Pay and Pain of the Armed Forces Personnel

Volume 29 - Issue 22 :: Nov. 03-16, 2012
INDIA'S NATIONAL MAGAZINE from the publishers of THE HINDU
THE ARMED FORCES
Pay and pain
PURNIMA S. TRIPATHI
Retired and serving defence staff feel that they have been taken for a ride in the matter of salary revision and that the government has been indifferent to their protests.
SUBHAV SHUKLA/PTI

Medals surrendered by retired soldiers at a demonstration demanding “One Rank One Pension” and other welfare measures, in New Delhi on March 14, 2010.
CAN you imagine a situation wherein a major general draws a pension lower than that of a lieutenant colonel, a position that is three ranks lower in the hierarchy? Can you imagine the embarrassment of a havildar who draws a pension less than that of a sipahi, which is a much junior rank? Can you imagine the humiliation of a lieutenant general who draws almost the same pension as a colonel or a brigadier, ranks that are lower, because he has been clubbed in the same pay band? These are not hypothetical situations but real incongruities that have been created with the implementation of the Sixth Central Pay Commission (CPC) recommendations for armed forces personnel. On July 13, the Prime Minister constituted a committee, headed by Cabinet Secretary Ajit Seth, to look into these and other anomalies in the pay structure of defence personnel vis-a-vis their civilian counterparts after the implementation of the recommendations. Significantly, the committee was made up of bureaucrats, and the government turned down the request from the three services chiefs that they be included in the committee because military concepts and nuances of rank and grade might not be understood by civilian bureaucrats.
The committee submitted its report to the government on August 8. On the basis of its recommendations, the government, on September 24, announced a Rs.2,300-crore package that would, an official release said, help bridge the gap in the pensions of those who retired before and after 2006, the cut-off year for the Sixth CPC recommendations. Besides, the government also announced an enhancement of the family pension and approved dual family pension and the continuation of family pension to mentally and physically challenged wards of defence personnel even after their marriage. But even as the government was patting itself on the back for having met the long-pending demands of defence personnel, including of “one rank one pension” (OROP), serving personnel and ex-servicemen were left seething with rage at what they saw as a betrayal. “This is peanuts. We are aghast. It meets zero aspirations of the armed forces personnel. We were apprehensive of something like this [happening] as the government had refused to include the three services chiefs in the committee. We have been taken for a ride by the government,” said Maj. Gen. (Retd) Satbir Singh, vice-chairman of the Indian Ex Servicemen Movement (IESM).
“This country does not respect the sacrifices made by a soldier who lays down his life for the country. There is no respect for those in uniform who would not think twice before making the supreme sacrifice. This is a very unfortunate state of affairs. The government is bluffing the country and the unsuspecting soldier,” he told Frontline. According to him, the concept of “pay band”, where four or five ranks are clubbed together, is “anarchic” and should have been replaced with a rank pay concept at every level. Besides, defence personnel should be given non-functional upgradation (NFU) like their civilian counterparts (in the Indian Administrative Service), wherein if some people from a batch get promoted to the next rank, those left behind get their salary upgraded despite not being promoted.
“In the armed forces, promotions are basically about rejections as there are limited vacancies. Out of 300 colonels, only 12 become brigadiers, out of these 12, only four become major generals and only one finally makes it to the lieutenant general rank. Those left behind may be equally competent, hence should be compensated with a pay upgrade to keep them on a par with their course mates,” said Brigadiar (Retd) V.A.M. Hussain. But none of these demands was even considered by the committee though the service chiefs had put them on the agenda.
Back to the streets
To protest against the government’s “betrayal”, members of the IESM, who have taken to the streets in the past on these issues, are protesting again. On December 1, they will hold a dharna and once again return their medals. “Over 10,000 medals have been returned by the veterans in protest. The government has refused to take them back. They are still lying in our office. We will once again return these medals to the government,” Maj. Gen. (Retd) Satbir Singh said. He said that all that the government had actually done was to just nominally increase the pension of various ranks by amounts ranging from Rs.400 to Rs.1,500 a month. “The government is misleading the country by exaggerating the benefits,” he said. The IESM has written letters of protest to the Prime Minister demanding justice, with copies to the Defence Minister and the services chiefs.
The sharp reaction from the soldiers has not spurred the government into any sort of action. In fact, the blame for the mess is being shifted between the Defence Ministry and the Cabinet Secretariat. “We have nothing to do with this issue. The announcement was made by the Cabinet Secretariat, and as far as we are concerned, there is no deliberation happening at any level as of now,” a senior Defence Ministry official said. The Army’s public relations officer (PRO) confirmed that the Ministry was not in the loop on this issue as yet. “No, I have no brief on this. We are aware the announcement has caused certain serious concerns and certain issues have emerged but we are not aware whether any deliberations are taking place at any level at all,” said the Army PRO.
Apathy and indifference
Serious anomalies in the pay structure of defence personnel and problems in the implementation of pay commission recommendations have been a point of concern for armed forces personnel since the Fourth CPC was announced. Until 1973, the armed forces had a separate pay commission, and the concept of military pay was prevalent, which gave them a certain advantage over their civilian counterparts. At the time of the Fourth CPC, the armed forces pay commission was merged with the pay commission for Central government employees.
Defence personnel allege the bureaucracy manipulated the implementation of the recommendations in such a way that the status of armed forces personnel was actually degraded. In order to retain the advantage in the salary of armed forces personnel, the CPC had recommended the concept of rank pay, which is an emolument over and above basic pay and perks and which varies from Rs.200 to 1,200, depending on rank. But during implementation, instead of being increased by an amount equivalent to the rank pay, the basic salary of armed forces personnel was reduced by that amount. So even when the rank pay was added to the salary, the net result was that there was no increase in their salaries.
S. SUBRAMANIUM

