WHICH OPTION IS ADVANTAGEOUS? OPTION 1 OR 2 ?

PARITY IN PENSION FOR OLD CENTRAL PENSIONERS

07/08

The Seventh CPC had suggested two options for revising the pension of old pensioners to bring parity with new pensioners. While issuing the orders, the DoP&PW implemented only Option No 2.Option No 1 is also accepted subject to feasibility.To study the option No 1 in detail and suggest if it can be implemented a committee is appointed, comprising Secretary (Pension) as Chairman and Member (Staff). Railway Board, Member (Staff), Department of Posts, Additional Secretary & Financial Adviser, Ministry of Home Affairs and Controller General of Accounts as Members.

ONE CASE STUDY

An old case was brought to me recently.One gentleman while working as RSA in Telephones took invalid pension in 1982 with 18 years of qualifying service. He had earned ten increments in his scale then. He was drawing pro-rata pension of Rs 3862 from 1-1-2006. Since he is entitled to get full pension under the recent orders I prepared the calculations and his pension is re-fixed at Rs 6750, being the minimum of the corresponding pays scale of RSA (The cadre does not exist now). He got arrears of Rs 5,98, 976 also. After revision under Option No 2 suggested by 7th CPC he will get basic pension of Rs 17348.

If the first option is accepted and implemented, the above gentleman may get basic pension of Rs 26000.

All cases need not be advantageous like this. Those who retired at a higher level of his/her grade (after earning ten increments or more) will get good benefit under Option No1. Of course, the service book of many may not be available.That is shown as the main reason to state that it is not feasible.

Note: All old pensioners should keep ready whatever papers they have. Do not lose any paper connected with Service or pension. Some pensioners come to know the benefits, without any paper, not even the PPO. Some people come with BankPass books without updating the entries for the last 3-4 years also.

...P S Ramankutty