Please read the TWO preceding Posts in this Blog for details of
7CPC Questionnaire and On-line Survey
Reproduced below is the revised draft memorandum proposed to be submitted to 7CPC , by Bharat Pensioners Samaj.
Courtesy : http://scm-bps.blogspot.in/
Courtesy : http://scm-bps.blogspot.in/
------ -------
Ms Meena Agarwal,
Secretary GOI
Seventh Central Pay Commission, Camp
Office Room No. 169-B
North Block,
New Delhi – 110001
Through : Joint Secretary GOI M/O
Personnel, PG & Pensions-DOP &PW
Madam,
Subject:
Memorandum to 7th CPC
Reference:
Public Notice dated 04.05.2014
‘Bharat Pensioners Samaj’. Is One of the identified
Pensioners Federation of GOI M/O Personnel, PG & Pensions-DOP&
PW, is member of SCOVA & recipient of Grant-in-aid from DOP &PW. It has
been looking after the welfare of Pensioner since 1955. With over 550 Central
Government Pensioners Associations including those of Railways,
Defence Civillians , Telecommunication affiliated to it. It is the
largest & one of the oldest Pensioners Federation in the country is
which also a member of International Federation on Ageing Toronto (Canada). It
also has the distinction to have found a mention in UNFPA publication “SITUATION
AND VOICES / THE OLDER POOR AND EXCLUDED IN SOUTH AFRICA AND INDIA” Issue No. 2
of 2002, p 108".
‘Bharat
Pensioners Samaj’ in its capacity as a responsible stake holder in Pension
& Pensioners affairs, submits herewith a Memorandum on behalf of the
fraternity of pensioners’ for sympathetic consideration by the Honorable
7th Central Pay Commission of Govt. of India.
BPS draft Memorandum
As Pension is not independent of Salary. Salary structure
also, is a matter of concern to pensioners as such following points enunciated
hereunder may kindly be considered while arriving at the maximum & minimum
revised Salary
1.
Salary Structure:
Any
Commission which considers the question of emoluments for employees/workers
should first be inspired by the Amendment in the preamble of our Constitution
where-by the words “socialist & secular” were prefixed to the word
“Republic”, as also the Directive Principles of State Policy enshrined in
Article 43 i.e. the state should endeavor to secure living wage for its
employees/workers.
The
commission may consider that Group C employee is a skilled worker. MTS is
the lowest category of Group C. The 6th CPC evolved the MTS by amalgamating
some of the unskilled, semi-skilled and skilled functions without any scientific
basis or logic. From the standpoint of the stipulation in the recruitment
rules, eligibility criteria etc, MTS deserves to be categorized as a skilled
worker. In practice, most of the departments have outsourced or contractorised
the unskilled or semi skilled jobs leaving the MTS to cater to the requirements
of the skilled functions.
Wage structure in civil service is
to be determined on the basis of the computation of the minimum wage; fair
comparison of wages elsewhere, growth in the economy etc. The living wage,
which is a constitutional guarantee, has not been defined. The 15th Indian
Labour Conference held in 1957 brought in the concept of “Need Based Minimum
wage” on the basis of Dr. Aykhroid formula. The need based minimum wage is
required to be provided for an unskilled worker whenever one is employed. The
definition underwent minor changes, when the Supreme Court revised the norms
later.
Presently there are no unskilled
regular employees’ cadre in Government of India services. The Commission is
required to first determine the need based minimum wage as per the Dr. Aykhroid
formula and make necessary adjustment to determine the wages of MTS which is
the lowest category in Government of India services. The co-relation of the
wages of the skilled and unskilled worker at the lowest grade had always been
of the order of 130% for the skilled worker. The minimum of the pay of the
MTS/SS has therefore to be determined at 130% of the need based minimum wage.
The minimum maximum ratio obtaining
in different countries as per information gathered by V CPC was as under:
Malaysia -
1:3
Sweden
1:4
USA -
1:4
Britain -
1:6
France -
1:6.6
Indonesia -
1:6.9
Australia -
1:7.7
Thailand -
1:9
Considering the importance of
disparity in ratio between the minimum and maximum pay the Fourth Central Pay
Commission opined (Para 7.58) that an effort should be made not only to reduce
the number of pay scales, but also to reduce the disparity between minimum and
maximum scales of pay. The Fifth CPC had retained the minimum: maximum salary
ratio of 1:10.7 inherent in the Fourth CPC pay scales even though the ratio had
become 1:8 in 1996 on account of unequal rates of Dearness Allowance
neutralization where the highest category was allowed neutralization at 65%.
