Revision of pension of pre-2006 pensioners - Department of Pension and Pensioners' Welfare

Revision of pension of pre-2006 pensioners – DPPW Orders on 30.7.2015

G.I., Min. of Per. PG & Pensions, O.M.No.38/37/08-P&PW(A), dated 30.7.2015

Sub:- Revision of pension of pre-2006 pensioners – reg.

The undersigned is directed to say that as per Para 4.2 of this Department’s OM of even number dated 1.9.2008 relating to revision of pension of pre-2006 pensioners w.e.f. 1.1.2006, the revised pension w.e.f. 1.1.2006, in no case, shall be lower than 50% of the sum of the minimum of pay in the pay band and the grade pay thereon corresponding to the prerevised pay scale from which the pensioner had retired. A clarification was issued vide DoP&PW OM of even number dated 3.10.2008 that the pension calculated at 50% of the minimum of pay in the pay band plus grade pay would be calculated at the minimum of the pay in the pay band (irrespective of the pre-revised scale of pay) plus the grade pay corresponding to the pre-revised pay scale.

2. Several petitions were filed in Central Administrative Tribunal, Principal Bench, New Delhi inter alia claiming that the revised pension of the pre-2006 pensioners should not be less than 50% of the minimum of the pay band + grade pay, corresponding to the pre-revised pay scale from which pensioner had retired, as arrived at with reference to the fitment tables annexed to Ministry of Finance, Department of Expenditure OM No.1/1/2008-IC dated 30th August, 2008. Hon’ble CAT, Principal Bench, New Delhi vide its common order dated 1.11.2011 in OA No.655/2010 and three other connected OAs directed to re-fix the pension of all pre-2006 retirees w.e.f. 1.1.2006 based on the Resolution dated 29.8.2008 of the Department of Pension & Pensioners’ Welfare and in the light of the observations of Hon’ble CAT in that order.

3. The above order was challenged by the Government by filing Writ Petition No.1535/2012 in respect of OA No. 655/2010 and WP No.2348-50/12 in respect of the three other connected OAs in the High Court of Delhi. The Hon’ble High Court in its common Order dated 29.4.2013 noted that the DoP&PW had, in the meanwhile, issued an OM No.38/37/08-P&PW (A) dated 28.1.2013 which provided for stepping up of pension of pre 2006 pensioners w.e.f. 24.9.2012 to 50% of the minimum of pay in the pay band and grade pay corresponding to pre-revised pay scale from which the pensioner had retired. Hon’ble High Court observed that the only issue which survived was, with reference to Paragraph 9 of OM dated 28.1.2013 which makes it applicable w.e.f. 24.9.2012 instead of 1.1.2006. Hon’ble High Court of Delhi dismissed the Writ Petition No.1535/2012 along with three other Writ Petitions vide its order dated 29.4.2013. Special Leave Petitions (No.23055/2013 and No.36148-50/2013) filed against the said order dated 29/4/2013 of the Hon’ble Delhi High Court have also been dismissed by the Hon’ble Supreme Court.

4. Accordingly, in compliance with the above judicial pronouncements, it has been decided that the pension/family pension of all pre-2006 pensioners/family pensioners may be revised in accordance with this Department’s OM No.38/37/08-P&PW(A) dated 28.1.2013 with effect from 1.1.2006 instead of 24.9.2012. Further, this benefit has already been granted to the Applicants in OA No. 655/2010 vide OM of even No. dated 26/08/2014 read with OM dated 19/09/2015 following dismissal of SLP (C) No.23055/2013 by the Hon’ble Supreme Court.

5. In case the consolidated pension/family pension calculated as per para 4.1 of O.M. No.38/37/08-P&PW (A) dated 1.9.2008 is higher than the pension/family pension calculated in the manner indicated in the O.M. dated 28.1.2013, the same (higher consolidated pension/family pension) will continue to be treated as basic pension/family pension.

6. All other conditions-as given in OM No. 38/37/08-P&PW (A) dated 1.9.2008, as amended from time to time shall remain unchanged.

7. Ministry of Agriculture, etc. are requested to bring the contents of these orders to the notice of Controller of Accounts/Pay and Accounts Officers and Attached and subordinate Offices under them on a top priority basis. All pension disbursing offices are also advised to prominently display these orders on their notice boards for the benefit of pensioners.

8. This issues with the approval of Ministry of Finance ID Note No. 1(9)/EV/2011Vol.1I dated 24.7.2015.

Authority: www.persionersportal.gov.in

Central Government Employees : 30% salary hike confirmed in 7th Pay Commission

30% salary hike confirmed in 7th Pay Commission for CG Employees

“The wages of public sector bank employees are revised once every five years. The recent 10th Bipartite wage agreement gave them an increase of 15%.”

United Forum of Bank Unions (UFBU) had initially put forth a demand of 21% wage hike. It was only after an extensive series of negotiations that the Indian Bank Association agreed to settle for 15%.

