Wednesday, June 4, 2014

AIFPA Chennai a MOU partner of BPS ,Submits its Memorandum to 7th CPC

CHENNAI-600 015

Memorandum to Seventh Central Pay Commission




            Usually, the Central Government constituted the Pay Commission, only after great pressure is mounted on the Government by the JCM Staff side and Pensioners Associations.  But this time the Government in its wisdom, constituted the 7th Central Pay Commission much earlier. We are greateful to the Government for this gesture.

          Government of India has constituted the 7th Central Pay Commission vide Ministry of Finance Department of Expenditure resolution No.1/1/2013-EIIIA dt.28.2.14.  Shri Justice Ashok Kumar Mathur (Retired Judge of the Supreme Court and Retired Chairman, Armed Forces Tribunal as chairman.  Shri Vivek Rae (Secretary, petroleum and Natural Gas) Member full time Dr.Rathin Roy (NIPFP) member, part time and Smt. Meena Agarwal as Secretary. Item b(g) terms of reference (vide-Annexure-I) which is relevant to pensioner is as follows:

“To examine the principles which should given the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of that recommendations, keeping in view that retirement benefits of all Central Government employees appointed on or after 1.1.2004 are covered by the New Pension Scheme (NPS).”

          The Commission has been given 18 months time from the date of its constitution.  The Commission may send interim reports also.

All India Federation of Pensioners Associations (AIFPA) Chennai heartily welcome the  Hon’ble Chairman and members of the commission and hope and trust that the commission would consider the demands of  past pensioners sympathetically and recommend to the Government of India suitable proposals for redressal of their long pending demands and allow full parity in pension to the past pensioners with reference to the pension of the retirees of equivalent cadre who retire after the implementation of VII CPC recommendations.


 The 7th pay Commission has issued a resolution No.1/1/2013-EIIIA dt.28.2.2014 (Vide Annexure II) through electronic and press media calling for response from all interested persons before 31.5.2014.
In response, the AIFPA has already submitted a memorandum (Vide Annexure III) requesting for immediate merger of 50% of Dearness Relief with pension and also for the grant of Interim relief.  As per press reports, these proposals were accepted  by the cabinet, but no orders were issued by the Government probably because of the Election Commission notification on general elections. The Press reports were also not denied by the Government. Now that the election is over, and a Government has been formed,  orders of the Government in consultation with the Pay Commission is sought for in respect of both the issues.


As per the Government notification dt. 28.2.14, the Pay Commission is requested to submit its recommendations by 31.8.2015.  This gives the Government enough time to pass its orders on the Pay Commission recommendations to be effective from 1.1.2016.  We request the pay commission to keep to this date or submit its recommendations much earlier so that they may be implemented even before 1.1.2016.



          Upto the 5th CPC, the Government services were put in 4 groups.
Class I, Class II, Gazetted and Non-Gazetted, Class III and Class IV Services.  But the 6th CPC has recommended introduction of running pay bands for all posts in the Government existing in scales below that of Rs.26,000/- (fixed) para 2.2.8 of 6th CPC report.

The Philosophy and the usefulness of the creation of running pay bands however had not been explained by the Commission. According to the Federation, the changes have not been useful to the employees and pensioners.

          While implementing the revised scales in respect of each of the four bands, no systematic approach has been made and this had created a large number of anomalies which still, remain unsettled.
As of now, Pay band 1 (4440 to 7440) consists of 3 scales of Pay with different grade pay for each scale Pay Band (Rs.5,200 to 20,200) consists of 5 scales of pay with different grade pay for each scale Pay band 2 (9,300 to 34,800) consists of 7 scales of pay with different grade pay for each scale Pay band 3 (15,600-39,100) consists of 9 scales of Pay with different grade pay for each scale Pay band 4 (37,400-67,000) consists of 7 scales  of pay with different grade pay for each scale Pay band 4 (75,000-80,000) two scale of pay each with grade pay of Rs.13,000/-. There are 2 more scales with fixed pay of Rs.80,000/- and 90,000/- without any grade pay. Thus there are 36 scales of pay in 4 Bands.

          In order to fix the minimum of each scale pay,in the 7th CPC  there has to be 36 scales.  We request  the Pay commission to do away with the pay bands, and constitute 36 scales of pay and add the grade pay to the minimum of the each of the 34 scales (Two scales without grade pay) while fixing the minimum of each scale.  The ratios of conversions of old scale in the revised scale should be uniform and should not be different for different scales of pay.
          In case of promotion from one scale to another, the rules for the fixing of pay in the higher post which were in vogue may be revived.


          The Pension of a retiring employee is determined taking into account the following factors.
(i) amount of qualifying service
(ii) Average emoluments of last 10 months
      immediately before retirement.
(iii) Rate of Pension
(iv) Maximum qualifying service for full pension.
The changes made by the 6th Pay Commission may be continued.  But these benefits were made applicable only for those who retired on or after 1.1.2006.  AIFPA pleads that these principles may be extended to pre 1.1.2006 also.  In fact this issue is still pending in the court.
          The AIFPA pleads that the rate of Pension which is 50% now may be revised to 65%
          Similarly the ordinary family pension may be made equal to the pension.  This naturally will also replace enhanced family pension in case the employee dies while in service or before completing 10 years after retirement.


          The present status may continue.  However the quantum of service gratuity and other benefits for those with more than 5 years of service but less than 10 years may be increased from the present level.


Cases of resignation from service after completing 10 years of service may be treated as voluntary retirement and all benefits that are due to those who retire voluntarily may be extended to those who resigned from service.


