PAY FIXATION IN CASE OF MERGER OF PREREVISED PAY SCALE.
In para 2.2.19 (vii) page 45 of the VI CPC report the Commission has stated that this merger has been done by extending the existing minimum prescribed for the highest pay scale with which the other scales have (are being ) merged.
However, the pay in the pay band in respect of the pre-revised Pay Scale of Rs.5000-8000 has been fixed at Rs.9300 (i.e. Rs.5000X1.86) and that of the pre revised Pay Scale Rs.5500-9000 at Rs.10230 (i.e. Rs.5500X1.86).
In Rule 7(1) (A) of the Central Civil Services (Revised Pay) Rules, 2008, it has been laid down that:-
i) The pay in the pay band / pay scale will be determined by multiplying the existing basic pay as on 1.1.2006 by a factor of 1.86 and rounding off the resultant figure to the next multiple of 10.
ii) If the minimum of the revised pay band/pay scale is more then the amount arrived at as per (i) above, the pay shall be fixed at the minimum of the pay band / pay scale.
Since the pre-revised pay scale of Rs.5000-8000, Rs.5500-9000, Rs.6500-6900 and Rs.6500-10500 have been merged with the Pay Scale of Rs.6500-10500 its pay in the pay band should have been revised as Annexure-1.
ITEM NO. 2
DENIAL OF MONITARY BENEFIT IN THE MATTER OF FIXATION OF PAY WHILE GRANTING HIGHER REPLACEMENT SCALE.
Railway Boards vide their letter No. Pc-VI/2008/1/RSRP/1 dated 25.9.2008 have issued clarification that where all posts in a particular grade have been granted higher replacement pay scale / grade pay, their fixation will be done with reference to their fitment table corresponding to the pre-revised pay scale instead of upgraded pay scale. This provision denied the due benefit of fixation of pay in the upgraded scale.
According to the existing practice when a post is upgraded, say from Rs.6500-10500 to Rs.7450-11500/- the pay is fixed with reference to the fixation table provided for Rs.7450-11500/-.
It is urged that when a post is upgraded the fixation of pay should be done on the basis of the upgraded pay scale.
ITEM NO. 3
FIXATION OF PAY IN REVISED PAY SCALE
The VI CPC in para 2.2.19 (vii) has indicated that where pre revised pay scales have been merged it has been done by extending the existing minimum prescribed for the highest pay scale with which the other scales are being merged. Accordingly it has also been stipulated in 7(1) (A) of the CCS (Revised Pay) Rules, 2008 that if the minimum of the Revised Pay Band / Pay Scale is more that what is determined by multiplying the existing basic pay as on 1.1.2006 by a factor of 1.86 and rounding of the resultant figure to the next multiple of 10, the pay shall be fixed at the minimum of the revised Pay Band / Pay Scale. Note 2B below Rule 7, ibid and illustration 4B given in the Explanatory Memorandum to the Revised Pay Rule apply to cases of merger of Pay Scales. Note 2 B states that pay in the revised Pay Bands will be fixed in the manner prescribed in accordance with Clause (A) (i) And clause (A) (ii) of Rule 7. In illustration 4B a case of an employee in the pre revised pay scale Rs.5000-8000 drawing Rs.5600 as on 1.1.2006 in the pay scale of 6500-10500 has been indicated with which the pay scale of Rs.5000-8000 stands merged.
Taking these into account the pay in the Pay Band in the case of all employees in the Pay Scales of Rs.5000-8000 and Rs.5500-9000 has to be fixed at Rs. 6500 multiplied by 1.86 i.e. Rs.12090. The fixation tables for pay scales 5000-8000 and 5500-9000may therefore be modified fixing the pay in the pay band at Rs.12090 wherever it is less than that amount.
