Proposed Amendments to Defence Pension Regulations 2021
The article discusses the proposed amendments to the Defence Pension Regulations 2021, highlighting the potential impacts on pensioners and employees, particularly those who retired prior to July 2008 when the DPR 2008 came into effect. It emphasizes the importance of considering retrospective effects and the need for beneficial adjustments without adversely affecting the pension of individuals. The analysis focuses on ensuring fairness and justice for past employees and pensioners.
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DEFENCE PENSION REGULATIONS(DPR) - 2021 PROPOSED AMENDMENTS TO DPR 2008
INITIAL THOUGHTS Govt of India is empowered to make amendments for benefit of employees and pensioners with retrospective effect as it takes time for Government to approve such a beneficial amendments Post 2006 Hony Nb Subs to get pension of Nb Subs MACP is applicable from Jan 2006 in stead of Sep 2008 Terms & Conditions affecting adversely of earlier soldiers still in service or pensioners cannot be made with retrospective effect
INITIAL THOUGHTS Pension. Officers to serve for 20 years to get pension which is 50% emoluments (Matrix Pay + MSP) of 7thCPC or (Pay in Pay band + Grade pay + MSP) of 6thCPC Now this cannot be retrospective effect from 2008 to say Officers have to serve for 33 years or some such condition. If done,this adversely affects pension of all Pre 2022 retirees. On the other hand Govt of India can increase pension retrospectively of their last drawn changed in 2022 with
INITIAL THOUGHTS If DPR 2021 is made applicable to those retired prior to 2008, then this Retrospective Tax imposed Minister. Set aside by Arbitration Any new Def Pen Regs can incorporate certain benefits due to judgments of courts of law or on their own to give benefit to past employees or past pensioners Any new DPR can pensioners got either from Govt of India suo moto or due to intervention of courts of law becomes by International similar Finance Court to then of codify many benefits
Analysis My analysis of solely made to find out any adverse effect pensioners retired prior to Jul 2008 when DPR 2008 was made effective DPR 2021 is on past
Salient Features of Def Pen Regs - 2008 Contains 196 Regulations on various types of pensions & 10 Appendices Came into effect from 01 Jul 2008 (not applicable to those who retired prior to Jul 2008) 15 amendments are proposed to be added with effect from 01 Jul 2008 Some amendments could be beneficial and some may NOT Reg 5(vii) Liberalized (Beneficial) Disability Pension
Salient Features of Def Pen Regs - 2008 Reg 5(viii) Second Life Award of Liberalized Pension (Beneficial abandoned by daughter in- law) Reg 9(b)(iv) Unauthorisedly (Beneficial to those who occupy government provided accommodation if sanction is given will not be subject to DPR - 2008 Reg 12(d)(ii).Grant of DR to Re-employed JCOs / OR. DR is allowed on re-employed job (Beneficial) Reg 13 (b)(v). ECHS Benefit. EC/SS officers are now eligible (Beneficial) to dependent parents
Salient Features of Def Pen Regs - 2008 Reg 14. Gallantry Award Monetary Allowance. Widows and family members are eligible for monetary allowance of Chakra series awardees (Beneficial) Reg 16 (a). Maximum pension is limited to 50% to those eligible and 30% to those eligible to be clearly spelt out (No change to existing pension rules) Reg 16(b). PSU absorbees also get Old Age Pension (80 years and above) (Beneficial)
Salient Features of Def Pen Regs - 2008 Reg 19 (a)(iii). SS Officers Granted Permt Commission. Now clarified their pensionable service is from date of commission in OTA (Clarification to the Audit authorities) Reg 27. Reckonable Emoluments for Pension. For Officers of AMC , AD Corps, RVC, NPA is considered as Pay (already in practice). Due to judgment of Hon ble Supreme Court. Wives of these deceased officers also will get benefit of NPA in pension (beneficial)
Salient Features of Def Pen Regs - 2008 Reg 36. Ceiling of 33 years for full pension removed. Pension = (Reckonable emoluments) 2 or (Average RE drawn during last 10 months)/2 whichever is beneficial but not to exceed maximum ceiling (of Service Chiefs) (done to ensure AMC, AD Corps and RVC officers do NOT draw more pension than Service Chiefs / Cab Secy) DGAFMS = Matrix Pay is Rs 2,25,000 NPA @ 25%. Rs 45,000 Total Pay. Rs 2,70,000 but restricted to Rs 2,50,00 Reg 37 (a).Disability element. Authorised to PMR personnel (due to intervention of courts of law)
