Department of Posts and some other departments has not agreed to allow the higher initial pay on re-employment in consideration with pre-retirement pay to re-employed ex-servicemen belonging to below officer rank of the Armed Forces. Most of the Ex-servicemen belong to PBOR category retired (discharged) from service at the age of 35 – 40 years to keep the forces young. To ensure the minimum survival support earning, Government of India introduced a higher stage of pay in several manners to the reemployed ex-servicemen from time to time. According to Dept of P&T OM No
3/1/86-Estt (P-II) dated 31 July 1986 the earlier orders relating to fixation of pay of reemployed pensioners was scattered in a number of OM issued by Ministry of finance from time to time. Dept. of P&T consolidated all these orders and issued fresh guidelines in a single order viz., CCS (Fixation of pay of re-employed pensioners) Order 1986. The pay fixation procedure mentioned in such earlier OMs (Prior to 1986) issued by Ministry of Finance as under: –
1) According to Ministry of Finance, Dept of Expenditure OM No 8(34) Estt-III/57 dated 25 Nov 1958 pay of the re-employed pensioners will be fixed at the minimum of pay scale of the re employed post. In cases where it is felt that fixation of pay of re-employed officers at the
minimum of pay scale will cause undue hardship the pay may be fixed at a higher stage by
allowing one increment for each year of service the officer has rendered before retirement in a
post not lower than that he reemployed. In other words, if the amount of pay plus pension is less
than the last pay drawn before retirement from previous service, it will be treated as undue
hardship.
2) In case of reemployed pensioner who retired before attaining the age of 55 years, Rs 125/- was
ignored from the pension for the purpose of pay fixation vide Ministry of finance OM No F.4(3)E
III/82 dated 13 December 1978.
3) According to Ministry of Finance OM No F.4(3)-E.III/82 dated 13 Dec 1983 the entire pension of
the reemployed pensioners who held below Group A post/ Commissioned officer rank and retired
before attaining the age of 55 years will be ignored for the purpose of pay fixation. In this regard
Para 4(d) (i) of CCS (Fixation of pay or reemployed pensioners) order 1986, amended from time
to time may be referred.
Hence in the cases where pay plus Non Ignorable Portion of Pension is less than last pay drawn (LPD)
before retirement, it will be treated as undue hardship. In case of Ex – Personnel below Commissioned
officer /Group ‘A’ Officer Rank, the non-ignorable part of pension is zero. So it may be described such
a manner that, if the pay of re-employed post is less than last pay drawn in such cases advance
increments will be granted as instructions given in Ministry of Finance OM dated 25 November 1958.
Hence the pay of re-employed ex-servicemen (Jawans/JCOs) will be fixed at higher stage.
4) Now the provisions of CCS (Fixation of pay of reemployed pensioners) Order 1986, and its
application is as under: –
(i) In case of Reemployed officers who held Group A/Commissioned Officer Rank before
retirement: –
According to Para 4(d)(ii) such re-employed officer who retired before attaining the age of 55 Years,
first Rs 4000/- of his pension only will be ignored for the purpose of pay fixation.
According to Para 4(b) (ii) Pay of such re-employed officers will be fixed at the same stage as last pay
drawn before retirement as a part of pension is only ignored for the purpose of pay fixation and
remaining part of pension will be deducted from pay so fixed at the last pay drawn. As a result, pay
of such officer is fixed at much higher than the minimum pay of re-employed post. Illustration as
mentioned below: –
Colonel A Retired at the age of 54 Years and re-employed as Section Officer [Gp A Gazetted post in
the pay scale of (Rs 15600 (BP) + Rs 5400 (Grade Pay)] His other details are as under: –
Initial pay of reemployed post = Rs 15600 + Rs 5400 = Rs 21000
Last pay drawn in previous service = Rs 54000 (BP) + Rs 8700 (GP) + Rs 6000 (MSP)
Total pay last drawn = Rs 68700/-
Pensioned sanctioned = Rs 34350/- pm
Pay fixation on his re-employment: –
Step – I
Step – II
Step – III
Step – IV – Determination of last pay drawn = Rs 68700 – Determination of non-ignorable = Rs 34350 – Rs 4000 = Rs 30350 part of his pension – Deduction of non-ignorable = Rs 68700 – Rs 30350 = Rs 38350 Part of pension from
Last Pay Drawn – Fixation of Initial pay = Rs 38350
(In addition to pay so fixed above, he shall be permitted to draw, separately any pension sanctioned
to him and to retain any other form of retirement benefit. As explained in para 4(C) of CCS (RP) rules,
2008 vide OM 3/19/2009 dated 5th April 2010.)
