Proposed Chapter 2: Pension- A brief of proposed Chapter 2 0f memorandum to be submitted to the 8th CPC (Both in English& Hindi)-अध्याय 2: पेंशन संक्षिप्त सार:
Chapter 2: Pension
For the sake of brevity, each issue/point has been outlined briefly. A detailed explanation will be provided by Bharat Pensioners Samaj during oral evidence before the commission.
Civil Service Pension Reform for pre 2004 recruited retirees: Ensuring Fairness and Financial Security
Supreme Court Observations on Pension
The Supreme Court has emphasized that pension is a statutory right, not a discretionary benefit, ensuring socio-economic justice for retired employees. The landmark Nakra judgment states that pensioners must be able to live:
1.Free from want, with decency, independence, and self-respect.
2.At a standard equivalent to their pre-retirement level.
Impact of Inflation and Cost of Living
Since the last revision of Central Government pensions on 1st January 2016, inflation has significantly eroded the purchasing power of pensioners, necessitating an urgent revision. The rising cost of essential and non-essential goods, along with increased medical expenses, has made it difficult for pensioners to maintain a decent standard of living.
Proposed Reforms in Pension Structure
1.Minimum Pension Revision: Minimum pension should be 100% of the 8th CPC revised minimum salary of the lowest-rank central government employee, aligning with the principle of need-based fare wages.
2.Pension Rate Revision: Pension should not be less than 65% of 8th CPC notional pay, (in pay scale or the average of the last 10 months’ emoluments, whichever is more beneficial, as recommended by TECS (Tata Economic Consultancy Services 5th CPC Report (Para 127.9, Vol III).and family pension should be 45% of the last pay in pay scale or the average of the last 10 months’ emoluments, whichever is more beneficial,
Global Pension Comparisons
Several countries provide higher pension benefits, including:
·France: 75% of last six months’ average salary
·Belgium: 75% of last five years’ average salary
·Cyprus: 67% of final salary
·Malta: 80% of best 15 years’ average salary
Developing Countries
| **Country** | **Pension Calculation* |
|—————————— |————————|
| **Brazil** | 85% |
| **South Africa** | 75% |
| **Mexico** | 60% |
| **Turkey** | 60% |
| **Vietnam** | 75% |
| **Argentina** | 70% |
3.Additional Age-Based Pension Increments (as recommended in Para 3.24 to 3.28 of the 110th report of DRPSC):
o65 years – 5% of revised pension
o70 years – 10% of revised pension
o75 years – 15% of revised pension
o80 years – 20% of revised pension
o85 years – 30% of revised pension
o90 years – 40% of revised pension
o95 years – 50% of revised pension
o100years -100% of revised pension
Merger of Dearness Relief (DR)
DR should be merged with the pension once it crosses 25%,( (Para 138.17 5th CPC recommendations ), similar to allowances for serving employees.
Alignment of CCS Pension Rules 2021 with HAMA 1956
To ensure compliance with the Hindu Adoption and Maintenance Act (HAMA) 1956, the definition of ‘family’ under CCS Pension Rules should be revised to include widowed dependent daughters-in-law.
Parity Between Past and Future Pensioners
To eliminate disparities between pre- and post-2016 retirees, pensions should be updated based on notional salary under post-2016 rules, ensuring equality similar to the ‘One Rank One Pension’ scheme for Armed Forces and parity among Supreme Court and High Court judges.
Family Pension Enhancement
·Increase family pension from 30% to 45% of last pay drawn (LPD)
·Uniform enhanced family pension for all cases of death (whether in service or after retirement).
·Eliminate abrupt reduction of 40% in spousal pension to ensure financial stability for surviving family members.
