ENHANCED RATE OF ORDINARY FAMILY PENSION EXPLAINED

[CS Vidyasagar]

Dear Veterans,

1.         A large number of veterans are raising doubts about Ordinary Family Pension (OFP) and Enhanced Rate of OFP(EROFP) due to issue of Circular No 494 dated 19 Mar 2013 which Veteran Jaspal Bhinder has so kindly circulated to all for which I thank him profusely.

2.   I have collected relevant information which explains the two simple terms.

3.   OFP Vs EROFP

(a). The family of an armed force personnel. Both officers and PBOR is entitled to ordinary family pension, if the death of an individual is on account of causes which are neither attributable to nor aggravated by service. This is applicable to:

  (i). Death while in service termed as died in harness case

  (ii). Death after retirement from service if on the date of death the individual was in receipt of any type of pension. Any type implies, service pension/disability pension/invalid pension /special pension.

(b). Rate: The ordinary family pension shall be calculated at a uniform rate of 30% reckonable emoluments as defined (Basic pay, stagnation increment, Rank pay and NPA, if any, last drawn)

©. Enhanced OFP : Enhanced rate of OFP is applicable to NOK of the following for a period of seven years:

  (i). Where an individual has rendered a minimum of seven years of continuous qualifying Service and dies while in service or

  (ii). To an individual who is drawing pension after retirement, for a period of seven years from date following the death of the individual or up to the date on which the deceased would have attained the age of 67 years had he been alive. This is explained as follows:

       (aa). If the age of an individual after retirement was for example 50 years and he was drawing pension, then his wife/eligible kin will get the enhanced rate for the next seven years from the date following his death till i.e up to 57 years of age. There after OFP will continue at normal rates.

    (ab). Take another case where the age of an individual drawing pension is 63 years then his wife/ eligible kin will get the enhanced rate only till the individual had reached 67 years of age, had he been alive i.e. for a period of four years only thereafter OFP will continue at normal rates.

(d). Rate Enhanced OFP: The amount of enhanced OFP for this period shall be the lowest of the following amounts:

   (i). For all died in harness cases, 50% of reckonable emoluments as given earlier or

   (ii). For cases post retirement, 50% of the amount of retiring service/invalid pension/service element of disability pension/special pension (before commutation) admissible in cases where the deceased.

4.         I presume on death of the Defence Pensioner  (till he reaches the age of 67 years had he lived) or for a period of 7 years from the date of death of her husband, the widow has a number of family obligations. In case her pension is reduced immediately on death of her husband i.e. to 30% of his basic pay, she is put to lot of financial hardship. Had her husband was living he would be getting 50% of his Basic Pay. But when he dies, the family pension comes down to 30% of her husband's basic pay which as you can see is much lesser than what her husband was getting when he was alive. i.e. loss of 20% (= 50 – 30) of Basic Pay.

5.   The requirement of giving such widows the same amount of pension has not come because of MOD Babus suddenly became sympathetic to us. But as usual, the Civilian Pensioners represented to their obliging Ministry of Pension, Personnel Grievances and Personnel and got Enhanced Rate of Family pension sanctioned to NOK. So this is applied to us mutis mutandis.

6.  Now coming to the mischief the MOD babus play as usual.

7.   PCDA(Pensions) Allahabad Circular No 494 dated 19 Mar 2013 quoting Government of India, Ministry of Defence letter No. 2(1)/2012/D(Pen/Policy) dated 16.01.2013 mentions the following: -

    3. In terms of the said GOI, MOD letter dated 16.01.2013 the revised consolidated

enhanced rate of Ordinary Family Pension during the applicable period, shall not be

less than fifty percent of the Minimum of the pay in the pay band plus the grade pay

corresponding to the pre-revised scale from which the pensioner/ deceased Government

servant had retired/ died. In cases where full revised pension is otherwise not authorised

to a retired employee in terms of 6th CPC order, the revised Enhanced rate ofOrdinary Family Pension shall be restricted to that amount. However, the amount of

revised Enhanced rate of Ordinary Family Pension in no case shall be less than thirty

percent of the sum of minimum of the pay in the pay band plus the grade pay or thirtypercent of minimum pay scales in case of HAG and above.