From above it is notable that the minimum pay of the re-employed post is Rs 21,000/- and the pay
fixed at Rs 38350/- hence the pay has been fixed at the higher stage due to consideration of his pre
retirement pay. It is justified as the pay of an experienced person can never be equal to a fresh recruit,
but the same justification should be considered for reemployed Ex Non-Commissioned officer cadre
(JCOs/Jawans) also.
In case of Reemployed Ex-servicemen who held rank below Group A/Commissioned Officer Rank
before retirement and retired before attaining the age of 55 years: –
According to Para 4(d) (i) such re-employed ex-servicemen who retired before attaining the age of
55 Years his entire pension will be ignored for the purpose of pay fixation.
According to Para 4(b) (i) Pay of such re-employed ex-servicemen will be fixed at the minimum of pay
scale of reemployed post. Pre-retirement pay will not be considered for his pay fixation. Treatment
of undue hardship caused due to fixation of minimum pay is neglected here.
Illustration as mentioned below: –
Sepoy ABC (MACP-I) Retired at the age of 36 Years and reemployed as Social Security Assistant in the
pay scale of Rs 5830 (BP) + Rs 2400 (GP) Initial pay of reemployed post = Rs 5830 + Rs 2400 = Rs 8230
His other details are as under: –
Last pay drawn = Rs 9550 (BP) + Rs 2400 (GP) + Rs 2000 (MSP) + Rs 300 (Class pay)
Total pay last drawn = Rs 14250/-
Pension sanctioned = Rs 7125/- pm
Pay fixation on his re-employment: –
Step-I Determination of Initial pay of re-employed post = Rs 8230
Step-II Fixation of Initial pay on re-employment = Rs 8230
From above it is notable that the re-employed ex-servicemen is allowed to draw only minimum pay
of reemployed post which is Rs 8200/- much less than his last pay drawn Rs14250/- before
retirement, hence the undue hardship arises as his pre-retirement pay has been neglected. The gap
will widen in case we take example of Nb Subedar of Army or a Sergeant of Air force who gets X-pay
additionally.
From the illustration (i) and (ii) it is revealed that the CCS (Fixation of pay of reemployed pensioners)
Order 1986 is not a consolidation of provisions of OM issued by Ministry of finance rather it is an
order issued by Government of India which intended to give benefit to Ex Commissioned officers and
deprive the Ex-servicemen (PBOR). This Order was formulated to serve the interests of Ex Group ‘A’
Officers/Commissioned Officer category only and discriminated against the PBOR/Other Ranks in
terms of Right to equality enshrined in our Constitution of India. The service conditions were equally
harsher to whole class of ex-servicemen including all ranks of Armed Forces; in fact more harsh if
service privileges and promotions are to be considered separately.