Hence, in order to reduce vast
inequality between income & wealth of haves & have lots , the ratio
between the minimum & maximum Salary should be brought back to 1:8. (Taking
the salary of Cabinet Secretary to be the maximum salary)
Retirement
Benefits
1. Pension
1.1 New pension Scheme: The retirement benefits of
all Central Government employees appointed on or after 1.1.2004 are covered by
the New Pension Scheme (NPS). Bharat Pensioners Samaj pleads for
Withdrawal of New Pension Scheme for Govt. employees: On following reasons:
(i) Pension of Govt. employees is a deferred and its absolute entitlement has
been confirmed
by
Hon. Supreme Court while disposing of D.S.Nakara case.
(ii) wage paid out to them during the course of work tenure
is kept low by design, to cater for pension.
(iii) He /She forgoes with interest 8.33% of govt. matching
contribution to PF.
(iv) Pension is a social security measure & cannot be
subjected in anyway to Market risks.
(v) It does not guarantee minimum return & thus lacks
the basic fiber of Social Security Scheme
(vi) It is in no way better than the existing Pension
Scheme.
(vii) It does not provide guaranteed
Family Pension to dependents & disabled siblings which exist in present
scheme, even in case of spouse & dependent parents where death of the
employee occur in early years of service there is no adequate social security.
(viii)The
New pension scheme has in fact created a class within class amongst the Central
Government employees which is discriminatory and impermissible. It is clearly
in contravention of the dictum pronounced by the Constitution Bench of the
Supreme Court in Nakara Vs Union of India and therefore deserves to be
rescinded.
1.2 Pension For
pre 2004 appointees
1.Pension should not in any case be less than 65% &
family Pension 45% of the last Pay in Pay Band i.e. Pay in Pay Band+ GP
/Pay scale or of average of last 10 months emoluments (Whichever is more
beneficial) as was worked out & recommended by TECS (Tata Economic
Consultancy Services) consultant to Vth CPC (Para 127.9 Vol III 5th CPC
report).Esuring that,
(i) the inequality created by different multiplication
factors adopted in arriving at Pay Bands/ Pay Scales by
6th CPC and by the govt; while implementing the 6th cpc
recommendations, is rectified.
(ii) exactly same fitment benefit & revision
formula as given to working employees is allowed to pensioners
(iii)Equal % rise in pension of all pensioners is given
irrespective of pre retiral status by, adopting uniform multiplication
factor.
2. One Rank one pension i.e persons retired from same rank,
same seniority & equal length of service should get equal pension
irrespective of date of retirement = full parity : ‘Justice must be equal for
all’, otherwise, it breeds contempt, discontentment, inefficiency, corruption
& finally the insurgency. We have seen it happening in Tribal areas of N.E,
Chhatishgarh, Jharkand, Orisa, MP etc.
Vast inequality of income and wealth between lowest &
the highest paid, violation of Article 14 has already induced contempt,
discontent, inefficiency & corruption, in Civil services.
Govt.
granted One Rank One Pension (OROP) to Armed forces, Judges granted it to
themselves. Even a period of private practice of lawyer judges, is to be
counted towards qualifying service. Higher Bureaucracy got it through modified
parity. All other Central Govt. Pensioners are definitely not the 2nd grade
citizens! One Rank One Pension to all retirees is now a constitutional
requirement to ensure equality.
Therefore,
the concept of modified parity introduced by the 5th CPC as a measure to reduce
the financial implication must be replaced with the full parity concept as was
made applicable for the personnel retired prior to 1.1.1986. In other words,
the pay of every retired person must be re-determined
notionally (corresponding to the post from which he/she retired & not
corresponding to the scale from which retired) as if he/she is not retired and
then his pension to be computed under the revised rules. This alone will
protect the value of pension of a retired person & ensure justice.
3. Injustice to those
born on 1.1.1996/1938/1928 & to those who are born on Ist of July.
The
modified FR56(a), requires every one whose date of birth
is the first of a month to retire from service on the afternoon of the last day
of the preceding month on attaining the age of superannuation .As a result of
this modification pensioners born on 1.1.1946/1938/1928 are
deprived of all the central pay commission benefits in terms of pay revisions
& Pensionary benefits owing to their retirements
on31.12.2005/1955/1985.