Illustration 4B in the explanatory memorandum to the Revised Pay Rules 2008 may be modified as under:-
Existing Scale of Pay
Pay Band PB-2
Merged with Pay Scale
Existing Basic Pay as on 1.1.06 Rs.5600
Pay in the PB-2 Rs.5600 X 1.86 = 10420
As per Clause (A) (i) of Rule 7(i) of Revised Pay Rules 2008
Pay in the PB-2 Rs.6500- X 1.86 = 12090
As per Clause (A) (ii) of Rule 7 (i) of Revised Pay Rules 2008
Grade Pay Rs.4200
Revised Basic Pay Rs.16290
FIXATION OF PAY FOR NEW RECRUITS IN THE GRADE PAY OF RS.4200/-
The Sixth Pay Commission recommended the merger of the Pay scales of Rs.5000-150-8000 and 5500-175-9000 with the pay scale of Rs.6500-200-11500 with the intension of giving benefit to the earlier two scales. However, while issuing the notification of CCS (revised Pay) Rule 2008, the scales of 5500-175-9000 and 6500-200-11500 were brought down and merged with the scale of Rs.5000-150-8000. Consequently the entry pay for direct recruits of the Grade Pay of Rs.4200 has been revised by multiplying 5000 X 1.86 = 9300 + 4200 total Rs.13500/- in place of multiplying 6500 X 1.86 = 12090 + 4200 total Rs.16290/- which is contrary to the Sixth Pay Commission recommendation.
Rectification of this anomaly should be done by multiplying 6500 by 1.86 which comes to Rs.12090/- in place of Rs.9300/- (5000X 1.86) in order to give the desired benefit to the merged scales.
ON REVISED PAY RULES. 2008
it has been mentioned under sub rule 4 thereof that the option once exercised shall be final and should be exercised within three months from the date of notification of the rule vide Sub rule I thereof. Since it is very difficult to comprehend and assess the implication of such option, we propose that the first option exercised within three months may not be treated as final and the employees be permitted to revise the option within six month of the date of exercising the first option.
(ii). Special allowance and qualification pay which are taken for fixation purposes on promotion should be doubled with effect from 1.1.2006 and not from 1.9.2008 as it cannot be construed to be an allowance. If this is not done, senior employees will suffer loss in emoluments, in case of persons who are promoted during the period between 1.1.2006 and 1.9.2008.
(iii). Clarification No. 6(ii) issued vide O.M. No. F.1.1.2008-IC dated 13.9.2007 is in conflict with the mode of fixation as given in illustration 4A in the explanatory memorandum to the Revised Pay Rules, 2008 referred to in Note 2A to Rule 7. In the case of upgraded Pay Scale the pay is to be fixed in the manner prescribed in accordance with A (i) and (ii) of Rule 7 by multiplying the existing Basic Pay as on 1.1.2006 by a factor i.e. 1.86 and rounding the resultant figure to the next multiple of ten. The clause A (ii) of Rule 7 stipulates that it the minimum if the revised pay Ban / Pay scale is more than the amount arrived at by multiplying the existing Basic Pay by a factor of 1.86 and rounding to the next multiple of ten, the pay shall be fixed at the minimum of the revised pay Band / Pay scale. In other words the revised Pay Band arrived at with reference to the existing Basic pay should not be less than the minimum of the upgraded Pay Scales. This aspect has been ignored in the clarification No.6 (i) of the OM dated 13.9.2008. Therefore this may be withdrawn.
(iv). Rule 8 of the Revised Pay Rules. On going through the table for fixation given for new entrants and the existing employees in the same stage (especially at the minimum of the scale of pay) we find that the new entrants are fixed at a higher stage compared to the existing employees as per illustration given Annexure-2.
(v) Rule 9. Date of next increment: It is seen after going through the stipulation in the above rules that a person whose increment falls on 1.1.2006 will get the increment on 1.1.2006 in the pre revised pay scale and will get the next increment in the revised pay structure oh 1.7.2006 i.e. on expiry of six months. Similarly those, whose next increment is between 1st July 2006 and 1st December, 2006 would also be granted next increment in the revised pay structure on 1.7.2006. On the other hand, the persons whose increment dates are between 1st Feb. 2006 and 1st June 2006 have to wait for more than 12 months to get the next increment on 1.7.2006. This is quite anomalous. In the case of those who retire during the period between 1st Feb. and 30th June, they will suffer a loss of one increment perpetually thus affecting their pension. It is, therefore proposed that the persons whose increment falls between 1st February and 1st June, 2006 may be given one increment on 1.1.2006 as a one time measure.
