SECRET OF SIMPLE FORMULA ON GOVT. FIXATION OF MINIMUM/MAXIMUM PAY/PENSIONS TO ITS EMPLOYEES - GOT MESSED UP/HIGHLY COMPLICATED BY OFFICIALDOM, ERRONEOUSLY OR DELIBERATELY?

       Stuck by the CONTINUED STONE-WALLED RESPONSE AND A DEAFENING SILENCE from the Govt. in resolving the Pension issue of Armed Forces Pensioners (particularly the lower level ranks /cadres), the curiosity increased to pore through the existing Govt orders. And sweetly surprised to stumble upon the SIMPLE FORMULA OF FIXING THE MINIMUM/MAXIMUM PAY AND PENSIONS of the Central Govt Employees. And how they have passed on the BATON (SECRET OF THIS FORMULA) to their successor officials, unmindful of the financial DAMAGE they caused to themselves and to their fellow employees(pensioners)(some of them might have retired by now), besides inflicting the Govt with HUGE AVOIDABLE EXPENDITURE (in the form of the data,CP Commission Meetings, Interaction with various Depts at different places et.etc. Tours and Travels, The Voluminous and Thinck Bound Papered Reports, The Ceremonial Presentation of the Report to the Finance Minister etc.?).  YES, YOU WILL NEVER KNOW!

      The said GOVT. MAGIC FORMULA of fixing of Minimum/Maximum Pay/Pension of all Central Govt Employees and Pensioners, based on the recommendations of the CPCs can be seen below:-
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CIVILIAN GOVT EMPLOYEES -@ MIN/MAX.PAY/PENSION.
IV  CPC - 1.1.1986 / V CPC - 1.1.1996 / VI CPC - 1.1.2006
@ MINIMUM PAY SCALE (INCREASE MULTIPLIED BY)
Rs.750/- X (3.4)     Rs.2550/- X (2.745)   Rs.7000(withGP1800)

@MAXIMUM PAY SCALE(INCREASE MULTIPLIED BY)
Rs.9000/- X (3.34)   Rs.30000/- X (3)      Rs.90000/-

@MINIMUM PENSION RATE(INCREASE MULTIPLIED BY)
Rs.375/- X (3.4)   Rs.1275/- X (2.745)     Rs.3500/-
 @MAXIMUM PENSION RATE (INCREASE MULTIPLIED BY)
Rs.4500/- X (3.34)  Rs.15000/- X(3)        Rs.45000/-

       It is surprising to note that this FORMULA was quitely applied by Successive Pay Commissions (from IV to V, from V to VI) for increasing the Pay and Pension scales of the employees and the pensioners. And the figures are same for the Lowest and Highest Pay Scales and Pay Bands of the Central Govt Civilian Category employees, i.e.

      (1)For Minimum Pay Scale/Pension Rate - Increase  IV CPC Scales by 3.4 Times and Fix the V CPC Scales. And then,  Increase  V CPC Scales by 2.745 Times and fix the VI CPC scales( INCLUDES THE NEWLY DESIGNED GRADE PAY) in respect of the LOWEST SCALES/ CADRES,

      (2) And For Maximum Pay Scale/Pension Rate - Increase IV CPC Scales by 3.34 Times and Fix the  V CPC Scales. And then, Increase V CPC Scales by 3 Times and fix the VI CPC scales, in respect of the HIGHEST SCALES/ CADRES.

        SURPRISED WITH THIS SIMPLE FORMULA APPLICATION?  THIS IS, JUST, AS SIMPLE AS DRINKING WATER. Is it not?  YES and NO? 

        THERE IS A SMALL TWIST TO THE STORY.

        While the Multiplying factor, 3.4 (of V CPC), in r/o the Lowest Side Scales of Pay/Pension Rates,  was brought down to 2.745 (of VI CPC), a reduction of 0.655, but the factor, 3.34(of V CPC), in r/o the Highest Side Scales of Pay/Pension Rates, was brought down to 3.00 (of VI CPC), a mere reduction of 0.34. The deliberate reduction in r/o the Lowest Scales was more by 0.315, over the Highest scales.

        RULE OF LAW, EQUITY, FAIR PLAY  AND NATURAL JUSTICE, demands at least equal treatment given to all (here w.r.t. settled and existing scales) and in fact, BETTER TREATMENT OR DISPENSATION  GIVEN TO THE LOWEST CADRE. HENCE, the CORRECT MULTIPLYING FACTOR, must and should have been 3.4 (of V CPC) and 3.34(of VI CPC) (equal to officers' factor of V CPC) for the lowest cadre/scale.