 7.   The Minimum Pay in the Pay Band, Total Pay and Pension for Officers as per SAI 2/S/2008 is as under:-

                                                                                                          ( All Figures in Rs)

      Rank          Min Pay in     Total Pay      Pension(@50%)

                        Pay Band                                                     

 

Lieut 15,600             27000             13500

Capt                18600              30700             15350

Maj                  23810              36410             18205

Lt Col              38530              52530             26265

Col                  40890               55590             27795

Brig                 43390               58290             29145

Maj Gen          44700               60700            30350

Lt Gen             51850               69850            34925

8.         But if you notice the tables prepared by the Min of Def, the Enhanced Rate of Ordinary Family pension is based on the Minimum in the Pay band ie. Rs 37,400. This proves that the tables are made by some auditor who just joined CGDA and everyone puts their dbobi mark. Then when questioned about this mistake, MOD babus will tell us that we should go to AFT/High Court/Supreme Court. For MOD Babus the terms Minimum of Pay in the Pay Band ( Rs 38,530 for Lt Col) and Minimum in Pay Band ( Rs 37,400 for Lt Col) is same.

 9.    Now as per MOD Table attached to the PCDA(Pensions) Allahabad Circular No 494, the widow of Lt Col will get enhanced rate of family pension at Rs 50%(37400 + 8000+6000) = Rs 25,700 whereas she should get 50%(38530+8000+6000) = Rs 26,265 i.e .she will  now suffer loss of Rs 26265 – 25700 = 565 and Dearness Relief @ 72% today per month. The loss for widows of officers of rank of Col and above is substantial.     

 10.    If my above reasoning is correct( I would sincerely request veterans to correct me if I am wrong), then I am sure Cdr Pokar Ram must have already prepared a draft letter to be sent by IESM to Hon'ble Raksha Mantri.

 With regards,

Brig(Retd) CS Vidyasagar

The Bombay Sappers 

[satendra...@gmail.com]

[raghup...@gmail.com]

My Dear Brig saheb

1.   I want to submitt that As per GOI, MOD letter dated 03 Sep 2015 which is based on GOI, dept Of P&P wel dated 30 Jul 2015 it has been decided that Wef 01-01-06 pension/FP of pre 2006 pensioners shall be determined as 50 & 30 % respectively of the min of the FITMENT TABLES for the rank in the revised PB as indicated in the FITMENT TABLES annexed with SAI 1/S/2008 for PBOR and 2/S/2008 for Officers, plus Grade Pay plus MSP corresponding to the pre-revised scale from which the pensioner had retired.  The policy laid down is quite clear but those who are sitting in PCDA Pension Allahabad are MISINTREPRATING the meaning of whole policy.Thus We all veterans (Officers/JCOs and OR) are suffering. Please use your links and take up the matter at the highest level so that matter can be solved.  One Major Navdeep Singh , Retd, Advocate at P&H High Court Chandigarh  can be of very help in this regards.

With regards,

Ex Sub RS TOMAR

Mob 8109764505

AOC

 

[avz...@gmail.com]

Dear Brigadier

Reference is made to para 3 c (ii)  regarding OFP vs EROFP as posted by you

Recently One of my colleague expired before attaining age of 65 Yrs though he was in receipt of retiring pension.

His DOR is 31/1/1999 and his DOB 15/1/1951. He expired on 24/4/2016.

His NOK received EROFP till June 2016 but started getting OFP from July 2016 onwards

It appears that his NOK received ERFOP till 65 yrs of the deceased (deceased would have attained age of 65 yrs on 15/1/2016 had he lived)

and NOT till 67 yrs as stipulated in para 3 c (ii).

I therefore request you quote the PCDA/ Govt. circular,if any, which entitles EROFP till 67 yrs (of the deceased. It would help to take up

the issue with concerned PDA

Best Regards

Wg Cdr MK Bhattacharya(Retd.)

[joraj...@gmail.com]

On Wednesday, April 10, 2013 at 6:06:51 PM UTC+5:30, CS Vidyasagar wrote:

[smani...@gmail.com]

Respected sirs,

As per the pcda circular No 630 dated 14 Feb 2020, the enhanced rate of family pension has now been extended up to 7 years from the date of death of pensioner or 67 years of deceased pensioner whichever is earlier. Therefore, PDAs has been asked to pay the arrears with DR for 2 years wherever applicable.