Alternative Dispute Resolution –
Summary of DEPARTMENT-RELATED PARLIAMENTARY STANDING COMMITTEE ON PERSONNEL, PUBLIC GRIEVANCES, LAW AND JUSTICE Report 110 Para2.31 to 2.33 :
The Department of Pension & Pensioners’ Welfare (DOP & PW) has reported that around 310 pension-related cases are pending in various courts and tribunals, being contested by the respective Administrative Ministries/Departments. However, DOP&PW has not issued any guidelines for resolving pensioners’ grievances through Alternative Dispute Resolution (ADR), such as pre-litigation conciliation.
Most cases involve delayed or incorrect pension payments, non-revision of pension, or retirement benefits. While the concerned Ministry/Department is responsible for handling court cases related to their pensioners, DOP & PW provides advice when the issue concerns central policies. Currently, DOP & PW is directly contesting six such cases involving multiple Ministries.
The Committee believes that delayed justice is a denial of justice, especially for the elderly. It strongly recommends that the Department explore the feasibility of an ADR mechanism to resolve pension-related grievances before litigation, ensuring pensioners do not have to go to court to claim their rightful entitlements.
All Pensioners to be under DOP &PW:
Summary of DEPARTMENT-RELATED PARLIAMENTARY STANDING COMMITTEE ON PERSONNEL, PUBLIC GRIEVANCES, LAW AND JUSTICE Report 113 Para3.30-3.32-Integration of Pensioners Under DOPPW:
The Department of Pension & Pensioners’ Welfare (DOPPW) primarily oversees pensioners from Ministries/Departments under the Controller General of Accounts, MoF, but Defence, Railways, Telecom, and Postal pensioners are governed by separate rules and fall outside its jurisdiction.
The Committee notes that this fragmentation leads to confusion and duplication in pension policies. However, recent steps such as merging the Railway Budget with the General Budget and integrating the CPENGRAMS grievance portal indicate a move towards consolidation.
Therefore, the Committee recommends exploring the feasibility of integrating all Central Government pensioners under DOPPW to create a unified pension administration. It has directed the Department to submit a concept paper on this proposal within three months.
Ensuring Pension Parity for BSNL/MTNL Absorbed Pensioners:
Bharat Pensioners Samaj plea is that all pensioners/family pensioners paid from the Central Govt budget are covered by the terms of reference of 8th CPC as such same Fitment Formula should apply for Absorbed BSNL Pensioners
o Background of BSNL/MTNL Absorbed Pensioners
o The employees of the Department of Telecommunications (DoT), who were absorbed into Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL), continue to be governed under the Central Civil Services (Pension) Rules, 2021 (earlier 1972). Unlike other CPSE retirees, their pensions are funded directly from Central Civil Estimates.
o Recognizing this distinct status, the Union Cabinet, under the Hon’ble Prime Minister’s leadership, decided in 2016 to bear 100% pension and family pension liability of BSNL/MTNL absorbed employees from government funds. This was a landmark decision reinforcing the commitment of the government to these pensioners.
o Despite clear provisions and financial backing from the Government of India, BSNL/MTNL absorbed pensioners so far have been excluded from automatic pension revisions under successive Central Pay Commissions. Instead, their pension revision process has remained uncertain, subject to separate Cabinet approvals, which results in:
o Delays in Pension Revision: Unlike other central government pensioners who receive timely revisions under Pay Commissions, BSNL/MTNL pensioners face prolonged delays, sometimes waiting years for parity.
o Disparity in Pensionary Benefits: The exclusion creates unjust discrimination between BSNL/MTNL absorbed pensioners and other central government retirees covered under the same pension rules.
o Financial Hardships for Pensioners: The uncertainty and delays force lakhs of retired employees and their families into unnecessary financial distress, impacting their post-retirement stability.
o BPS strongly urges the Government of India and the 8th Central Pay Commission to explicitly include BSNL/MTNL absorbed pensioners in their recommendations for pension revision alongside other central government pensioners. This inclusion will eliminate uncertainty, ensure pension parity, and provide long-overdue financial justice A fair and sustainable pension structure is crucial for ensuring financial security, dignity, and independence for retired government employees. The proposed reforms aim to align pension policies with economic realities, ensuring adequate support for pensioners and their families while upholding the principles of social justice.
