7 CPC & ARMED FORCES VETERANS : RECAPITULATION TILL AS ON 21 SEP 2016

SOURCE : CURTSEY SIGNALS -PARIVAAR 
http://signals-parivaar.blogspot.in/2016/09/7-cpc-mod-resolution-issued.html


PCDA CIRCULAR 555 OF 4.2.16 ON OROP DETAILED ORDERS
http://pcdapension.nic.in/6cpc/Circular-555.pdf


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          RECAPITULATION AS OF 21 SEP 2016


     7 CPC - MOD RESOLUTION ISSUED

7 CPC -  As most of the Veterans ae aware the three Services have decided not to implement the 7 CPC award till anomalies are rectified by the Govt.
7 CPC -  EXPECTED ARREARS (DEF) AND FIXATION.

 On issue of the MOD resolution the PCDA circular will follow to all the Banks to pay us the revised pension based on the Def Matrix place in this post by taking into acct the basic pension as on 31 Dec 2015. Since the OROP pension has been our basic on that day, speculations in some quarters are set to rest that we may not get 7 CPC benefit. While the final fitment and fixation of the pay & pension based on your length of service in the last rank, and related fitment factor will take time the Govt has decided to immediately fix the 7 CPC enhancement for all personnel with 2.57 irrespective of their fitment factors of 2.67 or 2.72,
With this, our expectations can be calculated by primary class maths without tears using normal calculator in your mobile without any computer tools. We have derived here 
Arithmetical Multiplication Factors (AMF) as usual for all our earlier posts. Follow the example below using your own basic salary or pension:-


(a) Note your basic pen / pay as on 31 Dec 2015 = say Rs 36130 (Cols 33 Yrs).

(b) Your 7CPC Basic pension - AMF = 2.57 hence 36130 X 2.57 = Rs 92854/-

(c) Difference per month -         AMF = 0.32 Hence 36130 X 0.32 = Rs 11562/-

(d) Arrears Jan to Jun -             AMF = 1.92 Hence 36130 X1.92 = Rs 69370/-

(e) Arrears from Jul to Oct 16 - AMF = 0.979 Hence 36130 X 0.979 = Rs 35371/-
         Total Arrears      Add (d) & (e) above  = 69370 + 35371 = 104741/-  (Plus Minus 10 only)

     Well friends that's what is now pl shout for your grand child to get the calculator and sit with you, 
We will bring out further details once the final fixation orders with relevant enhancement and fixation is announced .


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MOD RESOLUTION -  7 CPC  - HIGH LIGHTS

       BASIC PAY AS ON 31 DEC 2015 TO BE MULTIPLIED BY 2.57 AND MSP OF 15500 ADDED TO ARRIVE AT THE PAY OF A SERVING OFFICER. THE PENSION OBVIOUSLY WILL BE 50% OF THAT. ARREARS TO BE PAID WEF 01 JAN 2016 DURING THE CURRENT YEAR.                         

MSP WILL BE COUNTED ONLY FOR DEARNESS ALLOWANCE AND PENSION

PAY MATRIX - DULY UPDATED

The entire text of the MOD Resolution is given below

(TO BE PUBLISHED IN PART-I SECTION -3 OF THE GAZETTE OF INDIA (EXTRA.ORDINARY)
GOVERNMENT OF INDIA
MINISTRY OF DEFENCE
New Delhi, the 5th September, 2016 RESOLUTION
No. 1(6)/2016/D (Pay/Services)

1. The Seventh Central Pay Commission CCPC) was set up by the Government of India vide Ministry of Finance (Department of Expenditure) Resolution No. 1/ 1/2013-E.III(A) dated 28th February, 2014. The Commission submitted its report on 19th November, 2015. The report covered among other things, matters relating to structure of emoluments, allowances and conditions of service of Armed Forces personnel. Government has given ca:-eful consideration to the recommendations of the Commission relating to these matters in respect of Officers of the Armed Forces and have decided that the r:ecoomendations of the Commission on the aforementioned matters in respect of these categories of Defence personnel shall be accepted as follows. Some of the major points in respect of Defence Personnel (Officers) are as mentioned below:-

(i) Implementation of the revised pay structure will be w.e.f 01.01.2016;

(ii) Pay related Matter;  (Its given Above)

a) The existing system of Pay Band and Grade Pay has been replaced with separate Pay Matrices for both Defence and Military Nursing Services personnel.

b) Fixation of pay of each employee in the new Pay Matrix as on oi.01.2016 would be done by multiplying his/her basic pay by a factor of 2.57.