Salient Features of Def Pen Regs - 2008 Reg 37(c).Broad Banding Benefit to Disabled Soldiers.(Existing benefit) Reg 52. Post 2006 Hony Nb Subs.Pension of Nb Sub Special Pension. Service 10 or more years but less than 15 yrs. Special Gratuity if service less than 10 yrs Reg 59.For those in service on or after 04 Jan 2019 invalided with service less than 10 years being NA- NA and unfit for civil service also granted invalid pension (due to intervention of courts of law)
Reg 59: Invalid Pension: NANA Cases Retirees Prior to 04 Jan 2019. Invalid pension only if service is 10 years. Otherwise invalid gratuity. Retirees on or After 04 Jan 2019. Even one day service is good enough to get Invalid pension provided unfit for civil employment (due to intervention of courts of law)
Enhanced Rate of Ordinary Family Pension Reg 64 (b)(i) Pre- Jan 2006. Enhanced Rate 7 years if service is not less than 7 years or age of soldier is 67 years whichever is earlier Died in Harness between 01 Jan 2006 and 30 Sep 2019 but with service not less than 7 years. Enhanced Rate for 10 years Died in Harness on or After 01 Oct 2019. Even service of one day is enough to get Enhanced Rate
Reg 66(v): Family Dependent Siblings. Brothers & Sisters are also included Note 3. Unmarried / divorced / widowed daughter. Not required to be living with her parents. If More than one. The eldest and on her becoming in-eligible (25 years or re-marriage) then younger one even if she is disabled Note 5: Children. Same as unmarried daughter Note 6: Divorced Daughter. From the date of grant of divorce by competent court even after death of both the parents
Reg 66(v): Family Note 7:Dependent Children in case both the Parents Drew Pension but Died. They are eligible to get two dependent pensions Note 3. Unmarried / divorced / widowed daughter. Not required to be living with her parents. If More than one. The eldest and on her becoming in-eligible (25 years or re-marriage) then younger one even if she is disabled Note 5: Children. Same as unmarried daughter Note 6: Divorced Daughter. From the date of grant of divorce by competent court even after death of both the parents
Reg 66 A: Family (New Addition): OFP Category I. Wife or Widower. Till death or re-marriage Children. Till age of 25 years or marriage whichever is earlier Category II. Unmarried / Divorced / Widowed Daughter. Till her death or remarriage or till commences earning only after elder siblings become in-eligible ( > Rs 9,000 + DR as on date) Disabled Child. After other elder members become in-eligible Parents of Bachelor Soldier. Mother gets first and on her death or re-marriage (rare cases when mother gets re-married on death of her son)
Reg 66 A: Family (New Addition): OFP Case of Ex-Serviceman with Wife & Three Children On Death; Wife gets Ordinary Family Pension On Wife s Death: Daughter No 1: Age 16 years. Gets pension till she is 25 or married or earns more than Rs 9,000 + DR whichever is earlier Son 2 : Age 12 years. On his sister becoming in-eligible Daughter 3 or even if Disabled : 6 years. On brother becoming in-eligible. She draws pension till her death
Reg 67 (b).Childless Widow drawing OFP can remarry. OFP ceases if her income from other sources is more than Minimum family pension (Rs 9000) + DR. Her date of re-marriage is irrelevant if husband died before Jan 2006 Note 4. If a dependent child acquires disability after age of 25, he or she is eligible for OFP on death of both the parents Reg 70. OFP to Parents (income less than Min Pension) Deceased Soldier is Bachelor Only on Death or Re-marriage of Widow
ESM of Nepalese Domicile: Reg 70A Some ESMs get into plural marriage Legally married wife elopes with someone else or not traceable for 7 year, ESM marries second time, the second one becomes eligible for OFP on death of ESM. In case first legally married wife comes back two widows will share the OFP Malkin Ain. Marriage between two if age difference is 20 or more years, the society punishes the spouse. But marriage is not considered illegal or void. The young widow is eligible for OFP