AFTER GIVING UP THEIR MEDALS at the demonstration, ex-servicemen used their own blood to sign a memorandum to the President listing their demands.
Nobody seemed to have noticed the problem until Major (Retd) A.K. Dhanapalan filed and won a case in the Kerala High Court in 1996-97. As the news spread, many officers filed similar petitions across the country. On the government’s request, all the cases were shifted to the Supreme Court, which ruled in favour of the defence personnel on March 8, 2010, and ordered the government to pay arrears with 6 per cent interest to over 20,000 retired and serving defence personnel. The government, however, sought a modification/recall of the order. In 2010-11, the case came up for hearing 10 times, but the Solicitor General failed to appear each time.
On June 7, 2012, Lt Gen. (Retd) Raj Kadyan, former Deputy Chief of the Army Staff and chairman of the IESM, met Law Minister Salman Khursheed and requested his intervention. The case was finally decided by the Supreme Court on September 4. The government pleaded inability to bear the “extra expenditure” but was reminded by the court that it was not extra expenditure but the just due of the defence personnel that had fraudulently been denied them. Then, the government requested that only litigant officers be given the arrears, which again the Supreme Court rejected, saying all affected officers should be granted the arrears. The court, however, waived the interest up to 2006. Over 20,000 officers who had inadvertently been deprived of their due benefited. “What is disturbing is that even our own organisations have failed to protect our interests,” said Major (Retd) Dhanapalan. The three services chiefs should have ensured that their personnel got their due, but that did not happen.
But what pains the defence personnel the most is that the problem the political leadership kept silent when the problems were brought to light.
“Civilian control over the armed forces is indisputable, but should the political establishment abdicate its responsibility and give the executive unbridled power?” demanded Lt Gen. (Retd) Kadyan. Lt Gen. (Retd) Kadyan and Maj. Gen. (Retd) Satbir Singh said that the strict discipline within the forces was keeping things from going out of control, but this pent-up frustration could prove risky.
The government should stop fiddling with the emotions of soldiers, said many serving armed forces personnel. The government, they warn, would do well not to mess with things like the salary, pensions and hierarchy of soldiers because for them these things are not mere fiscal matters but form an integral part of their sense of dignity. Is anybody in the government listening?
Pay and Pain of the Armed Forces Personnel

Rank Pay: CDA Pune letter to all concerned Officers

Arrears of 4th CPC wef 1/1/1986: Rank Pay Supreme Court Ruling

click on image for clarity
CDA Original Letter- Click here
1.This is for information and action by all Serving and Pensioners (of any kind) Armed Forces officers who were in service on 1/1/1986.
2. The time bound SC judgement for payment of dues to affected officers is required to be implemented by MoD, GoI and as usual, there is utter confusion in the implementing agencies as to the modelities and methodologies to be adopted. As anticipated, the basic action first will lie with CDA(o) and equivalent paymasters in Navy and AF for calculating and preparing fresh LPCs. They will have to credit dues of the retired offrs pertaining to "while in service period" into pension accounts after DEDUCTING LEVY BY Chidambaram and party (30% ?) and intimate PCDA (P) Allahabad for post retirement calculations?
3. I am placing the pdf file as above which is a scanned copy of a CDA(o) Pune letter. 4. The veterans at Pune who have visited Pune office have confirmed the chaos prevailing in AOs. The communication is a confirmation of the same. 5. It is adviseable that all affected veterans must dig into their regulation pattern BLACK STEEL TRUNKS and retrieve as many PERSONAL ACCOUNTS files as they can especially those labelled by their earstwhile accounts and PRI clerks as " Statement of Account" and "Pay and Allownces" files. 6. The Navy and Air Force collegues will be better placed then Army veterans since their PAY MASTERS are better organised. As you can see, the CDA Pune has already shifted the onus on the officers to proove and provide evidence for their dues. Anyhow wish you all a happy hunting into your archived files. please do keep an Avil tablet and bronch dialaters near by if you are allergic to dust and mouldy decaying files lying in your boxes. I tried to retrieve and had to abandon due to a severe bout of sneezing.
Brig (Dr) C P Joshi

Rank Pay: Mark of Honour- Maj AK Dhanapalan

ARMY PENSION: (Rank Pay)
A mark of honour By Rekha Dixit
Story Dated: Tuesday, September 18, 2012 11:43 hrs IST
Defence officers win an epic battle over rank pay

