Thursday, July 30, 2009

SCPC: OROP or debugging pension anomalies?

Sirs,
I am enclosing for your perusal the major accepted recommendations of the CoS.
Regards
Navdeep

Thursday, July 30, 2009
Main features of the accepted report of the Committee on OROP/ PIP
The government has accepted the recommendations of the committee on defence pension anomalies headed by the Cabinet Secretary. The govt sanction letters dealing with the subject would be published and notified in the (very) near future.

The major accepted and soon to be implemented recommendations are:
(a) Pensions of pre-2006 PBOR to be computed by taking into account the top end of 5th CPC scales and notionally (through fitment formula) configuring it within the 6th CPC pay bands instead of basing the same on the minimum of the new scales. Practically speaking, a pre-06 Sepoy who was placed at about Rs 3700 basic pension after the 6th CPC would now be granted a basic pension of appx Rs 5500, a jump of almost Rs 1800. There may now emerge some cases wherein the pension of pre-06 retirees may turn out to be more than those of post-06 retirees at certain levels. It may be recalled that prior to the 6th CPC, pensions of the first three ranks were calculated by taking into account the end of scale whereas for civilian employees and officers the start of scale was taken into consideration. However the 6th CPC had blurred this edge because of the introduction of running pay bands and abolition of separate pay scales for each rank.
(b) Pensions of pre-06 Lieutenant Generals to be upgraded to Rs 36,500 per month. The figure of Rs 36,500 is arrived at by taking into account 50% of the minimum of new HAG scale (Rs 67000-79000) and adding an MSP fitment of Rs 3000 (50% of MSP @6000).
(c) No further improvement or OROP for commissioned officers.
(d) Ceiling on war injury pension (that the total of service element and war injury element of war injury pension should not exceed the last drawn pay) has been removed.
(e) Anomalies in other casualty pensionary awards to be deliberated upon by the Department of Ex-Servicemen Welfare (ESW) at MoD.

Posted by Navdeep / Maj Navdeep Singh at 12:30 AM

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