          The age of superannuation which is 60 years now may be raised to 62 years.  In fact, as per press reports the then Government has accepted the proposal in their last cabinet meeting, but no orders have been issued. Perhaps the announcement of general elections by the Election Commission and the moral code of conduct might have prevented the Government to issue orders.  We plead to the  New Government to look into the matter and issue suitable orders raising the age of superannuation to 62 years.  In  the case of scientists and other professions the age of Superannuation may be 65 years.


          At present basic pay alone is counted for pension.  Any special pay for whatever purpose it is given, non practicing allowance in the case of doctors and running allowance granted to certain categories in Railways may be treated as emoluments and included the calculation  of pension.


          Taking into account, the representations made by pensioners and after conducting a study by consultants, the 5th CPC has recommended that it may be necessary to ensure a post retirement income equal to about 65% of the gross salary received by the employee at the time of retirement (Para 133-54 of 5th CPC recommendations)
          AIFPA requests that 65% of Average emoluments or last pay (instead of salary which includes allowances) may be treated as pension.


          Employees do not get HRA on retirement the rate of HRA drawn by the employees before retirement varies from place to place. 
          We suggest that the Commission may kindly recommend 10% of pension uniformly to all pensioners, irrespective of the place of residence without insisting on rental receipt.


          At Present the minimum pension/family pension is 50% of the minimum of  the lowest time scale.

          The Federation request that the minimum of Pension/Family pension be made equivalent to 65% of Last pay drawn or the minimum of the Corresponding scale of pay in the 7th CPC.


          There are different types of gratuity (retirement, death, service gratuity) Earlier the Dearness allowance was not added.  But now, D.A is added to the pay for calculation of gratuity. This may be continued.


          As per the 5th CPC recommendations, the pension which came into effect from 1.1.96, the pension of the pre-96 retirees has to be revised equivalent to 50% of the notional pay as on 1.1.86 and upgraded upto 1.1.96.  This was however subjected to the 50% of the minimum of the corresponding pay in the revised scale of pay corresponding to the scale of pay  at the time of retirement.
          The 5th CPC has also stated that the similar calculation  may be  made in future Pay Commission recommendations.  But the 6th pay Commission has not accepted the proposal.  However, it recommended that the pension should not be less than 50% of the minimum of the pay scale in the 6th CPC revised scales corresponding to the scale of pay of the retirees in the 6th CPC Scale at the time of retirement.

          AIFPA requests that full parity be allowed.  This would mean that the pension of the retiree should be based at 65% of the notional pay, which is revised at the time of earlier pay commission scales.

          Similarly the family pension may be made equivalent to pension.


          At Present, the commutation is restored after 15 years from the date of commutation.  There is a persistent demand for the restoration of commutation after 12 years.  The matter is still pending in the J.C.M.  The Pay Commission  may look into this issue and recommend restoration of commutation after 12 years from the date of commutation.  In case the retirement age is raised to 62, the commutation factor which was 10.46 at 58 years of age and 9.81 at 60 years of age will further be reduced.  This is as per the old table. If it is based on the revised table, the factor will be still less. Hence there is a strong argument to restore commutation after 12 years.


          The various liberalization in the grant of family pension such as extension of family pension to widowed divorced or unmarried daughter is most welcome, such a scheme is not available in any other sector. The Federations only plea is that Family Pension should be the same as pension.

          The merger of Dearness Relief with pension when the cost of living index reaches 50% should be made mandatory.  Further there is a lot of delay in the issue of orders by the Pension Ministry. Efforts should be made to avoid delay in the issue of orders.


          The New Pension Scheme is operative to persons in the Central Government who joined service on or after 1.1.2004.  The serving employees as well as pensioners, have been relentlessly opposing the introduction of the Scheme. It may be noted that the defence employees are not covered by the scheme. Recently the Railway minister accepting the proposals of the All India Railwaymens Federations, had written to the Prime Minister  to exempt the Railway employees from joining the scheme.  If Railway and Defence employees are allowed to opt out of the scheme, the number of other Central Government employees to be affected by the New Pension Scheme will be very much reduced.  Further as there was ban on recruitments operating for over two decades now, the number of employees retiring in future will still be reduced.  The shortfalls in the scheme have been amply brought out in our earlier representations to the Government.  We strongly urge that the scheme is dropped in toto.  Infact several Countries who adopted similar Pension Schemes have given up the contributory Pension Scheme.


The B.S.N.L. retirees have been allowed the benefits of the Central Government pension rules.  The pension liability of BSNL retirees is solely borne by the consolidated fund of India.  Hence they have got a stake in the formulation of pension scheme of Central Government.  A detailed report regarding the pension liability of BSNL retirees is enclosed.(Vide    Annexure- I) Since there is a nexus between the government and BSNL , the Pay Commission is requested to look into the grievances of BSNL retirees and safe guard their pensionary benefits which have been granted to them.


(i) The Government has passed orders for the issue of smart Cards and cashless treatment in respect of Railway pensioners and orders have been issued by the Railway Board in this regard.  But Zonal Railways have not implemented the orders.  Pay Commission may look into the matter and cause expeditious issue of orders by Zonal Railways.

(ii) The validity of Railway passes issued to pensioners is for 4 months only.  It is the request of the Federations that the validity be extended upto six months.



