Date:07/07/2009 URL: http://www.thehindu.com/2009/07/07/stories/2009070754951200.htm

National

Ex-Servicemen will get higher pension

Sandeep Dikshit

NEW DELHI: The defence allocation saw Finance Minister Pranab Mukherjee increasing the pension for retired service personnel, based on the recommendations of a committee headed by Cabinet Secretary K. M. Chandrasekhar.

The panel was set up after over 10,000 ex-Servicemen returned their medals to protest against disparity in pensions.

The new pension scales, to be implemented from this month, will benefit about 12 lakh retired soldiers.

“Our country owes a deep debt of gratitude to our valiant ex-Servicemen. Based on the recommendations of the committee headed by the Cabinet Secretary on ‘One Rank, One Pension’, the government has decided to substantially improve the pension of pre-January 1, 2006 defence pensioners below officer rank, and bring pre-October 10, 1997 pensioners on a par with post-October 10, 1997 pensioners,” Mr. Mukherjee said in his budget speech.

The pre-January 1, 2006 pensioners were affected following the implementation of the Sixth Pay Commission recommendations last October, while the pre-and post-October 10, 1997 pensioners were hit by the Fifth Pay Commission recommendations. The new measures will cost the exchequer more than Rs. 2,100 crore annually.

Certain pension benefits being extended to the war-wounded and other disabled pensioners are also being liberalised.