Note-1 With regard to fix. ation of pay in the new Pay Matrix as on 01.01.2016 the existing pay (Pay in Pay Band plus Grade Pay) in the pre revised structure as on 31.12.2015 ­shall be multiplied by a factor of 2..57 . The fig so arrived at iw to be located in the level Corresonding to employee’s Grade Pay in the Pay Matrix. If a cell identical with the fig so arrived at is available

in the appropriate Level, that Cell shall be the revised pay; otherwise the next higher cell in that Level shall be the revised pay of the employee.

Note-2 After fixation of pay in the appropriate Level as specified in Note-1above, the subsequent increments shallbe at the immediate next Cell in that Level.

c) General recommendations on pay recommended by the Commission have been accepted with the following exceptions in Defence Pay Matrix, namely:

i. The index of Rationalisation of Level 13A (Brigadier) in Defence Pay Matrix may be revised upward from 2.57 to 2.67.

u. Additional 3 stages in Levels 12A (Lt. Col), 3 stages in Level 13 (Colonel) and 2 stages in Level 13A (Brigadier) may be added appropriately in the Defence Pay Matrix.

(iii) Increase in Military Service Pay (MSP) of Officers Rank from Rs. 6000/- to Rs. 15500/- p.m. and for Military Nursing Service (MNS) Officers from Rs 4200/- to Rs 10800/- p.m. MSP would be counted only for Dearness Allowance (DA) and Pension purposes;

(iv) There will be two dates for grant of increment viz. 1st January and 1st July of every year, instead of existing date of 1st July. However, an employee will be able to avail annual increment only on one of these two dates depending on the date of appointment, promotion or grant of financial up-gradation;

(v) Recommendations on Allowances (except Dearness Allowance) would be referred to a Committee comprising Finance Secretary & Secretary (Expenditure) as Chairman and Secretaries of Home Affairs, Defence, Health & Family Welfare, Personnel and Training, Posts and Chairman, Railway Board as Members. The Committee would submit its report within a period of 4 months. Till a final decision on Allowances is taken based on the recommendations of this Committee, all Allowances would continue to be paid at existing rates in existing pay structure, as if the pay had not been revised w.e.f. 01.01.2016 i.e status quo would be maintained;
(vi)..Arrears of Pay would be paid during the current financial year;

(vii) Recommendations not relating to pay and allowances and other administrative issues specific to department/ cadres/ posts would be examined separately as per the Transaction of Business Rules/ Allocation of Business Rules.

2. Other instructions on Pay Fixation and increment not specifically covered in these instructions will be as in the Government of India, Ministry of Finance (Department of Expenditure) Resolution No. 1-2/2016-IC dated 25th July, 2016.

3. The decisions taken by the Government accordingly on various recommeridations of the Commission in respect of Officers of Armed Forces are indicated in the statement

at Annexure-I to this Resolution. New Pay Matrix for Defence Service officers is at Annexure-II and for MNS Officers is at Annexure-III. ;.

(V.Anandar Rajan)
Joint Secretary to the Government of India

THE GAZETTE NOTIFICATION (01 sep 2016)

ANALYSIS

Analysis of the Gazette Notification on 7 CPC for def officers.

in the Gazette Notification there is nothing new. It has only published what has been approved by the cabinet. Just a formality. The implementation will take time, may be a year. However the Govt has planned to pay you immediately your basic pension into 2.57 /2.67/2.72 times. They will pay you arrears after they are able to finally fix your pension as per the matrix.

 
The govt orders rightly say that your 6CPC emoluments as authorised wef 01 Jan 2006 will be multiplied by the factor and paid .

Here there is a big doubt which i hope is not exploited by the dear babus, The OROP whether it be considered as 6 CPC authorisation or not . If considered well and good otherwise, as usual they will only pay us 6CPC X 2.57/2.67/2.72 as per Rank or the OROP which ever is more. I have reasons to apprehend this move. Let us wait for the orders of the Ministry of Defence applicable for the Armed forces to know what is in store for us.

let me upload the matrix as may be amended by the Gazette Notification

The MSP will be in addition to these salaries. Here again there is a doubt rather apprehension. under the colmns the rows show the salary with 3% yearly increments year wise. Will they take the number of increments or the number of years of service in that particular rank. If you recall the increments under 5th CPC were made two yearly from one yearly. Like I was a Brig for 7 complete years will they take my pension 50% of 171700 against 8th stage or just 3 increments ie 50% of when I reached the maximum scale for stagnation increment. 152500/-. Nothing is known and there is no clarity as of date. Hence we need to see what will be in store for us.