Missing Soldiers / Pensioners / Family Pensioner Solider: Wife eligible for OFP whichever date is Earlier On completion of Leave sanctioned Date upto which pay & allces were paid Date of Police Report Untraceable Payment of Pension of Missing Pensioner. From date of Police report or date upto which pension was paid whichever is later Missing Family Pensioner. Other eligible members of family can apply for OFP six months after Police give un-traceable report
Reg 79: Dual Family Pension Family pensioner is authorized Dual Family Pension in case the ESM was employed in State Govt or DSC/TA and subsequently dies. This provision of dual family pension w.e.f. 24 Sep 2012 Note 3: Widow is granted Special Family Pension (SFP) if death of soldier is attributable to Military Service. She is granted Liberalized Family Pension (LFP) if death occurs in war or war like environment. The soldier during re-employment period dies while performing military duty or in war like environment, then widow will get OFP and SFP / LFP
Reg 80A: Simplification of Sanction of Pension On death of wife or Spouse (WEO or MNS) Unmarried / Divorced / Widowed Daughter or Disabled Children / Dependent Parents Serving Soldier. In case he has such children / dependent parents, their names can be entered in the PPO Seniority for Pension Eldest Child below age of 25 or unmarried (whichever is earlier) acts as guardian and get OFP On becoming in-eligible, next sibling will get OFP
Reg 80A: On Death of Family Pensioner Disabled Child irrespective of age. The eldest sibling will act as guardian. Pension till death Unmarried or Divorced or Widowed Daughter income less than Min pension ( Rs 9,000 + DR) Bachelor Soldier. Mother first and then Father Note: Only one will get OFP for the entire family
Reg 82: Category D: LFP PCDA (Pensions) Allahabad refused to grant SFP / LFP to the widow on the ground that body of the soldier could not be recovered. He accidentally fell in a river and was washed off beyond LAC into Chinese held area in Ladakh during daily patrolling (never to be retrieved) Accidental drowning in counter insurgeny / war Death or injury landslides,floods, cyclones, lighetening etc due to Avalanches,
Reg 82: Category D (LFP) Death due to snake bites, terrorist actions, attack by wild animals Movements in action against enemy forces and armed hostilities in operational area to include deployment on international border or line of control or line of actual control Accidental killing by performing duties in op areas Electrocution in Counter insurgency or war Injuries sustained Liberalised Disability Element own troops while
Reg 82: Category D (LFP) Death due to snake bites, terrorist actions, attack by wild animals Movements in action against enemy forces and armed hostilities in operational area to include deployment on international border or line of control or line of actual control Accidental killing by performing duties in op areas Electrocution in Counter insurgency or war Injuries sustained Liberalised Disability Element own troops while
Reg 82: Category E (LFP) Flying operation involved in rehearsing of war plans and implementation of OP instructions inclusive of international exercises All combat and Tactical sorties in preparation of war. Valley flying and missions involving operating at Ultra Low Levels. All operational missions undertaken during peace like special Recce, Elint, Survey and induction trials of new weapons operations, Live ORP,
Reg 82: Category E (LFP) Missions undertaken in support of troops and security forces deployed in forward areas Deaths due to drinking water poisoned by enemy agents in active hostilities Spouses are entitled for Liberalised Family Pension
Reg 89: Constant Attendant Allowance (100% Disability of Disabled Soldiers) The rate of Constant Attendance Allowance with effect from 01.01.2006 is Rs. 3000/-. This rate will be increased by 25% every allowance payable on revised Pay Band goes up by 50% time the dearness This rate is further enhanced with effect from 01.07.2017 at the uniform rate of Rs. 6750/- per month, irrespective of the rank.