For Central Government Employees, once every ten years, a high level committee is constituted by Central Government to revise the pay and allowances. The commission will examine pay structure, concessions and facilities/benefits as well as retirement benefits of Central Staff based on Terms of reference given to them. The Commission has to submit its recommendations within 18 months of the date of its constitution.

All the employees’ Trade unions, Associations and Federations are given a chance to meet the committee and present their demands and expectations in the form of memorandums. All these stages have been completed. The pay commission is expected to submit its report to the central government this month.

The prime question which comes naturally in every oneís mind is ñ how much increase the Central Government employees will get?

In our point of view, all Central employees can surely get a uniform 30% increase in salaries with effect from 01.01.2016, irrespective of ranks and length of service.

Let us assume that an employee who had been recruited after the implementation of the 6th Pay Commission, draws a salary of, on an average, Rs.30,000, including all allowances. Then, after the implementation of 7th Pay Commission, his salary will increase by 30%, and be Rs.39,000.

Everybody, including the NC JCM and the news websites, is expecting maximum hike. That is entirely their discretion. They would have a reason too – simple reason is ‘if you want to get what you want then you should ask more than thatí. They are hoping for a 60% to 70% increase’.

This is where most misconceptions occur. Even English newspapers are no exceptions, and have misquoted the numbers.

The minimum basic pay, as decided by the 6th Pay Commission, was Rs.7000. The basic salary of the lowest rank employee, who was recruited after the implementation of the 6th Pay Commission, was Rs.7000 per month, plus allowances. Almost ten years later, the basic pay of the same lowest ranked employee who was recruited after July 2015, is Rs.15330 (7000 + 119% DA) and allowances. The Dearness Allowance, which is given twice a year, began at zero and has increased to 119% in the past 10 years.

The Central Government employees’ Federation, NC JCM Staff Side had, in its memorandum to the 7th Pay Commission, hoped for a revised minimum basic pay of Rs.26000 (a 70% hike), instead of Rs.15330. The Federation had detailed and defended with irrefutable explanations and justification for their demands.

In News Media , Articles are being written questioning the basis on which the Federation is demanding a 3 times hike in salary..?

In fact, it is not clear on what basis they are publishing articles that Federations were asking a 3 times salary hike and central govt employees can get 3 times hike !

“An employee’s salary hike depends on a number of factors, including the pay commission, wage revision, promotion, etc. The normal procedure to find out the percentage of hike is to calculate it on the basis of the pre-hike salary. But, it is ridiculous to see some people calculate the increase based on the salary drawn by the employee ten years ago, and claim that they are going to receive multiple-times of salary hike.”

It is almost tragic to see employees, lured by the misguiding claim of a Multiplication Factor of 2.86, assuming that there will be a threefold salary hike.

The salaries of all Central Government employees from January 2016 onwards will be 30% higher than the pay of December 2015.

People who differ from this opinion, and those who are convinced that it is very low, are requested to calculate the percentage of salary hike of December 2005 and January 2006. This was the hike recommended by the 6th Pay Commission. Also, if possible, try to find out the percentage of increase in salary of December 1995 and January 1996. This was hike recommended by the 5th Pay Commission.

It has become very obvious that the Central Government employees are under some kind of spell when it comes to salary hikes. This is an attempt to dispel the illusion.

I shall resume this article with your esteemed feedback.

Source: 90Paisa 

(Central Govt Employees News Blog)

Expected DA July 2015 finalized - AICPIN for the month of June 2015

AICPIN for the month of June 2015 – Expected DA July 2015 finalized

3 Points increased and pegged at 261.

As per the press release of Labour Bureau today, the All India Consumer Price Index (IW) is increased by three points from the existing level and stands at 261.

No.5/1/2015- CPI

GOVERNMENT OF INDIA

MINISTRY OF LABOUR & EMPLOYMENT

LABOUR BUREAU

‘CLEREMONT’, SHIMLA-171004

DATED : 31st JuIy, 2015

Press Release

Consumer Price Index for Industrial Workers (CPI-I W) – June, 2015

The All-India CPI-IW for June, 2015 increased by 3 points and pegged at 261 (two hundred and sixty one). On 1-month percentage change, it increased by (+) 1.16 per cent between May, 2015 and June, 2015 when compared with the increase of (4) 0.82 per cent between the same two months a year ago.

The maximum upward pressure to the change in current index came from Food group contributing (+) 2.35 percentage points to the total change. At item level, Arhar Dal, Gram Dal, Masur Dal, Urd Dal, Groundnut Oil, Mustard Oil, Fish Fresh, Eggs (Hen), Poultry (Chicken), Milk (Buffalo & Cow), Onion, Chillies Green, Ginger, Vegetable items, Petrol, etc. are responsible for the increase In index. However, this increase was restricted by Rice, Mango, Lemon, Sugar, Electricity Charges, etc., putting downward pressure on the index.

