pension

Anticipated Difference Between VII CPC Pensions Of Lt Col And Col(TS) Pensioners With Equal Service

In spite of many web-based discussions, blog posts and references to the subject, there appears to be no record of a serious attempt at solving the matter of armed forces pensioners with equal amount of qualifying service getting different pensions due to changes made in policy related to time-bound promotions and also introduction of new time-bound ranks.

The most glaring recent example of this is the anomaly in pensions of veterans who retired as Lt Cols with a service of 26 years or more. The anomaly, that resulted from implementation of recommendations of AV Singh Committee in March 2005 with retrospective effect from 16 Dec 2004, was reportedly challenged recently in litigation as mentioned on this web-page : http://tsewa.in/index.php/home/legal

Though VI CPC pensions from 01 Jan 2006 and also OROP pensions from June 2014 are affected, it now appears that the anomaly will also be carried forward in the implementation of VII CPC as there is no reference made in the recommendations of VII CPC to rectifying this particular matter.

To appreciate the differentials applicable to pensions of pensioners with equal service in ranks of Lt Col and Col(TS) right from 01 Jan 2006 till June 2014 and then under OROP from July 2014 till December 2015, the following tables (made from figures in PCDA Circulars 500 and 555) can be referred:

Difference In
Monthly Pension Of Lt Col And Col(TS) With Equal Service From 01 Jan 2006 To
30 Jun 2014

QS

VI CPC Pension Of Lt Col With Removal Of Pro Rata
Reduction

VI CPC Pension Of Col (TS) With Removal Of Pro Rata
Reduction

Difference In Monthly Pension
Without Considering DR

26 Years And More

26265

27795

1530

 

Difference In OROP
Pensions Of Lt Col and Col(TS) With Equal Service From July 2014 To Dec 2015

QS

OROP Pension Lt Col

OROP Pension Col (TS)

Monthly Difference Without DR

26

32813

34485

1672

26.5

33225

34485

1260

27

33225

34835

1610

27.5

33225

34835

1610

28

33225

35230

2005

28.5

33225

35230

2005

29

33225

35235

2010

29.5

33918

36130

2212

30

33918

36130

2212

30.5

33925

36130

2205

31

34303

36130

1827

31.5

34303

36130

1827

32

34765

36130

1365

32.5

34765

36130

1365

33

34765

36130

1365

 

In my previous blog-post, I had made an attempt to highlight the lack of clarity in determing the VII CPC matrix index number for older pensioners, especially those who retired before 01 Jan 2006. I had illustrated the problem with the specific case of Lt Col pensioners. In addition to all the other possible issues mentioned in that blog-post, the 26 years anomaly adversely affects a large section of that class of pensioners.

To illustrate, I have made an attempt to calculate pensions of older Lt Col pensioners and current Col(TS) pensioners as per the matrix in VII CPC recommendations. I had posted tables on similar lines in slightly different formats in previous blog-posts. Data and views are also available on other web-sites/blogs some of which are listed in the blogroll to the right of this blog (as viewed on desktop). The data posted here is meant to offer a direct comparison of pensions as affected by the 26 years anomaly.

The important thing to note is that in the VII CPC Matrix, there is correlation of pensions only with the level and index number and no clear-cut correlation with QS of older and current pensioners. Armed forces veterans, especially those who retired before 01 Jan 2006, i.e. before VI CPC was implemented, will need to know how the VII CPC pensions in the matrix will relate to their QS, given the stress on the same (“equal service”)  in the matter of OROP. The figures in the following table are only for explaining the problem and can’t be taken as official data as these are based on a number of assumptions, some of which are :

  • Level 12A of the VII CPC matrix for serving Lt Col officers commences at a QS of 13 years which is the QS for promotion to Lt Col rank on time-bound basis.
  • Level 13 of the VII CPC matrix for Colonel commences at a QS of 15 years which is the QS for promotion to Col rank by selection.
  • Index No.1 (minimum level for Lt Col) in Level 12A will be at a QS of 13 years (Col IV of table) and Index No.1 (minimum level for Col) in level 13 will correspond to a QS of 15 years (Col V of table).

If VII CPC pensions are calculated based on the above assumptions, we see the likely differential between Col(TS) and Lt Col pensions as follows in Col VIII of table. But, I would like to repeat here these are only approximations based on above-mentioned assumptions.

QS

VI CPC Pay Band PB IV Lt Col

VI CPC Pay Band PB IV Col(TS)

Estimated Index No. For Pre 2016 Lt Col
Pensioner In Level 12A Of VII CPC Matrix

Estimated Index No. For Pre 2016 Col (TS)
Pensioner In Level 13 Of VII CPC Matrix

Estimated Pension For Pre 2006 Lt Col
Pensioner As Based On VII CPC Matrix

Estimated Pension For Pre 2006 Col (TS)
Pensioner As Based On VII CPC Matrix

Anticipated Difference Between VII CPC
Pensions Of Lt Col and Col(TS) Pensioners With Equal Service

I

II

III

IV

V

VI

VII

VIII

13

37400

1

 

 

 

 

14

38770

2

15

40180

3

1

16

41630

4

2

17

43120

5

3

18

44660

6

4

19

46240

7

5

20

47870

8

6

79500

21

49550

9

7

81650

22

51280

10

8

83850

23

53060

11

9

86150

24

54900

12

10

88500

25

56790

13

11

90900

26

58740

58740

14

12

93400

94750

1350

27

60750

60750

15

13

95950

97350

1400

28

62820

62820

16

14

98600

100050

1450

29

64950

64950

17

15

101350

102800

1450

30

67140

67140

18

16

104150

105650

1500

 Readers may kindly consider providing feedback in case errors or inaccuracies are noticed.

{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 }

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s