Reg 94 (b): Disability Pension: All Ranks The rate of disability element for 100% disability shall be 30 % of emoluments last drawn subject to minimum of Rs. 3,510/- w.e.f 01.01.2006 per month DE enhanced to a minimum of Rs. 7,000/-w.e.f 01.01.2006 & Rs 18,000/- w.e.f 01.01.2016 per month War Injury Element No minimum service required
Reg 105: Special Family Pension Death caused within 7 years from date of retirement and opined that death is due to wounds or disease contracted during service. Effective only from 01 Jan 2006 Unmarried / Divorced daughter if divorce takes place even after death of both parents/ Widowed daughter is eligible for SPF. Such daughters need not come back to parental homes (< Rs 9000+DR) Dependent children till age of 25 years or marriage whichever is earlier are eligible for SFP Only one will get SFP and has to look after all
Reg 105: Special Family Pension Bachelor Soldier. To mother first and on her death or re-marriage, then to the father Dependent Brothers and Sisters or Disabled Amount: 60% of Reckonable Emoluments subject to minimum being 1Jan 1996 - Rs 2,550 + DR pm 01 Jan 2006 - Rs 7,000 + DR pm 01 Jan 2016 - Rs 18,000 + DR pm Widower on re-marriage is NOT eligible for SFP. But widow is eligible to get re-married on or after 20 Jan 2009
Reg 141: Ex-Gratia Death due to Accidents while performing duties, caused by Anti social elements or Terrorists Death due to border skirmishes, action taken against terrorists, militants, extremists, sea- pirates Death in war or war like Rs 25 Lakhs Rs 35 Lakhs Rs 45 Lakhs
Reg 141A: Ex-Gratia Compensation to those Invalided with War Injury or Disablement while Performing Bonafide Military Duty: Actual Percentage and Not Enhanced by Broad Banding War injury or Disablement with 100% and boarded out For Percentages less than 100% but more than 20% Rs 9 Lakhs till Dec 2015. Rs 20 lakhs from Jan 2016 Proportionate Reduction. 60% war injury or disablement = 20 Lakhs x 60/100 = Rs 12 Lakhs (No invalidment < 60%) Actual Percentage of Disability and Not Enhanced by Broad Banding (20 to 500%) Broad Banding
Reg 142 (a) & (c): Gratuity One forth of Reckonable Emoluments for every six months of service (>5 years). For Actual Service (w/o seniority) Ceiling 1. Ceiling 16.5 times of RE i.e not more than 33 years of service 2. Or Rs 3.50 lakhs till Dec 2005 3. Or Rs 10 lakhs till Dec 2015 4. Or Rs 20 lakhs + 25% if DA goes beyond 50% w.e.f. Jan 2016 (7thCPC) Retired with 30 years service in Jan 2017 30 x 2 x RE = 30 x 2 x 0.25 x Rs 1,00,000 = Rs 15 lakhs For JCOs / OR service being less, 5 years added to actual service: 19 + 5 years
Reg 142 (a) & (c): Gratuity One forth of Reckonable Emoluments for every six months of service (>5 years). For Actual Service (w/o seniority) Ceiling 1. Ceiling 16.5 times of RE i.e not more than 33 years of service 2. Or Rs 3.50 lakhs till Dec 2005 3. Or Rs 10 lakhs till Dec 2015 4. Or Rs 20 lakhs + 25% if DA goes beyond 50% w.e.f. Jan 2016 (7thCPC) Retired with 30 years service in Jan 2017 30 x 2 x RE = 30 x 2 x 0.25 x Rs 1,00,000 = Rs 15 lakhs For JCOs / OR service being less, 5 years added to actual service: 19 + 5 years
Reg 143 : Death Gratuity (a). 12 x Monthly Reckonable Emoluments (RE) = (Matrix Pay + MSP) after Jan 2016 (b). 12 x (Pay in pay band + Grade pay + MSP) from Jan 2006 to Dec 2015 5 years - less than 11 years 11 to less than 20 years 20 x Monthly RE 20 or More Years Half Month RE for every six months of completed service subject to 33 years 33 x 2 x (0.5 x 1,00,000) = Rs 33 Lakhs
Reg 147A: Gratuity in Case of Missing Person On lodging of FIR of a missing of soldier, after six months normal retirement gratuity to be paid with in 3 months Delay in payment attracts interest as per prevailing rates Responsibility for delay to be pin pointed (PCDAs) After the death of missing person is established conclusively or after expiry of 7 years from receipt of Untraceable report from Police, the death gratuity shall be paid deductiong whatever has been paid (i.e. of retirement)
Rates of Contribution : ECHS (Appx I) Period Rank Contribution in Rs Rs 30,000 w.e.f. 29 Dec 2017 (a) upto Havildar (b) JCOs & Hony Nb Sub, MACP Nb Sub, Hony Lts /Capts Rs 67,000 ( c) Officers Rs 1,20,000
