pension

Possible Ways Of Calculating 7 CPC Pensions : Lt Col/Cdr/Wg Cdr Pensioners Who Retired Prior To 01 Jan 2006

A number of links were recently seen on Facebook, including here https://www.facebook.com/groups/439033406123068/permalink/1391971090829290/ that led to a web-site with tables of 7 CPC pensions for veterans.

My concern is such pre-mature speculation might lead to erroneous assumptions. At the same time, such data, though not validated, can provide some basic understanding of what is in store.

In the past, I had tried to underline the importance of the manner in which index in the 7 CPC matrix will be determined for older pensioners (links are at the end of this blog post).

In comparison to the tables available on those web-sites that I have mentioned, just considering the number of ways pension of pre 01 Jan 2006 pensioners in Lt Col and equivalent ranks could be determined, as based on existing information, gives one an idea as to how incomplete the present picture is. Briefly, the 7 CPC pension may be determined as based on:

  • VI CPC pension multiplied by 2.57 (as per the text of 7 CPC recommendations).
  • OROP pensions multiplied by 2.57.
  • Pensions as determined in the VII CPC matrix based on index number fixed by increments earned by a Lt Col equivalent pensioner with equal service in the VI CPC pay-band.

{*For the present blog post, the not very reassuring possibility of the much smaller number of increments in V CPC pay-scale being considered has not been taken into account, though the danger of that happening can’t totally be ruled out.}

The following table, with three different possible sets of pensions, in different shades, for just one rank, should point to the existing lack of clarity (Please note that these figures need to be checked for accuracy. Please provide feedback and suggestions by way of comments):

QS Of Pre 2006 Lt Col Pensioner

VI CPC Pension Of Pre 2006 Pensioner (Now without pro-rata reduction)

OROP

VII CPC Pension Based On 2.57x(VI CPC Pension)

VII CPC Pension Based On 2.57x(OROP Pension)

Pension Based On Approximate Index No. Of VII CPC
Matrix In Adjoining Column VII  Corresponding To Post 01Jan2006
pensioner with equal QS

Index No. On Which VII CPC Matrix Pension in Col VI To The Left Is
Based (Assuming Index No. 1,  i.e. minimum level, Corresponds To A
Service of 13 years as after 01 Jan 2006 Lt Col Level starts at QS = 13 yrs)

Dec 2015 OROP Pension With DR @ 119%

I

II

III

IV

V

VI

VII

VIII

20

26265

31305

67501

80454

79500

8

68558

20.5

26265

31305

67501

80454

79500

8

68558

21

26265

31713

67501

81502

81650

9

69451

21.5

26265

31713

67501

81502

81650

9

69451

22

26265

32428

67501

83340

83850

10

71017

22.5

26265

32428

67501

83340

83850

10

71017

23

26265

32428

67501

83340

86150

11

71017

23.5

26265

32428

67501

83340

86150

11

71017

24

26265

32428

67501

83340

88500

12

71017

24.5

26265

32428

67501

83340

88500

12

71017

25

26265

32775

67501

84232

90900

13

71777

25.5

26265

32813

67501

84329

90900

13

71860

26

26265

32813

67501

84329

93400

14

71860

26.5

26265

33225

67501

85388

93400

14

72763

27

26265

33225

67501

85388

95950

15

72763

27.5

26265

33225

67501

85388

95950

15

72763

28

26265

33225

67501

85388

98600

16

72763

28.5

26265

33225

67501

85388

98600

16

72763

29

26265

33225

67501

85388

101350

17

72763

29.5

26265

33918

67501

87169

101350

17

74280

30

26265

33918

67501

87169

104150

18

74280

30.5

26265

33925

67501

87187

104150

18

74296

 This table does not deal with the 26 years anomaly for older Lt Col equivalent pensioners with more than 26 years of service and at what level the pensions should be fixed if some sort of equalization of their pensions is to be done with pensions of Col(TS)/Capt(IN)(TS)/GpCapt(TS) with as much QS as the Lt Col and equivalent pensioners. That exercise may have to be left for another day.

{Update: With the release of a Press Note on 04 May 2017, Method 1 / Option 2 of CPC recommendations appears to have given way to a Modified Formulation }

Previous References:

1.https://ashwanisarda.wordpress.com/2016/05/29/the-all-important-issue-of-number-of-increments-7-cpc-matrix/

2.https://ashwanisarda.wordpress.com/2016/04/14/inter-temporal/

3.https://ashwanisarda.wordpress.com/2016/04/12/approximations-to-vii-cpc-pensions-of-lt-col-wg-cdr-cdr/

 

 

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