This
proviso singled out the Ist Jan. 1946/1938/1928-born pensioners for deprivation
of the Pay Commission benefits. Such of the pensioners
are made to suffer for no fault of theirs and are deprived
of EQUALITY of status and of opportunity. This violation of Article
14 of constitution need to be set right immediately.
Similarly
those who are born on Ist of july and are made to retire on
superannuation in the afternoon of 30th June. Loose their due
increment falling on Ist of July, inspite of working for full 365 days
and thus suffer recurring loss throughout the life . Bharat Pensioners Samaj
suggests that one retirement increment be allowed to save the pensioner from
this recurring loss.
4. Defence Civil Pensioners: Civilian in
Defence Services’ belongs to Defense Forces are paid from defence budget and
are also accorded Rank equivalency as such they may be classified as ex
servicemen and their case may be considered under Para 2(b) of the terms of
reference of 7th CPC along-with other personnel of the Defense Forces.
5. Enhanced Pension to spouse:
The advantage of enhanced family Pension for a period of 10 years (as provided
vide para 5.1.42 of 6th CPC Report) may please be extended to all
cases .
6. Disability Pension: In the
case of 100% disability where the pensioner/family pensioner is completely
dependent on somebody else for day to day functions, provision for
Constant Attendant incase of disability arising post retirement, it is
requested that an allowance may be granted on the lines as existing in Defence
Forces under the CCS(Extraordinary) Pension Rules, 1939
7. Dearness relief :
a) 100% neutralization of Price Rise; and
b) Automatic merger of DA with Pension whenever it goes to
50%
Pension of Central Government Pensioners undergoes revision
only once in 10 years during which period the pension structure gets seriously
dis-aligned; 50% increase in prices takes place even in less than 5 years. This
results in considerable erosion of the financial position of the pensioners. DR
does not adequately take care of inflation at this level. As such, DR may
please be automatically merged with Pension whenever it goes to 50%.
8. Additional Pension / Family Pension:
Sixth Pay Commission had recommended
additional Pension of 20, 30, 40, 50
and 100 % for retirees and
family pensioners on attaining the age of 80,
85, 90, 95 and 100
years respectively. However, in the present scenario of climatic
changes, incidence of pesticides and rising pollution, old age
disabilities/diseases set in by the time an employee retires and go
on manifesting very fast, needing additional finances to take care of these
disabilities and diseases, especially as the cost of health care has gone very
high. Recommendation of Sixth Pay Commission for grant of 100% additional
Pension after 100 years of age was rather illusionary in view of
chances of survival up to or beyond age of 100 years being rare.
It is therefore requested that 10%
Additional Pension should be granted every 5 years from the age of 65 to 75
years & thereafter 20% every 5 years from 80 years onwards and 100% after
90 years of age.
9. Pension and Dearness Relief to be net of Income Tax :
The purchase value of pension gets reduced day by day due to
continuously high inflation and steep rise in cost of food items and medical
facilities. Retired persons/Senior citizens do not enjoy fully public goods and
services provided by Government for citizens due to lack of mobility and many
other factors. Their ability to pay tax gets reduced from year to year after
retirement due to ever-increasing expenditure on food, medicines and other
incidentals. Their net worth at year end gets reduced considerably as compared
to the beginning of the year. Inflation, for a pensioner is much more than any
tax. It erodes the major part of the already inadequate pension. To enable
pensioners, at the far end of their lives, to live in minimum comfort and to
cater for ever rising cost of living, they may be spared from paying Income Tax
on Pension and the DR – as recommended by 5th Pay Commission.
10. Death-cum-
Retirement Gratuity (DCRG):
Death-cum-
Retirement Gratuity (DCRG
may please be paid @ one month for every completed year of (actual) service -
without limit of maximum 33 yrs and without ceiling of Maximum Rs.10.00 lakh
h) Hon’ble Supreme Court of India
pronounced the judgment in the case of Jeewan Lal vs. Appellate Authority {
1984 SCC (L&S) 753} that for the payment of gratuity in the case of a
monthly rated employee, the fifteen days wages shall be calculated by dividing
the monthly rate of wages last drawn by him by twenty-six and multiplying the
quotient by fifteen. Subsequent to the above decision of the Supreme Court an
explanation has been added after second proviso to Section 4(2) of the Payment
of Gratuity Act, by Act of 1987 (w.e.f. 01.10.1987), which reads as under:
“Explanation – In the case of a
monthly rated employee, the fifteen days wages shall be calculated by dividing
the monthly rate of wages last drawn by him by twenty-six and multiplying the
quotient by fifteen.”