10 Appendicies Appx I ECHA Contribution & FMA Appx II Monetary Allce to Gallantry Award Winners (SM Gallantry to PVC) Appx IV Entitlement Rules for Officers of Medical Board for Disability Award (intervention of Hon ble Supreme Court of 2013) Appx X New Commutation Values (20 to 81 yrs) Amount of Pension Commuted x 12 x Purchase Value for age Next Birthday
10 Appendicies Appx X Commutation values Age next Birth Day : 57 years 45% of pension x 12 x 11.10 = 0.45 x 50,000 x 12 x 11.10 = Rs 27.97 Lakhs Amended System = 25,000 x 12 x 8.512 = Rs 25.53 Lakhs w.e.f 02 Sep 2008
Apprehension No 1 Veterans Fact Sheet Just see the way the state is becoming autocratic. pension is now subject to having good conduct!!! Para 9 empowers the govt to ignore any judgment issued by judiciary that pension is a right of the pensioner if this is only for faujis/Army isnt it discriminatory??? Can TSEWA take up this issue if considered fit for litigation?- Maj Gen Paul DPR 1961: Grant of pension is subject to future good conduct 4. Future good conduct shall be an implied condition of every grant of a pension or allowance. Pension may be withheld, suspended or discontinued or paid to wife of other dependent Even
DPR 1961 Grant of pension is subject to future good-conduct 5. In special circumstances to be determined by the President or as may be specified in these Regulations, the pension (service, disability or family), children s allowance or gratuity to be granted or granted to an individual, or any portion of it, may be withheld, suspended, or discontinued. In exceptional cases, payment of part or whole of the pension allowance or gratuity suspended, withheld, may, by order of the President, be made to the wife of other dependant (s) of the pensioner.
Apprehension No 2: by a Lt Col I assume this includes Pay Commissions as well and why not? The idea (of late Gen Rawat?) for testing the waters by suggesting unilateral reduction of pensions of existing service personnel according to the length of service is a non-starter for this Such changes can only be brought about prospectively for future entrants to service, and not for present serving personnel. Food for thought especially by those amongst us who are legally qualified as to whether reductions in pensions and other service conditions made in the past are open to judicial challenge and restoration of status quo ante selfsame reason.
Apprehension : No 2 DPR 2021 nowhere mentions reduction of pension. Misplaced Apprehension. MAXIMUM PENSION / ORDINARY FAMILY PENSION 16 A The retiring pension / service pension / invalid pension/ special pension and ordinary family pension shall have maximum ceiling up to 50% and 30% respectively of the highest pay in the Government. (The highest pay in the Govt is Rs. 90,000/- since 1.1.2006 and Rs.2,50,000/- w.e.f. 01.01.2016)
Apprehension No 3: Reduction in Rate of Retiring Pension is proposed in case retiring before completion of 33 years of service vide Para 36 of draft pension regulations for the Army 2021 Govt out to screw Faujis with reducing pension. Full Pension to only serving 33 years. Jay ho Fact Rate of Retiring Pension Reg 36: Retiring pension shall be calculated at 50% of emoluments last drawn or average of reckonable emoluments drawn during last 10 months, whichever is more beneficial subject to Maximum limit of pension
Apprehension No 3: Reduction in Rate of Retiring Pension is proposed in case retiring before completion of 33 years of service vide Para 36 of draft pension regulations for the Army 2021 Govt out to screw Faujis with reducing pension. Full Pension to only serving 33 years. Jay ho Fact Rate of Retiring Pension Reg 36: Retiring pension shall be calculated at 50% of emoluments last drawn or average of reckonable emoluments drawn during last 10 months, whichever is more beneficial subject to Maximum limit of pension
Final Word from Col Mukul Dev, JAG Mukul @Warrior_Mukul Draft Pension Regulations: There is no reduction in Pensions as per the subject Draft Regulations. Pl do not misinterpret the draft Regulations.The issue of 33 years of weightage was settled in 2016 itself & the same has been referred to in the subject Draft Regulations also.
Tweet from Maj Navdeep Singh, Practicing Advocate in High Court, Chandigarh & AFT Chandigarh Incorrect There is no change / reduction in pension. Existing letter removing 33 year condition are also cited Pension is 50% of Emoluments