          With the advancement of medical technology and availability of abundant information coupled with nutritive food, prophylactic steps,super-speciality treatment the longevity in life of people of India has increased, however it is not without problems due to more complicated diseases caused by depletion in the ozone layer, environmental pollution and natural decay of health due to aging etc.The geriatric-care of senior citizens and pensioner is a more demanding issue today. The pensionary benefits conferred upon the aged people, though expected to take care of the normal and routine expenditure for sustenance, it can hardly meet the medical expenditure, which outweighs all other demands. A number of old pensioners are languishing in pain due to non-affordability of palliative measures. The Union Ministry of Social empowerment had evinced serious concern on the problems of senior citizens and formulated a National policy of Older Persons but not put into operation. Several High Courts and Supreme Court of India have held that the Medicare of pensioners is a fundamental right.Though there are some facilities existing at present for the Central Government pensioners, the service rendered by C.G.H.S is far from satisfactory and the coverage is limited to a limited area and majority are denied the C.G.H.S. facility.Health Care to all citizens is obligatory on the part of the State under Article 41of the Constitution. The “Health for All by 2000 A.D.” Scheme is yet to come even after 14 years. The World Health Organization on Ageing had recommended that “The care of the elderly person should go beyond disease orientation and should involve their total well-being taking into account the interdependence of the physical, mental, social, spiritual and environmental factors. Health care should, therefore involve the health and social sectors and the family in improving the quality of life of elder persons. Health care efforts, in particular, primary health care as a strategy should be directed at enabling the elderly to lead independent lives in their own family and community for as long as possible instead of being excluded and cut off from all activities of Society. This had been endorsed by the U.N to which India is a signatory.


    Central Services (Medical Attendance) Rules
    1944 (C.SM.A Rule 44)
    Central Govt. Health Scheme (CGHS)
     Railway Employees Liberalized Health
     Scheme (RELHS - 97)
     Ex-Servicemen Contributory Health Scheme


          It covers only the serving employees and not extended to the Pensioners even though the V CPC had recommended and accepted by Govt. The situation remains the same even after several Central Administrative Tribunals and High Courts have passed orders in favour of extending the scheme to pensioners outside the CGHS areas.
          Since the Govt. of India had accepted in principle the VCPC Recommendations and several High Courts and Supreme Court of India have held, the Medicare of pensioners is a fundamental right to them, the reimbursement facility for inpatient treatment should  be extended to pensioners living outside CGHS covered areas as in the case of employees.


          This is a benevolent Scheme, though contributory one was first established in Delhi alone, later on extended to different state Capitals. Though many employees / Pensioners are eager to avail this facility it is now extended to those residing in certain areas in State Capitals as well as in the District Headquarters, the Govt. is unable to open new dispensaries. The scheme do not cover majority of pensioners and many are excluded.
          At present some central govt. pensioners like Kendriya Vidyalaya, ICMR, Postal, D.O.T. and Food Dept. etc. are denied entry in CGHS after retirement for not being a member prior to retirement etc. It should be extended to all Central Govt. employees without any restriction or discrimination of the department from which one had retired. New dispensaries should be opened as per the norms that exist now. Financial resources should not be a constraint.

At present barring CGHS, Delhi the situation is that only a very few specialists are posted in other State Capital CGHS. As a result the sickly senior citizen beneficiaries are asked to obtain opinion from state Govt. Hospital specialists for cardiology, urology, nephrology, etc. The State Govt. Hospitals in most states are extending free treatment to the poor patients of the state and as a result great ordeal has to be faced the central govt. pensioners in referring to the State Govt. Hospital and they are driven from pillar to post for obtaining an opinion. Sometimes it takes even 4 - 5 visits and at times it is quite fruitless because the CGHS does not have any binding agreement with the State Govt. General Hospitals.
The Govt. of India should recruit specialists covering all disciplines. This may take considerable time. It is therefore our suggestion that
    (a) Post more number of specialists in CGHS
    (b)Empanel specialists, available in the
         neighborhood as done by Southern Railway
    (c) Recognize the State Govt. specialists as
         A.M.A as for C.G.H.S patients.
    (d) Recognize specialists in private clinics as
         AMAs as prevailing in Kolkata.
          These measures are required to avoid reference to Govt. Hospitals for getting their opinion.


The arrangement of providing in-patient treatment for treatment in Super Speciality Referral Hospitals for certain treatments and in other Referral Hospitals for General purposes is quite appropriate. However timely recognition / extension of contract and fixing of rates and periodical revision is unsatisfactory. This needs to be attended on time and the treatment in these hospitals should be a cashless facility, i.e. without forcing the pensioners to advance huge amount which they can ill - afford. Many hospitals do not admit the beneficiaries on account of non-payment and / or delayed payment of their bills by C.G.H.S.Specialists may refer patients directly to private hospitals instead of Govt. Hospitals. Reference to State Govt. Hospital, to be stopped immediately.

At the same time hospitals and doctors in the private sector who indulge in unfair or corrupt practices, may be severely dealt with.

Wherever there is no Referral Hospital and if the beneficiaries happen to take in-patient treatment in non-recognized private hospitals in the
neighborhood, the medical expenses should be reimbursed at the rates as admissible to the CGHS referral hospitals. As per judgment of the
High Court of Madras (Madurai Branch), the treatment taken in any hospital for compelling reasons is valid and cannot be denied but the
Government will be at liberty to restrict the claim based on the existing norms.


Our demand is (a) the procedure should suitably be simplified to reduce the waiting time for consultation,running a reception counter, pharmacy etc. (b) Adequate quantity of essential medicines should be procured and stored for timely supply(c) The existing arrangement of centralized purchase of annual requirement of medicines by Govt. Medical stores. for supplying to the CGHS is getting invariably delayed. It is therefore necessary that the powers for procurement of medicines are decentralized and delegated to the level of Chief Medical Officers - in- charge of Dispensaries as they are also very responsible and highly placed officers and adequate funds made available at their disposal.



Every Dispensary should have a Laboratory for simple pathological tests. For a pool of every 5 - 6 Dispensaries there should be provision of Auto-analyzers for carrying out more tests simultaneously. This will avoid the exorbitant expenditure charged by the private Laboratories, and speed up the results for commencing the treatment in time.


 Now-a-days portable X-ray Machines are easily available and every Dispensary should be provided with. And for a group of 5-6 Dispensaries there should be one regular X-Ray Unit is made available.