Major A.K. Dhana-palan (retd) at his home in Alappuzha - Photo by Jackson Arattukulam
It was 1987. General K. Sundarji was in Pune, briefing senior Southern Command officers on the Fourth Pay Commission, when a lowly captain asked an uncomfortable question. He wanted to know why his basic had actually gone down, after the rank pay was introduced. There was a buzz in the room. The chief told the captain to meet him separately, he would explain the issue.
“I didn't seek private audience later. I was too junior,” chuckles Major A.K. Dhanapalan (retd). “I actually had no business rubbing shoulders with senior officers that day, except that I was operating the computer for the conference. But I hadn't got it wrong. I was right, bang on.” The Engineers officer chanced upon the anomaly when he was asked to work on preparing the pay fixation of defence civilian setups, like Military Engineering Service, on the Fourth Pay Commission template.
“That year, the commission introduced a rank pay for defence officers between the ranks of captain to brigadier, which was Rs 200 at captain rank. But what it actually did was deduct the same amount from the basic pay and give it as rank pay. Since all emoluments are linked to basic, not only was there no net gain, we were actually losing out,” Dhanapalan explains. He redid his calculations several times till he was convinced the government had tricked the defence officers.
“I wanted to take the matter to court, but I was in Pune and the High Court in Mumbai. Then, I got posted to Udhampur, and the High Court was in Jammu. Next, I was transferred to Port Blair....” Dhanapalan finally got his opportunity on being posted to Kochi in 1995. His office was close to the Kerala High Court; it was time to make that move.
His colleagues were shocked at his daring. His advocate, too, was not convinced. The court, however, understood and ruled that the Union of India should pay the rank pay arrears and an interest of 6 per cent. The matter went on appeal and a division bench of the court upheld the judgment. The government took the matter to the Supreme Court but had to eat humble pie when, in 2006, the court rejected its plea.
He did not stop there. The arrears, while welcome, were not his goal. His aim was to alert defence personnel not to be lulled into complacency by the “you are being looked after” attitude of the establishment. So he photocopied the verdict and posted them to officers and clubs he had addresses of. “That itself cost me a bomb,” he recalls. One such letter reached Colonel B.K. Sharma.

Sharma was the first officer to do motorcycle daredevilry in the Republic Day parade in 1978. Post-retirement, he realised it was daredevilry time again, this time to take on the government for which he had once fought. He circulated copies of the judgment in canteens and clubs. Knowing there was strength in numbers, some retired officers got together and registered Retired Defence Officers' Association (RDOA) and filed a writ petition in the Supreme Court in 2007. Meanwhile, across India, officers were litigating for the same demand, and all the cases were finally clubbed together before a division bench of Justices Markandey Katju and R.M. Lodha.
“We had not bargained for the level of resistance from the government. Instead of conceding gracefully, they tried repeatedly to stonewall us,” says Sharma. When in 2010, the bench ruled that it agreed with the reasoning of the Kerala High Court that rank pay be paid retrospectively, with 6 per cent interest, the government filed a transfer petition before a bench of three judges. The three service chiefs recommended to the solicitor general to withdraw the litigation and honour the judgment. The defence ministry, however, pressured the chiefs to withdraw their written communique. In a rare show of defiance, the chiefs stood their ground. The RDOA had to file an RTI to confirm the service chiefs' stance on the matter.
“They used every tactic, from pleading inability to meet the financial burden to the solicitor general not appearing in court, due to which proceedings would get postponed,” recalls Sharma. “This summer, when the court fixed the last hearing day on September 4, we actually wrote to the law ministry that so many officers had already died in the last 26 years. Delaying justice was not fair, so either they withdraw the special leave petition or ensure the solicitor general be present in court on September 4, 2012.”
The final hearing was a marathon session. The government made a last ditch plea that interest be paid only to litigants. The court refused. However, it reduced the date of calculation of interest from 1986 to 2006 at 6 per cent, ordering that it be paid within 12 weeks. “This is a big victory,” says RDOA advocate Aishwarya Bhati. “It gives a shot in the arm to all other cases that the defence personnel have been fighting.”
According to RDOA, over 45,000 officers, retired and serving, will benefit, and it will also impact pensions and widow pensions. The amounts, Sharma calculates, will range from around 06 to 01 lakh, depending on length of service and rank held. The government claims it is a burden of 01,600 crore.
“It isn't about money. We fought on principle and we have won our prestige,” says Sharma, but admits being flooded with congratulatory calls, all of them with the suffix, “Mujhe kitna milega? (How much will I get?)”
How did only Dhanapalan get wise to the anomaly? “Faujis are great at protocol, discipline and a hundred other virtues. Studying payslips isn't among those, unfortunately. They usually don't question what goes to the bank, or do the sums themselves,” says Dhanapalan.
There are many other issues with defence pay and entitlements, but defence personnel say the government is changing tactics. Instead of risking its decisions being challenged in court, it now procrastinates. The Sixth Pay Commission anomalies are an example. Last heard, a four-member committee headed by the cabinet secretary was appointed to look into the issue. Then Navy chief Nirmal Verma had expressed anguish at no defence representative being on the committee.
Meanwhile, the man who ignited the spark sits back with a smile. “The government paid arrears only till 1996. I decided not to contest it, as by then, RDOA took up the fight.” There are fears the government might give arrears only till 1996 to others, too. “My mission is accomplished. No longer will faujis take at face value what is given to them. They have learnt to read between lines, ask, and fight for their dues,” says Dhanapalan, getting ready to go to the temple.
Defence officers win an epic battle over rank pay
PVSM?
Doesn’t the defence fraternity of both the retired and the serving strongly feel that Major Dhanapalan and Col BK Sharma should be honoured with PVSM? What Major Dhanapalan has done for the rights of the defence personnel, no one else even of the rank of General has done. Both of them really performed Param Vashisht Seva i.e. the service of the highest order that too after his retirement.

