Saturday, March 23, 2013

Pay protection of ex servicemen on reemployment

ANSWERED ON-20.03.2013
Pay protection of ex servicemen on reemployment


(a) whether Government of India protects the last pay drawn by ex-servicemen on re-employment in Civil Services / Public Sector Banks / SBI / RBI / LIC and other autonomous bodies under Central / State Government;

(b) if so, then what are the elements / constitutes of the pay drawn by ex-servicemen during Armed forces service are being protected / reckoned / counted for their pay fixation on re-employment; and

(c) whether instructions / guidelines in this regard have been issued and being implemented by Public Sector Undertakings / P.S. Banks / SBI / LIC / RBI and other autonomous bodies of Central / State Government?


(a)&(b):As per the instructions issued by Department of Personnel & Training from time to time, no protection of the pay held by the Ex-Servicemen (ESM) prior to retirement is given and he is allowed to draw pay only in the prescribed pay scale / pay structure of the post in which he is re-employed.

(c)Instructions / guidelines in this regard are issued from time to time by the respective nodal administrative ministries and it is the responsibility of the respective organizations to implement the same. Instructions / guidelines regarding pay rules of the State Government and other autonomous bodies under the State Governments are issued by the respective State Governments.


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  1. Dear Sir,
    There exist pay protection for EXSM in banking and LIC. But why not in other sectors?

  2. With all permutation and combination regarding pay protection for ex servicemen I would like to highlight only two aspects protecting the Basic,grade pay is asper individual organisation like Bank and LIC etc. but implementing MSP(Rs 2000) and Technical pay (Rs1400) with DA is a clear example of Double Benefit without actually serving in Armed Forces.
    After getting protection one ex serman bank employee getting

    MSP= RS 1000 through pension and Rs 2000 from bank with DA
    Tecnical Pay=Rs 700 through pension and Rs 1400from bank with DA

    Where as those soldier still bleeding in border getting less than that. Because this pay ie Military Service Pay Is very special for Soldier.

    1. Eventhough lot of reemployed exsm benefitted by fixing their last pay drawn I am fighting for the last 30 years for pay fixation even after getting orders from CAT MADRAS in 1993 the DOT has not accepting the Indian navy Rank Leading telegraphist equivalent to Telephone Operator in cvil in spite of the Concerned authorities reules are referred to DOT(I.E.Thro the DIRECTORY OF CIVIL EQUIVALENT TO MILITARY TRADES).Now it is referred to labour commissioner Maduari for the same and the DOT authorities in Coimbatore and Chennai IS ALARMED AND ASKING SUGGESSTIONS FRM ME.

    2. you talk abt blood and projecting your views like this it is clearly indicates that you are not soldier first and second you donot know what he has lost in bargain of serving nation....soldiers sign his life's blank chequ he him self does not know will he be back or not....if fortunately he comes back and ask for little more amount in bargain of what he lost in life then whats is the harm.....its his right ......once he protected the country and now country is his ethically........

    3. you talk abt blood and projecting your views like this it is clearly indicates that you are not soldier first and second you donot know what he has lost in bargain of serving nation....soldiers sign his life's blank chequ he him self does not know will he be back or not....if fortunately he comes back and ask for little more amount in bargain of what he lost in life then whats is the harm.....its his right ......once he protected the country and now country is his ethically........


  4. sir
    if an ex-serviceman joins a regional rural bank then he will come under pay protection or not ? Because rrb are sponsored by psu bank(35%)+center(50%)+ state(15%).

    any body having correct information plz mail at

    1. Please visit INDIAN KANOON.ORG. OR Pay fixation of remloyed ex service men.
      Pay protection is a part of clause ofPay fixation orders.This is applicable to all EXSM re-employed central and state Govt.bodies and union territories,Railway,defence P&T.PSUs,lOCAL BODIES,AUTONOMOUS BODIES like universities or semi-Govt Organisations like port trust etc..,I f ur bank is not govt undertaking you are not eligible.Any hoe if you apply you may get reply from your bank.than you

  5. what stops u to approach rbi with goi letter on pay protection for ex serviceman dated 28. 08.12 it never differentiate between banks --wether rbi\sbi\rrb etc

  6. As per existing rule any employer who is ensuring pay protection to re employed ex service men ( Basic+ grade pay)has to intimate PCDA to stop the DA in pension of individual. If it is not done what will happen to individual concern?

    1. This rule have been amended and DA is allowed at both places

    2. No my dear, it is amended and Hon'ble President is pleased to pass an resolution( 1999) to enjoy both side DA only when your basic is fixed at minimum scale of your present service.
      But if you enjoy your protected pay ( Basic+grade pay) which is much higher than minimum scale of your present service, then you are liable to stop your one side DA , please refer instruction in PCDA website. If not huge amount of overdrawn will be accumulated. Please stop the malpractices and help large number of Ex servicemen to fight for OROP

    3. No my dear, you have not gone through last line of - your protected pay - for pbor, can enjoy da on both with pay protection along.

  7. Sir, whether non entitled class employee can perform air travel journey and claim the fare of entitled class during LTC.

  8. Respected sir,
    I am working in Director Of Accounts(postal) as Junior Accountant in Trivandrum from the last one year. I have one doubt regarding mutual transfer.One Senior Accountant from Kerala working in Hyderarabad in the Director of a/c hyd. She completed 31 yrs. service and she is under MACPIII(5400 GP). Whether she will get pay protection if she is transferred on mutual. She has 2 yrs 6 months service remaining.
    plz reply sir.
    with regards, P.Satyamraju

  9. Is pay Band between lowest and Highest pay really 1:12? well, the news regarding disparity is there for sure. but if increase in pay of lowest band is three times and upper band is also three times, one needs to calculate that upper band will come in 33% band of income tax. for top slab of 90000/- now, if gets increased to 2,70,000 pm, will have yearly pay of 32.4 lakhs. if it slabs remains same, and 1 lakh deuction is admissible, he will have to pay as under:-
    total pay - 32.4 lakhs, less 1 lakh deduction = 31.4 lakhs
    it free - 2,50,000/- = 29.9 lakhs
    10% at next 2.5 l = 25,000 thousand
    20% for next 5l = 50,000 thousand
    30% for above 10 lakhs. so tax will be 31.4-2.5 = 29.9 lakhs is 25,000/-
    29.9 - 5.0= 24.9 l is 50,000/-
    bal @ 24.9 l = 7.47 lakhs
    so, total comes 7.47+ .5+ .25= 8.22 lakhs plus surcharge @ 10% = 9.04 lakhs plus edu cess = 9.1 lakhs which comes to around 76,000 pm
    lowest slab will not be in it bracket, but higher slabs will attract high IT.
    there is need to raise IT slabs to
    first 3, 00, 000 - no IT
    next 3.0 l - 7.5 - 10%
    7.5 - 15 l = 20%
    above 15 l = 30% else msp and grade pay and da to be fully exempted.
    if this is not done than minimum band gets 21000/- with no income tax.
    highest band gets 2,70,000 - 76000 = 1,94,000 effective, so ratio is 194000/21000 = 9.23 ie 1: 9.23
    which infact is less than 1:12 even if pay increase is 3 times as per previous pay commision.
    So, finance minister and 7 cpc need to adress pay slabs and IT slabs, else it will be given by one hand and taken back by other.


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