The colour Doppler has become a necessary apparatus for evaluating the vascular flows and therefore there should be one Doppler in each CGHS Zone.


At present the equipments available in the Ophthalmology Units are out-dated and do not give correct picture as
precisely as modern equipments. Essential equipments for testing glaucoma, retina, field vision, computerized testing for power of eye
lens etc. are not available in most eye clinics.


All eye clinics should be provided modern equipments like Slit lamp, gonioscope computerized eye testing machine etc. Apart from providing equipments, medical and para medical staff should be given practical training to handle the equipments.


Most Cities in the country are facing load-shedding quite often which results in spoiling the tests and investigations half-way warranting fresh doing in the Laboratory and abrupt stoppage of work in other Units causing hardship not only to the beneficiaries but to the Laboratory technicians as well.

OUR SUGGESTION: The Units like Laboratory, X-Ray, scan’ Dental and Eye Clinic should be provided with generators for un-interrupted power
supply to avoid dislocation of work.


The hospitals run by the Railway are very few and their location can be reached only by a few in the neighborhood. Sickly pensioners residing away from it cannot easily reach them in emergent  situations for inpatient treatment due to traffic bottle-neck in every metropolis. The predicament of others living in suburbs and far-off is much more. As a result they are unable to avail the facilities. The Railway Administration which has realized the difficulties of their pensioners rightly decided to grant Fixed Medical Allowance to those residing 2.5 Kms away from any dispensary in lieu of out patient treatment. Recently to tide over the paucity of doctors, the age of retirement of Specialists has been raised to 62 years. The remedy lies in attracting qualified doctors by improving the salary structure, raising of age of retirement of doctors and increasing N.P.A.

The same analogy of accessibility should be applied for inpatient treatment also and the Railway Administration should allow their beneficiaries to avail inpatient treatment in a nearby hospital and reimburse the expenditure (b) The pensioners may be allowed to avail inpatient treatment in any other recognized hospital. (c) Those who failed to avail of the RELHS but desirous of joining it now should be allowed notwithstanding the deadline stipulated.

The RELH Scheme should be open ended to facilitate pensioners joining the Scheme at any time.


          (ECHS) the situation is the same as is prevailing in the RELHS. The hospitals run by the Defence Ministry are very few and their locations
are not easily accessible. They can be reached only by a few in the neighborhood. Sickly pensioners residing away from it cannot easily reach them in emergent situation for inpatient treatment due to traffic bottleneck in every metropolis. The predicament of others living in suburbs and far-off is much more. As a result they are unable to avail the facilities. In addition, unlike the Railways, the ex-servicemen who opt for ECHS are denied the FMA, for out-patient treatment.
The ex-servicemen who reside 2.5 Kms. away from Army Hospitals should be allowed Fixed Medical Allowance as is being done in Railways for out-patient treatment. In case in-patient treatment could not be undertaken in the Army Hospitals due to emergency and distance factor reimbursement of hospital expenditure for treatment in private hospitals should be allowed.


          The quantum of FMA should be commensurate with average likely burden on the pensioners. The prevailing cost of medicines combined with the continuing rise in the Doctors’ Consulting Charges as also transport charges the FMA should be revised at the rate of 10%of pension subject to a minimum of Rs. 2000/- p.m. Bringing all pensioners under the CGHS fold will augment the resources of the CGHS and who ever wishes may be allowed to join the scheme freely.
It may be mentioned that those covered by ESI Scheme under the Labour Ministry is given FMA of Rs.2,000/-

   5.1 Indian Railways existed as different companies and were in the private sector for many years. They were nationalized and integrated region wise from April 1943. The employees were on provident scheme and were not eligible for any pension and after nationalization. Pension scheme in the Railways was introduced from 1-4-1957 and that too optional. Employees were allowed to opt either for- pension or provident fund. Pension was made compulsory form 1- 1-1986 only. Thus two types of retirement benefits continued from 1957 to 1985 end. It created discontent among Railway Pensioners who opted for provident fund scheme called as SRPF retirees. SRPF retirees were not granted any pension, though they got petty amount only as provident fund.
     Pension calculation for railway retirees is similar to that of other Central Govt. employees. Their pension is to be raised from 50% to 65% of the average emoluments or last pay drawn which ever is higher.
     For certain categories of traffic staff, running allowance granted along with pay in consideration of their special duties is added for the purpose of pension as emolument. Till 4th Dec 1988 75% of the running allowance was counted as  emolument for pension. Since then it is reduced to 55% on the reason that pay scales were revised after the fourth Pay Commission report. This reduction in the rate has resulted in the reduction of their pension and is not justified. The difficulties they undergo in traffic duty is unimaginable and need better consideration. Most of them do not live a long healthy life after retirement, their post retirement life is short. They require better pension than those in other administrative jobs. Their duty- can be compared similar to that in the defence. service and while on duty they have great responsibility to ensure the safety of the passengers and remain alert always.
We request the commission to kindly consider the reasons for which 75% running allowance was allowed earlier as emolument for pension., We earnestly urge the Commission to recommend 75% of running allowance as emolument for purpose of pension as allowed before Dec. 1988.
The Railway S.R.P.F retirees were not given pension or exgratia earlier  The IV CPC recommended Rs. 300/- as exgratia to retirees and Rs.150/- as exgratia to their spouses. However this exgratia was not allowed by the Govt. to the retiree. Later on Rs. 150/- was given as exgratia to the spouse alone after the death of retiree. They were not allowed to opt for pension also. On the recommendation of V CPC. S.R.P.F retirees were given Rs. 600/- plus DR as exgratia and the exgratia to spouse was raised from Rs.150/- to Rs. 605/- from Dec. 1997, but paid D.R less by 8% than the normal rate. All their requests for raising their exgratia equal to minimum pension was not conceded. Very recently a small improvement is made in the exgratia amount of the retirees. It was revised from 1-11-2006 as given below.
Those retired form Group D - Rs.650/-
                               Group C - Rs. 750/-
                              Group B - Rs.1000/-
                              Group A - Rs.3000/-

