The Union Cabinet has approved the recommendations of the
Committee headed by Cabinet Secretary for benefits to ex-servicemen on four
issues. The financial implications of
the improvements made as per the Cabinet decision on the four items are broadly
estimated at Rs.2300 crore per annum.
The details are as follows:
I.
One Rank One Pension:
On One Rank One Pension, the demand of the Defence Forces and
Ex-Servicemen Associations is that uniform pension be paid to the Defence Forces
personnel retiring in the same rank with the same length of service irrespective
of their date of retirement and any future enhancement in the rates of pension
be automatically passed on to the past pensioners.
The difference in
the pension of present and past pensioners in the same rank occurs on account of
the number of increments earned by the defence personnel in that rank. There is also a difference between the
pension of pre 1.1.06 and post 1.1.06 retirees belonging to a particular
rank. The UPA Government on two previous
occasions has taken decisions to narrow the gap between the present and past
pensioners, particularly those belonging to the ranks of JCOs and Other
Ranks.
On the issue of One
Rank One Pension, the following have been approved by the
Cabinet:
(i)
Bridging of the gap in the pension of pre 1.1.06 and post 1.1.06 JCO/OR
retirees by determining the pension of pre 1.1.06 retirees on the basis of
notional maximum for ranks and groups across the three Services as in the
case of post 1.1.06 retirees. In
addition, the weightage of qualifying service
in the ranks of Sepoys, Naik
and Havaldar would be increased by two years
for both pre and post 1.1.06 retirees.
(ii) 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 the minimum of pay
band.
These are expected to largely meet the demands of the defence
pensioners on one rank one pension.
II.
Enhancement
of Family Pension :
(i)
The
pension of pre - 1.1.2006 family pensioners(Commissioned Officers, Honorary
Commissioned Officers, JCOs/ORs ) be stepped up
based on the minimum of the fitment table instead of the minimum of
the Pay Band;
(i) Establishing
linkage of the family pension with the pension of JCOs/ORs,
in those cases where the death takes place after the retirement
of the JCO/OR since such a JCO/OR drew a pension based on
the maximum of the pay scales, 60% of the pension applicable to JCO/OR
pensioners would be granted to the family pensioner in case of
normal family pension calculated a 30% of last pay drawn. Accordingly,
based on the rank, group and length of service of the deceased
JCO/OR pensioner, his pension would first be determined on notional
basis. In cases where death of JCO/OR took place after retirement,
the family pensioners in receipt of normal family pension would
become entitled to 60% of the said pension determined on notional
basis and those in receipt of enhanced family pension will be entitled
to 100% of this pension. Similar entitlements would be determined
in the case of Special Family Pension; and
(ii) The
family pensioner of the JCO/OR would be granted pension arrived
at on the basis of the family pension worked out as per the formulation at
(i) above or the pension on the basis of stepping up
with
reference to the minimum of the fitment table, whichever is beneficial.
Further, the linkage of family pension with retiring pension
be applied in the case of post 1.1.2006 family
pensioners of JCOs/ORs
also.
III. Dual Family
Pension:
Dual
family pension would be allowed in the present and future cases where
the pensioner drew, is drawing or may draw pension for military
service as well as for civil employment.
IV. Family pension to mentally /
physically challenged children of armed forces personnel on
marriage:
Grant
of family pension to mentally/physically challenged children who drew,
are drawing or may draw family pension would continue even after
their marriage.
The
above recommendations made by the Committee on pension issues of
Ex-Servicemen may be implemented from a prospective date and payment
made accordingly.