Tax deduction from salary: Spread over of the arrears of salary is permissible under section 89 (a) of the I.T. Act. No tax will thus become payable by Group D employees on account of receipt of arrears eventually. Therefore, executive instructions may be issued not to deduct any tax from the arrears payment pertaining to the Group D employees. In respect of others, they may be allowed to exercise option to tax the arrears either on receipt basis or accrual basis.
Temporary Status Casual Labourers As per existing scheme the employees who are afforded temporary status are paid the wages computed with reference to the minimum of the corresponding scale of pay of regular employees. In the case of Group D temporary status employees, it will become necessary that they are afforded the requisite training if they are non-matriculates.
ITEM NO. 6
BENEFIT ON PROMOTION
It is an accepted proposition that an employee when promoted to a higher post involving higher responsibility should get a suitable raise in his salary. It was on this consideration that FR 22-C was framed whereby the promote was first granted an increment in the lower Pay Scale and then fixed at the appropriate (next) state in the higher grade.
At the time of V CPC it was agreed that minimum increase in salary on promotion shall not be less then Rs.100/- There are certain grades in which, on promotion, a hike of Rs.650/- is being allowed with reference to pre-revised pay scale.
In these circumstances grant of only one increment in the lower Pay Band / Pay scale and difference in grade pay, if there be any, being granted on promotion is certainly inadequate. We therefore propose that minimum benefit on promotion should not be less than 10% of the Pay+Grade Pay of the feeder post.
FIXATION OF PAY ON PROMOTION
The minimum Entry pay with Grade Pay in the revised pay structure for direct recruits appointed on or after 1.1.2006 has been specific vide first Schedule, Part –A, Section II of the Gazette Notification of the Govt. of India, Ministry of Finance No. G.S.R. 622 (E) dated 29.8.2008.
On promotion, the pay of the promotees should not be less than the direct recruits.
In VI CPC structure there is no pay scale and new concept of grade pay has been inducted, which should determine the status. As such the following provisions need to be inserted below clarification 2. „The method of Fixation of Pay on promotion on or after 1.1.2006.
“on promotion to the higher grade pay of an employee should be fixed appropriately and in any case it should not be less than the entry Pay in the revised pay structure for direct recruits appointed on of after 1.1.2006 for the post.” further, on promotion to the next higher grade pay an employee should be fixed by adding 10% of pay, plus the grade pay as demanded by NC/JCM in its memorandum submitted to the Chairman, NC/JCM/Cabinet secretary on 8.4.2008.
ITEM NO. 8
REFIXATION OF PENSION / FAMILY PENSION
Para 9 of the Ministry of Personnel, Public Grievances and Pension‟s O.M. No. F.No. 38/37/08-P&PW (A) dated 1.9.2008 states as under:-
“The consolidated pension / family pension as worked out in accordance with provisions of para 4.1 above shall be treated as final basic pension with effect from 1.1.2006 and shall qualify for grant of Dearness Relief sanctioned thereafter.”.
This has left uncovered the provision made in para 4.2 of the same OM, which lays down as under:-
“The fixation of pension will be subject to the provision that the revised pension in no case, shall be lower than fifty present of the minimum of the pay in the pay band plus the grade pay corresponding to the pre- revised pay scale from which the pensioner had retired. In the case of HAG + and above scales, this will be fifty percent of the minimum of the revised pay scale.”
Since refixation of pension has been allowed both under paras 4.1 and 4.2, they should both he covered in para 9 of the OM. It is requested that para 9 of the said OM may be revised including both paras 4.1 and 4.2 thereof.
ITEM NO. 9
ANOMALY IN PENSION FOR GOVERNMENT SERVANTS WHO RETIRED/DIED IN HARNESS BETWEEN 1.1.2006 AND 1.9.2008
The Sixth Central Pay Commission lays down inter-alia that once an employee renders the minimum pensionable service of 20 years, pension should be paid at 50% of the average emoluments received during the past 10 months or the pay last down, whichever is more beneficial to the retiring employee.
As per the Ministry of Personnel, Public Grievances and Pension O.M. F.No. 38/37/08-P&P(W)(A) dated 2nd September 2008, these orders shall come into force with effect from the date of issue of this OM, namely 2nd September 2008 and shall be, applicable to all Government Servants becoming entitled to pension after rendering the minimum qualifying service of 20 years or on completion of 10 years qualifying service in accordance with rule 49(2) of the CCS (Pension) Rules, 1972.