          Family exgratia is Rs. 605/- and the same has been raised to Rs.645/- only and full rate of D.R not given. The amount of revision is not adequate as it is less  than minimum pension and they were denied an opportunity to opt for pension. If option was allowed they would have got much higher pension. Railways instead of bringing all employees under pension scheme continued dual system of pension and PF and the staff not knowing the implication failed to opt for pension at that stage. We suggest that Railways may be asked to raise the exgratia equal to the minimum revised pension. The spouses are also to be given the same amount exgratia with full rate of D.R for each group. Their total number is less than 4500 only. Commission is requested to recommend raising exgratia equal to minimum pension pensioners / family pensioners. .


          Railway Pensioners and SRPF retirees and their families may be given full medical facilities and enrolled in RELHs 97 and also paid fixed medical Allowance.

          All other facilities and benefits as allowed to civilians are to be extended Railway pensioners and SRPF retirees.
Govt. do not realize the real difficulties and ‘hardship of the Railway staff especially traffic and station staff. It is a non-stop service without any holiday working day and night on all 365 days of the year. The duty in a running train or at crowded and dusty Railway Station is very hazardous. They must be suitably compensated with better pay scales than, the existing ones. Commission is requested to recommend higher pay scale for all Railway Staff considering the difficult and hazardous nature of their duties.




    Pensioners occupying Govt. Accommodation, seldom realize that one day they may have to vacate and settle elsewhere. The Govt. Accommodation is very congenial and without any hindrance unlike the rented house where one has to face all sorts of restrictions. Therefore the employees occupying the Govt.quarters feel as if they are in their own house.  As a result they do not have the same urge as that of those Living in private rented houses / flats for getting an own accommodation even though there are lot of opportunities like HBA in Government, housing Loans extended by Nationalized Banks and some Housing Societies are available. While in service the rental Liability is quite reasonable due to Government subsidy. After retirement, the pension is reduced to less than half of the pay but rental liability increases phenomenally; which is as much as three times that they were paying before retirement. Hence the pensioners are perforce to spend almost the entire pension on rent which leaves very little for their other needs. The case of other employees is no different. A large section of low paid employees too do not make themselves prepared for post-retirement needs due to inadequate income and high cost of land and construction cost of building.

We request that housing of Pensioners are considered and a fair subsidy of rental liability is taken care of by the Government. We demand that at least House Rent Allowance at 10% of the pension to be offered to the pensioners as H.R.A. Those in Government Quarters while in service may be allowed to continue, for one year at normal rental after retirement. At present the Housing sector is booming in the country and organizations like LIC have ventured on to this area as it is quite money-spinning.
Therefore the Ministry of Housing may expand their activities by acquiring land and construct more Quarters and allot them to Govt.
employees in need without evicting the existing allottees on retirement. The Government may consider constructing quarters and sell
on easy hire purchase scheme and also on monthly rental basis to pensioners at subsided rate. This way Government will be doing a great
service and can also control the spiraling of rent in city and towns.


          Pensioner’s activities reduce considerably due to increasing geriatric problems and are perforce to lead a monotonous life. The increasing age of longevity and the unavoidable geriatric problems makes their lives more distressing. However they need some travel to pilgrimage places once-in-a- way which will relieve their mental stress and give
a bit of rejuvenation and to attend family social function.


  Pensioners may be given a sum equivalent to one month’s pension as travel concession once in two years to give some scope for movement and cheer.


          From time immemorial various festivals are observed in the country which brings a lot of cheers and joy to the people, it also
costs dearly and pensioners are unable to participate in these festivals, since the pension has to meet other priorities. Realizing this, many State Governments have provided Festival Grant to their pensioners too and the Central Government should not lag behind in this regard.


Festival Grant of Rs. 5000/- may be granted to the pensioners, each year


          The advent of “Nuclear Family” has resulted in the pensioners spending their evening of like in old age Homes, Ashrams, Orphanages, etc. Neither the children come forward nor would the Homes endeavor to give a decent disposal of their mortal remains. Their last rites too
require a decent fulfillment. Realizing this many State Governments are sanctioning Funeral Grant at different rates.


          A sum of Rs. 50000/- or one month’s pension which ever is higher may be sanctioned as Funeral Grant.


The number of old persons getting deserted or harassed as unwanted by their children is fast growing now-a-days. Most of them are unable
to fend for themselves at the old age and needs the care and comfort at an old age home. Some of the old age homes are shoddy and some
charge exorbitantly high deposits and monthly charges, It has therefore become very necessary that the Government of India and State Governments to extend the necessary succour to the old age persons in the evening of their life by constructing adequate number of old age homes at different places and provide at reasonable monthly rent.

          We need Old age homes to be constructed at different places, not necessarily in the heart of Metropolis, and allotted to the needy
pensioners at reasonable charges. The V CPC recommendation for construction of old age homes at district headquarters may be



 All the central government pensioners are senior citizen as they retire at the age of 60. The Railways have already extended concession of 50% to the senior citizen(Female) and 40% to the senior citizen (male) .
We request that 50% concession be extended for all.


          At present concession is given by certain state Government including Delhi on local as well as long distance buses but the percentage varies form state to State.

          We request that a uniform 50% concession is given by all Governments to senior citizens irrespective whether one is pensioner of their State or Centre or not.