Correction in Pension Calculation for Railway Loco Running Staff/Loco Pilots:
o Their notional pay should be recalculated correctly, as 55% of their basic pay is added to their last drawn pay at superannuation to determine their pension.
o However, the 7th CPC incorrectly used their last basic pay instead of the emoluments that include the 55% addition.
o This error has led to recurring financial losses for them and must be corrected in the 8th CPC.
Statuary bodies / Autonomous bodies:
The Coffee Board, Tea Board, Coal Board, and similar statutory bodies or autonomous organizations who align their pay structures and pension benefits with the Central Pay Commission recommendations, However, each board have to take separate orders from the administrative ministry even for periodical Dearness relief. This often results in delays causing avoidable anxiety and financial hard ship. With their pension benefits follow the central government model. To avoid duplicity and delays. BPS pleads that the system of Administrative Ministry should be abolished in all those cases where accepted recommendations apply to them.
1.We, the Bharat Pensioners Samaj (BPS), respectfully submit the following plea concerning the system followed by certain statutory bodies and autonomous organizations, such as the Coffee Board, Tea Board, Coal Board, and others, regarding their pay structures, pension benefits, and dearness relief:
1.Current System and Delays:
§It is well acknowledged that these statutory and autonomous bodies align their pay structures and pension benefits with the Central Pay Commission (CPC) recommendations. This alignment ensures parity with central government employees and provides financial stability to the employees of these organizations.
§However, the present system mandates that these bodies seek separate orders from the respective administrative ministry to implement periodic adjustments such as Dearness Relief (DR), which are essential for keeping pace with inflation and maintaining the purchasing power of pensioners.
§This additional administrative step introduces unnecessary delays, leading to avoidable anxiety and financial hardship for employees and pensioners who rely on these payments for their livelihood.
2.Need for Streamlining the Process:
§The delay in the disbursement of Dearness Relief or adjustments to pay scales and pension benefits due to the intervention of the administrative ministry is not only inefficient but also creates a situation where pensioners and employees are left in financial uncertainty.
§Given that these boards and organizations already follow the accepted recommendations of the Central Pay Commission, it is only logical to eliminate the duplicative role of the administrative ministry in approving such routine adjustments.
3.BPS’s Plea:
§We strongly urge the 8th Central Pay Commission to recommend that the current requirement for the intervention of the administrative ministry be abolished in all cases where the Central Pay Commission’s recommendations are accepted and directly applied to the concerned boards and organizations.
§By doing so, the implementation of pay structures, pension benefits, and Dearness Relief would be automatic and timely, thus alleviating the financial distress and ensuring the well-being of pensioners and employees in these organizations.
1. Conclusion:
2. Resolve Existing dis parities and anomalies:
3. Fixation Issues for Pre-2006 Retirees
Pre-2006 retirees receive lower pensions than post-2006 retirees despite similar service records:
·Supreme Court rulings uphold pension parity, but government reluctance persists.
. Pension Anomalies in Survey of India
·Pre-1989 retirees were denied due pension benefits, violating policy directives.
§Abolishing the requirement for periodic approvals from the administrative ministry would bring about a much-needed streamlining of the process, ensuring that employees and pensioners receive their rightful dues without unnecessary delays.
§This change would also reduce the administrative burden on ministries and improve the efficiency of implementing the Central Pay Commission’s recommendations.
We respectfully request the 8th CPC to consider this representation favorably and make the necessary recommendations to ensure that employees and pensioners of these statutory bodies and autonomous organizations are treated with fairness, dignity, and timely financial support.
2.Parity for Paramilitary Forces:
o They serve as the first line of defence, facing enemy at borders and terrorist inside.
o They should be granted One Rank One Pension (OROP) at par with the Armed Forces.
o They should be classified as ex-servicemen after retirement.