Government Twists OROP: Pension enhancement for sure

Announcement over media is NOT real OROP- The struggle for OROP is far from over- Read on...
For those who sent congratulatory message by phone and email on grant of OROP by the Government: Thanks But NO Thanks!!!
THE REALITY IS DIFFERENT. THE GOVERNMENT HAS JUST ANNOUNCED WHAT WAS THE 6TH PAY COMMISSION RECOMMENDATION AND WAS TO HAVE BEEN IMPLEMENTED IN 2008 AND NOT "OROP". THERE WAS MISCHIEF SOME WHERE IN THE IMPLEMENTATION OF THE RECOMMENDATIONS OF 6TH PAY COMMISSION AND IT IS BEING NOW RECTIFIED WITHOUT RETROSPECTIVE EFFECT AND IS BEING TOUTED AS "orop" BY THIS SHAMELESS GOVERNMENT.
PLEASE READ THE the Press release by PIB of Government of India Click here
The same is extracted for comments and pasted below:
As they say the devil is in the details. Read carefully...
We are asking for "Same pension for the same rank with same length of service" calling it as OROP.
Now read what has been approved:
"The pension of pre 1.1.06 Commissioned Officer pensioners would be stepped up with reference to the minimum of fitment table for the ranks instead of theminimum of pay band."

What is this fitment table? Where is this terminology coming from? Who has suggested this? What is the minimum of the "fitment table"?

Does this translate to the definition of "Same Pension for the same rank with same length of service"?
The answer is NO, NO, NO...
From what is there in the (Click Here) blog it appears that they have only approved "minimum of pay for the rank in the pay band" as was recommended by the 6th CPC and was messed up by th "Babus" while implementation of these recommendations by saying "minimum of the pay band".
This is nothing Great. The Government had to implement this anyway since there are judgement s to the effect by AFT. The same verdict has also been given to Civilian Pensioners by Civilian Administrative Tribunals (CAT) on a case filed by a group of Pensioners from Chennai. The Govt has now perhaps decided not to go on an appeal.
But the news channels have been misinformed to report that OROP (same rank-same length of service- same pension) has been approved. Who is doing this mischief?
Sounds like the repeat of the 2009 Committee of Secretaries report!
Veteran Baba Tiruvalam

Cabinet approves 7% hike in DA

Cabinet approves 7% hike in DA for central govt employees
Last Updated: Monday, September 24, 2012, 18:29
New Delhi: The Union Cabinet on Monday approved a 7 percent hike in the Dearness Allowance (DA) for central government employees.
The approval will benefit 80 lakh central government employees and pensioners.
Earlier, the meetings of the Cabinet Committee on Economic Affairs (CCEA) and Cabinet Committee on Infrastructure (CCI), was scheduled for Friday but was postponed apparently due to political turmoil post the government’s ‘big bang’ reform announcement.
The hike in dearness allowance will be effective from July 1, 2012, and the employees would be entitled to arrears from that date.
The additional burden on exchequer on account of increase in DA would be around Rs. 5,000 crore for the eight-month period between July, 2012 and February, 2013. It will be Rs. 7,400 crore for the full financial year.
The government had last increased DA in March this year from 58 percent to 65 percent, which was effective from January 1, 2012. It will now be increased to 72%.
The government periodically hikes the DA, which is linked to consumer price index for industrial workers. The consumer price index (CPI) based on movement in retail prices, soared to 10.03 percent in August, from 9.86 percent in July.
With PTI Inputs
First Published: Monday, September 24, 2012, 09:20
Cabinet approves 7% hike in DA for central govt employees

Rank Pay: Insult over Injury

Insult over Injury
In 1986, my responsibilities to my family were beginning to peak and I was looking forward to the Pay Commission. But some nasty chaps in the Government, by a sleight of hand, denied me 1/5th of my basic pay, Rs1000/- to be precise - a lot of money those days!
I was not even aware of this treachery as I trusted the Government. Maj AK Dhanapalan saw through it (God bless him). He first, and then others, Retired Defence Officers Association (RDOA) in the forefront, fought in Courts, long and steadfast, with their money and the Government fought back, with our money, with resilience and determination, appealing perpetually against court verdicts, to do down the fellows who are all up to save them.
The Apex Court finally directed to pay all those affected, the arrears with 6% interest from 01 Jan 1986 onwards. The Government pleaded that it is poor (it has to be, after all these scams) and the Court waived off interest for the first 20 years!
It is not possible to compensate for the lost opportunities of our families but payment of the interest would, at least, have been a token recognition of the wrongs done to us, some compensation for our deprivations and humiliations, particularly when it was not due to a mistake. It was not even mere mischief. It was treachery, born out of arrogance and assurance of impunity. The very least that should have been done was to treat the amount due as a recurring deposit, the maturity amount reinvested at Postal rates, periodically. Therefore, the Court was benevolent to impose only 6% of interest to start with, but the crocodile tears of the Government made it deprived us, the victims, 20 years (no less!) of the already low interest!
Further, the initiating culprit should have been ordered to be identified and he, along with all the superiors who dealt with and finalized ‘the stab in the back’ to the people who protect the Country (them included) at the cost of their lives, to be punished.
What sort of justice is this? The perpetrators of the crime and their protectors not only go scot free but also evoke sympathy of the court! We, the sufferers, having waited for decades, are now left down in the ditch. All those criminals must be caught, their pay or pensions should be forfeited and if necessary their properties should be confiscated to pay us, the fair amount.
But that is ‘day dreaming’ or is it ‘crying in the wilderness’? What can you expect from this bunch? Now, if I cheat the Government and get caught, I should be able to plead for reduction in payment, of at least the penalty amount, as paying that much money would hurt me terribly. A precedent has been set. Applicability should be universal.
Col BN Ratha(Retd)