Whereas, Rule 50 of CCS (Pension)
Rules, 1972 states that retirement gratuity equal to one – fourth of his
emoluments for each completed six monthly period of qualifying service subject
to a maximum of 16½ times the emoluments will be paid and emoluments means
basic pay as defined in Rule 9(21)(a)(i) of the Fundamental Rules which a Govt
servant was receiving immediately before his retirement or on the date of his
death; and in addition DA admissible on the date of retirement/ death of the
Govt. employee shall also be treated as emoluments. Hence, we demand that CCS (Pension)
Rules, 1972 should be amended as under:-
“Emoluments- Fifteen days wages
shall be calculated by dividing the pay in pay band plus grade pay last drawn
by him by twenty six and multiplying the quotient by fifteen and in addition DA
admissible on the date of retirement/death of Govt employee will be added”
11.(a) Restoration of commuted
value of Pension with respect to Central Govt Pensioners other than PSU
absorbee Pensioners:
Commutation value in respect of
employee superannuating at the age of 60 years between 1.1.1996 and 31.12.2005
and commuting a portion of pension within a period of one year would be equal
to 9.81 years Purchase. After adding thereto a further period of two years for
recovery of interest, in terms of observation of Supreme Court in their
judgment in writ petitions No 395-61 of 1983 decided in December 1986, it would
be reasonable to restore commuted portion of pension in 12 years instead of
present 15 years. In case of persons superannuating at the age of 60 years
after 31.12.2005 and seeking commutation within a year, numbers of purchase
years have been further reduced to 8.194. Also, the mortality rate of 60 plus
Indians has considerably reduced ever since Supreme Court judgment in 1986; the
life expectancy stands at 76 years now. Therefore, restoration of commuted
value of Pension after 12 years is fully justified.
11.(b) Restoration of Commuted
value of Pension with respect to PSU absorbees:
It is stated that Commutation is an
advance sanctioned to a pensioner at a specific rate of interest applicable at
the time of sanction and is recoverable from his pension in regular monthly
installments. Thus the recovery must stop the day total amount with specified
interest is recovered & the excess if any recovered must be refunded with
interest. Presently for pensioners other than PSU absorbees, this period is
specified to be 15 years which too is longer. Whereas, in case of
PSU absorbees recovery continues till survival which is unfair &
discriminatory. Thus need to be taken care of. In their case also full 100%
pension should be restored the day sanctioned amount of commutation with
specified rate of interest is fully recovered. The honorable Pay
Commission therefore, is requested to give specific recommendation in this
regard.
11 (C).Refund
Excess Recovery of Commuted Pension by the Govt
As per extant
rules, commuted pension is restored after 15
years after the Govt makes full recovery of the commuted amount
with interest. This period of 15 years is arbitrary, hypothetical and without
any mathematical basis. Calculations show that the recovery with interest
exceeds the amount of Commutation.
Retirees between 1986 and 1995
The age of retirement
during the period, was 58 years. This category of retirees have all completed
the prescribed period of 15 years for restoration of pension. Since
1.3.1971 and until 31.12.2005, the Commutation Factor (CF) was 10.46 for
the 59 year old (age next birth day) retirees and the officially prescribed
rate of interest was 4.75% p.a. Commutation allowed was 1/3rd of the
basic pay.
For example, the
basic pension of Secretaries who superannuated between 1.1.86
and 31.12.95 at the top of their pay scale (Rs. 8,000) was fixed at Rs.4,000
and the commuted portion of their pension was Rs.1,67,318 with a
deduction of Rs.1,333 per month. The principal amount of Rs. 1,67,318 was fully
recovered in 10.46 years [10.46 x 12 x 1333 = 1,67,318].