Telephone is one of the most essential requirements for every senior citizen for communication as their mobility is affected. Giving due consideration to the difficulties of senior citizen the MTNL is giving
concession of 25% on telephone rent to them. But BSNL which covers almost the whole country excepting Mumbai and Delhi is not showing the
same gesture as their Government oriented counterpart MTNL.


          We urge the BSNL also offer concession of 50% in the Telephone Rent to the senior citizen.


          Pensioners solely depend upon their pension for livelihood, medical expenses etc. The pension if it is taxed will further erode his income and make his life more miserable. We therefore suggest that pension, irrespective of the amount is exempted from I.T

                               We appeal to the Hon’ble commission to consider submissions listed below sympathetically and arrive at a favourable decision;


The ratio between minimum &maximum Salary/Pension be brought down to 9: 1. Accordingly, 7th pay commission should first workout the top most revised salary, divide it by 9 to arrive at the minimum revised salary & derive a uniform multiplication factor by dividing revised minimum Salary by pre-revised minimum salary for revising Pay & Pension with the condition that Pension shall not in any case be less than 65% & family Pension 45% of the, last Pay in Pay in Pay Band/Pay scale or of average of last 10 months emoluments (Whichever is more beneficial)


Whenever the Pay Commission recommends the increase in pension it shall be uniform increase for all employees with common multiplication factor unlike the discriminatory & irrational recommendation of the VI CPC @ 2.26 for those covered by PB 1,2 &3 & upto 3.8 for higher groups.This principle should be applied to pensioners also.


Though Last Pay Drawn or 10 montha average pay whichever is higher is presently the pension, the  commutation amount is drastically reduced as the age at next birth day is 61. Therefore there is need to increase the pension from 50  to 65% of last pay drawn.


The pension is supposed to maintain the same standard of living after retirement. Family pension can not differ from what the pension is as othherwise the maintenance of same standard of living will not be possible. So family pension shall be the same as pension of the employee


The enhanced family pension payable for 10 years to the spouse / children of employees dying during service should be extended to the spouse of pensioners dying after superannuation restricted to 10 years or attaining the age of 70 which ever is earlier


The commutation plus the interest thereon stands fully recovered in 12 years and therefore the restoration shall have to be on completion of 12 years.


The additional pension / family pension shall start @5% for  attaining the age of 65, 10 % for 70, 15% 75 and for 80 and above to continue at the same increase as at present at 20% for 80, 30% for 85, 40% for 90, 50% for 95 and 100% for 100 years.


The Dearness Relief shall merge with pension automatically when it reaches 50% without the dependence on any specific recommendation from Pay Commission or the Government just like the additional pension for old age. Merger should be mandatory.


Parity in Pension of employees on the same Scale (Pay Band+Grade pay) and same length of service be extended    irrespective of the date of retirement w.e.f.1.1.2006 on the same analogy as that of OROP.


Shall be taken in to account for fixation of pension

The ex-gratia to     SRPF pensioners Shall not be less than the minimum Pension / family pension as what is presently fixed is much below the dole paid to Old people in several States

        After the recommendations of the V CPC to downsize the unproductive staff strength, the Govt. is engaging Contract employees on hire and fire basis, for jobs that are required to be attended to by regular staff, which is contrary to the principles of a Art 39 and 41 of the Constitution of India. The Pay Commission may examine the issue and recommend suitable social security to the Contract employees.


By introducing New Pension Scheme the Government does not stand to minimize their financial burden. A matching grant of 10% of basic pay(Pay in the pay band plus grade pay) is provided by the Government as against the latent 11% (as evidenced from the pension and leave salary contribution to be met by the borrowing department for the deputationists). There is also additional burden on administrative expenses in the maintenance of the Pension Fund and risk in the returns on investments of the Fund. In order to make it uniform it would be better and ideal to revert back to the Liberalised Pension Rules.


An employee on completion of 12 months in post is supposed to get the entitlement of Increment with a overriding clause that he has to be on duty on the due date to draw the Increment. This clause singularly affects those born on the 1st July of a year as he is perforce retired on superannuation on the last working day of the previous month unlike those whose birthday falls on 2nd onwards are fortuitously gaining  continuation of service until end of the current month. Either the insistence on being on duty to receive the Increment is done away with or these employees born on the 1st of a month are allowed to continue till the end of the month like those born on 2nd and afterwards. Similarly the retirement of employees born on the 1st of the month is allowed to continue till the end of the month in which he is born.


2.  There shall be uniformity and commonality of Rules amongst various medical facilities like CGHS, RELHS, ECHS and AMA Rules


FMA shall be rationalized and raised to Rs.2000/- as extended to the EPFO pensioners is extended to all pensioners residing beyond 2.5 Kms from the nearest Dispensary


The provision for availing OP treatment from the nearest CGHS or RELHS or ECHS Dispensary irrespective of the coverage of the pensioners shall be made.


Provision shall be made to allow in-patient treatment from the nearest neighborhood hospital and the expenditure reimbursed by the concerned service provider CGHS or ECHS or RELHS.


All the pensioners, irrespective of pre-retirement class and status, be treated as same category of citizens and the same homogenous group. There should be no class or category based discrimination and must be provided Health care services at par with lAS and ex-Ministers.


There shall be no time limit for joining the RELHS on the lines of CGHS in which anyone can join at anytime.


Ex-gratia pensioners are sanctioned very meager pension and they cannot afford for even minor illness. Similarly Contract / Contingent employees are also paid meager salary. Therefore they shall all be extended eligiblity for joining RELHS or any other Health Scheme.


A strict time line with punitive clause be introduced in      “Sevottam model”


Grievances are not to be closed     without resolving.

