Order for Pay fixation of re-employed ex-servicermen.. Veteran PJS Chhatwal PLS Regt.

Dear Veterans,
Find below the latest order for pay fixation of re-employed
ex-servicemen as requested by a few re-employed veterans.

No.3/19/2009-Estt. (Pay II)
Government of India
Ministry of Personnel, Public Grievances & Pension
Department of personnel & Training
**********
New Delhi, Dated:5th April, 2010.

OFFICE MEMORANDUM

Subject: Applicability of CSS (RP) Rules, 2008 to persons re-employed in
Government Service after retirement and whose pay is debitable to Civil
Estimates.

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The understand is directed to prefer to this Department's
O.M. No. 3/13/2008-Estt. (Pay II) dated 11th November, 2008 on the
above-mentioned subject. Certain reference have been received
seeking clarification regarding the manner of fixation of pay of
retired defence Force personnel/officers re-employed in central
Government Civilian posts, after the implementation of CCS (RP)
Rules,2008. This has been considered in consultation with
Department of Expenditure. The pay fixation of re-employed
pensioners in Central Government, including that of Defence
Force personnel/ officers, is being done in accordance with
CCS (fixation of pay of re-employed pensioner) Orders, 1986, issued
vide this Department's O.M. No. 3/1/85-Estt. (Pay II) dated
31st July, 1986 (as revised from time to time).

2. After the introduction of the system of running pay bands and
grade pays, it has been decided to amend the relevant provision of
CCS (fixation of pay of re-employed pensioners) Order, 1986 in the
manner indicated below:-

Existing provision
Para 4(a) Re-employed pensioners shall be allowed to draw pay only
in the prescribed scales of pay of the posts in which they are re-employed.
No protection of the scales of pay of the posts held by them prior to
retirement shall be given.
Proposed revised provision
Para 4(a): Re-employed pensioners shall be allowed to draw pay only in
the prescribed pay scales/pay structure of the post which they are
re-employed. No protection of the scales of pay/pay structure of the post
held by them prior to retirement shall be given.

Note: Under the provisions of CCS (RP) Rules, 2008, revised pay structure
comprises the grade pay attached to the post and the applicable pay band.

Existing provision
Para 4(b)(i): In all cases where the pension is fully ignored, the initial pay
on re-employed shall be fixed at the minimum of scales of the re-employed
post.

Proposed revised provision
Para 4(b)(i): In the cases where the pension is fully ignored, the
initial pay on re-employed shall be fixed as per entry pay in the revised
pay structure of the re-employed post applicable in the case of direct
recruits appointed on or after 1.12006 as notified vide Section II, Part A
of First Schedule to CCS (RP) Rules, 2008.

Existing provision
Para4(b)(ii): In cases where the entire pension and pensionary benefits
are not ignored for pay fixation, the initial pay on re-employed shall be
fixed at the same stage as the last pay drawn before retirement, If there
in no such stage in the re-employed post, the pay shall be fixed at the
stage next above that pay. If the maximum of the pay scales in which a
pensioner is re-employed is less that the maximum of the scales of pay
of the re-employed post. Similarly, if the minimum of the scales of pay
in which a pensioner is re-employed is more than the last pay drawn by
him before retirement, his initial pay shall be fixed at the minimum of
the scales of pay of the re-employed post. However, in all these cases, the
non-ignorable part of the pensions hall be reduced from the pay so fixed.

Proposed revised provision
Para 4(b)(ii): In cases where the entire pension and pensionary benefits
are not ignored for pay fixation, the initial basic pay on re-employed shall
be fixed at the same stage as the basic pay drawn before retirement,
However, he shall be granted the grade pay of the re-employed post. The
maximum basic pay cannot exceed the grade pay of the re-employed post
plus pay in the pay band of Rs. 67000 i.e. the maximum of the pay band
PB-4. In all these cases, the non-ignorable part of the pension shall be
reduced from the pay so fixed.

Illustration

A Colonel who retired with basic pay of Rs. 61700 (grade pay Rs.8700; pay
in the pay bands Rs.53000) is re-employed as a Deputy Secretary in an
organization with grade pay of Rs. 7600. In this case, on re-employment,
his basic pay will continue to be Rs. 61700. However, his grade pay on
re-employment will be Rs.7600 and the pay in the pay band Rs. 54100.
Thereafter, the non-ignorable part of the pension will be reduced from
the pay so fixed.

Note; In the revised pay structure, basic pay is pay in the pay band plus
the grade pay attached to the post.
Existing provision
Para 4(c): The re-employed pensioner will, in addition to pay as fixed
under Para (b) above shall be permitted to draw separately any pension
sanctioned to him and to retain any other from of retirement benefits.

Proposed revised provision
Para 4(c): No change.

Existing provision
Para 4(d): In the case of pension retiring before attaining the age of
55 year and who are re-employed, pension (including PEG and other
forms for initial pay fixation in the following extent:-

(i) In the case of ex-servicemen who held posts below Commissioned
Officer rank in the Defence Forces and in the case of civilians who held
posts below Group 'A' posts at the time of their retirement, the entire
pension and pension equivalent of retirement benefits shall be ignored.