Pay and Allowances: Serving Officers

FAQ's for Serving Officers
Replies to FAQs have been provided with reference to the extant orders on the subject and practice being followed regarding the same. Difference in interpretation of rules, if any, may be referred to the Army authorities through staff channels. In case you notice any difference between these FAQs and the PCDA (O) handbook, please write back to PCDA (o).
FAQ's for Serving Officers: Click here
Click here for ECHS FAQ's
ECHS compendium of Government Letters

Army Jawans seek instant redressal

Army jawans ransack police station, beat up cops
PTI | Sep 11, 2012, 07.28PM IST
JAMMU: Army jawans allegedly ransacked a railway police station and beat up cops on duty, injuring six of them, in Kathua district of Jammu and Kashmir. Cases were registered against the army troopers for allegedly beating up and injuring the cops last night, police officials said here today. The trouble erupted following an altercation between an Army jawan and GRP personnel, they said.
The jawan had allegedly unplugged the metal detector installed at the railway station to charge his mobile phone.
When the policemen objected to this, an altercation ensued between them after which the armyman was taken to the police station. On getting information about the incident, the jawan's colleagues, including some officers, reached the police station and allegedly went on a rampage, the officials said. They beat up the policemen on duty injuring six cops, they said. They also took away the jawan with them. The army jawans were waiting for a train at the Kathua railway station for their journey outside the state.
Police booked the jawans for beating and injuring the cops, the officials said. When asked about the incident, the PRO Defence said the Army was yet to come out with a statement on the matter. The jawans belonged to the 225 field regiment stationed at Janglote in the Kathua district.
Army jawans ransack police station, beat up cops
Lessons Learnt
Jawans do not have access to online booking because they are posted at a location without internet or telephone. The only thing the Railways can do is to give them one bogey for hundreds of Jawans going on leave from J & K. Alternatively the units need to book their tickets online in bulk for the leave party. Jammu Railway Station is always chaotic and unfriendly.

Indian Army’s growing morale problem
Today the cost of living has risen much more than the wage increments. Given increased land prices and other avenues of income, the army has lost some of its sheen as a sought-after employer. A recent comment in the Indian media reads:
“An objective review of the manner in which the pay, allowances and status of the military have been lowered over the last two decades reveals some startling facts. The average ‘fauji’ (soldier) retires at a much younger age than the civilian counterpart who serves up to age 60. Many anomalies abound.”
Indeed, it is important for New Delhi to closely look for solutions to pre-empt the disgruntlement among the jawans turning alarming levels. There are already rising instances of industrial unrest in India.
Dissatisfied workers of car manufacturer Maruti brutally assaulted management cadres recently, killing a senior executive and injuring several others. The Maoist violence in large tracts of Central and Eastern India is linked to mining companies exploiting the local tribal populations resulting in deep grievances.
Unlike its neighbors Pakistan, Bangladesh or Nepal, the Indian army has remained largely apolitical and has worked well under civilian political leadership since India’s independence in 1947. The Indian jawan deserves his due.
(Siddharth Srivastava is a New Delhi-based journalist. He can be reached at sidsri@yahoo.com)
Read the full article of declining Morale of Troops
Indiscipline growing due to disconnect in the command and control structure: This video clip proves the point!

Additional dearness allowance hike today

Cabinet Committee to decide on additional dearness allowance hike tomorrow, 8th September 2011
The Union Cabinet Committee tomorrow may decide on raising additional dearness allowance to central government employees, official sources said.
The Union Cabinet Committee likely to approve the second additional instalment of 7% dearness allowance for this year to Central Government employees and dearness relief to Central Government pensioners due from 1.7.2011. More than 50 lakh serving employees and 38 lakh pensioners are expecting eagerly for this announcement to compensate the price hike in essential commodities and other goods.
DA Increase July 2011

Expected Dearness Allowance from July-2011
Apart from annual increment, which falls in 1st July every year, all the Government Employees are very much excited to know the rate of Dearness Allowance from 1st July 2011. The reason for their excitement to know the D.A from July 2011 is quite simple. Though the Annual Increment also brings some adequate amount of money to their pay package, they feel no excitement in it. Because every body knows and is sure that they will get 3% of their Pay in the pay band and Grade Pay as the Increment of every year and they make it counted. But as for as D.A is concerned nobody knows what will be the rate of increase in Dearness Allowance, as the AICPI Number for the Industrial Workers for the month of June 2011 will be announced probably on 31st July 2011.The amount of increase in Dearness Allowance will make their pay packet big. Unexpected increase in salary will decrease their expected financial burdens. This is the reason many of us curiously searching for the prediction over Dearness Allowance.
AICPIN-IW for the past three months have been already announced by Labour Bureau, Department Statistics, Government of India in its Web site. According to it AICPIN-IW for the month of January 2011 is 188, Febraury 2011-185 and March 2011 is 185. AICPIN-IW for the remaining three months ie April, May and June 2011 have yet to be announced. So this is not the right time to answer correctly to the question of what will be the Dearness Allowance from July 2011? But as per the past 9 months average of monthly All India Consumer Price Index (IW) with the base year 2001=100, we can expect that the hike in Dearness Allowance from July 2011 will be around 6% to 7%.
Many of our viewers who wish to know about the rate of Dearness Allowance for the particular year from 1996 to 2011. The rates of Dearness Allowance from the year 1996 to 2011 has been given below:
After 6CPC
1st Jan 2011 – 51%
1st Jul 2010 – 45%
1st Jan 2010 – 35%
1st Jul 2009 – 27%
1st Jan 2009 – 22%
1st Jul 2008 – 16%
1st Jan 2008 – 12%
1st Jul 2007 – 9%
1st Jan 2007 – 6%
1st Jul 2006 – 2%
1st Jan 2006 – 0
Before 6CPC
1st Jan 2009
1st Jul 2008 – 54%
1st Jan 2008 – 47%
1st Jul 2007 – 41%
1st Jan 2007 – 35%
1st Jul 2006 – 29%
1st Jan 2006 – 24%
1st Jul 2005 – 21%
1st Jan 2005 – 17%
1st Jul 2004 – 14%
1st Apr 2004 - 11% (DA Merger)
1st Jan 2004 – 61%
1st Jul 2003 – 59%
1st Jan 2003 – 55%
1st Jul 2002 – 52%
1st Jan 2002 – 49%
1st Jul 2001 – 45%
1st Jan 2001 – 43%
1st Jul 2000 – 41%
1st Jan 2000 – 38%
1st Jul 1999 – 37%
1st Jan 1999 – 32%
1st Jul 1998 – 22%
1st Jan 1998 – 16%
1st Jul 1997 – 13%
1st Jan 1997 – 8%
1st Jul 1996 – 4%
1st Jan 1996 – 0%
Original Post

