The Question of Pay Protection for Re-employed Pensioners in Central Government Services

The Question of Pay Protection for Re-employed Pensioners in Central Government Services

          This article is intended to give a brief outlook on the provisions of Pay protection as they exist in case of Central Government Services on re-employment of Ex-Servicemen. Before going into the complexities of the Orders, OMs, Section & Explanations, I find it apt to provide here itself the gist of the story for an easier reference. So, as per my understanding following questions arise:-

1.  Will you get the benefit –        A concurrent reading of Para 4(b)(i) and Para 4(d)(i) of Central Civil Services (Fixation of Pay of Reemployed Pensioners) Orders 1986 clearly brings out that if you are not a commissioned officer or a Group ‘A’ then you are not entitled for this so called Pay Protection. I am calling it so called Pay Protection because in essence the provision is of Pay Fixation and not Pay Protection. In this regard Para 4(a) of the said 1986 rules itself says that there is no Pay Protection for the re-employed.

2.  So, if I am not eligible then how will my pay get fixed – In accordance with the 1986 rules as well as in vogue CCS(Revised Pay Rules) 2016, for Non-Commissioned personnel and Non-Group ‘A’ personnel, the pay will be fixed at minimum of the slab of the post they join i.e. entry level (See Rule 8 of the 2016 Rules).

3.  Is this so called Pay Protection linked to Pension – Yes, for those who get it i.e. Commissioned Officers and Gp ‘A’ Officers (as per Para 4(d)(ii) of the 1986 rules), the Pay Fixation in new employment under Central Government is done as  per Para 4(b)(ii) of the 1986 Rules with the aim of providing them the security of Last Pay Drawn, however the amount of pension that they are getting is deducted from their actual Pay so fixed (after ignoring a certain part of the pension). So, the Pay Fixation does take place in their case with the view of giving them Last Pay Drawn but the non-ignorable part of the Pension is deducted from this new Pay.

4.  Is whole pension deducted in case of Commissioned Officers – No, whole pension is not deducted in their case. As per Para 4(b)(ii) an amount of Rs 500/- was to be exempted from such deduction. The said amount of Rs 500/- was increased to Rs 4000/- in CCS(Revised Pay Rules) 2008 and now with the advent of CCS(Revised Pay Rules) 2016 has been increased to Rs 15000/-. So, now other than Rs 15000/-, rest all will be subtracted from the New Pay.

5.  Is there any option available for non-commissioned as in case of commissioned Officers – No, the wordings that have been used under Para 4(b)(i), 4(b)(ii), 4(d)(i) & 4(d)(ii) are mandatory in nature. The word ‘shall’ signifies this mandatory nature for both i.e. Non-Commissioned as well Commissioned. Therefore, in their case the pay fixation has to take place and pension will be deducted from new pay and in case of Non-Commissioned – they will draw full pension and their pay will be fixed at minimum of the slab of the post in which they have joined.

6.  Is it discriminatory – Well, this is a thought provoking proposition. As per me, discrimination here lies in creating two different classes out of the same class. It is not about which option is more beneficial rather it is about why a particular option has been restricted for a particular class when it should be a matter of choice / option. Moreover, the provision also does not take into consideration that by not giving a person the option (or rather protection) of drawing the last pay drawn, the earlier status of that person is completely eroded and he not only draws a lesser payment in his new career but also suffers loss of various other benefits which are directly associated to his basic pay in his new assignment.                

    Importantly, the rules do not take into account that unlike a newly employed person, these re-employed pensioners do not have the time so as to be able to climb up the ladder and get promotions for uplifting their stature. I sincerely feel that at least the option needs to be extended and it is for them whether they want to grab it or not.    

So, now if you have read the above few lines, you must have understood so far that the first orders streamlining the question of pay fixation in case of Ex-Servicemen was the Central Civil Services (Fixation of Pay of Reemployed Pensioners) Orders 1986 and that the said orders are in vogue even today with minor changes through CCS(Revised Pay Rules) 2008. Then came CCS (Revised Pay Rules) 2016 for re-fixation of Pay from 01 Jan 2016 but these rules were inapplicable in case of Re-employed pensioners as they were to be regulated by the above mentioned 1986 rules. However, vide OM dated 01 May 2017 it was informed that the Hon’ble President has given approval for removal of Para 2(2)(vii) of CCS (Revised Pay Rules) 2016 where after the said 2016 rules are now also applicable on re-employed pensioners. However, the basics of the 1986 rules still remain same.

          Thus, those who got re-employed before 01 Jan 2016 – their pay has been re-fixed as per Rule 7 of 2016 rules (its normal re-fixation of current employees). And those who join afresh and are not eligible for Pay Protection, they will be regulated by Rule 8 of the 2016 rules – simply saying the pay will be fixed at minimum of the slab of the post they join i.e. entry level – therefore no change. And those who join afresh and are eligible for Pay Protection, in their case also there is no change in the principles of 1986 Rules. So, practically almost nothing has changed for Non Commissioned and Non-Group A whereas for Commissioned Officer & Group ‘A’ personnel certain subtle changes have been brought in like increasing the ceiling on Pension + Pay from 80,000/- to 2,25,000/- and increasing the ignorable part of pension from Rs 4000/- to Rs 15000/-.

Now, an answer to somewhat related question – I was asked that whether MSP is taken into account while giving pay protection in banking / insurance sectors. The answer is ‘No’ it is not given as an ex-servicemen already takes the benefit of MSP through his pension and therefore is not given the same benefit twice.

Lastly, I humbly put forth that the use of above information would not attract any sort of liability towards the author, whatsoever.

 Blog written by Advocate Pradeep Shukla

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