Thursday, 22 May 2014

For the Excel Tweakers





Opinion of Attorney General

“42.     In my opinion, the Government needs to implement the underlying principle laid down in Major Dhanapalan’s case i.e. rank pay cannot be deducted at the time of fixing pay in the revised scale. It is immaterial that in Major Dhanapalan case, only 4th Pay Commission was involved. The principle of law laid down is that rank pay cannot be deducted by fixing pay in the integrated scale. Since rank pay has been deducted at the time of fixing pay in subsequent pay commissions, the same would definitely have to be corrected. The officers covered by 5th and 6th Pay Commissions cannot be expected to approach the Courts for orders in the same terms(emphasis supplied). 


DO NOTconsider - Two points that await the opinion of the Ld AG and/or the orders of the Supreme Court in Contempt Petition are (1) is there a minimum pay for each rank, and the ceiling has to be raised from Rs 5100 to Rs 6350 for Brigadiers.

PART -I
 
 Assumptions

4th CPC and Resolution 9E of 1987 gave the following method of re-fixation: -

(i)                 For all employees, an amount representing 20 per cent of basic pay in the existing scale subject to a minimum of Rs 50/- may be added to the “existing emoluments.” Pay may thereafter be fixed in the proposed scale at the stage next above the emoluments thus computed. If the minimum of the proposed scale is more than the amount so arrived at, pay may be fixed at the minimum of the proposed scale. For this purpose the term “existing emoluments” will include the following: -  

(a) Basic pay in the existing scale,

(b) Dearness pay, additional dearness allowance, and ad hoc dearness allowance appropriate to the basic pay admissible at index average 608 (1960 = 100), and

(c) Amounts of first and second instalments of interim relief admissible on the basic pay referred to in (a) above

(c) Revised Pay in the Integrated Pay scale is Captain: Rs 3000+200; Major & Lt Col (TS) Rs 3400+600; Lt Col Rs 3900+ 600; Cols Rs 4500+ 1000; Brig Rs 4950 + 1200.

            (i) Officers of All Arms and Services except AMC, ADC, RVC and MNS.

Lt – 2500;        Capt – 2800;    Maj – 3400;     Lt Col (Selection) - 3900
Col – 4500;      Brig – 4950

[Please Note: the above figures are with deduction of Rank Pay] emphasis supplied.

Recommendations by 5th CPC (& SAI 2/S/98)

147.35.            Keeping the above considerations in view and in the light of the abolition of the rank of 2nd Lieutenant proposed by us, we recommend the following pay scales for service officers upto the rank of Brigadier:

Pay Scales

Lieutenant                                           8250-300-10050

Captain                                                9600-300-11400

Major                                                   11600-325-14850

Lt. Colonel                                          13500-400-17100

Colonel                                                15100-450-17350

Brigadier                                              15350-450-17600

In addition, the following rank pay may be granted:

Rank                                                   Pay (pm)

Captain                                                400

Major                                                   1200

Lt. Col.                                                1600

Col.                                                      2000

Brig                                                      2400


147.37. As regards the pay scales at higher levels, in view of the existing relativities we suggest that the Major Generals may be granted the pay scale of 18400-500-22400 and Lieutenant Generals and equivalent be granted the pay scale of Rs.22400-525-24500. For Vice Chiefs and Army Commander and equivalent we recommend a pay of Rs.26000 (fixed) per month.

147.38. As regards the pay of Service Chiefs, we recommend a revised pay of Rs.30000 (fixed) corresponding to their existing scale of Rs.9, 000 (fixed).

148.1 Background. We have made recommendations with regard to fixation of pay in the proposed scales in respect of civilian employees in the relevant chapter The method of pay fixation on revision of pay adopted by earlier Pay Commissions for civilians and service personnel was more or less identical. The Fourth CPC while following a similar dispensation for civilian and Service Personnel had given specific illustrations of the manner in which pay for service personnel should be fixed especially in the context of the introduction of integrated pay scales for Service Officers,

148.2. Our recommendations. We have deliberated over the manner in which service pays should be fixed and in order to ensure equality of treatment suggest that the method of fixation of pay on revision recommended for civilian employees may also be adopted for service personnel. For Service Officers upto the rank of Brigadier who are to be brought on to regular scales of pay from the existing integrated scale, we suggest that for fixation of pay the existing rank pay maybe be taken into account but pay in revised scales be fixed after deducting the revised amount of rank pay.