However, the Govt. servants who have retired on or after 1.1.2006 but before the date of issue of this OM (2.9.2008) have been debarred from this benefit. They will be governed by the rules/ orders which were in force immediately before coming into effect of these orders. In other words their pension will be calculated on average emoluments received during the last 10 months and not on the actual pay last drawn. It is requested that this discrimination should be removed.
ITEM NO. 10
COMMUTATION OF PENSION
The minimum period of service for eligibility for pension is 10 years. For appointment to Government Service the minimum age is 18 years. In view of this, if a person is appointed at the age of 18 years he cannot become eligible for pension unless he has served for a period of at least 10 years and attained the age of 28 years i.e. when his birthday falls in the 29th years.
The table adopted a per the Ministry of Personnel, Public Grievances and Pension‟s OM No. 38/37/08- P&PW (A) dated 2.9.2008 shows the minimum age of next birthday after retirement as 20 which is not understood. It is requested that suitable amendment to the table referred to may be notified.
ITEM NO. 11
GRANT REVISED ALLOWANCES WITH EFFECT FROM 1.1.2006
Allowances form part of wages. That being so, allowances too should be revised with effect from the same date from which Revised Pay Scales have been implemented i.e. 1.1.2006. There is hardly any justification for granting revised allowances with effect from 1.9.2008 i.e. after a lapse of 32 months. Certain Special Pay like Qualification Special Pay, which has now been treated as Special Qualification Allowance, is also being revised with effect from 1.9.2008. Since this Allowance is treated as pay for the purpose of fixation of pay on promotion to higher posts, senior employees, who might be promoted during the period from 1.1.2006 to 31.8.2008, would be fixed at a lower stage due to pre revised Special Qualifying Allowance than those junior hands who are promoted to higher posts on or after 1.9.2008, creating an anomaly. It is, therefore, necessary that such Qualification (Pay) Allowance is revised with effect from 1.1.2006.
In case of HRA and other allowances, which are paid as a percentage of pay, even on the pre revised pay, have to be paid as a percentage of the revised pay for the period from 1.1.2006 to 31.8.2008 and not on the prerevised pay which ceases to exist on and after 1.1.2006. No orders to do so have so far been issued. The Family Planning Increment has to be granted at the rate of revised Increment with effect from 1.1.2006. Instead it has been sanctioned as Family Planning Allowance with effect from 1.9.2008 at flat rates. During the period from 1.1.2006 to 31.8.2008 orders to regulate it at the rate of increment in the Revised Pay Scales have also not been issued.
For all these reasons, we demand that all allowances may be granted at the revised rates with effect from 1.1.2006.
ITEM NO. 12
The scheme of Transport Allowance was recommended by the V Central Pay Commission. Even at that time it had been pointed out that the rates of Transport Allowance had not been fixed rationally. Group C & D employees, who reside at far away places from their offices, have been given very low rates but the officers, who reside in Govt. accommodation very near their offices, have been given 8 times higher rates than the low paid employees. The matter had gone for arbitration and the Board of Arbitration had given an award increasing the rates of Transport Allowance, which has not yet been implemented though more than 3 years have since elapsed.
On these considerations there is a case for upward revision in the rates of Transport Allowance for low paid employees now belonging to PB-1. We, therefore, demand that Transport Allowance for employees below the Grade Pay of Rs.4200 should also be revised to Rs.1600+DA for the A-1/A towns and Rs.1200/- + DA for other towns.
There are employees who remain on long tour duties as in the Audit Deptt., or field duties on survey sites during a long field season of more than 4-5 months. Since the CCA which was earlier admissible to them has been subsumed in the Transport Allowance, they are not getting any Transport Allowance while on tour for more than a month or for many months during which the field season lasts and they are, therefore, losing even the part of Transport Allowance which represents CCA.
