore the up-gradation has been recommended by them. On what ground the benefit of up-gradation even in determining the modified parity be denied to them when it is established that they retired from a pay scale which were inadequate.

However Govt. did not agree to reconsider this matter.

The meeting ended with a vote of thanks.

With greetings,

Yours fraternally,

M.Krishnan
Secretary General

Source: http://confederationhq.blogspot.in/
[http://confederationhq.blogspot.in/2013/05/meeting-of-representatives-of-staff.html]