· If we consider the prescribed interest rate of
4.75% p.a. as simple interest, the total interest works out to Rs.36,250. This
is recoverable in 2.27 years [36250/1333 = 27.2 months or 2.27 years]. Thus,
total recovery period of the commuted amount works out to 10.46 +
2.27 = 12.73 years. Even after full recovery, the pensioner kept on paying
for 15 – 12.73 = 2.27 years. Thus, excess recovery = 2.27 x 12 x 1333
= Rs.36,311.
· If we consider the prescribed interest rate of
4.75% p.a. as compound interest, the total interest works out to Rs.54,750.
This is recoverable in 3.42 years [54750/1333 = 41.07 months or 3.42 years].
Thus, total recovery period of the commuted amount is = 10.46 + 3.42
= 13.88 years. Even after full recovery, the pensioner kept on paying for
15 – 13.88 = 1.12 years. Thus, excess recovery = 1.12 x 12 x 1333
= Rs.17,916.
i)
Retirees between 1996 and 2005
The age of retirement
was raised to 60 years after the 5th Central Pay Commission (CPC).
Permissible commutation was also raised to 40% of the basic pay.
Those who retired between 1996 and 1998 have already completed the prescribed
period of 15 years for restoration of pension. Since 1.3.1971 and until
31.12.2005, the Commutation Factor (CF) was 9.81 for the 61 year old
(age next birth day) retirees and the officially prescribed rate of interest
was 4.75% p.a.
Secretaries who
superannuated between 1.1.96 and 31.12.05 at the top of their pay scale
(Rs.26,000), were sanctioned commuted pension amount of Rs.9,18,216 with a
deduction of Rs.7,800 per month. The principal amount of Rs.9,18,216 is fully
recovered in 9.81 years [9.81 x 12 x 7800 = 9,18,216].
· If we consider the prescribed interest rate of
4.75% p.a. as simple interest, the total interest works out to Rs.2,12,114.
This is recoverable in 2.27 years [212114/7800 = 27.2 months or 2.27 years].
Thus, total recovery period of the commuted amount works out to 9.81
+ 2.27 = 12.08 years. Even after full recovery, the pensioner keeps on
paying for 15 – 12.08 = 2.92 years. Thus, excess recovery = 2.92 x 12 x 7800
= Rs.2,73,312.
· If we consider the prescribed interest rate of
4.75% p.a. as compound interest, the total interest works out to Rs.3,20,367.
This is recoverable in 3.42 years [320367/7800 = 41.07 months or 3.42 years].
Thus, total recovery period of the commuted amount is = 9.81 + 3.42
= 13.23 years. Even after full recovery, the pensioner keeps on paying for
15 – 13.23 = 1.77 years. Thus, excess recovery = 1.77 x 12 x 7800
= Rs.1,65,672.
ii)
Retirees from 2006 Onwards
The age of
retirement continues to be 60 years. After the 6th CPC, since 1.1.06, the
Commutation Factor (CF) has been downgraded from 9.81 to
8.194 for the 61 year old (age next birth day) retirees, thereby reducing
the commuted amount by a whopping 16.5% !!! On top of that, the
prescribed rate of interest has been enhanced from 4.75% to 8%
p.a. which is an astronomical jump of 68% even in this low interest
regime!!!
The basic pension
of Secretaries who superannuated on or after 1.1.06 at the top of their
pay scale (Rs.80,000) was fixed at Rs.40,000.
Their commuted pension amount is Rs.15,73,248 with a deduction
of Rs.16,000 per month. As per the old CF of 9.81, they would have been
entitled to a commuted sum of Rs.18,83,520. Thus, there is a
huge drop of Rs.3,10,272 !!! The currently sanctioned principal
amount of Rs.15,73,248 is fully recovered in 8.194 years [8.194 x 12 x 16000 =
15,73,248].
· If we consider the prescribed interest rate of
8% p.a. as simple interest, the total interest works out to Rs.5,10,417. This
is recoverable in 2.66 years [510417/16000 = 31.9 months or 2.66 years]. Thus,
total recovery period of the commuted amount is = 8.194 + 2.66
= 10.85 years. Even after full recovery, the pensioner keeps on paying for
15 – 10.85 = 4.15 years. Thus, excess recovery = 4.15 x 12 x 16000
= Rs.7,96,800.
