Fixed Medical Allowance set to increase from 01.01.2026 by inclusion in the 8th Pay Commission Terms of Reference: Latest updates from 34th SCOVA meeting
Increase in Fixed Medical Allowance: Inclusion in the 8th Pay Commission Terms of Reference
The 34th meeting of the Standing Committee of Voluntary Agencies (SCOVA) took place on March 11, 2025, under the chairmanship of the Hon’ble Minister of State for Personnel, Public Grievances, and Pensions (MOS(PP)) at Vigyan Bhawan, New Delhi. Among the significant issues discussed was the increase in the Fixed Medical Allowance (FMA), which is crucial for pensioners facing rising healthcare costs.
Background on Fixed Medical Allowance
Fixed Medical Allowance is an essential component of the financial support provided to pensioners, aimed at helping them cover medical expenses. As healthcare costs continue to escalate, the adequacy of this allowance has come under scrutiny. Currently, the FMA is set at a rate that many stakeholders believe is insufficient to meet the rising demands of medical care.
Key Points from the SCOVA Meeting
During the meeting, it was highlighted that the current FMA is inadequate. The Department of Pension & Pensioners’ Welfare (DoP&PW) referenced recommendations from the Parliamentary Standing Committee, which advocated for an increase in the FMA to address the financial burden faced by pensioners.
Decision on FMA Increase:
- The committee decided to increase the Fixed Medical Allowance to Rs. 3000 per month. This increase reflects an understanding of the financial pressures exerted by escalating medical expenses on retired personnel.
- The Department of Expenditure indicated that this enhancement would be integrated into the Terms of Reference (TOR) of the 8th Pay Commission, ensuring that it gains formal recognition and consideration in future pay structures.
Implications of the Increase
The decision to increase the FMA has several implications:
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Financial Relief for Pensioners: The hike to Rs. 3000 per month will provide much-needed financial relief to pensioners, enabling them to manage their medical expenses more effectively.
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Recognition of Healthcare Costs: This decision acknowledges the rising cost of healthcare and the need for pension allowances to keep pace with inflation and increased medical service rates.
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Future Considerations in the 8th Pay Commission: By including this issue in the TOR for the 8th Pay Commission, there is a commitment to evaluate and potentially adjust pension and medical allowances in a systematic manner, ensuring that pensioners are not left behind as costs continue to rise.
The inclusion of the increase in Fixed Medical Allowance in the Terms of Reference for the 8th Pay Commission marks a significant step towards addressing the financial challenges faced by pensioners in India. With the new allowance set to take effect from January 1, 2026, it reflects a proactive approach by the government to safeguard the welfare of its retired personnel amidst growing healthcare demands. The decision is expected to positively impact the lives of many retirees, ensuring they receive the necessary support for their medical needs.
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COMMENTS
I AM A RETIRED PENSIONER OF DEFENCE ACCOUNTS DEPARTMENT IE VRS.I AM ON SPARSH PORTAL SINCE MY RETIREMENT ON 12.11.2020. SINCE PAST 1 YEAR THE SPARSH APP ON MY CELL PHONE WHEN USED INDICATES THAT ITS UNDER MAINTENANCE. THROUGH THIS SPARSH I COULD GET ALL DETAILS OF MY PENSION AT A GLANCE.THE SPARSH PORTAL BEING UNDER MAINTENANCE CAUSES INCONVENIENCE TO MANY SENIOR PENSIONERS LIKE ME. I ALSO TEXTED MESSAGES TO THE OFFICER AT PCDA (NAVY) MUMBAI ABOUT MY UPDATION OF MY PROFILE IE EMAIL ID AND DELETION OF NAME OF DECEASED BROTHER FROM FAMILY PARTICULARS.THE SPARSH EMAIL ID AS SHOWN ON GOOGLE ETC DOESNT SEEM TO FORWARD MY EMAIL MESSAGES AND THE EMAIL ID DOESNT EXIST .
MY GREVIEANCE IS AS I RESIDE IN GOA AND THE SPARSH CENTRE IS IN PCDA N MUMBAI ITS INCONVENIENT FOR ME TO TRAVEL TO MUMBAI AND GET THE DETAILS UPDATED.IF MY PCDA N MUMBAI OFFICE UPDATES THE DETAILS ON THEIR SYSTEM IT WOULD BE A GREAT HELP TO PENSIONERS LIKE ME.
I ALSO WANT MY PENSION DETAILS TO BE REFLECTED ON MY EMAIL ID FROM THE MONTH OF JUNE 2025 AS IT REFLECTED OR MAILED TO OTHER SENIOR PENSIONERS.
Sir,
Allowing of FMA (Fixed medical Allowance)or subsequently raising it are not at all IMPORTANT. All Central Employees/Pensioners should be given Regular GOOD medical Treatment with medicines. In Emergency situations they should be taken care by any NEAREST Govt. Hospital having all types of Emergency care treatment. In most of the Govt.UPHC/PHC facilities are laggingg behind. Kindly do something for this Emergency care of Senior Central Pensioners.
In nowadays the expenses of medicine and other related costs are beefed, so the FMA should be increased.
FMA Rs.1000/- should be off and both OPD and ipd sys be introduced for non covering CGHS areas for betterment of med facilities for senior citizens pensioners imdt
You can surrender FMA facility and join CGHS (to pay the subscriptions) for non covering CGHS areas at your nearest CGHS wellness Center.
The DARPG/DOPPW functioning like post offices, sending the appeal of employee to the concerned department and reply given by the department to the employee without analysing atv their level. The purpose for which the departments created is defeated.