CDA Hand Book for Officers

Dear Brig,
Please find attached CDA(O)'s Hand Book. I have been thru it and find it relevant to the extent that SAIs post 5th and 6th Pay commission, as also DA rates from post 5th Pay commission till last year have been given. Veterans may find this info handy as and when a favourable decision is available on Rank Pay case. Soft copy of TA/DA rules is available and is not attached as it really has no relevance once one has superannuated
Regards
Vijay Raheja
CDA(O) Hand Book Pay and Allowances

DACP: The final frontier

Dear Chander,
Ref: PPOC: click here
I am not one bit surprised by the attitude of the PPOC. It needs to be recalled that when the Flying Allowance was increased for the IAF pilots, no worth while corresponding increase in technical pay for the technical staff was carried out. That had led to much trouble in the IAF: at some of the stations.
At that time I wrote an article giving details of periodic increase in flying allowance (wrongly called bounty) with no corresponding increase in technical pay of technical officers/ staff. Later I had an informal discussion with the concerned former Air Chief on this issue.
I was horrified to learn that it was the army chief who had opposed higher technical pay, as the same would take the pay of these technical officers in the army more than those in the general cadre!
How one can rise to the highest rank and still remain petty minded and retain limited vision!
Regards.
Harwant.
(Lt Gen Harwant Singh, Former DCOAS)

DA eligibility from 01 July 2010

Monthly All India Consumer Price Index for Industrial Workers (Base year 2001=100), shortly known as CPI-IW has been announced by the Government for the month of June-2010 today.

As per this announcement made by Labour Bureau, Government of India, Government of India, CPI-IW has increased from 172 (for the month of May-2010) to 174 for the month of June-2010. (Base 2001=100)

Check this Labour Bureau, Government of India website for more details.

CPI-IW for the month of June-2010 is significant for Central Government employees as it culminates the 6 months cycle for calculation of effective Dearness Allowance with effect from 1st July 2010.

If you want to calculate Dearness Allowance with effect from July-2010, get the average of monthly All India Consumer Price Index (IW) with the base year 2001=100 for the preceding 12 months and apply the same in the following formula

Dearness Allowance = (Avg of AICPI for the past 12 months – 115.76)*100/115.76

You don’t need to break your head much in this arithmetic as we have an online tool to calculate the DA, given the index for the preceding 12 months.

Proceed from here to GConnect online DA calculation tool

Based on this calculation the Dearness Allowance eligibility with effect from 1st July 2010 works out to 45% i.e., an increase of 10% from the present DA of 35% with effect from 1st Jan 2010.

Also check this previous GConnect article for detailed study on Central Government Employees Dearness Allowance Calculation based on CPI-IW

Please note that this is only attempt to estimate Dearness Allowance w.e.f July-2010 using the method adopted by Government for calculation of DA in the past. DA with effect from 1st July 2010 is yet to be announced by the Government.
Tentative DA eligibility w.e.f 1st July-2010

SCPC: Recommendations Skewed by IAS manipulators

Sixth Pay Commission comments dated Oct 2008 reproduced for the information of our Readers
Air Marshal Savur has, indeed, done eveyone of us a great service by correctly analysing and very cogently articulating the perfidious role played by Ms. Sushma Nath in skewing up the recommendations of the VI Pay Commission, aprops the Armed Forces and the Veterans, while concurrently feathering the nests of the IAS or the Indian Anomalies Service and the Indian Farce Service. Thank you, Air Marshal.

Unfortunately, in the heat of discussions and the scramble to get the wrongs righted, all of us have overlooked the root cause of all the trouble, the Armed Forces and in particular the Veterans, are now saddled with. In order to set things right and surgically lance the abscess of IAS fiddling and fudging, it is necessary to make an example of the Committee of Secretaries and Sushma Nath, in particular. Concurrently, it is also necessary to point out that, in failing to reconvene the VI Pay Commission to consider and decide upon the recommendations of the Committee of Secretaries, the implemented VI Pay Commission award is legally untenable.