It is, therefore, demanded that the condition of absence for more than a month for disentitling the employees for Transport Allowance may be done away with. During the survey season these employees have to roam the entire area which is being surveyed. The ground Water Board Staff have to go from their tents etc. to places where water availability is to be explored. Therefore they are also entitled to Transport Allowance during the field season. Since CCA was being included in wages for the purpose of revising the OTA rates, 50% of Transport Allowance may be counted as wages for determining the Overtime rates.
INCREASE OF TA (TRANSPORT ALLOWANCE) AT PER WITH PB – 3
Total amount of TA and CCA for A1 cities in PB – 3 with grade pay of Rs.5400 and above were Rs.1100. The new TA rate for these categories is Rs.3200, 2.9 times the sum of the pre revised TA and CCA. The total amount of TA and CCA for A1 cities in pre revised scale of Rs.6500-10500 and 7450 – 11500, which are now placed in PB -2 with grade pays of Rs.4600 and 4200, were Rs.700. The new TA rate for these categories is Rs.1600, only 2.28 times the sum of the pre revised TA and CCA. TA should be increased at a uniform rate for all the categories since the purpose and elements for increase are the same for all levels. Transport Allowance should also be uniform all over the country as the cost of fuel is nearly the same – irrespective of the class or category of a city.
The rate of Transport Allowance should be increased 2.9 times the sum of the pre-revised TA & CCA, as in the case of PB-3.
REVISION OF EXISTING ALLOWANCES
There are certain allowances which are to be withdrawn and replaced by new schemes like Insurance for Risk Allowance, Patient Care Allowance etc. These schemes have so far not been formulated. When formulated, these will have to be discussed in the JCM for a before these are implemented. For the intervening period from 1.9.08 to the date on which these alternate schemes are implemented, the rates of these allowances may be doubled and implemented.
ITEM NO. 15
PARITY IN PENSION OF ALL PRE 1996 RETIREES WITH THOSE WHO RETIRED ON OR AFTER 1.1.96
The Government have already accepted in principle that there shall be parity in pension amongst pensioners irrespective of the date from which they had retired.
Accordingly pension of all pre 1986 retirees was revised with effect from 1.1.96 by first determining the notional pay which would have been fixed as on 1.1.86 (treating as if the employees were in service on that date) and then the Notional Pension was updated by applying the same fitment formula which was applied to serving employees.
We, therefore demanded that the notional pay of all pre 1996 retirees may be fixed as on 1.1.96 in terms of Revised Pay Rules, 1996 and the notional pension as on 1.1.96 may be revised w.e.f. 1.1.06 by applying the same fitment formula which is applied in the case of serving employees i.e. by multiplying the notional pension as on 1.1.96 by 1.86 + the Grade Pay of the Pay Scale (V CPC) from which they would have retired.
The revision of pension has been done by applying the formula of Basic Pension as on 1.1.96 + Dearness Pension (50% of Basic Pension) + Dearness Relief on Basic Pension + Dearness Pension+40% of Basic Pension.
This is not the same that has been granted to serving employees. In whose case the Grade Pay which is the fitment benefit is 40% of the maximum of the Pre-revised Pay Scale.
As such the Pensioners should also be granted 50% the of Grade Pay of the Pay Scale from which they had retired by way of fitment benefit and not 40% of Basic Pension.
ANOMALY IN REVISED PENSION TO PRE 2006 RETIREES.
It has been observed that the pension of the pre 2006 retirees having been fixed in terms of different sets of rules from those who retired on and after 1.1.2006 is fixed at a lower rate than that of those who are in identical pay scale at the same stage of pay but retiring on or after 1.1.2006.
The Supreme Court in the case of D.S. Nakara [ (1983)25CR 165] has laid down the following principles.
i). The date of retirement cannot constitute a valid criterion for determination of pension and any classification or division made on such basis will be violative of Article 14 of the Constitution.
ii). Where all relevant considerations are the same i.e. persons holding identical posts cannot be treated differently in the matter of their pay while service, so also they cannot be treated different, when they have retired.
iii). In the matter of determination of pension the object sought to be achieved is not to create a class within a class, but to ensure that benefits of pension are made available to all persons of the same class equally.
In the latest judgment of the Supreme Court, in the case of S.P.P. Vain (J T 2008(10) SC 399) it has been further held that the pensioner‟s pay is to be fixed notionally at the rate given to similar serving employee on the cut off date and thereafter the quantum of pension is to be determined from that date.