· If we consider the prescribed interest rate of
8% p.a. as compound interest, the total interest works out to Rs.9,93,007. This
is recoverable in 5.17 years [993007/16000 = 62.06 months or 5.17 years]. Thus,
total recovery period of the commuted amount is = 8.194 + 5.17
= 13.37 years. Even after full recovery, the pensioner keeps on paying for
15 – 13.37 = 1.63 years. Thus, excess recovery = 1.63 x 12 x 16000
= Rs.3,12,960.
The above calculations
are only illustrative, applicable to retired Secretary rank officers who
retired on or after 1.1.86 at the top of their pay scale and
their pension was fixed at the maximum. Calculations can be made
similarly for other cases and the results would tally.
We may point out that
the interest charged on various Govt. advances like House Building Advance, Car
Advance, Festival Advance, Marriage Advance etc. is simple interest and not
compound. Applying the same policy, the commuted amount
of pension was fully recovered with interest in 12.73 years in case
of 1st category of retirees (who retired between 1986 and 1995), in 12.08 years
in case of 2nd category of retirees (who retired between 1996 and 2005) and in
10.85 years in case of 3rd category of retirees who retired in 2006 or after.
There is no justification for the Govt. to recover anything more than what it
has advanced to the retirees.
Logical
Recovery Period
The Govt. should
be moved to rectify this wrong and modify the period of restoration of
commuted pension as under:-
1st
category of retirees (who retired between 1986 and 1995): They have
already repaid the entire amount with interest. The excess amount recovered
should be refunded to them with the same rate of interest as was charged from
them for recovery (i.e. 4.75% p.a.).
· The same policy should be adopted towards
those who retired before 1986. Similar calculations can be done in their case.
- 2nd category of retirees (who retired between 1996 and 2005): Those who retired 15 years ago have already repaid the entire amount with interest. The excess amount recovered should be refunded to them with the same rate of interest, i.e. 4.75% p.a. For others, the recovery should be stopped and full pension be restored after completion of 12.08 years.
- 3rd category of retirees who retired in 2006 or after: The recovery should be stopped and full pension should be restored after completion of 10.85 years.
12. Qualifying Service for Full
Pension – Applicability to Pre 2006 Pensioners:
The 6th Central Pay Commission’s
improved/new benefits, like full pension for 20 years of service/10yrs service
etc have been limited only to post-1.1.2006 retirees. This is in
violation of the letter and spirit of Hon’ble Apex Court judgment in Nakara Case.
We appeal to the 7th CPC to
extend the above benefits to all pre-1.1.2006 retirees with monetary benefit
from 1.1.2006 to do them equal justice. And that new/improved benefits which 7th CPC
may recommend, too be made equally applicable to present & past pensioners.
13. Medical facilities to Pensioners:
“Health is not a luxury” and “not be the sole possession of
a privileged few”. It is a Fundamental Right of all present & past
Employees!
To ensure hassle free health care facility to
Pensioners/family pensioners, Smart Cards be issued irrespective of
departments, to all Pensioners/Family Pensioners and their Dependents for
cashless medical facilities across the country. These smart cards should be
valid in
• all Govt. hospitals
• all NABH accredited
Multi Super Specialty hospitals across the country which have been allotted
land at concessional rate or given any aid or concession by the Central or the
State govt.
• all CGHS, RELHS &
ECHS empanelled hospitals across the country.
• Medical attendants.
· For reimbursement of bills for
treatment & for hospitalization.
· No referral should be insisted in case of medical
emergencies. For the purpose of reference for hospitalization &
reimbursement of expenditure thereon in other than emergency cases
Doctors/Medical officers working in different Central/State Govt. department
dispensaries/health units should be recognized as Authorized medical attendant.
The enjoyment of the highest attainable standard of health
is recognized as a fundamental right of all workers in terms of Article 21 read
with Article 39 for a 41, 43, 48A and all related Articles as pronounced by the
Supreme Court in Consumer Education and Research Centre & Others vs
Union of India (AIR 1995 Supreme Court 922) The Supreme court has held that:
“the right to health to a worker is an integral facet of
meaningful right to life to have not only a meaningful existence but also
robust health and vigour. Therefore, the right to health, medical aid to
protect the health and vigour of a worker while in service or post retirement
is a fundamental right-to make life of a worker meaningful and purposeful with
dignity of person. Thus health care is not only a welfare measure but is a
Fundamental Right”.
