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  • Friday, 20 November 2015

    7th CPC MILITARY PAY STRUCTURE

    5.2.1 The Defence Services in their Joint Services Memorandum have contended that the emoluments in the Defence Services should stand a fair comparison with what is available in the Civil Services, otherwise the Defence Services will be denied their legitimate share of the available talent pool.
     5.2.2 The Commission has devised pay matrices for civil and defence forces personnel, after wide ranging feedback from multiple stakeholders. The common aspects of the two matrices and the unique elements in the defence pay matrix are outlined in the succeeding paragraphs.
     General Approach to the Pay Matrices: Civil and Defence
     5.2.3 Pay levels have been set out in a pay matrix, separately for civilian and defence forces personnel. The Commission has evolved a fresh approach by merging the grade pay and pay bands into distinct pay levels. The approach regarding the pay levels and pay matrix has been explained in Chapter 5.1. Some of the major points in the pay matrix which have a common bearing on civilian and defence forces personnel, are highlighted below.
     5.2.4 Pay Bands and Grade Pay: Pay Bands and Grade Pays have been dispensed with and the new functional levels have been arrived at by merging the Grade Pay in the Pay Band. All the existing levels have been subsumed in the new structure.
     5.2.5 Entry Pay: The entry pay for various ranks of defence forces personnel, other than MNS Offices, has been arrived at on the same premise, as has been done in the case of civilian. As an illustration, entry pay for a Captain has been arrived at as follows:
     Entry pay in existing pay band + (Residency Period for promotion to Captain from Lieutenant x annual increment) + grade pay of the rank of Captain
    = Rs.15,600 + (2 x Rs.630) + Rs.6,100 = Rs.22,960.
     5.2.6 An exception to this approach has been made in the case of Brigadiers/equivalents where pay for the rank has been arrived at as per the fitment table notified by the Ministry of Defence through its Special Army Instructions of October 2008.
     5.2.7 Fitment: The starting point of a Sepoy (and equivalent), the entry level personnel in the defence forces, has been fixed in the Defence Pay Matrix at Rs.21,700. The starting point in the existing pay structure is Rs.8,460 for a Sepoy/equivalent. The fitment in the new matrix is essentially a multiple factor of 2.57. This multiple is the ratio of the new minimum pay arrived at by the Commission (Rs.18,000) and the existing minimum pay (Rs.7,000). The fitment factor is being applied uniformly to all employees. It includes a factor of 2.25 to account for DA neutralisation, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay as on 01.01.2016. The actual raise/fitment being recommended by the Commission is 14.29 percent. An identical fitment of 2.57 has also been applied to the existing rates of Military Service Pay (MSP), applicable to defence forces personnel only.
     5.2.8 Rationalisation: An ‘index of rationalisation’ has been applied while making enhancement of levels from Pay Band 1 to 2, 2 to 3 and 3 onwards on the premise that role, responsibility and accountability increases at each step in the hierarchy. At the existing PB-1, this index is 2.57, increasing to 2.62 for personnel in PB-2 and further to 2.67 from PB-3. Recognising the significantly higher degree of responsibility and accountability at levels corresponding to Senior Administrative Grade, the entry pay is recommended for enhancement by a multiple of 2.72. The same multiple is also being applied at the HAG and HAG+ levels. At the apex level the index applied is 2.81 and for the Service Chiefs/Cabinet Secretary the index has been fixed at 2.78.
     5.2.9 As noted in Chapter 5.1, dealing with the Civilian pay matrix, marked increase was accorded to directors in the GP 8700 at the stage of implementation of the VI CPC Report. Accordingly in the matrix the rationalisation index applied at this level has been fixed at 2.57, lower than the index of 2.67 applied to existing PB-3 officers. A similar formulation has necessarily to be applied to the defence pay matrix since the Lieutenant Colonels also received a marked increase in their pay level, post VICPC recommendations. Since the defence services have an additional level in the existing PB-4 and there is a common pay level for SAG level officers in Defence and Civil, the Commission has applied the rationalisation index of 2.57 also to the officers in the rank of Colonel and Brigadier and their equivalent.
     5.2.10 MACP: The Commission is not recommending an increase in the number of MACPs. For defence forces personnel this will continue to be administered at 8, 16 and 24 years as before. In the new pay matrix defence forces personnel will move to the immediate next pay level in the hierarchy. Fixation of pay will follow the same principle as that for a regular promotion in the pay matrix.
     5.2.11 Equivalence in Pay Levels for Certain Levels : The starting pay level for officers at Group `A’ entry level is identical at Rs.56,100 in the case of both civilian and defence service officers. Similarly the pay of the Major General and Joint Secretary and equivalent officers and those above [viz., Lieutenant General (in HAG, HAG+, Apex) and Chief of each defence service] has been kept identical with their civilian counterparts. Identical pay levels has been devised for JCO/ORs and their civilian counterparts corresponding to the existing pay bands and grade pay.
     Defence Pay Matrix: Some Distinct Aspects
    5.2.12 For defence forces personnel, there are two separate matrices, one for the Service Officers and JCO/ORsand anotherfortheMilitaryNursingOfficers. Theexistingranks among Officers and JCO/ORs in the Defence Forces personnel has been kept in view while devising the matrix. There are a number of common strands in the Civil and Defence Pay Matrices, indeed the principles and philosophy on which they are based are identical. In the case of the pay matrix for Military Nursing Officers (MNS), the Commission has adopted an approach that blends elements of the principles and philosophy adopted in devising the pay matrices with the existinguniqueness in the paystructureof MNS officers. Some of theunique elements that merit mention in the defence Pay Matrix have been outlined below:
     5.2.13 Commencement of Matrix: The commencement of the Defence Pay Matrix for combatants corresponds to the existing GP 2000, which is the induction level for Sepoys and equivalent.
     5.2.14 More Compact: The Pay Matrix designed for the defence forces personnel is more compact than the civil pay matrix keeping in view the number of levels, age and retirement profile of the service personnel. For example, the term of engagement of various ranks of JCOs/ORs are fixed and of shorter duration. Service Officers on the other hand are given time scale promotion upto the rank of Colonel and Equivalent and will therefore move, from one pay level to another, in accordance with the stipulated time frame.

