Revision of Pension under PF Scheme

Revision of Pension under PF Scheme
The pension on fixed rates is provided to the employees retiring under the Provident Fund (PF) scheme.

The Central Government had constituted an Expert Committee for reviewing the Employees Pension Scheme, 1995 entirely including revision of Pension. The Expert Committee submitted its report to the Central Government on 5th August, 2010 and the recommendations of the Committee were placed before the Central Board of Trustees, Employees’ Provident Fund [CBT (EPF)] for consideration on 15th September, 2010. The CBT (EPF) directed that the report be first considered by the Pension Implementation Committee (PIC). The PIC has since finalized its report and sent it to Employees’ Provident Fund Organisation for placing it before the CBT (EPF) for taking a final decision in the matter.

This information was given by the Minister of Labour and Employment Shri Mallikarjun Kharge in reply in reply to a written question in the Lok Sabha today

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Pension for Ex-Servicemen of Pre-Independence Era

Pension for Ex-Servicemen of Pre-Independence Era
Ex-servicemen with service less than 15 years as PBOR and less than 20 years as Commissioned Officers are not entitled to pension as minimum qualifying service is a mandatory requirement to earn pension.

Minimum qualifying service is an essential criterion for earning pension in the Armed Forces as per the existing Army, Navy & Air Force Pension Regulations.

There is no proposal under consideration of the government to grant pension to a large number of armed forces personnel who retired during pre-independence period but are still alive and not entitled to any pensionary benefits.

This information was given by Minister of State for Defence Shri MM Pallam Raju in written reply to Shri G.M. Siddeshwara in Lok Sabha today.

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REVISION OF PENSION-Q&A LOK SABHA

 

(a) whether the Government had issued a notification for revision of pension of those Government employees who retired before 2006;

(b) if so, the details thereof;

(c) the time by which the pension of the retired Government employees is likely to be revised; and

(d) the details of norms for revision of pension and the likely benefit to each pensioner?

ANSWER

Minister of State in the Ministry of Personnel, Public Grievances and Pensions and Minister of State in the Prime Minister’s Office . (SHRI V. NARAYANASAMY)

(a) to (c):    Yes, Madam. Instructions for revision of pension, with effect from 01.01.2006, of pre-2006 Central Government civil pensioners were issued vide Department of Pension and Pensioners’ Welfare’s Office Memorandum No. 38/37/08-P&PW(A), dated 1st September, 2008. These orders provided for payment of the revised pension and the first instalment of 40% arrears by the pension disbursing authorities by 30th September, 2008. This date was subsequently extended up to 30th November, 2008 vide Office Memorandum No. 38/37/08-P&PW(A), dated 14th October, 2008. The remaining 60% of arrears of pension was ordered to be paid by 30th September, 2009 vide Department of Pension and Pensioners’ Welfare’s Office Memorandum No. 38/37/08-P&PW(A) dated 25.08.2009.

(d):    The above mentioned orders provided that the pension/family pension of pre-2006 pensioners/family pensioners would be consolidated with effect from 1st January, 2006 by adding together :-

(i)    the pension/family pension as on 31.12.2005

(ii)    dearness pension, where applicable

(iii)    dearness relief upto AICPI (IW) average index 536 (Base year 1982=100) i.e. @ 24% of basic pension/basic family pension plus dearness pension as admissible.

(iv)    fitment weightage @ 40% of existing pension/family pension.

The orders further provided that the revised pension, in no case, shall be lower than fifty percent of the minimum of the pay in the pay band plus the grade pay corresponding to the pre-revised pay scale form which the pensioner had retired. In the case of HAG+ and above scales, this would be fifty percent of the minimum of the revised pay scale.

SOURCE- LOK SABHA