- In addition to above, according to Para 2 of DOPT OM No 3/13/2008/Estt/Pay II dated 11 Nov
2008 it is clear that the pay of re-employed ex-servicemen will be fixed according to rule 7 of CCS RP
Rules 2008 with adherence to CCS (Fixation of pay of reemployed pensioners) Rules 1986 amended
from time to time. The term minimum pay refers here the pay last drawn by the reemployed ex
servicemen before retirement (substantive pay) and the pay should be fixed in the pay structure of
re-employed post i.e. the grade pay of re-employed post only admissible in such case. Total pay
should be equal to the last pay drawn by the pensioner. In this regard your attention is also invited
to para 3(v) of DOPT OM No 3/19/2009-Estt (Pay II) dated 05 April 2010 where it is clearly instructed
that the pay of re-employed personnel/officers will be fixed at the same stage as last pay drawn. In
this regard Verdict of Honourable Supreme Court dt 08.11.1996 in the case of Director General of
India Posts Vs B Ravindran may be referred. - Pay of Re-Employed Officers is fixed at higher stage due to formula applied as prescribed in the
CCS (Fixation of pay of re-employed pensioners) Order 1986. Whereas the interest of personnel
below officer rank was totally neglected and their pay is fixed at the minimum of pay scale only which
is contrary to natural injustice and violation of Right to equality enshrined in the Constitution of India
as discrimination arises. - Public Sector Banks, LIC, NIC and PSUs are still allowed the higher stage of initial pay to Ex PBOR
with reference to the Government orders (DOP&T OM dated 05.04.2010). Circular of Indian Banks
Association in this regard may be referred to. Due to misinterpretation/ambiguous language of
Government orders issued on the subject matter, Central Government departments does not agree
to re-fix the pay of re-employed ex-servicemen (PBOR) category as mentioned in para 4 above. The
re-employed Ex-serviceman belonging to PBOR category, are allowed to get their pay fixed only at
the minimum/entry pay of re-employed post which is illogical and unlawful decision in terms of
violation of constitutional provisions of fundamental rights. As a result, a large number of ex
servicemen are suffering from financial hardship besides moral depression. - Quoting the same authority /Govt. orders issued by DOP&T the PSU organizations and Nationalised
Banks (Govt. Undertakings) have facilitated the pay fixation to the ex-servicemen (PBOR) to fix the
pay at the same stage as last pay drawn before retirement but Central Government departments still
not agreed to provide the entitlements to the re-employed ex-soldiers due to ambiguous provisions.
They cite different reasons that PSUs are following different pay system etc. forgetting that PSUs
derive the authority from the same Central government, So, how can there be two sets of rules for
same category by same employer (Central Government).
REMEDIAL ACTION REQUIRED TO BE TAKEN - In view of the above it is requested that, your good office should weed out the actual disparity
arising out of incomplete and discriminatory orders issued by the DOP&T vide CCS (Fixation of pay of
reemployed pensioners) Order 1986 (amended from time to time) and issue necessary
amendment/fresh order in favour of the Ex Servicemen (PBOR) category as mentioned below: –
For: – Para 4(b)(i)
Where the pension is fully ignored, the initial pay on re-employment 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 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules,
It should be read as under (DRAFT PROPOSAL): – Para 4(b)(i)
where the pension is fully ignored, the initial pay on re-employment 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 1.1.2006 as notified vide Section II, Part A of First Schedule to CCS (RP) Rules, 2008. In
cases of reemployed ex-servicemen where pension is fully ignored and pay fixed at minimum/entry
pay of reemployed post which is less than his pay last drawn in the Armed forces will be treated as
undue hardship and his pay required to be fixed at a higher stage by allowing advance increments
until his pay reaches at the same stage as last pay drawn before retirement to prevent undue
hardship. In addition, he will be permitted to draw, separately any pension sanctioned to him and to
retain any other form of retirement benefit.
Illustration: Sergeant/Havildar (any noncommissioned rank) ABC Retired before the age of 55 Years
and reemployed in the pay scale of Rs 5830 (BP) + Rs 2400 (GP)
Initial pay of reemployed post = Rs 5830 + Rs 2400 = Rs 8230
Last pay drawn by him = Rs 12000 (BP) + Rs 2800 (GP) + Rs 2000 (MSP) + Rs 300 (Class pay) + GCB 240
- X-pay 1400
Total pay last drawn = Rs 18740/-
Pension sanctioned = Rs 9370/-
Pay fixation on his reemployment: –
Step – I Determination of minimum pay = Rs 5830 + Rs 2400 = 8230 (minimum pay of reemployed
post)
Step – II Fixation of total pay = Rs 18740/- (Last pay drawn) by allowing advance increment).
Step – III Manner of Re-fixation of pay = Rs 16840 (Band Pay) + 2400 (Grade Pay of re-employed post)
(This order should be applicable to all re-employed ex-servicemen irrespective of their date of
retirement and date of re-employment)