SCPC: Revised Pension for the Armed Forces

Dear Friends,
Jai Hind.
Vide Government of India, Ministry of Defence, Department of Ex-Servicemen Welfare, New Delhi- 110011, letter No No 17(4)/2008(1)/D(Pen/Policy), dated 11-11-2008 addressed to the three Services Chiefs, the Government decision on the recommendations of the Sixth Central Pay Commission– Revision of Pension of Pre 2006 Armed Forces Pensioners/ Family Pensioners has been issued.

Kind courtesy Cdr KK Punchhi, I have received a copy of the letter. The letter is a PDF file of 95 pages (484 KB) is given as link below. I also reproduce below an email received from Lt Gen Kadyan, which will help you calculate your pension as on date.

Dear colleagues,
The pension notification for all of us has been issued a short while ago. The known details for pre 2006 pensioners as of now are:
New pension= Your old pension x 2.26 + Rs 3,000.00 + 16% DA on the total.
The only concession given to defence personnel is that they have been given notional advantage of the MSP for all ranks, including Maj Gen & Lt Gen. That is how Rs 3000 gets added because that is half of MSP. For PBOR it would be an addition of Rs 1,000. More details would follow as these emerge.

Best regards,
Lt Gen Raj Kadyan, PVSM, AVSM, VSM (Retd)
Chairman IESM

Based on the email from Lt Gen Raj Kadyan, I have also prepared a table for pension of the officers, which is reproduced below for your perusal. I will also work out the year wise table of arrears and forward the same to you as soon as possible.
TABLE OF PENSION OFFICERSThose of you receiving different amount of pension than mentioned in the table above, should use the formula given by Gen Kadyan in his email above.

For PBORs: I am sorry I do not have the data for the pension as on 1-1-1996. I will try and get the data if possible and work out the table of pension for PBOR as on date.

On behalf of YOU ALL, "i" thank Lt Gen Raj Kadyan and Cdr KK Punchhi for sending the information to us.

In Service of Indian Military Veterans,
Brig CS Kamboj VSM (Retd)

The government has decided to grant the benefit of MSP to past retirees also which is a welcome step. But my advisory of ‘take it with a pinch of salt’ has also come into play. The addition of an MSP fitment into pension does not translate into direct benefit to all retirees since the benefit of 50% of MSP (Rs 3000 for Officers and Rs 1000 for PBOR) has not been granted for calculation of new pension as per the new 6th CPC system but only for the purposes of prescribed minima for each rank. Meaning thereby that the new pension for old retirees shall not be below 50% of the minimum of new pay band plus grade pay plus MSP (plus x group pay if admissible). Hence the new pension shall be either:

As per the new fitment scheme of the 6th CPC (that is, old basic pension x 2.26 + 16% DA as on date) or

@ 50% of minimum of new scale + x Group Pay if admissible + Grade Pay + MSP
whichever of the two is higher.

Example:
Pension of a Full Colonel who retired on any date prior to 1-1-2006 would be granted @ 50% of minimum of new scale (Rs 37400) plus Grade Pay (Rs 8700) plus MSP (Rs 6000) which would come to 50% of Rs 52100, that is Rs 26050 (plus the applicable DA of course). The said pension would also be admissible to Lt Colonels who retired prior to 1-1-2006 in case Pay Band-4 is accepted for Lt Colonels.

An across the board fitment @50% of MSP for all retirees has not yet been granted.

This paragraph from Govt of India Letter No 17(4)/2008(1)/D(Pen/Policy) dated 11 Nov 2008 may throw more light on the issue:
“The consolidation of pension will further be subject to the provision that the consolidated pension, in no case shall be lower than fifty percent of the minimum of the pay in the pay band plus the grade pay corresponding to the pre revised scale from which the pensioner had retired/discharged including Military Service Pay and ‘X’ Group pay where applicable. For example, if a pensioner had retired in the pre-revised scale of pay of 6600 – 170 – 9320, the corresponding pay band being 9300 - 34800 and the corresponding grade pay and Military Service Pay being Rs. 4,600/- and Rs. 2,000/- respectively, his minimum guaranteed pension would be 50% of Rs 9300 + Rs 4600 + Rs 2000 i.e. Rs 7,950....”

Maj Navdeep Singh TA
Better news for pre 1-1-2006 (and pre 1-9-2008) pensioners in the offing : MSP fitment may be granted to all retirees

Dear Friends,
The official communication regarding pension has been received. While I am still trying to analyze the maze of figures, I have just one word to describe this dispensation: it is grotesque.
Our 'movement' has been given a short shrift, and the sensibilities of the past pensioners have received a severe blow. However, as a die hard optimist, I am sanguine that something will be done to remedy the situation.

With best wishes.
Maj Gen Surjit Singh (Retd)
PS: Those who are in a hurry may just turn to Annexure II and Table 2 on page 92-93.

Please click link for the 95 pages of pension tables. Give it an extra few seconds for the 450kb pdf file to load. Bingo you have the pension literally scratched on the moon surface for grabs!
Implementation of government decision on the recommendations of SCPC- Revision of Pension Pre 2006 Armed Forces Pensioners/ Family Pensioners.
Alternate CGDA link:
Pension Orders Pre 2006
SCPC: Post 2006 Pension Scales