The year-on-year inflation measured by monthly CPI-IW stood at 6.10 per cent for June, 2015 as compared to 5.74 per cent for the previous month and 6.49 per cent during the corresponding month of the previous year. Similarly, the Food inflation stood at 6.67 per cent against 5.99 per cent of the previous month and 5.88 per cent during the corresponding month or the previous year.

At centre level, Quilon reported the highest increase of 15 points followed by Godavarikhani (9 points) and Raniganj (7 points). Among others, 6 points inclease was observed in 4 centres, 5 points in 9 centres, 4 points in Il cenlres, 3 points in 8 centres, 2 points in 15 centres and 1 point in 11 centres. On the contrary, Ghaziabad centres recorded a maximum decrease of 2 points. Among others, I point decrease was observed in 6 centres. Rest of the 10 centres’ indices remained stationary.

The indices of 35 centres are above All India Index and other 42 centres’ indices are below national average. The index of Lucknow is at par with all-India index.

The next index of CPI-IW for the month of July, 2015 will be released on Monday, 31st August, 2015. The same will also be available on the office website www.labourbureau.gov.in.

sd/-

(S.S.NEGI)

DEPUTY DIRECTOR GENERAL

Source: www.labourbureau.nic.in

Removing Anomaly in Pensions of Ex-Servicemen

Removing Anomaly in Pensions of Ex-Servicemen

Removal of anomaly, if any, in the pension being given to the various categories of ex-servicemen is a continuous process. Such anomaly is redressed, as and when it comes to the notice of the Government.

The policy of “One Rank One Pension” has been adopted by the Government to address the pension disparities. The modalities for implementation of OROP are under consideration of the Government. It will be implemented once the modalities are approved by the Government.

A Pension Grievance Cell exists in the Department of Ex-Servicemen Welfare. Grievances received by this Cell are examined and redressed in coordination with the agencies concerned in the matter. A system of holding Pension Adalat is in place to provide a credible forum for redressal of grievances of the defence pensioners. Officers concerned of every organisation involved remain present in the Adalats and the grievances are redressed on the spot. A computerized pension enquiry project “Suvigya” has been developed by the Controller General of Defence Accounts (CGDA).

It is an online pension enquiry system which would enable the ex-servicemen to know their entitlements of pension. A pensioners’ grievance cell exists in the Office of Principal Controller of defence Accounts (Pension), Allahabad.

This information was given by Minister of State for Defence Rao Inderjit Singh in a written reply to Shri D.P Tripathi in Rajya Sabha on Thursday, 30 July 2015.

Source : PIB News

Government of India for the following fiscal benefits including tax rebate and relaxations

Tax Benefits to Tourism Industry

The Tourism Industry has requested the Government of India for the following fiscal benefits including tax rebate and relaxations:

i. Inclusion of tourism infrastructure like hotels/resorts/tourist lodges/banquet halls/convention and exhibition centres etc. for benefits of Section 32 AC of Income Tax Act 1961 by lowering the minimum threshold investment limit to Rs.5.00 crores.

ii. Extension of benefits under Section 35 AD of Income Tax Act 1961 to business concerns who are making capital investment in setting up of smaller category of hotels/guest houses/dharamsalas/tourist hostels/motels/wellness facilities/medical facilities and other associated infrastructure like installation of house boats/ adventure and leisure tourism facilities.

iii. Weighted deduction of 200% in line with Research & Development sectors in India for expenditure incurred towards marketing and promotional activities of the country as inbound tourism destination.

iv Establishment of special tourism zones in India.

v. Lower withholding of tax and interest paid to foreign banks or financial institutions for loan taken in tourism sector.

vi. Deduction in respect of profit and gains from taxable income for business of hotels, convention centres and other tourism specific infrastructure.

vii. Foreign exchange earning linked deduction on profits for Income Tax computation.

viii. Exemption on Service Tax from Heritage Hotels and Heritage Trains.

ix. Exemption on Service Tax on room tariff to be increased.

x. Service Tax to be exempted for unit to be set up within special tourism zones.

xi. Exemption on Service Tax on all the incidental activities or services like hotel stay, Rent a Cab, Tour Operators etc. if the main event is exempted by Government from the ambit of Service Tax.

xii. Extend CENVAT credit on the entire tourism components of Travel intermediaries on abated value (tour operators, travel agents, rent a cab operators) as against just on the same line of business.

In order to ascertain the incidence of high taxations on tourism sector and its impact in making Indian tourism industry products un-compatible, a study on Taxes levied on tourism sector vis-à-vis Export sector has been conducted, and the findings of the study have been shared with the stakeholders

This information was given by The Minister of State for Tourism (Independent Charge), Culture (Independent Charge) and Civil Aviation, Dr. Mahesh Sharma in reply to a starred question in the Rajya Sabha today.

Source : PIB News