SCPC: Anomalies In Pension

While the Armed Forces serving personnel continue their just fight against the disparity in their revised pay scales, military pensioners too have been forced to join them for disparity in their pension. True, the pensions have been somewhat increased and some new concessions introduced, but it is the wide variation in the pensions of similarly placed pensioners that now is the bone of contention.

Past pensioners have been granted a fitment of 40 per cent for the calculation of pension. The new pension, however, will not be less than 50 per cent of the lower limit of the new pay bands plus the applicable grade pay. This may result in a huge difference between the pensions of old pensioners of different grades. In case of the Fifth Pay Commission, there were separate pay scales for each rank, the minimum of which was taken as the basis of pension. However, after the implementation of the Sixth Pay Commission, there are only four pay bands. At the upper end, serving personnel in the scale of Rs 24,050-26,000 have now been moved to the pay band of Rs 39,200-67,000, while those in the fixed pay scale of Rs 26,000 have been placed at Rs 80,000. An officer, who was placed in the erstwhile scale of Rs 24,050-26,000 and who may have retired with a pension of Rs 13,000 as on December 31, 2005, would now receive a basic pension of Rs 29,380, while an officer, who retired in the earlier fixed scale of Rs 26,000 and who was also receiving the same pension, would now get Rs 40,000. Hence both officers on equal basic pension earlier would now have a difference of about Rs 11,000 between them There will be similar disparities down the echelon.

The disparities, notwithstanding, pensioners are satisfied over some new elements introduced by the commission. The minimum basic pension without DA has been fixed at Rs 3,500 and the maximum at Rs 45,000 as on January 1, 2006. The minimum disability pension has also been fixed at Rs 3,500. The government has also approved additional quantum for old pensioners. Now a pensioner on attaining 80 years of age will be granted 20 per cent extra basic pension. The said increase will be upgraded to 30, 40, 50 and 100 per cent on attaining the age of 85, 90, 95 and 100 years, respectively.
The same upgrading has also been accepted for family pensioners. The grant of full pension on completing 20 years service has also been accepted and the provision of 33 years service for earning full pension has been abolished.

A revised commutation has been implemented and the maximum amount of gratuity has been increased from Rs 3.5 lakh to Rs 10 lakh. Constant attendance allowance for 100 per cent disability has been extended to civilian pensioners on the lines of that granted to Defence personnel. To overcome the problems of military pensioners, a decade and a half old One-Rank-One-Pension scheme already accepted by the Government, be implemented with immediate effect.

Lt Col Pritam Singh Jauhal
World war II Veteran
Founding President Indian Ex-Servicemen Society British Columbia