The Matrix duly amended as per fresh calculations .
MATRIX - DEFENCE AS AMENDED  -  PB-4 Extract

                                  
                                    The MSP will be in addition.
  NOTE :  It will take considerable time for this matrix to be fully implemented  considering and fixing the number of years of service/increments in the last rank.
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EARLIER POSTS
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** 7 CPC ORIGINAL REPORTS  
1. REPORT - EXTRACTS DEFENCE SERVICES -   CLICK TO READ.
2.    REPORT - FULL 900 PAGES.    -    CLICK TO READ.      
3.     EXECUTIVE SUMMARY - 7 CPC --   CLICK HERE TO REFER 
4.     CIVILIAN PAY STRUCTURE AND PENSION - CLICK HERE       
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29-Jun-2016. Cabinet approves the implementation of 7th CPOC as recommended by the Secretaries group. 

Jun 30 2016 : The Times of India (Delhi)
Military upset as govt stays cold on major demands
New Delhi:
TIMES NEWS NETWORK

The 13-lakh strong armed forces were left largely disappointed on Wednesday with the Cabinet decision to implement the recommendations of the 7th Central Pay Commission without resolving the “core anomalies“ persistently raised by them.

Senior officers said while the “fine-print“ was yet to be studied, it seemed that their longstanding concerns over their eroding “status, parity and equ ivalence“ as compared to their civilian counterparts had not been addressed again. “Our experience has been that the anomalies created by each successive CPC to our detriment are referred to committees, which never resolve them, till the next CPC. The cycle seems to be the same this time,“ said an officer.

The Centre has this time drawn up separate matrices for drawn up separate matrices for civilians, defence personnel and military nursing service.It said “further improvements“ had been approved in the defence matrix by enhancing the index of rationalisation for Level 13A (Brigadier), and providing for additional stages in Level 12A (Lt-Col), 13 (Col) and 13A (Brigadier), in order to bring parity with their combined armed police forces (CAPF) counterparts at the maximum of the respective levels. The 7th CPC has downgraded them to the level of CAPFs, they said.

RSS-affiliated union threatens strike

RSS-affiliate Bharatiya Maz door Sangh on Wednesday rejected the pay hike announced by the NDA regime and threatened a nation-wide strike on July 8. It said that the Centre had “disappointed“ employees and it may lead to unrest. TNN

Provisions in brief as approved:-

1. Separate Pay Matrices for Civilians, Defence and MNS.

2. Fitment Multiple of 2.57. Min Pay of Rs 18000. Three separate matrix for Lt Col(12A) , Cols(13) & Brigs (13A). Brig index improved to 2.67 instead of 2.57

3. Annual Increment at the rate of 3% of basic pay. Increment payable once in a year either on 01 Jan / July.

4. No mention of NFU.

5. MSP. -   NCsE - 3000.     OR - 5200.     JCOs - 10800.      Officers upto Brig - 15500.

6. Pension.    Existing pension to be multiplied by the index (2.57 to start with. Another Committee set up to study feasibility of the second option wherein the increments will get included. Current retirees will draw pension at 50% of last drawn pay. (Continued Click Below)

7. Gratuity doubled from 10 Lakh to 20 Lakh.

8. Allces. Status Quo till such time another  Committee under Finance secretary studies on  rationalization of allces since pay commission proposals on abolition of many allowances have upset the Central Govt employees. 

9.  Parity between Def Forces and CAPF.brought in for pay scales. Def Forces view it as deliberate downgradation of the Armed Forces. 

10. Anomalies Group set up by the government to look into other issues as brought out by employees / organizations.

11. Arrears wef 01 Jan 2016 will be payable within current FY.

13. Advances  No interest bearing advances to be ceased except for Motor Car and Motor Cycle. House Building Adv enhanced to 25 lakh..Computer adv also to continue.  All other interest free advances abolished except for medical,transfer,LTC,tour etc.

14. Ex Gratia Grant enhanced in the range of 25-45 lakh.

15. Cost to Government including arrears is 84933 crores...without arrears is 72800 crores.

            READ DETAILED PRESS REPORT.


The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the implementation of the recommendations of 7th Central Pay Commission (CPC) on pay and pensionary benefits.   It will come into effect from 01.01.2016.

In the past, the employees had to wait for 19 months for the implementation of the Commission’s recommendations at the time of 5th CPC, and for 32 months at the time of implementation of 6th CPC.  However, this time, 7th CPC recommendations are being implemented within 6 months from the due date.

The Cabinet has also decided that arrears of pay and pensionary benefits will be paid during the current financial year (2016-17) itself, unlike in the past when parts of arrears were paid in the next financial year.

The recommendations will benefit over 1 crore employees. This includes over 47 lakh central government employees and 53 lakh pensioners, of which 14 lakh employees and 18 lakh pensioners are from the defence forces.