3.Parity for MES Personnel:
o MES personnel stand shoulder to shoulder with combat forces in war and peace.
o They should be granted One Rank One Pension and ex-servicemen status after retirement.
Pension for post 2004 retirees under UPS: May be arrived as . How ever Bharat Pensioners Samaj demands, minimum pension equal to the minimum pension of pre 2004 recruited retirees
Other Essential Benefits:
1.Fixed Medical Allowance (FMA): Increased to ¹ 5,000 per month.
Conclusion
A fair and sustainable pension structure is crucial for ensuring financial security, dignity, and independence for retired government employees. The proposed reforms aim to align pension policies with economic realities, ensuring adequate support for pensioners and their families while upholding the principles of social justice.
अध्याय 2: पेंशन
संक्षिप्त सार: हर विषय/बिंदु को संक्षेप में प्रस्तुत किया गया है। भारत पेंशनर्स समाज (BPS) आयोग के समक्ष मौखिक साक्ष्य के दौरान विस्तृत विवरण देगा।
पूर्व 2004 भर्ती सेवानिवृत्त कर्मचारियों के लिए नागरिक सेवा पेंशन सुधार: न्याय और वित्तीय सुरक्षा सुनिश्चित करना
पेंशन पर सर्वोच्च न्यायालय के अवलोकन
सर्वोच्च न्यायालय ने यह स्पष्ट किया है कि पेंशन कोई अनुग्रह या दान नहीं बल्कि एक कानूनी अधिकार है, जो सेवानिवृत्त कर्मचारियों के लिए सामाजिक-आर्थिक न्याय सुनिश्चित करता है। ऐतिहासिक नकरा निर्णय में यह कहा गया कि पेंशनर्स को निम्नलिखित सुविधाएँ प्राप्त होनी चाहिए:
जीवन की बुनियादी आवश्यकताओं से मुक्त, गरिमा, स्वतंत्रता और आत्म-सम्मान के साथ जीने का अधिकार।
सेवा के दौरान प्राप्त जीवन स्तर के समान जीवन स्तर बनाए रखने की सुविधा।
मुद्रास्फीति और जीवन यापन की लागत का प्रभाव
1 जनवरी 2016 को केंद्रीय सरकार के पेंशन पुनरीक्षण के बाद से, मुद्रास्फीति ने पेंशनर्स की क्रय शक्ति को काफी हद तक प्रभावित किया है। आवश्यक और अनावश्यक वस्तुओं की बढ़ती लागत और चिकित्सा खर्चों में वृद्धि के कारण पेंशनर्स के लिए सम्मानजनक जीवन स्तर बनाए रखना कठिन हो गया है।
पेंशन संरचना में प्रस्तावित सुधार
न्यूनतम पेंशन संशोधन: न्यूनतम पेंशन को 8वें वेतन आयोग (CPC) द्वारा संशोधित न्यूनतम वेतन के 100% के बराबर किया जाना चाहिए।
पेंशन दर संशोधन: पेंशन न्यूनतम 8वें वेतन आयोग के विचाराधीन वेतन (Notional Pay) का 65% होनी चाहिए, और पारिवारिक पेंशन 45% होनी चाहिए।
वैश्विक पेंशन तुलना
| देश | पेंशन की गणना |
|---|---|
| फ्रांस | अंतिम छह महीनों के औसत वेतन का 75% |
| बेल्जियम | अंतिम पाँच वर्षों के औसत वेतन का 75% |
| सायप्रस | अंतिम वेतन का 67% |
| माल्टा | सर्वश्रेष्ठ 15 वर्षों के औसत वेतन का 80% |
विकासशील देश
| देश | पेंशन दर |