    5.2.15 Pay Levels Unique to Defence Forces Personnel: Pay levels corresponding to the existing GP 3400, GP 5700, GP 6100, GP 6600, GP 7600, GP 8000, GP 8400, GP 8700, GP 8900 and GP 9000 are unique to defence forces personnel. The minimum pay corresponding to each of these pay levels takes into account the normative residency period of the various ranks of officers.

    5.2.16 The Commission emphasises that the pay structure designed by it for the defence forces personnel has been done keeping in view (a) some of the aspects in their rank structure unique to them and (b) pay structure is not intended to determine the status of the personnel vis-à-vis their counterparts on the civil side.

    Report of the Seventh CPC


    Pay Matrix (Defence Forces Personnel - Except MNS)
    Pay Band
    9 300-34800
    Grade Pay
    3 400
    4 200
    4 600
    4 800
    5 400
    E ntry Pay (EP)
    1 2700
    1 3500
    1 7140
    1 8150
    2 0280
    Le vel
    5A
    6
    7
    8
    9
    Index
    2 . 6 2
    2 . 6 2
    2 . 6 2
    2 . 6 2
    2 . 6 2
    1
    33300
    35400
    44900
    47600
    53100
    2
    34300
    36500
    46200
    49000
    54700
    3
    35300
    37600
    47600
    50500
    56300
    4
    36400
    38700
    49000
    52000
    58000
    5
    37500
    39900
    50500
    53600
    59700
    6
    38600
    41100
    52000
    55200
    61500
    7
    39800
    42300
    53600
    56900
    63300
    8
    41000
    43600
    55200
    58600
    65200
    9
    42200
    44900
    56900
    60400
    67200
    10
    43500
    46200
    58600
    62200
    69200
    11
    44800
    47600
    60400
    64100
    71300
    12
    46100
    49000
    62200
    66000
    73400
    13
    47500
    50500
    64100
    68000
    75600
    14
    48900
    52000
    66000
    70000
    77900
    15
    50400
    53600
    68000
    72100
    80200
    16
    51900
    55200
    70000
    74300
    82600
    17
    53500
    56900
    72100
    76500
    85100
    18
    55100
    58600
    74300
    78800
    87700
    19
    56800
    60400
    76500
    81200
    90300
    20
    58500
    62200
    78800
    83600
    93000
    21
    60300
    64100
    81200
    86100
    95800
    22
    62100
    66000
    83600
    88700
    98700
    23
    64000
    68000
    86100
    91400
    101700
    24
    65900
    70000
    88700
    94100
    104800
    Pay Band
    5 200-20200
    Grade Pay
    2000
    2400
    2800
    E ntry Pay (EP)
    8 460
    9 910
    1 1360
    Le vel
    3
    4
    5
    Index
    2 . 5 7
    2 . 5 7
    2 . 5 7
    1
    21700
    25500
    29200
    2
    22400
    26300
    30100
    3
    23100
    27100
    31000
    4
    23800
    27900
    31900
    5
    24500
    28700
    32900
    6
    25200
    29600
    33900
    7
    26000
    30500
    34900
    8
    26800
    31400
    35900
    9
    27600
    32300
    37000
    10
    28400
