Definition of Rank Pay

No. 1(26)/97/I/D(Pay/Services)

Government of India,

Ministry of Defence,

New Delhi-110 011, dated the 29th February, 2000.

To

The Chief of the Army Staff, New Delhi.

The Chief of the Air Staff, New Delhi.

The Chief of the Naval Staff, New Delhi.

Subject : Removal of anomalies arising from the implementation of the revised pay scales and allowances consequent to the V CPC recommendations – definition of Rank Pay – reg.

Sir,

I am directed to refer to Instructions No. SAI, SNI and SAFI No. 2/S/98 dated 19.12.1997 and to state that the issue of merger of Rank Pay with the pay scales of the Defence Service officers upto the rank of Brigadier and equivalent has since been reconsidered by the Government in the light of the recommendations of a Committee specially constituted on the above subject and in view of the fact that the Rank Pay cannot be merged with the pay scales for the Defence Service officers and also keeping in view the difficulties being faced by the Defence Service officers with regard to interpretation of Rank Pay, it is clarified that:

"Rank Pay is admissible to the Commissioned Officers of the three Services, holding their rank either in a substantive or acting capacity. It is that element of their pay identified with their Rank, which, in turn, has a relationship with their scale of pay. It is granted separately in recognition of the specific needs of their conditions of service and command structure. It will consequently be taken into account for determining their entitlement to such of those financial benefits, concessions, etc, including retirement benefits, as are directly related to the basic pay or their pay scales."

3. The Army/Navy/Air Force Instructions would be amended accordingly

4. This issues with the concurrence of Ministry of Defence (Fin) vide their U.O.No.

1/77/99-PA dated 23.2.2000.

Yours faithfully.

Sd/- x x x x x x

(RK Grover)

Under Secretary to the Government of India.

DISTRIBUTION :

As per standard list of distribution.