These principal have not been kept in view while framing the rules for fixation of pension. By laying down different rules in respect of Pre 2006 retirees, Pre 2nd September 2008 retirees and post 2nd September retirees, three classes of pensioners have been envisaged which is violative of the principles laid down by the Apex Court. The following anomalies have arisen:-
I Junior getting more pension
Mr. A an Additional Secretary in the Pay Scale of Rs.22400-24500 retiring on 31.12.2005, drawing pay of Rs.24500 is fixed at 50% of Rs.37400 + Grade Pay of Rs.12000/-, which is Rs.24700.
Mr.B Joint Secretary (working under Mr. A) in the Pay Scale of Rs.18400-22400 retiring on 31.1.2006 drawing Rs.18400 gets pension of Rs.27350 because his revised Pay is fixed on 1.1.2006 at Rs.54700, 50% of which is 27350.
II Two identically Placed Officers getting different pensions
Mr. A and B both are Additional Secretaries and have been drawing Rs.24500 i.e. maximum of their pay scale Rs.22400-24500. Mr. A retirees on 31.12.2005 and get pension of Rs.24700 as on 1.1.2006. Mr B retires on 31.1.2006 and his pension is fixed as on 1.2.2006 at Rs.35190 i.e. more than Rs.10000/- (Rs.100490) than the former.
The VI CPC has recommended that pension will be subject to the provision that revised pension, in no case, shall be lower than 50% of the sum of the (minimum pay in the pay band and the grade pay thereon corresponding to the prerevised pay scale from which the pensioner had retired. This recommendation has been accepted by the Government vide para 4.2 of O.M.No.38/37/08-P&PW (A) dated 1.9.2008. The Government of India vide their OM. No.38/37/08 P&PW (A) Pt I dated 3.10.2008 reiterated vide their OM F No. 38/37/08-P& PW (A) dated 11.2.2009 have modified and ordered that the Pension calculated at 50% of the minimum of the Pay in the Pay Band Plus Grade Pay would be calculated at the minimum of the pay in the Pay Band (irrespective of the prerevised scale of pay) plus the Grade Pay corresponding to the prerevised Pay Scale. By so doing the 50% of pay in the Pay Band has been brought down to the minimum of the lowest Pay Scale in the Pay Band. In other words minimum pay in the Pay Band of PB 1 has been fixed at Rs.5200 in respect of all the pay scale of that Pay Band, PB 2 has been fixed at Rs.9300 in respect of Pay Scales of that Pay Band.
Mr. A who is in the prerevised Pay Scale of Rs.7500-12000 will be getting Rs.7050/- by way of 50% of minimum of Pay in the pay band rs.7050 (i.e. 50% of 9300+4800) and not Rs. 9380 (Rs.7500 X 1.86 + Rs.4800) Qualifying the term “ minimum pay in the pay band” by the clause “irrespective of prerevised scale of Pay” is, therefore, a modification in the Government decision taken and conveyed vide OM dated 1.9.2008. By doing this the very objective of ensuring at least parity in pension in respect of those retiring at the minimum of the prerevised Post revised Pay Scales / Pay Band has been distorted. All employees have been brought to the level of minimum of Pay Band. This distortion in the Government decision has to be rectified appropriately.
DISPARITY IN PENSION/FAMILY PENSION BETWEEN PRE AND POST PENSIONERS / FAMILY PENSIONERS
An anomaly has arisen due to the application of two different fitment weightage, one for those who retired on or before 31.12.2005 and the other for those who were in service on 1.1.2006 but retired subsequently. The former got 40% of their basic pension as per para 4.1 of notification dated 1.9.2008 while the later got more than 60% of the minimum pay of the pre-revised scale in the form of distinct “Grade” pay under rule 7 of CCS (R.P) Rules 2008 as additional benefit.