Logically, therefore, it appears that matters can only be set right by filing a Writ, in either the Delhi High Court or the Supreme Court and bring out the entire perfidious role played by Sushma Nath and the Committee of Secretaries (COS). Here, it wll be necessary to bring out the increases the IAS and the IFS have given themselves over and above what had been recommended by the VI Pay Commission and as approved by the Union Cabinet.

This was, very lucidly and in great detail, brought out and documented by 'Outlook India' immediately after the announcement by the PM regarding the VI Pay Commission. This will set the 'Cat among the Pegions' and then, the IAS, IFS, Sushma Nath, and the COS, will really have to scramble to effect damage control, as things start unraveling, without let or hindrance. A request will have to be made to the Court to appoint a Court Commission under a Judge of the Apex Court or the High Court to conduct an enquiry and report back for action, as deemed fit by the Court. And, that is the time to push for the Defence Services Pay Commission apart from other matters!

Here below, I am extracting the details rgarding the 'Outlook India Article' ibid from the reply given by me to Shekar Gupta of Indian Express, in response to his preposterous article on the Sevice Chiefs, way back in October 2008:

Quote
"Having said my piece, out of anguish and deep hurt, it is time to bring to your kind notice the fraud that the IAS and the IFS Mandarins have perpetrated on the nation by giving themselves fat raises, not authorised by the Union Cabinet! I am furnishing herewith, a link: click here that I have taken from OUTLOOK INDIA Online which I had accessed yesterday, 04 October 2008. In addition, a copy of the contents of the link, is also separately furnished as a document and given as an Attachment. Your paper has earned a very good and well earned reputation for investigative reporting. Kindly, therefore, investigate the facts as brought out in the article in OUTLOOK INDIA and pursue the issue like a bloodhound, for inquiry by a Commission of Enquiry, headed by a Judge of the Supreme/High Court, known for his independence and professional integrity and thereafter, for such accountability, as may be necessary, under the Law of the Land. Here, it is very necesssary that, all those bureaucrats involved in the VI Pay Commission process, irrespective of their status or pre-eminent position, be made answerable, so that such a fraudulent act is never, never attempted again by any other person, howsoever high he/ she may be.

In doing this, you will be doing a great service, not only to the the country and the Armed Forces but more definitively, redeeming yourself from the wrong that has been done by your article ibid to the Services, the Veterans and the Indian Republic.
Veteran Christopher D'Silva

Comment: Now that the Anomalies Committee has been laid to rest, the IESM and all other Ex- Servicemen Organisations need to jointly expose the Fraud Committed on the Nation by the IAS Predators though the Judicial and Legal route confirming to the rules of the land. The opportune time has also come for activating the Military Pay Commission immediately to address all the anomalies created by the SCPC in respect of Pension for the Veterans

How Bureaucrats Hoodwink the Government and the Public

Dear Brigadier Kamboj,
I think we soldiers are paying for the sin of being naïve and straight forward. Using he RTI Act, I have discovered that most civilian government servants manage to increase their salaries by 10 to 20% by a simple expedient– monetary awards. I had seen this happening in RAW. The IB must be doing the same thing, as well as most para military forces. The only people who do not get awards for doing routine jobs are soldiers.
I had filed an RTI application on 15/6/09 with CBI, asking for details of monetary awards given to their personnel during the last 8 years. The results were startling. In fact, Outlook did a story on this, which is given in the link below. I am also attaching some examples, as a sample. There are similar cases in the hundred odd offices of the CBI all over the country.

The RTI application asked for information in respect of the monetary awards given to CBI personnel during the period 01/01/2001 to 31/12/2008. Shri S.K.Palsania, Asstt. Inspr. Genl. of Police transferred the application under Section 6(3) of the RTI Act to ‘All Heads of Branches/CPIOs of CBI (Delhi & outside Delhi).

During the last six months, I have received letters from various branches of the CBI all over the country. Some have given the information while others have stated that it is Nil. The documents run into several thousand pages. I have not had time to read all of it. However, the important point is that CBI personnel are being given monetary awards for routine work, such as doing good work during visits of senior officers, driving a vehicle, shifting furniture, cleaning offices, guard duties and so on. The awards range from a few hundred rupees to several thousand rupees. In many cases, more than one award has been given on the same date, to the same person, by the same officer, perhaps because of the monetary limits imposed. Even officers of the rank of SPs are given such awards.

The awards were being paid out of Major Head 2055, Police 01-CBI, 01.00.01 ‘Salaries’, up to 2006. From 2007 they are being paid out of Major Head 2055, Police 00.001-Crl Inv. & Vig., 01-CBI, 01.00.05-sub head ‘Rewards’. As a result, most CBI personnel are able to earn between 10 to 20 percent above their salaries. In real terms, each man gets the salary of one or two grades higher than the one in which he is placed. This is a mockery of the exercise of fixing salaries in accordance with the recommendations of the Pay Commissions.

It is relevant that Armed Forces personnel do not get any monetary awards, even during if they are killed or wounded in operations, unless they earn a gallantry award, which very few get (less than one in thousand).