Illustration No.1

1. Rank                                                                        Major                           Pay Scale: 11600-325-14850

2. Pay + Rank pay (Rs 3400 + 600)                Rs 4000
3. Stage in the scale                                         1st stage
4. DA at index avg 1510 + interim relief        Rs 5680
5. Existing emoluments                                   Rs 9680
6. Add 20% of Pay +Rank pay                      Rs   800
7.                                             Total                Rs 10480
8. Pay after deducting revised                     Rs 9280
Rank pay of Rs 1200

9. Pay in Revised scale                                 Rs 11600 + Rs 1200 Rank Pay

Illustration No 2

1. Rank                                                             Lt Colonel                   13500-400-17100
2. Pay + Rank pay (Rs 4500 + 800)                Rs 5300
3. Stage in the scale                                         7th stage
4. DA at index avg 1510 + interim relief        Rs 6513
5. Existing emoluments                                   Rs 11813
6. Add 20% of Pay +Rank pay                      Rs   1060
7.                                             Total               Rs 12873
8. Pay after deducting revised                     Rs 11713
Rank pay of Rs 1600

9. Pay in Revised scale                                 Rs 13900 + Rs 1600 Rank Pay

Illustration No.3

1. Rank                                                            Colonel
2. Pay + Rank pay (Rs 5100 + 1000)              Rs 6100
3. Stage in the scale                                         5th stage
4. DA at index avg 1510 + interim relief        Rs 7370
5. Existing emoluments                                   Rs 13470
6. Add 20% of Pay +Rank pay                      Rs   1220
7.                                             Total                Rs 14690
8. Pay after deducting revised                     Rs 12690
Rank pay of Rs 2000

9. Pay in Revised scale                                 Rs 15550 + Rs 2000 Rank Pay

Approved By UoI/MoD and incorporated in

 SAI 2/S/98 - FIXATION OF INITIAL PAY IN THE REVISED SCALES

5. Fixation of Initial Pay in the revised scale will be regulated as under:-

(a) (i) An amount representing 40% of the basic pay including stagnation increments, if any, and rank pay wherever applicable in the pre-revised scale, shall be added to the “emoluments” of the officer.

(ii) After the existing emoluments have been so increased, an amount equivalent to the rank pay, if any, appropriate to the rank held by the officer on 1.1.96 at the rates prescribed in Para 3(a)(ii) above shall be deducted. Thereafter the officer’s pay will be fixed in the revised scale at the stage next above the amount thus computed.

Note:- In case of officers holding acting rank as on 1.1.96, the pay shall be fixed at the stage in the revised scale appropriate to the acting rank held by him, provided the officer has completed the minimum number of years of qualifying service, prescribed under extant orders, for promotion to substantive rank. Otherwise, the pay shall be fixed in the revised scale appropriate to the substantive rank of the officer. However, on completion of prescribed minimum number of years of qualifying service for substantive promotion, the pay shall be fixed in the appropriate pay scale of the acting rank held. The officer shall draw the rank pay of acting rank actually held.

(iii) Officer who became substantive Major on or after 1.1.96 shall be granted the scale of pay of Lt Col on their stagnation for one year in the revised scale of Major. Such officer will, however, continue to draw the rank pay for Major.

(iv) As a one time measure those who became Substantive Major before 1.1.96 will be granted the scale of Lt Col on completion of 21 years of commissioned service, i.e. in their 22nd year with the rank pay of Major.

(b) If the amount so computed as at sub-para (a) (ii) above is more than the maximum of the revised scale, the pay will be fixed at the maximum of the revised scale.

(c) If the minimum of the revised scale is more than the amount so computed as at sub-para a (ii) above, the pay will be fixed at the minimum of the scale.

(d) For the purpose of pay fixation, the terms, “existing emoluments” shall include:

(i) Basic Pay including rank pay and stagnation increment(s), if any in the pre-revised scale.
(ii) Dearness Allowance at the Index Average of 1510, (1960=100).
(iii) Amount of first and second instalments of Interim Relief.

(e) In the case of AMC, ADC and RVC Officers who are in receipt of Non Practicing Allowance (NPA), pay will be fixed in the revised scale in accordance with the provision of sub para (a) above, except that in such cases the term “existing emoluments” shall include only the following:-

(i) Basic Pay including rank pay and stagnation increment(s) in the existing scale of pay, if any.

(ii) Dearness Allowance on the basic pay including the rank pay and stagnation increment(s) if any and NPA admissible at the Index Average of 1510 (1960=100).

(iii) The amounts of first and second instalments of Interim Relief admissible on the basic pay including rank pay and stagnation increment, if any, in the existing scale and NPA, under relevant orders.
(iv) In such cases, NPA at the rate of 25% of basic pay, including rank pay shall be drawn in addition to pay in the revised scale of pay, subject to the condition that pay plus NPA does not exceed Rs 29500/-.