Similarly pre-2006 Family Pensioners also are affected by this discriminator / fitment weightage. In short the benefit of new scale has not at all been extended to the pre 2006 pensioners / family pensioners except the provision under para 4.2 of the said notification stating that in no case, the revised pension shall be less than 50% of the minimum pay in the pay band plus grade Pay. This provision is of no help for most of the pre 2006 pensioners as the pay band plus grade pay in respect of most of the pre-revised pay scales is less than 200% of the pre-revised minimum pay unlike IV and V CPCs which had increased the minimum basic pay to more than 300% in all cases to avail of this provision effectively and meaningfully. The claim of the VI CPC that this is consistent with the fitment weightage being allowed in case of existing employees is country to the fact.
It would not be out of place to mention here the recommendation of the V CPC stating that the process of bridging the gap in pension of the past pensioners had already been set in motion by the IV CPC and the same had to be continued. This recommendation had been accepted by the Govt. in toto. Accordingly the pay of all the pre 1986 pensioners had been notionally fixed in IV CPC scales on 1.1.1996 allowing the same fitment weightage for both pre and post 1996 retirees. With this, there was no disparity in the pension among pre and post 1996 pensioners in the implementation of V CPC. Whatever parity ensured by the IV and V CPCs has been negated by the notification-dated 1.9.2008.
This is a clear infringement of the Fundamental Right guaranteed under article 14 of the Constitution as held by the Honorable Supreme Court in 1983 1 SCC 305 Constitution bench - O.S. Nakara and Others Vs Union of India stating in no uncertain terms that the case of retirement of an employee cannot form a valid criterion for classification, for if that is the criterion, those who retired by the end of the month will form a class by themselves, that the fixation of a cut-off date as a result of which equals were treated as unequals, was wholly arbitrary and that the class of pensioners could not be decided for the purpose of entitlement and payment of pension into those who retired by a certain date and those who retired thereafter and holding such division is both arbitrary and unprincipled which did not stand the test of Article 14 of the Constitution.
Therefore it is urged that the fitment weightage given to the pre 2006 pensioners and family pensioners may be modified by extending the benefit of the new pay scales given effect to from 1.1.2006 and fixing their pay notionally on per with the employees who were in service on 1.1.2006 as was done in the case of pre 1986 pensioners to maintain and ensure parity of pension among all pensioners and family pensioners irrespective of the date of retirement or the death of the pensioners.
ITEM NO. 18
ANOMALY IN PENSION TO THOSE RETIRING WITHIN FIRST 9 MONTHS OF 2006 NOT FULLY RECTIFIED.
The Department of Pension & Pensioners Welfare, in their Clarificatory O.M. F.No. 38/37/08-P&PW (A) Pt II dated 3.10.2008, at Sl.No. 5 (para 12), have stipulated that, for the purpose of computing average emoluments in the case of Government servants who have opted for fixation of pay in the revised Pay Band and retire within 10 months from the date of coming over to the Revised Pay Band, basic pay for the 10 months period preceding retirement shall be calculated by taking into account pay as follows:
i) For the period during which pay is drawn in the revised Pay Structure – pay drawn in the prescribed Pay Band plus applicable grade pay or the pay in the Pay Scale in case HAG + & above:
ii) For the remaining period during the which pay is drawn in the pre-revised pay scale:-
a) Basic Pay + Dearness Pay and actual D.A. appropriate to the basic Pay at the rates in force on 1.1.2006 drawn during the relevant period.
b) Notional increase of basic pay by applying the fitment benefit of 40% on the basic pay in pre-revised Pay Scale
The average emoluments so computed would not fully rectify the anomaly as because those who have retired on 31.10.2008 and thereafter will get their average emoluments for all the 10 preceding months in the prescribed Pay Band plus applicable grade pay i.e. Basic Pay in pre-revised Pay Scale multiplied by 1.86+Grade Pay which is 40% of the maximum of the pre-revised pay scale or even more than that in the case of S-16 onwards. On the other hand what has been allowed as per above clarification in the case of these retiring within 10 months is Basic Pay in pre-revised Pay scale multiplied by 1.74 plus 40% of basic pay in the pre-revised pay scale. With a view to remove the anomaly it is demanded that for the period preceding 10 months during which prerevised pay is drawn, the pay of those retiring between 1.1.06 and 30.9.06 should be taken as under:-
a) Basic Pay multiplied by 1.86
b) Notional increase in the basic pay by the Grade Pay applicable and not 40% of basic pay in the pre- revised Pay Scale.