| ब्राज़ील | 85% |
| दक्षिण अफ्रीका | 75% |
| मैक्सिको | 60% |
| तुर्की | 60% |
| वियतनाम | 75% |
| अर्जेंटीना | 70% |
आयु-आधारित पेंशन वृद्धि (110वीं DRPSC रिपोर्ट की सिफारिश के अनुसार)
65 वर्ष – 5%
70 वर्ष – 10%
75 वर्ष – 15%
80 वर्ष – 20%
85 वर्ष – 30%
90 वर्ष – 40%
95 वर्ष – 50%
100 वर्ष – 100%
महंगाई राहत (DR) का विलय
महंगाई राहत को तब पेंशन में विलय किया जाना चाहिए जब यह 25% से अधिक हो जाए।
CCS पेंशन नियम 2021 को HAMA 1956 के साथ संरेखित करना
CCS पेंशन नियमों में ‘परिवार’ की परिभाषा का विस्तार कर विधवा आश्रित बहुओं को शामिल किया जाना चाहिए।
पिछले और भविष्य के पेंशनर्स के बीच समानता
सभी पेंशनर्स के लिए समानता सुनिश्चित करने हेतु पूर्व 2016 और पश्चात 2016 के पेंशनर्स के लिए वेतनमान के अनुसार पेंशन में संशोधन किया जाना चाहिए।
पारिवारिक पेंशन सुधार
पारिवारिक पेंशन को 30% से बढ़ाकर 45% किया जाए।
सभी मामलों में परिवार पेंशन को एक समान किया जाए।
जीवित जीवनसाथी की पेंशन में 40% की कटौती को समाप्त किया जाए।
वैकल्पिक विवाद समाधान (ADR)
पेंशन संबंधी मामलों के त्वरित समाधान के लिए पूर्व-न्यायिक सुलह प्रक्रिया अपनाई जानी चाहिए।
सभी पेंशनर्स को DOPPW के अंतर्गत लाना
सभी केंद्रीय सरकारी पेंशनर्स को DOPPW के अंतर्गत लाने से नीति निर्माण और प्रशासन में एकरूपता आएगी।
BSNL/MTNL सेवानिवृत्त कर्मचारियों के लिए पेंशन समानता
BSNL/MTNL के सेवानिवृत्त कर्मचारियों के पेंशन संशोधन को 8वें वेतन आयोग की सिफारिशों के अनुसार किया जाए।
रेलवे लोको रनिंग स्टाफ/लोको पायलटों के लिए पेंशन सुधार
7वें वेतन आयोग द्वारा पेंशन गणना में हुई त्रुटियों को सही किया जाए और उनके अंतिम वेतन में 55% जोड़े जाने के आधार पर पेंशन निर्धारित की जाए।
स्वायत्त निकायों के पेंशन सुधार
कॉफ़ी बोर्ड, टी बोर्ड, कोल बोर्ड जैसी संस्थाओं को उनकी पेंशन संबंधी स्वीकृति के लिए अलग से प्रशासनिक मंत्रालय की मंजूरी लेने की आवश्यकता को समाप्त किया जाए।
समानता की मांग
अर्धसैनिक बलों के लिए OROP लागू किया जाए।
MES कर्मियों को OROP और पूर्व सैनिक का दर्जा दिया जाए।
2004 के बाद नियुक्त कर्मचारियों के लिए न्यूनतम पेंशन को पूर्व 2004 के सेवानिवृत्त कर्मचारियों के न्यूनतम पेंशन के समान किया जाए।
अन्य महत्वपूर्ण लाभ
स्थायी चिकित्सा भत्ता (FMA) को ₹5000 प्रतिमाह किया जाए।
निष्कर्ष
एक न्यायसंगत और सतत पेंशन प्रणाली सेवानिवृत्त सरकारी कर्मचारियों के लिए वित्तीय सुरक्षा, गरिमा और स्वतंत्रता सुनिश्चित करने के लिए अत्यंत आवश्यक है। प्रस्तावित सुधार पेंशन नीतियों को आर्थिक वास्तविकताओं के अनुरूप लाने, पेंशनर्स और उनके परिवारों के लिए पर्याप्त समर्थन प्रदान करने और सामाजिक न्याय के सिद्धांतों को बनाए रखने का कार्य करेंगे।
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