Govt. clears pay panel’s revised pension benefits

The minimum pension is fixed at Rs. 9,000 per month
 

After keeping pensioners and family pensioners on tenterhooks for nearly a fortnight, the Centre has cleared the revised pension benefits as recommended by the 7th Pay Commission.

An order of the Department of Personnel, Public Grievances & Pensions on Thursday said that the benefits stand revised from January 1, 2016.

The pension shall be calculated by multiplying the pension/family pension, as had been fixed at the time of implementation of 6th Central Pay Commission (CPC) recommendations, by 2.57.

By way of illustration the order gave two specific examples.

In case one pensioner ‘A’ retired at last pay drawn of Rs. 79,000 on May 31, 2015 under the 6th CPC regime in the scale of Rs. 67,000-79,000. The basic pension fixed in the 6th CPC was Rs. 39,500. Now it stands revised under the 7th CPC (using a multiple of 2.57) at Rs. 1,01,515.

In case II pensioner ‘B’ retired at last pay drawn of Rs. 4,000 on January 1989 under the 4th CPC regime in the pay scale of Rs. 3000-100-3500-125-4500, the basic pension fixed in the 4th CPC was Rs. 1940, it was revised in the 6th CPC to Rs. 12,600 and now stands at using a multiple of (2.57) Rs. 32,382.

The order said the existing pension/family pension will be the basic pension/family pension only without the element of additional pension available to the old pensioners/family pensioners of the age of 80 years and above.

The additional pension/family pension payable to the old pensioners/family pensioners will be worked out in accordance with norms under the consolidated pension and will be inclusive of commuted portion of pension, if any.

The commuted portion will be deducted from the said amount while making monthly disbursements.

Minimum pension

The minimum pension is fixed at Rs. 9,000 per month (excluding the element of additional pension to old pensioners). The upper ceiling on pension/family pension will be 50 per cent and 30 per cent respectively of the highest pay in the government (The highest pay in the government is Rs.2,50,000 with effect from January 2016).