Thursday 25 July 2019

On the O/o CGDA calculations obtained thru RTI DEXSW/50600 and CGDFA/50830: Updated

In a reply to MoD/DESW letter dated 28.3.2019 on equalisation/revision of OROP, the O/o CGDA had provided a sample survey stating that OROP x 2.57 is more than the pensions of those retired after 1.7.2014 (effective date of OROP) or 1.1.2016 (effective date of 7th CPC.

 

1


Lt Colonel
2
Standard Qualifying Service

24
3
Pay (4th CPC)

Min Pay
Max Pay
4

Pay
3900
5100
5
Pension
4th CPC
2208
2772
6
Pension under 5th CPC under consolidation
w.e.f. 1.1.1996
5953 to 7286
7
Pension under modified parity 5th CPC
w.e.f. 1.1.1996
7093

Range
01.01.96
7093 to 7286
8
Pension under 6th CPC by multiplication method
w.e.f. 1.1.2006
16032 to 16487
9
Pension under Modified Parity
w.e.f. 1.1.2006
26265
10
Revision under OROP
w.e.f.1.7.2014
32428
11
Revision in 7th CPC (Col 10 x 2.57
w.e.f 1.1.2016
83340
12
Revision if he had not been granted OROP (Col 9 x 2.57)
w.e.f.
1.1.2016
67502



Post 1.7.2014 & 1.1.2016 Retirees



Time period
Lt Col *

Total No. of pensioners with QS 24 years
Pensioners drawing less than OROP rate
% of pensioners drawing less than OROP
1.07.2014 to 31.12.2015
246
232
94.3
01.01.2016 onwards
514
401
78.02
* Majority of Lt Col who have retired after 2014 are currently drawing less pension than OROP



This however does not appear to be correct. Please see the table below.

Rank
QS
OROP from Cir 555
7th CPC Pension
Column C x 2.57
Pay in 7 CPC Pay matrix for QS
Add MSP to E
Total E+F
Pension @ 50% of E

Pension in 7 CPC 50% of G
A
B
C
D
E
F
G
H
I
Wg Cdr
13
25211
64793
121200
15500
136700
60600
68350

14
25990
66794
124800
15500
140300
62400
70150

15
26385
67809
128500
15500
144000
64250
72000

16
26385
67809
132400
15500
149700
66200
74850

17
26385
67809
136400
15500
151900
68200
75950

18
26385
67809
140500
15500
156000
70250
78000

19
26385
67809
144700
15500
160200
72350
80100

20
31305
80454
149000
15500
164500
74500
82250

21
31713
81510
153500
15500
169000
76750
84500

22
32428
83340
158100
15500
173600
79050
86800

23
32428
83340
162800
15500
178300
81400
89150

24
32428
83340
167700
15500
183200
83850
91600

25
32775
84232
172700
15500
188200
86350
94100

26
32813
84330
177900
15500
193400
88950
96700

27
33225
85388
183200
15500
198700
91600
99350

28
33225
85388
188700
15500
204200
94350
102100

29
33225
85388
194400
15500
209900
97200
104950

30
33918
87169
200200
15500
215700
100100
107850

31
34303
88159
206200
15500
221700
103100
110850

32
34765
89346
212400
15500
227900
106200
113950

33
34765
89346
212400
15500
227900
106200
113950


From table provided in reply to DEXSW/50600 & CGDFA/50380



1


Brigadier
2
Standard Qualifying Service

28
3
Pay (4th CPC)

Min Pay
Max Pay
4

Pay
4950
5100
5
Pension
4th CPC
3075
3150
6
Pension under 5th CPC under consolidation
w.e.f. 1.1.1996
7993 to 8105
7
Pension under modified parity 5th CPC
w.e.f. 1.1.1996
9550

Range
01.01.96
9550 to 9550 (?)
8
Pension under 6th CPC by multiplication method
w.e.f. 1.1.2006
21583
9
Pension under Modified Parity
w.e.f. 1.1.2006
29145
10
Revision under OROP
w.e.f.1.7.2014
36420
11
Revision in 7th CPC (Col 10 x 2.57
w.e.f 1.1.2016
93600
12
Revision if he had not been granted OROP (Col 9 x 2.57)
w.e.f.
1.1.2016
74903



Post 1.7.2014 & 1.1.2016 Retirees



Time period
Brigadier

Total No. of pensioners with QS 28 years
Pensioners drawing less than OROP rate
% of pensioners drawing less than OROP
1.07.2014 to 31.12.2015
97
8
8.25
01.01.2016 onwards
239
1
0.42



The above does not appear to be correct. Please see tables below

Rank
QS
OROP from Cir 555
7th CPC Pension
Column C x 2.57
Pay in 7 CPC Pay matrix for QS
Add MSP to E
Total E+F
Pension @ 50% of E

Pension in 7 CPC 50% of G
A
B
C
D
E
F
G
H
I
Air Cmde
28
36420
93600
187200
15500
202700
93600
101350

29
36425
93612
187700
15500
203200
94350
101600

30
37275
95797
193300
15500
208800
96650
104400

31
37280
95810
199100
15500
214600
99500
107330

32
37280
95810
205100
15500
220600
102550
110300

33
37570
96555
211300
15500
226800
105650
113400

34
37570
96555
217600
15500
233100
108800
116550

Note 1:            The OROP amounts for other years have been taken from PCDA Circular No. 555 dated 4th February 2016.

           

Note 2: Revision of Pension of pre 1.1.2016 retirees for multiplication of Basic Pension before commutation as on 31.12.2015 by IoR of 2.57 is as given in Para 5.1 of MoD F No. 17(01)/2016/D (Pension/Policy) dated 29th October 2016. No fitment into 7th CPC Pay matrix + MSP, if any, with reduction to 50% of the Pay + MSP (for pension) has been given in the letter.