Highlights of 7th CPC recommendations: 



 1.The present system of Pay Bands and Grade Pay has been dispensed with and a new Pay Matrix as recommended by the Commission has been approved. The status of the employee, hitherto determined by grade pay, will now be determined by the level in the Pay Matrix. Separate Pay Matrices have been drawn up for Civilians, Defence Personnel and for Military Nursing Service. The principle and rationale behind these matrices are the same.

2.All existing levels have been subsumed in the new structure; no new levels have been introduced nor has any level been dispensed with. Index of Rationalisation has been approved for arriving at minimum pay in each Level of the Pay Matrix depending upon the increasing role, responsibility and accountability at each step in the hierarchy.

3.The minimum pay has been increased from Rs.  7000 to 18000 p.m.  Starting salary of a newly recruited employee at lowest level will now be Rs.  18000 whereas for a freshly recruited Class I officer, it will be Rs.  56100.  This reflects a compression ratio of 1:3.12 signifying that pay of a Class I officer on direct recruitment will be three times the pay of an entrant at lowest level.

4.For the purpose of revision of pay and pension, a fitment factor of 2.57 will be applied across all Levels in the Pay Matrices.

5.Rate of increment has been retained at 3 %. This will benefit the employees in future on account of higher basic pay as the annual increments that they earn in future will be 2.57 times than at present.

6.The Cabinet approved further improvements in the Defence Pay Matrix by enhancing Index of Rationalisation for Level 13A (Brigadier) and providing for additional stages in Level 12A (Lieutenant Colonel), 13 (Colonel) and 13A (Brigadier) in order to bring parity with Combined Armed Police Forces (CAPF) counterparts at the maximum of the respective Levels.

7.Some other decisions impacting the employees including Defence & Combined Armed Police Forces (CAPF) personnel include :

       1.Gratuity ceiling enhanced from Rs.  10 to 20 lakh. The ceiling on gratuity will increase by 25 % whenever DA rises by 50 %.
          2.A common regime for payment of Ex-gratia lump sum compensation for civil and defence forces personnel payable to Next of Kin with the existing rates enhanced from Rs. 10-20 lakh to 25-45 lakh for different categories.
            3.Rates of Military Service Pay revised from Rs.  1000, 2000, 4200 & 6000 to 3600, 5200, 10800 & 15500 respectively for various categories of Defence Forces personnel.
              4.Terminal gratuity equivalent of 10.5 months of reckonable emoluments for Short Service Commissioned Officers who will be allowed to exit Armed Forces any time between 7 and 10 years of service.
            5.Hospital Leave, Special Disability Leave and Sick Leave subsumed into a composite new Leave named ‘Work Related Illness and Injury Leave’ (WRIIL). Full pay and allowances will be granted to all employees during the entire period of hospitalization on account of WRIIL. 

8.The Cabinet also approved the recommendation of the Commission to enhance the ceiling of House Building Advance from Rs.  7.50 lakh to 25 lakh. In order to ensure that no hardship is caused to employees, four interest free advances namely Advances for Medical Treatment, TA on tour/transfer, TA for family of deceased employees and LTC have been retained. All other interest free advances have been abolished.

9.The Cabinet also decided not to accept the steep hike in monthly contribution towards Central Government Employees Group Insurance Scheme (CGEGIS) recommended by the Commission. The existing rates of monthly contribution will continue. This will increase the take home salary of employees at lower levels by Rs. 1470. However, considering the need for social security of employees, the Cabinet has asked Ministry of Finance to work out a customized group insurance scheme for Central Government Employees with low premium and high risk cover.

10.The general recommendations of the Commission on pension and related benefits have been approved by the Cabinet. Both the options recommended by the Commission as regards pension revision have been accepted subject to feasibility of their implementation. Revision of pension using the second option based on fitment factor of 2.57 shall be implemented immediately. A Committee is being constituted to address the implementation issues anticipated in the first formulation. The first formulation may be made applicable if its implementation is found feasible after examination by proposed Committee which is to submit its Report within 4 months.

11.The Commission examined a total of 196 existing Allowances and, by way of rationalization, recommended abolition of 51 Allowances and subsuming of 37 Allowances. Given the significant changes in the existing provisions for Allowances which may have wide ranging implications, the Cabinet decided to constitute a Committee headed by Finance Secretary for further examination of the recommendations of 7th CPC on Allowances.  The Committee will complete its work in a time bound manner and submit its reports within a period of 4 months. Till a final decision, all existing Allowances will continue to be paid at the existing rates.

