Date:02/09/2008 URL: http://www.thehindu.com/2008/09/02/stories/2008090256831300.htm

National

Ministry notifies defence officers’ new pay bands

Special Correspondent

Revised pay structure to be implemented with effect from January 1, 2006
Fitment in pay bands would be based on the multiplication factor of 1.86

NEW DELHI: The Ministry of Defence has notified the new pay bands and other allowances on the basis of the recommendations of the Sixth Central Pay Commission for officers of the Armed Forces.

The revised pay structure of pay bands and grade pay as well as pension will be implemented with effect from January 1, 2006 and the revised rates of allowances (except dearness allowance and relief) with effect from September 1, 2008, according to an official news release.

Fitment in pay bands would be based on the multiplication factor of 1.86 instead of 1.74 recommended by Sixth Pay Commission. Payment of 40 per cent of arrears in cash would be made in the current fiscal and the remaining 60 per cent in the next fiscal.

The increase in the rate of annual increment has been hiked from 2.5 per cent to 3 per cent.

As announced earlier, the Government has decided to grant the scale of Army Commanders (Rs.80,000 fixed) on non-functional basis to those Lieutenant Generals who are fit for promotion as Army Commanders but overlooked due to lack of residual service of two years.

In the case of existing Major Generals and Lieutenant Generals, Military Service Pay would be taken into account notionally for fixation of pay on January 1, 2006 with actual benefits being admissible prospectively.

The grade pay of Major Generals and equivalent will be Rs.10,000 and Lieutenant Generals and equivalent Rs.12,000.

Colonels and equivalent and Brigadiers and equivalent would be placed in the revised Pay Band-4 of Rs.37,400 – 67,000.

The enhanced grade pay of middle level officers (from Capt./equivalent to Brig./equivalent) would be as suggested by the defence services, according to the news release.

Campus restriction for grant of transport allowance has been removed and grade pay would determine seniority of posts only within a cadre’s hierarchy and not between various cadres.

The rates of Special Forces Allowance for Army and Air Force has been equated with Navy’s Marine Commando Allowance.

The recommendation relating to lateral shift of defence personnel to Central paramilitary forces would be examined separately.

The government has not accepted the recommendations of Sixth Pay Commission on three issues.

These are liberal ‘severance package’ for employees who want to leave the service without pension with more than 15 years but less than 20 years of service; only three closed holidays for government employees and flexible hours for women employees; and flexible weeks for employees with disabilities.