Note 3: Concordance tables for Notional Pay based fixation of pension are available in MoD F No. 17(1)/2017(02)/D (Pension Policy) dated 17 Oct 2018.



Note 4: Revision of Pension post 1.1.2016 retirees is based on methodology given in MoD F No. 17(02)/2016/D (Pension/Policy) dated 4th September 2017.



Note 5: 24 years QS for Wg Cdr (Lt Col) and 28 years QS for Air Cmde (Brig) and related pension figures are taken from the tables provided by O/o CGDA in the reply to CGDFA/R/2019/50380. 



Note 6: Calculations have not been made for Gp Capt (Col) as sample figures have not been provided by O/o CGDA.

*          *          *          *          *          *          *

5 comments:

  1. Sir, if this is an official calculation from CGDA, it may need to be pointed out to them that column "H" is meaningless. Pension of a Wg Cdr retiree post 01 Jan 2016 would be the one in Column "I". As can be readily seen, the pension in column "I" exceeds the one determined by 2.57xOROP for older retirees with equal service, as shown in Col D.

    ReplyDelete
    Replies
    1. Must read carefully before you pull the trigger. The upper table is from the O/o CGDA.

      The lower table is prepared by me using inputs received. There is a purpose for Col H - that purpose is that the these are the figures quoted in the Concordance tables where MSP has not been taken into consideration. The reason I requested you to look at the Civilian tables is that figures from there have been copy/pasted with minor modifications and appears that Rank Pay/MSP has not been added.

      My point is that pensions of post 1.7.2014 or post 1.1.2016 retirees cannot be lesser than the OROP. I wonder how TRIPAS arrived at that conclusion.

      Delete
    2. Sir, I will go over Concordance Tables for civilians. But at first glance, the Concordance Table for Wing Commander appears to equate the starting point of pay-scales for the rank in regimes of IV and V CPC @ 3900/- and 13500/- respectively. The corresponding figure for VI CPC is 46530/- which includes Grade Pay of 8000/- (The, by now, famous Minimum Pay In Pay Band of 38530/- with GP 8000 added to it). Thus the footnote to the Concordance Table, about rank pay having been included though not shown separately, appears in order for transition from VI to VII CPC only to the extent of Grade Pay of VI CPC having been taken into account.

      If memory serves me right, rank pay of IV CPC was factored in while fixing starting point of pay-scale of V CPC and also for transition from V CPC to VI CPC. In that regard, the Concordance Table may be in order as well.

      One other thing to note is that for initial fixation in 7CPC Matrix as well as in Concordance Table for Wg Cdr, initial fixation now being with revised IOR 2.67 and not 2.57 (to clarify, the latter still being the fitment factor as in 2.57xOROP), VII CPC notional pay 121200 fixed in the Concordance Table (and level 12A of Matrix) for Wg Cdr is 2.67 x ( minimum of VI CPC payband+ VI CPC GP) ie [{2.67 x (37400+8000)}=121200] (rounded off). Why they did not start with 2.67 X (minimum pay in pay band+8000) i.e. [{2.67x(38530+8000)}=124240] is not at all clear. This is the kind of issue that had originally caused VI CPC pension for Wg Cdr to be fixed at the lower level of minimum of pay band, later revised to minimum of pay in pay band level.

      But the matter of MSP mentioned by you does not appear to affect initial fixations in the matrix or the concordance tables. I have tried but haven't been able to see an issue there. MSP plays a role in pension fixation based on pay but, so far, I can't find a role for it in inter-CPC pay fixation. However, I'll continue my search.

      But a need for further study may well be in order if we look at the number of increment stages during IV and V CPCs, starting at QS of app 18 years and ending at QS of app 30+ years, and view these against increment stages for VI and VII CPC, starting at a QS of 13 years, with some of the multiple IV and V CPC stages being counted against a single VI and VII CPC stage, and also the fact that the last V CPC pay-scale stage at QS (30+) is placed in the Concordance Table against VII CPC matrix notional pay of 140500 corresponding to a VII CPC Wg Cdr QS of 19 yrs.

      At the risk of sounding over-repetitive, these mis-matches in QS/increment-stages may be the reason why a notional pay based pension for veteran Wg Cdrs is much less than their 2.57xOROP, which itself is much less than the equivalent pension of a Wg Cdr retiring in 2016 (and later) with equal QS.

      There may well be a need to establish reasons through RTI or enquiries as to why there is a mention in official notings of Wg Cdrs, retiring after implementation of OROP, getting less pension than those getting OROP in regime of VI CPC and 2.57xOROP in regime of VII CPC. To me it does not sound logical. It can't be due to their pension having been calculated without factoring in grade pay and MSP in regime of VI CPC or the MSP during regime of VII CPC. I doubt if pensions would have been calculated in that manner.

      Delete
  2. Sir, I may be mistaken, but in the table for Brigadier equivalent rank, you have posted figures of matrix salaries that I could not find in the Resolution dated 22 June 2017.

    Level 13A for the rank begins at 139600/- and ends at 217600/-. This level should start at a level of 25 years and the figure of 187200/- (the actual amount is 187700 in the table I have) would be close to a service of 35 years.

    As I mentioned, I could be wrong.

    ReplyDelete
    Replies
    1. Sir, the Resolution 1 (E) and 2 (E) were published on 5.9.2016.

      Amendment to Pay Rules 2017 for Army Officers and Air Force Officers as well as Amendment to Pay Regulations 2017 for Navy Officers were published on 6.7.2017.

      Sir, the amount used is based on the actual payment to Air Force officers. An online RTI appn has been filed on 13.7.2019 to confirm their pay is correct. Responses (negative?) of two CPIOs is in the latest post elsewhere.

      Delete