ITEM NO. 19
REVISION OF PENSION OF THOSE WHO RETIRED DURING THE PERIOD 1.1.2006 TO 1.9.2008.
The recommendation of VI CPC for grant of full pension @ 50% of average emoluments received during last 10 months or the pay last drawn whichever is more beneficial to all employees rendering minimum of 20 years of service has been accepted.
Rule 49 (2) (a) of CCS (Pension) Rules, 1972 shall have to be revised by providing 20 years for 33 years and Rule 34 of the CCS(Pension) Rules 1972 will also undergo a change by including the last pay down if it is more beneficial as emoluments for the purpose of fixing pension.
It is, therefore, not correct to state that qualifying service of 20 years and average emoluments or the last pay drawn are not separable (vide Deptt. of Pension & Pensioners Welfare clarification NO. 1 in O.M.F.No.38/37/08-P&PW(A) Pt.II dated 3.10.2008)
The Commission‟s recommendation that payment of full pension on completion of 20 years of qualifying service may take effect prospectively i.e. from 2.9.2008 which has been accepted by the Govt. vide their O.M. dated 2.9.2008 is to say the least unconstitutional in the light of the judgment dated 17.12.82 of the Hon‟ble Apex Court what is popularly known as the Nakara Judgment. They have ruled as under:-
That by introducing an arbitrary eligibility criteria : being in service and retiring at a subsequent date for being eligible for the liberalization in Pension Rules (or any other liberalization in Pension Rules) and thereby dividing a homogeneous class (Pensioners-past, present and future), this classification being not based on any discernable rational principle and having been found wholly unrelated to the object sought to be achieved by grant of such liberalization and the eligibility criteria being thoroughly arbitrary, we are of the view that eligibility for the Liberalized Pension Scheme of being in service on the specified date and retiring subsequent to that date violates Article 14 of the Constitution and is unconstitutional and is struck down
With due respect to the VI CPC, it is, therefore, stated that the above recommendations vide para 5.1.33 of their Report from a prospective date (vide para 6.5.3 of VI CPC Report) is ultra sires of Art 14 of the Constitution and may therefore be rejected. Not only those who have retired between 1.1.2006 and 1.9.2008 but even those who retired prior to 1.1.2006 may be granted full pension if they had rendered 20 years of service i.e. 50% of the average emoluments for the last 10 months or the last pay if that be more beneficial.
Daily Allowance on Tour
The DA rates may be revised with regard to those drawing Grade Pay of 4200 to 4800 and below 4200 in the following manner.
Rs.4200 to 4800 – Reimbursement of hotel accommodation of upto Rs.1000/- per day; reimbursement of travel charge upto Rs.150/- per diem for travel with in city and reimbursement of food not exceeding Rs.200 per day. The reimbursement of travel and food charges may be made on self-certification or on assumption that the prescribed amount has been opted.
Below Rs.4200 – Reimbursement of hotel accommodation of upto Rs.700/-per day; reimbursement of travel charges upto Rs.150 per diem for travel within city and reimbursement of food not exceeding Rs.200 per day. The reimbursement of travel and food charges may be made on self-certification or on assumption that the prescribed amount has been spent.
This is being demanded because if is not the practice to get bill/receipt for fare charged by the Autoriksha or to insist for bill for tea/snacks/meals from dhaba/restaurant. The traveling employees (at least some of them) have arrangements to cook their meals etc while on tour and stay in places other then hotels having tariff rates etc in their case obtaining receipts for stay, etc., is not even called for.
It is, therefore demanded that a fixed Daily allowance rate for stay, local travel, food etc may also be prescribed has was done before we propose the following rates of D.A:
Grade Pay 4800 to 4200
50% of hotel rates i.e.Rs.500/- plas 350/- for local Travel and food i.e.Rs.850/-
50% of hotel Rates i.e. Rs.350/-+Rs350 i.e. Rs.700
There are many employees in surveys Departments like Survey of India, Geological Survey of India etc and Ground Water Board who go on field duties, live in tents, cook their meals and travel to the areas being surveyed by them from their tents etc. there are no hotel / dhabas etc even available etc even available to them.
The above rates may be treated as alternate available to any touring employees.