SCOVA be upgraded to JCM level covering all Pensioners     by introducing   suitable legislative amendment


As   recommended vide Vth        CPC  report Vo III para14//30 Pensioners
representatives should be included  in        various committees & other Fora of Govt         where issues relating to the welfare of pensioners discussed,debated and          finalized


Govt.should not resort to appealing again & Again to get  judgments     reversed in its favor and instead   implement all court judgments to all  similarly placed  persons


The need hour is speedy resolution of grievances. The judicial remedy is not only expensive but time consuming. Therefore Alternate disputes redressal  mechanism like Arbitration / permanent Adalats may be created which will not only reduce the over- burdening of the Tribunals and High Courts but also adjudicate the issues speedily.


1. It could be visualized that the Government of India has not stated in its terms of reference that the 7th CPC or for that matter a separate pay panel to look into the pay and pension structure of Defence employees.
( Combatants) despite the press note issued by Rajya Sabha Secretariat directing the Government to constitute a separate pay panel. The press note was dated 17th Jan.2013.  This matter was also high lighted by Ex-Servicemen in the October 2013 issue of Pensioners Advocate.

2. Agreement what was brought out in 6th CPC recommendation, the Defence personnel do not anticipate any inbroglio suggesting any analogousness between Defence personnel vis-à-vis civilian work force- especially on Defence Officers Cadre.

3. Recommendations made by 6th CPC on Page 77 of the report(Sub-para 2.3.14) was arbitrary and its working out by the  Defence Ministry was wrong, causing many amendments to respective annexures.  This mistake was rectified as late as 17th Jan 2013 to some extent.  The amendment (or revision) was effective from 24tht Sept.2012, instead of 1.1.2006.

4. Fixing of integrated pay scale (running scale) was against the wishes of Soldiers.  They want specific minimum scale for each rank with optimum obtainable as was in 5th CPC. Grouping of running scale is redundant and innovative.  It has created confusion and the cause for issuing number of amendments  to the annexures of Tables.  The grouping has caused huge difference in two adjacent ranks.  There should not be any intermediary access to the scales recommended.

5. There were three types of recommendation made in the 6th CPC and they are:-
(i)  General increase of 2.26 times higher than the minimum of 5th CPC scale effective from 1.1.1996.

(ii) Minimum scale fixed as per para 2.3.14 with a rider (whichever is beneficial)

(iii) Fitment table as stipulated in Table 2.3. (Page 80) as amplified in AI  2/S/08

          The concerned Ministry worked out the final scale only based on (ii), above, conveniently, ignoring the option “ whichever is beneficial”. This caused a loss of few lakhs to the affected pensioners.

6.  Grouping the ranks the CPC fixed the Scale upto Brigadier as below:

          Lieutenant – Rs.27,000
          Captain     -  Rs.27,300
          Major         -  Rs. 28,200
          Lt.Col.       -   Rs. 51,400
          Colonel    -    Rs. 52,100
          Brig          -    Rs.52,300

(7)   After hiking the Lt.Col to Group IV Salary Scale, the Salary fixed for him is Rs.51,400, whereas originally the CPC Chairman fixed his salary at Rs.28,700, vide Page 77 of the CPC Report

          Fixing scale in Group IV the difference in Salary between One Rank  and its next is around couple of hundreds., whereas the difference in Salary of Major  (in group 3) and his next higher Lt.col is Rs.23,200.  What a –colossal gap between two adjacent ranks in the Army.  Is there any ostensible rationales for such a huge difference.

(8) It may be suggested to 7th CPC, tht they go through the scales recommended by various CPCs (preferably 4th, 5th and 6th CPC) and resort to viable calculations in arriving at the reasonably correct scales for Armed Forces personnel.

(9) As regards personnel below Officer Rank (PBOR) the Government of India, rejecting the 6th CPC recommendation constituted a commission for review of Pension, under the Chairmanship of Cabinet Secretary. Mr.Chandrasekar, and it gave a reasonably good report which benefited the BPOR to certain extent.  This was implemented during 2010.

On the analogy of recommendations in the 6th CPC report as modified b y Union Cabinet and remodified by certain others introducing group in Pay Band and hiking “Lt.col” to PB group 4 from Group PB 3, the Ministry of Defence had fixed the basic pension of Major Rs.11,600 lower than that of Lt.col who is the next higher in rank-i.e the pension of Major was Rs.14,100, and that of Lt.col was Rs.25,700/-.  This, after protracted representations to Ministry of Defence, Prime Minister and Pension Minister, was revised at the behest of Rajya Sabha Secretariat effective from 24th September 2012 instead of Original effective date of 1.1.2006.

          Even this revision allowed a difference of Rs.8,060, when the difference between two adjacent ranks from Lt.Col and above was around mere Rs.1,000/-

          Where is the Ostensible rationale for such a vast difference between two adjacent ranks of the Armed Forces Officers.

          Our earnest request is that the 7th CPC should not allow such an anomaly, denigrating the status of Major who leads the Battalion in the far forward position facing the Enemy.


18.1 The unprecedented boom in the Real Estate has shot up the Rental value and the pensioners are unable to bear the brunt. The government may have to extend at least 15% of pension / family pension to subsidize and bear the burden.

18.2 Most State Governments are giving Festival Grant to their pensioners as celebration of festivities cause a huge drain of the pension. Central Government as a model employer shall not lag behind. Five percent of pension may be sanctioned as Festival Grant.


18.3 The purchase value of pension gets reduced day by day due to continuous high inflation and steep rise in cost of food items and medical facilities. Retired persons/Senior citizens do not enjoy fully public goods and services provided by Government for citizens due to lack of mobility and many other factors. Their ability to pay tax gets reduced from year to year after retirement due to ever-increasing expenditure on food and medicines and other incidentals. Their net worth at year end gets reduced considerably as compared to the beginning of the year. Inflation, for a pensioner is much more than any tax. It erodes the major part of the already inadequate pension. To enable pensioners, at the end of their lives, to live in minimum comfort and to cater for ever rising cost of living, they may be spared from paying Income Tax.