Major Cases
During search carried out at various houses of Shri A.P. Singh, ex Chief Secretary of UP in 2005, Rs 38 lakhs was recovered. 41 persons from CBI took part in the raids. They were all given monetary awards ranging from 500 to 6000. Vide CBI office order dated 4/1/2008, 20 officers of the rank of Addl SP/Sr. PP and DySP/PP were sanctioned monetary awards ranging from 2000 to 3500. Some names occur three times in the list. Shri SR Majumdar, Addl SP, Kolkata and PV Ramakrishna Rao, PP, Bhubaneshwar got three awards totalling 8500. (Pay scale of Addl SP/Sr PP was 10,000-352-15,200 and of DySP/PP was 8,000-275-13,500). The Multi Disciplinary Monitoring Agency in Chennai was set up to investigate the Rajiv Gandhi assassination case. The 13 persons got 158 awards in 2001. In other words, each person was given over 10 monetary awards, in one year.

I am not sure if the Finance Minister or the CAG is aware of this systematic loot. Perhaps other government departments also do it, so nobody finds it odd. If this is so, why should we not have this in the Armed Forces? If an SP or DIG can sanction monetary awards, why should the CO or the Brigade Commander not have similar powers?
Regards,
Maj Gen VK Singh
cbi: profligacy-Grease On The Lens: The CBI’s arbitrary ‘rewards’ to its own is wastage of public funds by Saikat Datta
Awards dished out to CBI personnel doing routine official work

Press Release: Maj Dhanapalan's Pension Case

The Defence Fourth Pay Commission SCAM
On 8th Mar 2010 the Hon'ble Supreme court blew the lid of a scam by Babus wherein the Soldiers of the Union of India were fraudulently deprived of their earnings and status by the Babus. After 24 years, the rank pay of the Service officer was justly construed while the Babus tried to convolute the substance with devious intent.
What is the definition of a scam?
Noun: A fraudulent business scheme, and,
Verb: Deprive of or by deceit.
So, what the Babus have done is "carried out a fraudulent business wherein the Armed Forces of India have been deprived of their rightful earnings by deceit". This is their functional hallmark. Also, mark the words 'rightful'. For the Soldier these are his only earnings unlike the Indian Babu since in Babudom, corruption is a rule whereas it is an exception in the Services.
After having betrayed the Soldier they proceeded to vilification by making the Armed forces go to the Court for redressal. Even there they attempted chicanery by counter petitions to delay and harass. Our Politicians abetted this vile act while they muzzled the media for some paltry tidbits of TRP.
What has the soldier lost? Pay & allowances and rightful status in the Govt hierarchy which was unsettled by the wrong fixation of Basic pay in the 4th Pay commission and subsequent pay commissions.
The Personnel Directorates of the Three Service HQs should approach the PMOs office to carry out an investigation to fix who or which cadre/ group was responsible for this malicious faux pas. The Service Chiefs owe this to their comrades in arms. The Cabinet Secretary is incapable of such an investigation and his intent was demonstrated in the report of the Committee of Secretaries. In fact the Babus even let down the office of the PM and for the first time in Indian History the PM was accused of 'Parliamentary impropriety', thanks to prevarication by the Babus. Even if the Babus responsible have retired they should be punished for such tasteless Babugiri - the crass IAS version of low down officialdom.
How will the MoD compensate the degradation of the Service officer who has been forced to serve under an officer who should have been placed in a grade below him but was placed in a grade above because of bureaucratic guile?
Will the Babus get back to their Machiavellian stunts, or, for a change will the PM have the gumption to over ride the Babus and display his sagacity in ensuring speedy and rightful justice for the soldier? Maybe he can muster the courage after the soldiers deposited their medals with the President on 14 Mar 2010 or subsequently.

Supreme Court of India sets right IV Pay Commission Anomaly after 24 years

Dear Brig Kamboj,
It is the result of collective fight. As you have always been telling the veterans through your emails. I am grateful to you for such high words for me and RDOA. Sir you may like to put it on "REPORT MY SIGNAL". Col Satwant Singh will able to answer any query. All officers serving and retired are welcome to contact us for any clarification.
Lt Col BK Sharma (Retd)
Chairman
Retired Defence Officers’ Association
Tribune Report
SC relief to officers over pay anomalies: Orders arrears with 6 pc interest to all affected
Supreme Court Ruling
SUPREME COURT OF INDIA SETS RIGHT THE ERRONEOUS FIXATION OF PAY EFFECTED FROM 01 JAN 1986

Rank Pay is a part of basic pay: SC upholds verdict in Dhanapalan case

As many would be aware, after the 4th CPC, an integrated pay scale of Rs 2300-5100 was implemented for officers from the rank of 2/Lt to Brig. In addition, rank pay was authorised to officers from the rank of Capt to Brig ranging from Rs 200 to 1200 which was to be added into the basic pay for all intents and purposes.

However, while fixing the pay in the new scales, an amount equal to the rank pay was deducted from the emoluments resulting in financial loss to all affected officers. Hence all officers holding the rank of Capt to Brig as on 01-01-1986 suffered cumulative losses.

The Hon’ble Kerala High Court in a case filed by Maj AK Dhanapalan had termed illegal this deduction of rank pay. The SLP filed by the Union of India was also dismissed, albeit not on merits but on technical grounds of limitation. Soon thereafter, many similar petitions were filed in various Hon’ble High Courts all over the country which were clubbed together and transferred to the Hon’ble Supreme Court to be heard alongwith an SLP of similar nature which had arisen out of a case that was allowed on the basis of Dhanapalan judgement.

The Hon’ble Supreme Court has yesterday (08 March 2010) upheld the said verdict and granted relief to all similarly placed officers alongwith an interest of 6%. I shall officially confirm the judgement with all details once I get the copy.
Posted by Navdeep / Maj Navdeep Singh at 4:23 AM

Use this RMS blog as resource for research

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