(f) Wherein, in the fixation of pay under Para 5 (a) to (e) above the pay of officers drawing pay at more than four consecutive stages in the existing scale gets bunched, that is to say, gets fixed in the revised scale at the same stage, the pay in the revised scale of such of these officers who are drawing pay beyond the first four consecutive stages in the existing scale, shall be stepped up from the stage where such bunching occurs as under by the grant of increment(s) in the revised scale in the following manner :-
(i) For officers drawing pay from the 5th upto the 8th stage in the existing scale - by one increment.

(ii) For officers drawing pay from 9th upto the 12th stage in the existing scale, if there is a bunching beyond the 8th stage - by two increments.

(iii) For officers drawing pay from the 13th upto the 16th stage in the existing scale, if there is bunching beyond the 12th stage - by three increments.

Note 1:- If by stepping up of the pay as in Para 5 (f) above, the pay of an officer gets fixed at a stage in the revised scale which is higher than the stage in the revised scale at which the pay of another officer who was drawing pay at the next higher stage or stages in the same existing scale is fixed, the pay of the latter shall also be stepped up only to the extent by which it falls short of that of the former.

Note 2:- ‘The stage in the existing scale’ referred to in the above provisions regarding bunching, the first stage in the existing scale shall be w.r.t. the maximum pay prescribed for each rank as given below:-

(i) Officers of All Arms and Services except AMC, ADC, RVC and MNS.

Lt - 2500
Capt - 2800
Maj - 3400
Lt Col (Selection) - 3900
Col - 4500
Brig – 4950

Provided also that the fixation thus made shall ensure that every officer will get at least one increment in the revised scale of pay for every three increments (inclusive of stagnation increment (s) if any) in the existing scale of pay.

(g) Where in the fixation of pay under this paragraph, the pay of an officer who in the existing scale was drawing immediately before 01 Jan 96 more pay than another officer junior to him in the same cadre i.e. same Arm/Service and gets fixed in the revised scale at a stage lower than that of such junior, his pay shall be stepped up to the same stage in the revised scale as that of the junior.

(h) Where the existing emoluments as calculated in accordance with sub-para (d) to (e), exceed the revised emoluments so fixed in the case of any officer, the difference shall be allowed as personal pay to be absorbed in future increases in pay.

(j) Rank Pay. In addition to the pay so fixed in the revised scale, officers shall be eligible to the rank pay, if any, appropriate to the rank held on 1.1.96 either in the substantive or acting (paid) capacity.

PART II – 

For Excel Tweakers – If the opinion of the Ld AG is implemented in letter and spirit

Section I.         Using the 4th CPC formula for fixation how will the pay scales change?

Section II.        Will the pay scales change only by the amount of Rank Pay given that RP has to be added for re-fixation from 4th to 5th CPC i.e.


Rank
Adding Rank Pay to present scales
Or Higher
Captain
(Original Rs 9600-300-11400)
Rs 10000-300-11800 + RP Rs 400
or higher + RP Rs 400
Major
(Original Rs 11600-325-14850)
Rs 12800-325-16050 + RP Rs 1200
or higher + RP 1200

Lt Col
(Original Rs 13500-400-17100)
Rs 15100-400-18700 + RP 1600
or higher + RP 1600

Col
(Original Rs 15100-450-17350)
Rs 17100-450-19350 +RP Rs 2000
or higher + RP 2000

Brig
(Original Rs 16700-450-18050)

Rs 19100-450-22450 + RP Rs 2400
or higher + RP 2400
Maj Gen
Original Rs 18400-500-22400
 Now what? Rs 20800-500-24800?

Lt Gen
Original  Rs 22400-525-24500
Now what? Rs 24800-525-26900?

VCOAS
Original Rs 26000
Now what? Rs 26000+2400= 28400
COAS 
Original Rs 30000
Now what? No change!!!!!!!!!!


            Part II.                        What could be the effect on 6th CPC with added Rank Pay

Rank
Will Revised 5th CPC scales be?
Revised 6th CPC = Revised 5th CPC x 1.86
Capt
10000-300-11800 + RP Rs 400
?
Major
Rs 12800-325-16050 + RP Rs 1200
?
Lt Col
Rs 15100-400-18700 + RP 1600
?
Col
17100-450-19350 +RP Rs 2000
?
Brig
Rs 19100-450-22450 + RP Rs 2400
?
Maj Gen
Rs 20800-500-24800
?
Lt Gen
Rs 24800-525-26900
?
VCOAS
Rs 26000+2400= 28400
?
COAS
Rs 30000
?

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