18.4: A Special grant of Rs.50000 as Death Relief Fund to perform “last rites” of pensioners should be sanctioned to the family as is given by some State Governments including Tamilnadu.


B1,2ND Floor,Shri Sharada Nivas, 3/2, Srinivasa Avenue Road, Raja Annamalaipuram, Chennai-600 028
President: P.S.Ramankutty      GeneralSecretry:
Mobile :09447551555          Mobile :09444929799
On Behalf of All India BSNL Pensioners Welfare Association we submit the following for your consideration and appropriate action.
Department of Telecom was converted to a PSU by name Sharat Sanchar Nigam Limited w.e.f. 1/10/2000. Department of Telecom employees registered their strong protest for conversion of the Government department into a PSU and went on indefinite strike. A group of Ministers (five) was formed to negotiate with the striking employees and after a serious negotiation it was agreed that those facilities which was enjoyed as Government servant.
          It was agreed to pay pension by the Government from the consolidated fund of India and Rule 37 was amended and ‘A’ clause was incorporated. BSNL would pay pension contribution to the Government. Now BSNL is paying Pension contribution on the ending scale of the BSNL employees.
Presidential order was given to each absorbed employee and it is mentioned “Pension, Gratuity shall be eligible for Pensionery benefits including gratuity as per the provisions of Rule 37 of the CCS (Pension) Rules as amended from time to time and the family shall be eligible for family pension as per provisions of Rule 37A read with Rule 54(13-B) of CCS (Pension) Rules 1972 as amended from time to time.
BSNL employees were given a pay revision from 1/10/2000 subsequent to conversion of PSU. Again pay revision was done w.e.f. 1/1/2007 Pay+DA as on 31/12/2006 + 30% weightage was given and pay scales are revised accordingly. At that time pension revision was turned down by the DoT stating that the BSNL is a PSU and no revision is eligible, whereas we took up the issue by citing FCI and Nakara judgement. We were given pension revision on the basis of the fixation given to serving employees.
The pay revision was done to the non-executives by negotiation. That was extended to the pensioners whereas all other matters, the 6th cpc recommendations and subsequent acceptance by the GOl and the orders issuedy the Government on pension related matters were made applicable to BSNL pensioners. For example full pension after 20 years of service, Minimum Pension of Rs.3500/- though minimum of B NL scale was Rs.7760/-; eligibility for family pension etc. In short all Government Pension rules were made applicable to us, our pension and pension related matters are as per CCS (Pension) Rules 1972.
Hence we request the 7° CPC to consider the 1,50,000 Central Government Pensioners retired from BSNL along with other Central Government Pensioners and make suitable relief. The only difference between the Pensioners of Central Government and BSNL is that we are getting industrial DR once in 3 months and CG Pensioners CDR once in 6 months.
We place before you the following demands for your consideration and recommendations:
1.   5th CPC recommended 1% more pension per year if an employee serves the department more than 33 years. That means if an employee serves for 40 years he/she is eligible to get 7% more pension. This was not accepted by the Government at that time. Now we request you to consider and recommend the same.
The 6th CPC recommended additional pension to the pensioners and the Government accepted and issued orders. According to that, on completion of 80 years, 20% additional basic pension, 85 years — 30%, 90 years = 40%, 95 years = 50% and 100 years = 100%.
The recommendations of the 6th CPC is really laudable. It has recognized the plight of the pensioners and recommended additional pension. The intention of the Government is really to help. Whereas only 20% pensioners live beyond 80 years. Hence we request that the same may be modified as below:
70 years = 30%; 80 years = 50%; 90 years = 80% & 100 years = 100%.
We wish to point out that some of the State Governments are paying additional pension of 5% after 65 years of age. Living beyond 90 years is very strange and not even 2%; 100 years and above is very rare and one in 1000. If this request is considered, the expenditure for the Government will not be more but at the same time it would be very useful for the pensioners.

Commutation amount is restored after 15 years. Pensioners were demanding to restore it after 12 years. There are some judgements by the courts for restoration after 12 years but the
Government of India did not agree for that. It is requested that the commutation may be restored after 10 years.

The 6th has reduced the commutation value for which orders were issued on 2/9/2008. It is a loss to the pensioners who retired after that date. Mortality rate of the pensioners may be taken into account and make recommendation accordingly.
Half month’s salary is given for every completed year of service and a maximum of 16-1/2. months salary is granted for those who serve 33 years and more. Half month’s salary for every completed year of service may be recommended removing the ceiling of 16-1/2 months. Commission may recommend suitable amendment to Gratuity Act. The ceiling of Rs.10 Iakh may also be removed.
Earlier a weightage was given to those who opted for VRS after completion of 25 years of service. Now it is removed. The 6th CPC recommended one time lump sum grant as retirement benefit equal to 80 months salary last drawn or average salary. We request that this may be considered for those who opt for VRS after completion of 10 years service or more. This would encourage VRS.

The socio-economic system has undergone a big change in India in the recent past. The concept of joint family system is demolished due to various reasons and nuclear family system is the order of the day. Pensioners who are not taken care of or who could not take care of, by the kith and kin and who could not stay alone are joining old age homes. Hence it is requested that the Government may start Old Age Homes atleast in District Headquarters.
Now-a-days education has become so costly. One has to spend thousands of rupees even for the 1KG and elementary education. Central Government may open Kendariya Vidyalaya at Taluk Headquarters so that the children of CGE may get good education at less cost.
After 6th CPC, the cost of price index has crossed 100 even before 8 years. Price rise is the biggest evil for the pensioners because they have nothing more than the pension and have no strength to earn additional income. Hence it is requested the pension may be revised after a gap of 5 years.

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