Saturday, 29 March 2014

Some Examples for Consideration

One of the esteemed commentators raised a point about making suggestions and/or recommendations to the PARC. As many of the readers of this blog would have learnt, PARC now has an email ID for your valued suggestions/recommendations.

The only request, as offered by a "source who wishes to remain anonymous as he is not authorised to speak' (like the media famously states)  is that the suggestions and or recommendations must be clear, concise, cogent and would be most valuable if backed with data/fact based reasons.

Some examples (from our brain-washed group!) are cited below (please do not fire 155mm/Anti-Submarine Missiles/Ack-Ack guns at me for these are just, well, examples!):-

1. DA should not be subject to income tax because DA is paid for increasing cost of living based on inflation which increases the prices. So, a 10% increase in DA would actually be a 6.66% increase in emoluments, given that most of us pensioners (adding interest in investments) are in the 30% + Edn Cess + Hr Edn Cess brackets. And the inflation is 8% on an average.       

2. Family pension is 30% of the last pay drawn by the deceased pensioner. The logic - only one mouth to feed! But the Govt and locally imposed charges are not reduced by 20% because the pensioner died! Property tax, municipal tax, electricity and water charges (and cess thereon), cost of petrol, gas cylinder (disconnected if not renewed within 6 months) plus payment to hire a driver (a job done till the demise by the pensioner) to visit the Canteen, the ECHS polyclinic and to pay bills for water and electricity are not reduced by 20%! So why shouldn't the family pension be 50%?

3. GoI approved, but let down in implementing, the Armed Forces on lateral shift of the young jawans and others being absorbed by the other Govt controlled organisations. So increase the pension of those who retire below the age of 40 years to 80% and those who retire between 41 and 45 years to 70% so that they can pay for the school/college education of their children and have something left over for a decent livelihood. What is the farce of paying 80+ higher pension when most live with their children (and give the children an inferiority complex!)?      

4. Five yearly Cadre review for the Armed Forces. All Armed Forces officers to draw IAS Director level pay at 14 years service, Jt Secy's pay at 18 years of service, Addl Secy's pay at 32 years of service. Nothing funny/ridiculous, if one reads, letter by letter, punctuation marks included!) of successive Pay Commissions reiterating "Armed Forces officers are are given an "Edge" and not be on the edge (as MoD interprets it!).  

5. Reduce the period for restoration of Commuted Value of Pension (CVP) from 15 years to 12 years though the Apex Court has upheld (in Writ Petition No. 3958-61 of 1983) the period with the following: -

"The petitioners have contended that the commuted portion out of the pension is ordinarily recovered within about 12 years and, therefore, there is no justification for fixing the period at 15 years.

Commutation brings about certain advantages. The commuting pensioner gets a lump sum amount which ordinarily he would have received in course of a spread over period subject to his continuing to live. Thus, two   advantages   are   certainly   forthcoming   out    of commutation-- (1) availability of a lump sum amount, and (2) the risk factor. Again many of the State Governments have already formulated schemes accepting the 15 year rule. In this background, we do not think we would be justified in disturbing the 15 year formula so far as civilian pensioners are concerned."


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