    33300
    38100
    11
    29300
    34300
    39200
    12
    30200
    35300
    40400
    13
    31100
    36400
    41600
    14
    32000
    37500
    42800
    15
    33000
    38600
    44100
    16
    34000
    39800
    45400
    17
    35000
    41000
    46800
    18
    36100
    42200
    48200
    19
    37200
    43500
    49600
    20
    38300
    44800
    51100
    21
    39400
    46100
    52600
    22
    40600
    47500
    54200
    23
    41800
    48900
    55800
    24
    43100
    50400
    57500








    Military Service Pay (MSP)
    5.2.22 The defence forces personnel, in addition to their pay as per the Matrices above, will be entitled to payment of Military Service Pay for all ranks up to and inclusive of Brigadiers and their equivalents. The Commission recommends an MSP for the four categories of Defence forces personnel at Rs.15,500 for the Service Officers, Rs.10,800 for Nursing Officers, Rs.5,200 for JCO/ORs, and Rs.3,600 for Non Combatants (Enrolled) in the Air Force per month. MSP will continue to be reckoned as Basic Pay for purposes of Dearness Allowance, as also in the computation of pension. Military Service Pay will however not be counted for purposes of House Rent Allowance, Composite Transfer Grant and Annual Increment.
    17 Without moderation upwards, by use of formula, the minimum pay for a Captain of MNS would be Rs.57,280, which would be very close to Rs.56,100 the minimum pay at the level of an MNS Lieutenant.
    Annex to Chapter 5.2

    Annex: L evels as per the Pay Matrix
    Existing Pa y Bands
    Existing levels o f Grade Pay
    Available for*
    New Levels
    PB-1
    1800
    C
    1
    1900
    C
    2
    2000
    C,D
    3
    2400
    C
    4
    2800
    C,D
    5
    PB-2
    3400
    D
    5A
    4200
    C,D
    6
    4600
    C,D
    7
    4800
    C,D
    8
    5400
    C
    9
    PB-3
    5400
    C,D,M
    10
    5700
    M
    10A
    6100
    D
    10B
    6100
    M
    10B
    6600
    C,D,M
    11
    7600
    C
    12
    PB-4
    7600
    M
    12
    8000
    D
    12A
    8400
    M
    12B
    8700
    C
    13
    8700
    D
    13
    8900
    C
    13A
    8900
    D
    13A
    9000
    M
    13B
    10000

    14
    HAG
    15
    HAG+
    16
    Apex
    17
    Cabinet Secretary, Defence Chiefs
    18
    *C: Civil; D: Defence; M: Military Nursing Service (MNS)



    2 comments :

    1. Sir,

      I retired from the Army as Hav on 5 Jan 1980 with 16 years one month service and was sanctioned Rs 175/- as monthly service pension. My pension has been revised to Rs 5531/- from 24 Sep 2012. I was Hav from 1972 to till retirement. I earnestly request how my pension will be fixed now.

      ReplyDelete
    2. "Increments Earned" clause in 7 CPC recommendations would probably not meet OROP criteria of same pension for equal service in same rank, as speculated on here
      goo.gl/J5guDN

      ReplyDelete