Why is the commutation of Pension restored after 15 years?

Pension needs to be revised suo-moto by government

Commutation of pension started as a welfare measure. For those retired before 2.09 2008 it is recovered with interest in 12.08 years.

While for those retired after 2.09.2008 it is recovered in 10.194 years (8.194 years principle and 2 years interest) then why Government continue to deduct for 15 years.

Is it not unjust enrichment by the Govt at the cost of senior citizens?

Fixing of 15 years recovery is arbitrary and without any mathematical calculations.

Government says mortality factor is taken into account. Because after death recovery is to be waived off.

But it is not true because after death, the family pension is just halved after 7 years from the date of retirement.

Before 2008 Government was charging interest of 4.75%, but after 2008 they are charging a market rate of 8%. So where does it remain a social welfare measure?

Then life expectancy is increasing and interest rate are falling, after increase of age of retirement from 58 to 60 years and new commutation formula Government liability has decreased by 16.5%, commutation factor came down from 10.86 to 9.81to 8.194, should the benefits be not passed on to retired senior citizens?

Recently for IPS Association, a retired IPS officers forum has filed an IPL in Delhi High Court and the high court has asked the Government to file a basis of calculation of 15 Years. Case is pending.

Should the Bank’s union also file a PIL against Government for this unethical and immoral loot by Government by charging higher interest rate and continue to deduct illegally from the pension of poor senior citizens even after full payment of Principle and interest in 10.194 years and hence for reduction of 15 years period for restoration of full pension.

In terms of Railway Board circular no. RBE 17/2019 dated 04/02/2019, employees who retired/expired in Scale Rs. 6500-10500 were required to be extended GP Rs.4600 instead of GP Rs. 4200 w.e.f. 01.01.2006 and accordingly Pension/Family pension needs to be revised suo-moto by railway administration.

Thereafter, as per recommendations of 7th CPC, employees who were in GP Rs. 4600 were to be extended level 7 of pay matrix.

Therefore keeping in the recommendation in view, all employees who retired in Scale Rs. 6500-10500 were to extend level 7 w.e.f. 01.01.2016 and notional fixation to be done.

On fixation of notional pay, pension/family pension needs to be revised as per concord table as circulated under RBE No. 112/2019 dated 11/07/2019.

Required data are available with Railway and based on the data revised pension family pension needs to be done suo-moto by railway administration.

But in some cases this has not been done and also Pensioner Family pensioners are unaware of this instructions and lose a huge amount of Pension/Family pension as due.

It is requested to give vide publicity of the instructions and ask them to revise pension/family pension with copies of all PPOs to administration.

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