(ii) In the case of services officers belonging to the Defence Forces and
Civilian Pensioner who held 'A' posts at the time of their retirement, the
first Rs.500/-* of the pension and pension equivalent retirement
benefits shall be ignored. (*Already revised to Rs.4000/- vide O.M.
No. 3/13/2008-Estt. (pay II) dated 11th November, 2008)

Propored revised provision
Para 4(d): in the case of persons retiring before attaining the age of
55 year and who are re-employed, pension (including Peg and other
forms of retirement benefits) shall be ignored for initial fixation in
the following extent:-

(i) No change.
(ii) In case of Commissioned Service officer belonging to the Defence
Forces and civilian pensioners held Group 'A'
posts at the time of their retirement, the first Rs. 4000/- of the pension
and pension equivalent retirement benefits shall be ignored.

3. Apart from the above, it is also clarified as under:-

(i) Drawal of increments: Once the initial pay of the re-employed
has been fixed in the manner indicated above, he will be allowed to
drawn normal increments as per the provisions of Rules 9 and 10
of CCS (RP) Rules,2008.

(ii) Allowances: The drawal of various allowances and other benefits
in the revised pay structure shall be regulated with reference to the
grade pay of the re-employed post of the basic pay, as the case may be.

(iii) Treatment of Military Service Pay (MSP): MSP is granted to Defence
Force officer/personnel while they are serving in the Defence Force.
Accordingly, on their re-employment in Civilian organization,
including secret organizations under the Cabinet Secretariat umbrella,
the question of grant of MSP to such officer/personnel under not arise.
However, the benefit of MSP given to all retired Defence Forces
officer/personnel by reckoning itat the time of calculation or their
pension (notionally in the case of pre-1.1.2006 pensioner) should not
be withdrawn. Accordingly, while the pension of such re-employed
pensioner will include the element of MSP, they will not be granted
MSP while working in civilian organizations.

(iv) Fixation of pay of personnel/officer re-employed prior to 1.1.2006
and who were in employment as on 1.1.2006: In the case of personnel/
officer who were re-employed before 1.1.2006 and who were working in
the Central Government organization on reemployment basis on 1.1.2006,
their pay will be fixed in accordance with the provisions of DOPT O.M.
No.3/13/2008-Estt.(Pay II) dated 11.11.2008. this O.M. stipulates that
re-employed persons who become eligible to elect revised pay structure
shall exercise option in the manner laid down in Rule 7 of CCS (RP)
Rules,2008. In this context , it is clarified that in accordance with the
provisions of Rules 7 of CCS (RP) Rules,2008, Department of Expenditure
issued fitment tables corresponding to each pre-revised pay scales vide
O.M. No.1/1/2008-IC dated 30.8.2008. In the case of those personnel/
officers as well, who were re-employed before 1.1.2006 and who were
working in the civilian organizations on re-employed basis as on 1.1.2006,
their pay will be fixed with reference to the fitment table of the pre-revised
civilian pay scale in which they were re-employed and corresponding to the
stage in the pre-revised pay scale as on 1.1.2006.

(v) Fixation of pay of personnel/officers who retired prior to 1.1.2006 and
who have been re-employed after 1.1.2006: In the case of personnel/
officer who had retired prior to 1.1.2006 and who have been re-employed
after 1.1.2006, their pay re-employed will be fixed by nationally arriving
at their revised basis pay at the time of retirement as if they retired under
the revised pay structure. This will be done with reference to the
fitment table of the Defence Service Rank/Civilian service post (as the
case may be) from which they had retired and the stage of basic pay at
the time retirement. Their basic pay on re-employment will be fixed at
the same stage as the national last basic pay before retirement so arrived
at. However, they shall be granted the grade pay of the re-employed post.
The maximum basic pay cannot exceed the grade pay of the re-employed
post plus pay in the pay band of Rs. 67000 i.e. the maximum of the pay
band PB-4. In all these cases, the non-ignorable part of the pension shall
be reduced form the pay so fixed.
4. The exiting instruction on the subject shall be treated as amended to
this extent.

5. In so far as the persons serving in the Indian Audit & Accounts
Department are concerned, these orders are being issued after
consultation with the Comptroller & Auditor General of India.


(Rita Mathur)
Director

To
All Ministries/Department (As per standard list attached)

Copy to: Director (NIC), Department of Personnel & Training, to upload
the O.M. on this Department's website under the Head "Establishment (Pay)",
Sub-Head " Pay Rules" & under the caption "What's New".

Copies also forwarded to:

1. The Comptroller & Auditor General of India and all states under his control.
(With 400 spare copies)
2. Controller General of Accounts/Controller of Accounts, Ministry of finance.
3. Secretaries to UPCS/Supreme Court of India/Election Commission/Lok Sabha Secretariat/Cabinet Secretariat/Central Vigilance commission/President's
Secretariat/Vice President's Secretariat/Prime Ministry's Office/Planning
Commission.
4. Department of Personnel &Training (AIS Division)/JCA/Admn. Section.
5. Additional Secretary (Union Territories), Ministry of Home Affairs.
6. All State Government and Union Territories.
7. Secretary, National Council (staff Side), 13-C, Feroz Shah Road, New Delhi.
8. All Members of the Staff Side of the National Council of JCM/Department
Council.
9. All Officer/Sections of the Department of Personnel & Training/Department
of Administrative Reforms & Public Grievances/Department of Pension &
Pensioners' Welfare .
10. Ministry of Finance, Department of Expenditure
11. 25 spare copies.



(Rita Mathur)
Director