        As a result of this changed Multiplying factor of 3.34 (of VI CPC) in respect of the Lowest Cadre employees, the Minimum Pay Scale/Pension Rate, w.e.f. 1.1.06, can be arrived at  -

      (1) Min. Pay Scale of Rs.2550 X 3.34 = 8517 R/off to Rs.8520/- (including a GP of Rs.1800/-)


      (2) Min. Pension Rate of Rs.1275 X 3.34 =4259 R/0ff to Rs.4260 (50% of Rs.8520/- Min.Pay)

       The above Just and Correct Pay/Pension Fixation of Minimum shall go a longway, and the Central Govt Employees and the Pensioners would be indebted to the Govt, for this kind/benign gesture.
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Now, the same GOVT. MAGIC FORMULA of fixing of Minimum/Maximum Pay/Pension of all Armed Forces Personnel/Pensioners, based on the recommendations of the CPCs can be seen below:-
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ARMED FORCES PERSONNEL/PENSIONERS-
@ MIN/MAX.PAY/PENSION.

IV CPC - 1.1.1986 / V CPC - 1.1.1996 / VI CPC - 1.1.2006
@ MINIMUM PAY SCALE (INCREASE MULTIPLIED BY)
Rs.900/-X (3.3) Rs.3050/- X (3.02) Rs.9200/-(withGP+MSP)


@MAXIMUM PAY SCALE(INCREASE MULTIPLIED BY)
Rs.9000/- X (3.34) Rs.30000/- X (3) Rs.90000/-


@MINIMUM PENSION RATE(INCREASE MULTIPLIED BY)
Rs.375/- X (3.4) Rs.1275/- X (2.745) Rs.3500/-


@MAXIMUM PENSION RATE (INCREASE MULTIPLIED BY)
Rs.4500/- X (3.34) Rs.15000/- X(3) Rs.45000/-

It is surprising to note that this FORMULA was quitely applied by Successive Pay Commissions (from IV to V, from V to VI) for increasing the Pay and Pension scales of the Armed Forces Personnel/ Pensioners. And the figures are same for the Minimum/Maximum Pay/Pensions of the Highest Pay Scales/Pay Bands of the AF Personnel/Pensioners, but the Min/Max pay/pensions in r/o lowest rank had been considerably reduced arbitrarily and for no apparent reason, i.e.

(1)For Minimum Pay Scale/Pension Rate - Increase IV CPC Scales by3.3 Times and Fix the V CPC Scales. And then, Increase V CPC Scales by 3.02 Times and fix the VI CPC scales( INCLUDES THE NEWLY DESIGNED GRADE PAY+ MILITARY SERVICE PAY) in respect of the LOWEST SCALES/ RANKS PERSONNEL,


(2) And For Maximum Pay Scale/Pension Rate - Increase IV CPC Scales by 3.34 Times and Fix the V CPC Scales. And then, Increase V CPC Scales by 3 Times and fix the VI CPC scales, in respect of the HIGHEST SCALES/ CADRES.

SURPRISED WITH THIS SIMPLE FORMULA APPLICATION? THIS IS, JUST, AS SIMPLE AS DRINKING WATER. Is it not? YES and NO?

THERE IS A SMALL TWIST TO THE STORY.

While the Multiplying factor, 3.3 (of V CPC), in r/o the Lowest Side Scales of Pay/Pension Rates, was brought down to 3.02 (of VI CPC), a reduction of a .28, but the factor, 3.34(of V CPC), in r/o the Highest Side Scales of Pay/Pension Rates, was brought down to 3.00 (of VI CPC), a mere reduction of 0.34, unlike the Civilian Govt.Employees. The deliberate reduction in r/o the Lowest Scales was a mystery.

RULE OF LAW, EQUITY, FAIR PLAY AND NATURAL JUSTICE, demands at least equal treatment given to all (here w.r.t. settled and existing scales) and in fact, BETTER TREATMENT OR DISPENSATION GIVEN TO THE LOWEST CADRE. HENCE, the CORRECT MULTIPLYING FACTOR, must and should have been 3.4 (of VI CPC) for the lowest Ranks/Scales.

As a result of this changed Multiplying factors of 3.4 (for V CPC and for VI CPC) in respect of the Lowest Ranks/ Scales AF Personnel/Employees, the Minimum Pay Scale(incl.GP+MSP)/Pension Rate, w.e.f. 1.1.96/1.1.06, can be arrived at -

(1) Min. Pay Scale of Rs.900 X 3.4 = 3050/-) w.e.f. 1.1.96, and 3050 X 3.4=10370- (6370+ GP(2000)+MSP(2000) w.e.f. 1.1.2006.


(2) Min. Pension Rate of Rs.1525/- w.e.f.1.1.96 and 1525 X3.4 = 5185-(50% of Rs.10370/- Min.Pen), w.e.f. 1.1.2006. The 100% Calssification Allowance (Highest) + the 3 GCB Pay (120+240) be added to this figure, thus the Min pension would be = Rs.5185+360 =5545/- (for GP Y ACs of IAF and their equivalents)

For all other ranks and similar dispensation of multiplying factor, with slight variations here and there could be applied for remedy of all such anomalies, and put an end to the problem so that all stake holders get justice and peace. The above Just and Correct Pay/Pension Fixation of Minimum shall go a longway, and the Armed Forces Personnel/Pensioners would be indebted to the Govt, for this kind/benign gesture.
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