No. 3/19/2009 Estt. Pay II
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel & Training
New Delhi, the 8th November 2010
Office Memorandum
Subject: Fixation of pay of re-employed pensioners -Treatment of Military service Pay
The undersigned is directed to refer to the orders issued vide OM dated 5.4.2010 on fixation of pay of re-employed pensioners. These orders inter-alia lay down that on re-employment in civilian organizations, Military Service Pay shall not be admissible. However, the benefit of MSP given to all retired Defence Forces officers/personnel by reckoning it at the time of calculation of their pension (notionally in the case of pre-1.1.2006 pensioners) should not be withdrawn. Accordingly, while the pension of such re-employed pensioners will include the element of MSP, they will not be granted MSP while working in civilian organizations.
In the instructions issued by the Ministry of Defence vide their letter No. 1/69/2008/D(Pay/Service) dated 24th July 2009, Pre-retirement pay has been defined as under:
(i) In respect of re-employment taking place on/or after 1.1.2006 pre-retirement pay for those who retired after 1.1.2006 means the pay in the pay band plus grade pay but inclusive of Non-Practicing Allowance (NPA) if any, last drawn before retirement.
(ii) In case of officers who retired before 1 .1 ,2006 and also those who retired after 1.1.2006 in the pre-revised pay scales without opting for the revised pay scales promulgated on or after 1.1.2006 the pay will be basic pay including stagnating increment and Rank pay plus the Dearness pay and Dearness allowance drawn at the time of retirement.
As per these orders, for pre-2006 retirees rank pay is included as a part of pay but for post -2006 retirees, the MSP is not reckoned in the pre-retirement pay for the purposes of pay fixation on re-employment. However, for pension purposes the reckonable emoluments are – basic pay + grade pay + MSP + NPA wherever admissible. Therefore, while MSP is not taken into consideration for the purposes of pay fixation on re-employment, the element of MSP in pension is deducted.
It has been decided in consultation with the Department of Expenditure, that since the element of MSP is not reckoned in the pay fixation on re-employment, it need not be reduced from the pension either. Hence, In respect of all those Defence officers/personnel, whose pension contains an element of MSP, that need not be deducted from the pay fixed on re-employment.
(Mukesh Chaturved)
Deputy Secretary
PDF-http://persmin.nic.in/WriteReadData/Estt/3_19_2009-Estt._Pay-II-2.pdf
benny
Dec 02. 2010
Sir,
am retired from army during 2005 and reemployed in Postal Service as postal assistant. Am I eligible for pay fixation in my old pay scale, if i apply for it will it affect my pension ?. Will u pl guide me for this.
Sanjay Kumar Singh
Sep 19. 2011
Sir,
I am a Defence of Pre 01-01-2006 and retired on 28-02-2003 as post of Havildar Clerk (Total Service 18 Yrs) and re-employed in Postal Department as post of Postal Assistant on 01-11-2007. Presently MSP is not pay to me in the my pension or monthly payment in the postal services. If I apply for it will it affect my pension or monthly payment in the postal service ?. Will u pl guide me for this.
S Ravi
Sep 29. 2011
Sir,
1. I retired from Army on 31 Jan 2009 and re-employed in Military Engineering Services (MES) as LDC on 11 Feb 2009. Pay band of the present post is 5200-20200(Basic Pay 6070/- and GP 1900/-). My last basic pay in the Army was 16620/- GP 4600/-. My last pay drawn from the Army can be protected in the present post in accordance with Ministry of Personnel, Public Grievances & Pensions Department of Personnel & Training New Delhi OM No No. 3/19/2009 Estt. Pay II dt 08 Nov 2010 or I will get only minimum pay scale of the present post ie Basic Pay RS 6070/- with grade pay 1900/-. Request clarify
Sanjay Kumar Singh
Oct 12. 2011
Sanjay Kumar Singh on September 19, 2011 at 11:50 am
Sir,
With refer to our question on 19-09-2011, your reply is still awaited. Please confirm/guide to me at the earliest.
Rajaselvan D
Apr 16. 2012
Sir
I am Ex serviceman came on discharge from IAF on 31 May 2005 and now reemployed and working in State Bank Of Travancore ( SBT ) since 02 Aug 2008. Now as the New instructions have come my organization (SBT) regarding post 2006 salary Fixation my position as the Pre 2006 is not clear to my organization, and this O.M dated 05 Apr 2010 para 5 which clearly specifies the way pre 2006 salary to be arrived on notional basis, kindly clarify and guide as the post 2006 ex servicemen got re-fixation of salary/ Regards