12.The Cabinet also decided to constitute two separate Committees (i) to suggest measures for streamlining the implementation of National Pension System (NPS) and (ii) to look into anomalies likely to arise out of implementation of the Commission’s Report.

13.Apart from the pay, pension and other recommendations approved by the Cabinet, it was decided that the concerned Ministries may examine the issues that are administrative in nature, individual post/ cadre specific and issues in which the Commission has not been able to arrive at a consensus.

14.As estimated by the 7th CPC, the additional financial impact on account of implementation of all its recommendations in 2016-17 will be Rs. 1,02,100 crore. There will be an additional implication of Rs. 12,133 crore on account of payments of arrears of pay and pension for two months of 2015-16.

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 Secretaries group submits final report to Fin Min; Cabinet approval in 15 days 

Posted: 18 Jun 2016 04:59 AM PDT

New Delhi: It’s good news for central government employees eagerly waiting for the implementation of 7th Pay Commission.

The implementation of 7th Pay Commission appears to be a matter of a few days now. As per Dainik Jagran report, the Cabinet Secretary met the PMO officials on Wednesday and apprised them about the secretaries panel’s recommendations on the salary and allowances hike recommended for central government employees.
The secretaries panel reviewing the 7th pay commission’s recommendations have submitted its report to the Finance Ministry. The Finance Ministry will prepare a note and present it before the Cabinet in the next 15 days.

With the threat of strike by central government employees looming large, the Cabinet is expected to take a prompt decision on the recommendations resulting in notification.

The salary hikes recommended are expected to apply from July.

Read at: Zee News

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2.    7th Pay Commission Recommendations may be revised upwards by Committee of Secretaries appointed by Govt.
           Cabinet Secretary P K Sinha who is heading the Empowered Committee or Secretaries group is likely to hand over a report on the revised pay structures of 7th pay commission recommendations to Finance Minister Arun Jaitley by the end of next month.
           Finance Minister Arun Jaitley said government had requisite fund to implement 7th pay commission award. Cabinet 


Secretary Sinha will finally make his appearance before the the Empowered Committee or Secretaries group on June 11 to make a proposal on the recommendations of 7th Pay Commission before cabinet nod.
           Committee’s decisions on 7th Pay Commission and recommendation is expected to be submitted by June .  The same will be placed before the Cabinet after the finance ministry’s review. We don’t think it will take more time for Finance Minister Arun Jaitley’s consideration and the new pay structures will be implemented from July after cabinet nod,” said a top official from the Finance Ministry who did not wish to be named.  
            The 7th Pay Commission headed by Justice A K Mathur submitted the report on November 19. It had proposed the highest salary at Rs 250,000 and the lowest at Rs 18,000. The commission also recommended 14.27 per cent increase in basic pay, 23.55% overall increase in salary, allowances and pensions.
          The increase in allowances has been recommended to the extent of 63% while pension has  been proposed to be raised by 24%. Finance Minister Jaitley is likely to agree with the Secretaries group. “I think it should not be touched again,” the official said. Once the new structure is implemented, salaries of around 48 lakh central government employees and 52 lakh pensioners will rise by 30 percent. The Finance Minister already said the 7th pay commission award would not make the commodity prices to go up.
           The central government employees and pensioners will also spend more money on a variety of goods after receiving the 7th Commission award with arrears from January 2016. “This means higher consumption similar to what happened in the past. But the previous two Pay Commission awards came with a lag of two years. So the arrears were large. 
           This time, it will not be so,” says Pronab Sen, former Chief Statistician, government of India and now Country Director, International Growth Centre, a think tank based at LSE, run in partnership with University of Oxford.
           The official also agrees with Sen and said there was no possibility of any impact of the report on the market at this stage of implementation as there were no impacts when the Pay Commission had first submitted the report. The government formed a 13 member secretary-level Empowered Committee or Secretaries group headed by Sinha in January to review the report of the 7th Pay Commission before cabinet nod. The 7th pay commission was set up by the UPA government in February 2014. It submitted the report after around 22 months. After getting the 7th pay commission report, the finance minister Jaitley while introducing the Seventh Pay Commission report on November 19, already said that the final decisions on the Seventh Pay Commission report took five and a half months including the process of Secretaries group. Finance Minister also said, government had requisite fund to implement it. 
         The secretary group is likely to propose pay structure of minimum at Rs 21,000 and the maximum at Rs 2,70,000 Accordingly, the Secretaries group is likely to reach the conclusion to propose 30 percent basic pay raise instead of 14.27 per cent, which was recommended by 7th Pay Commission.
       They are also mulling for doubling of existing rates of such allowances and advances, which has been recommended for abolition by the 7th Pay Commission, sources said.
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