We suggest that, all the pensioners,
irrespective of pre-retiral class and status, be treated as same category of
citizens and the same homogenous group. There should be no class or category
based discrimination and all must be provided Health care services at par. We
also request the commission to recommend to govt. to make preventive health
care an essential ingredient of all health care schemes for retired
Persons. And that CSMA Rules 1944 may be extended to pensioners residing
outside CGHS area.
13(a) Medical facilities to Family Pensioners other
than the spouse:
Though
as per accepted recommendations of Sixth Central pay commission
widowed/divorced/unmarried dependent daughters when they gain the status of
family pensioner on their turn are provided medical facilities under CGHS. But
In Railways these family Pensioners & their dependents are deprived of
medical facilities & are not allowed to join RELHS. This is discriminatory.
Commission is requested to give suitable recommendation in this regard.
14. Hospital Regulatory Authority: To ensure that the
hospitals do not avoid providing reasonable care to smart card holders and
other poor citizens, a Hospital Regulatory Authority should be created to bring
all NABH-accredited hospitals and NABL-accredited diagnostic Labs under its
constant monitoring of quality, rates for different procedures & timely
bill payments by Govt. agencies and Insurance companies. CGHS rates may be
revised keeping in mind the workability as per market conditions.
15. Fixed Medical allowance (FMA):
As is recorded in Para 5 of the minutes of Committee of Secretaries (COS) held
on 15.04.2010 (Reference Cabinet Secretariat, Rashtrapati Bhavan No
502/2/3/2010-C.A.V Doc No. CD (C.A.V) 42/2010 Minutes of COS meeting dated
15.4.2010) which discussed enhancement of FMA. “CGHS card estimates for serving
Personnel: Since estimates are not available separately for pensioners M/O
Health & Family Welfare had assessed the total cost per card p.a. in
2007-2008 = Rs 16435 i.e. Rs.1369 per month for OPD”. Adding to it inflation,
the figure today is well over Rs 2000/- PM. Ministry of Labour &
Employment, Govt. of India vide its letter no. G-25012/2/2011-SSI dated
07.06.2013 has already enhanced FMA to Rs 2000/- PM for EPFO beneficiaries.
Thus, to help elderly pensioners to look after their health, adequate raise in
FMA will encourage a good number of pensioners to opt out of OPD facility which
will reduce overcrowding in hospitals. OPD through Insurance will cost much
more to the Govt.
We suggest that FMA for all C.G.
Pensioners be raised to at least Rs 2000/- PM without any distance restriction.
Distance
restriction is discriminatory to those who do not choose Govt
schemes/hospitals) linking it to Dearness Relief for
automatic further increase. We further suggest that FMA be exempted from INCOME
TAX. Fixed Medical Allowance (FMA) is a compensatory allowance to reimburse the
medical expenses. As Medical Reimbursement is not taxable, FMA should also be
exempted from Income Tax.
16.House Rent Allowance :All the pensioners do not
have a roof over them. After retirement, their pension income is nearly
reduced to 40% of gross salary they got at the time of retirement. We
would like to point out in concrete terms that one employee (in B class city)
was having a Basic Pay of Rs.27,570/- in March 2014 and his gross salary was
Rs.58,738/-. He retired on 31/3/2014 and he received a Basic Pension of
Rs.13,785/- and DR of Rs.12,475/- in April 2014 (Total Rs.26,260/- which works
out to 44.7%). This sudden drop in income creates financial
problems. The pensioners do not get the same treatment and dignity even
from their own family. After retirement, financial institutions are
not granting loans. The pensioners have to continue in rented houses and
the rent in Metros and other cities are exorbitant. Hence the commission
is requested to recommend same percentage of HRA (on basic pension) as being
given to serving employees in respective places.
17. Travel Concession: After retirement, most of the
pensioners spend the time on spiritual activities. They like to visit
important religious places in the country. The Commission’s attention is
drawn to the fact that Government of Punjab is granting Travel Concession to
all its pensioners by paying one month’s Basic Pension for every block of 2
years. It was introduced from 1/1/1989 and the payment is made in January
every two years (Source: Punjab Government letter No.1/15/89-IFP-II/8078 dated
31/8/1989). In the past 25 years the cost of everything has gone up. The
Commission is requested to recommend to the Government to pay 3 months Basic
Pension as Travel concession and the facility may be extended once in 2 years
to all those pensioners/Family
Pensioners including family Pensioners other than spouse, who are at present
not getting travel facilities as departmental advantage.
18. Death Relief:
In the last decade, the social fabric has undergone a
drastic change. The Indian Parliament had to enact a law for the kith and
kin to look after their parents. After the death of a pensioner,
cremation/burial has to take place in an honorable manner. Each religion
has got its own custom and rituals and the cost is very high. It is to be
noted that Andhra Pradesh Government is granting an amount of Rs.10,000/- as
‘Death Relief’ to its pensioners, Family pensioners (Source: AP Govt. G.O.
MS.No.102 Finance (Pen.I) Department dated 6/4/2010 & G.O. M.S. No.136
dated 29/6/2011). The Commission is requested to recommend an amount of
Rs.10,000/- as ‘Death Relief’ in the event of death of pensioner, pensioner’s
spouse or Family Pensioner.
19. Grievance redressal Mechanism:
Pensioners/Family Pensioners are
exploited, harassed and humiliated by their own counterparts in chair, who at
the sight of an old person adopt a wooden face and indifferent attitude.
Pensioners do not have representation even in Forums & Committees wherein
pension policies and connected matters are discussed.
The forum of Pension Adalat too is
not of much avail as it meets only once a year which is too long a period for
an elderly nearer to his end. Moreover, these Adalats deal with settlement
claims only.
SCOVA too meets only twice a year
for about 3 hours at each occasion. Moreover, the scope of SCOVA is limited to
feedback on Government policies. DOP&PW is perceived as a toothless
authority which lacks direct Service Delivery Capability. It has been
striving over the years to redress the Pensioners’ grievances through the
‘Sevottam’ model of the Department of Administrative Reforms & Public
grievances; in the absence of strict timeline with punitive clause it is,
however, proving to be a failure. Grievances are either not resolved for years
or closed arbitrarily without resolving correctly.
We therefore, appeal that for
resolving Pensioners complaints,
i) A
strict time line with punitive clause be introduced in “Sevottam model”
(ii) Grievances are not allowed to
be closed without resolving.
(iii) SCOVA be upgraded to JCM level
covering all Pensioners by introducing suitable legislative amendment if required.
20. Representations in
various committees : As recommended vide Vth CPC report Vol III para 141.30
Pensioners’ representatives should be included in various committees &
other Fora of Govt where issues relating to the welfare of pensioners are likely
to be discussed & debated :
Discussing and deciding the matters
relating to Pensioners, with representatives other than those of pensioners, is
unfair & against the Rules of ‘Natural Justice’. At present various
Committees like National Anomaly Committee (NAC) and JCM (on Pensioner
matters), are there, wherein matters / policies relating to pensioners’ welfare
are discussed and decided, but they do not have pensioners’ representatives
with the result their viewpoints, hardships & anomalies are not properly
represented. As pensioners are a homogenous class, there is an urgent need to
constitute separate Committees for pensioners wherein matters / policies /
anomalies relating to pensioners of all Groups, categories & departments
may be discussed.
21. Lingering Litigation on Pensioners matters due to
uncalled for Appeals by Government: Govt. should not indirectly pressurize
courts by appealing again & again to get judgments reversed in its
favor & must implement all court judgments in case of all
similarly placed persons.
Fifth CPC recommended in para 126.5 that any Court Judgment
involving a common policy matter of pay/pension to a group of
employees/pensioners, should be extended automatically to similarly placed
employees/pensioners without driving every affected individual to the Courts of
law. This recommendation is never followed by GOI, with the result Pensioners
in the evening of their life, are forced to approach the legal forums,
seeking the same relief. This in turn, bulges court dockets.
Seventh CPC is requested to look into this matter once again
and to issue suitable guidelines as deem fit and necessary.
22.Interim relief: The commission is
expected to submit its recommendations in about 18 months to two years and the
Govt. will take about another over six months for implementation. To
mitigate the sufferings of Pensioners commission is requested to immediately
recommend an interim relief of 20% of the existing basic pension and to
recommend merger of 50% Dearness relief with basic Pension.
In the end commission is requested to grant the oral
evidence to the representatives of Bharat Pensioners Samaj to enable it to
explain its viewpoints.
Thanking you, With regards
Truly
Yours,
ER..S.C.Maheshwari,
Secretary
General.
……..
Courtesy : http://scm-bps.blogspot.in/
Courtesy : http://scm-bps.blogspot.in/
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