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    Saturday, 21 November 2015

    PAY STRUCTURE (DEFENCE FORCES PERSONNEL) CHAPTER 5.2 OF SEVENTH PAY COMMISSION REPORT

    The New Pay Structure of the Defence Forces Personnel and Military Nursing Service (MNS) Officers of the Central Government as per Seventh Pay Commission Report given under. The Older Grade Pay System has been removed in VI Pay Commission and the New Pay Matrix System is introduced by the Seventh Pay Commission:


    Pay Structure (Defence Forces Personnel)
    Chapter 5.2
    5.2.1 The Defence Services in their Joint Services Memorandum have contended that the emoluments in the Defence Services should stand a fair comparison with what is available in the Civil Services, otherwise the Defence Services will be denied their legitimate share of the available talent pool.

    5.2.2 The Commission has devised pay matrices for civil and defence forces personnel, after wide ranging feedback from multiple stakeholders. The common aspects of the two matrices and the unique elements in the defence pay matrix are outlined in the succeeding paragraphs.

    General Approach to the Pay Matrices: Civil and Defence

    5.2.3 Pay levels have been set out in a pay matrix, separately for civilian and defence forces personnel. The Commission has evolved a fresh approach by merging the grade pay and pay bands into distinct pay levels. The approach regarding the pay levels and pay matrix has been explained in Chapter 5.1. Some of the major points in the pay matrix which have a common bearing on civilian and defence forces personnel, are highlighted below.

    5.2.4 Pay Bands and Grade Pay: Pay Bands and Grade Pays have been dispensed with and the new functional levels have been arrived at by merging the Grade Pay in the Pay Band. All the existing levels have been subsumed in the new structure.

    5.2.5 Entry Pay: The entry pay for various ranks of defence forces personnel, other than MNS Offices, has been arrived at on the same premise, as has been done in the case of civilian. As an illustration, entry pay for a Captain has been arrived at as follows:

    Entry pay in existing pay band + (Residency Period for promotion to Captain from Lieutenant x annual increment) + grade pay of the rank of Captain

    = ₹15,600 + (2 x ₹630) + ₹6,100 = ₹22,960.

    5.2.6 An exception to this approach has been made in the case of Brigadiers/equivalents where pay for the rank has been arrived at as per the fitment table notified by the Ministry of Defence through its Special Army Instructions of October 2008.

    5.2.7 Fitment: The starting point of a Sepoy (and equivalent), the entry level personnel in the defence forces, has been fixed in the Defence Pay Matrix at ₹21,700. The starting point in the existing pay structure is ₹8,460 for a Sepoy/equivalent. The fitment in the new matrix is essentially a multiple factor of 2.57. This multiple is the ratio of the new minimum pay arrived at by the Commission (₹18,000) and the existing minimum pay (₹7,000). The fitment factor is being applied uniformly to all employees. It includes a factor of 2.25 to account for DA neutralisation, assuming that the rate of Dearness Allowance would be 125 percent at the time of implementation of the new pay as on 01.01.2016. The actual raise/fitment being recommended by the Commission is 14.29 percent. An identical fitment of 2.57 has also been applied to the existing rates of Military Service Pay (MSP), applicable to defence forces personnel only.

    5.2.8 Rationalisation: An ‘index of rationalisation’ has been applied while making enhancement of levels from Pay Band 1 to 2, 2 to 3 and 3 onwards on the premise that role, responsibility and accountability increases at each step in the hierarchy. At the existing PB-1, this index is 2.57, increasing to 2.62 for personnel in PB-2 and further to 2.67 from PB-3.

    Recognising the significantly higher degree of responsibility and accountability at levels corresponding to Senior Administrative Grade, the entry pay is recommended for enhancement by a multiple of 2.72. The same multiple is also being applied at the HAG and HAG+ levels.

    At the apex level the index applied is 2.81 and for the Service Chiefs/Cabinet Secretary the index has been fixed at 2.78.

    5.2.9 As noted in Chapter 5.1, dealing with the Civilian pay matrix, marked increase was accorded to directors in the GP 8700 at the stage of implementation of the VI CPC Report.

    Accordingly in the matrix the rationalisation index applied at this level has been fixed at 2.57, lower than the index of 2.67 applied to existing PB-3 officers. A similar formulation has necessarily to be applied to the defence pay matrix since the Lieutenant Colonels also received a marked increase in their pay level, post VI CPC recommendations. Since the defence services have an additional level in the existing PB-4 and there is a common pay level for SAG level officers in Defence and Civil, the Commission has applied the rationalisation index of 2.57 also to the officers in the rank of Colonel and Brigadier and their equivalent.

    5.2.10 MACP: The Commission is not recommending an increase in the number of MACPs. For defence forces personnel this will continue to be administered at 8, 16 and 24 years as before. In the new pay matrix defence forces personnel will move to the immediate next pay level in the hierarchy. Fixation of pay will follow the same principle as that for a regular promotion in the pay matrix.

    5.2.11 Equivalence in Pay Levels for Certain Levels: The starting pay level for officers at Group `A’ entry level is identical at ₹56,100 in the case of both civilian and defence service officers. Similarly the pay of the Major General and Joint Secretary and equivalent officers and those above [viz., Lieutenant General (in HAG, HAG+, Apex) and Chief of each defence service] has been kept identical with their civilian counterparts. Identical pay levels has been devised for JCO/ORs and their civilian counterparts corresponding to the existing pay bands and grade pay.

    Defence Pay Matrix: Some Distinct Aspects

    5.2.12 For defence forces personnel, there are two separate matrices, one for the Service Officers and JCO/ORs and another for the Military Nursing Officers. The existing ranks among Officers and JCO/ORs in the Defence Forces personnel has been kept in view while devising the matrix. There are a number of common strands in the Civil and Defence Pay Matrices, indeed the principles and philosophy on which they are based are identical. In the case of the pay matrix for Military Nursing Officers (MNS), the Commission has adopted an approach that blends elements of the principles and philosophy adopted in devising the pay matrices with the existing uniqueness in the pay structure of MNS officers. Some of the unique elements that merit mention in the defence Pay Matrix have been outlined below:

    5.2.13 Commencement of Matrix: The commencement of the Defence Pay Matrix for combatants corresponds to the existing GP 2000, which is the induction level for Sepoys and equivalent.

    5.2.14 More Compact: The Pay Matrix designed for the defence forces personnel is more compact than the civil pay matrix keeping in view the number of levels, age and retirement profile of the service personnel. For example, the term of engagement of various ranks of JCOs/ORs are fixed and of shorter duration. Service Officers on the other hand are given time scale promotion upto the rank of Colonel and Equivalent and will therefore move, from one pay level to another, in accordance with the stipulated time frame.

    5.2.15 Pay Levels Unique to Defence Forces Personnel: Pay levels corresponding to the existing GP 3400, GP 5700, GP 6100, GP 6600, GP 7600, GP 8000, GP 8400, GP 8700, GP 8900 and GP 9000 are unique to defence forces personnel. The minimum pay corresponding to each of these pay levels takes into account the normative residency period of the various ranks of officers.

    5.2.16 The Commission emphasises that the pay structure designed by it for the defence forces personnel has been done keeping in view (a) some of the aspects in their rank structure unique to them and (b) pay structure is not intended to determine the status of the personnel vis-à-vis their counterparts on the civil side.

    Pay Matrix (Defence Forces Personnel - Except MNS)
    Pay Band
    5200-20200
    Grade Pay
    2000
    2400
    2800
    Entry Pay (EP)
    8460
    9910
    11360
    Level
    3
    4
    5
    Index
    2.57
    2.57
    2.57
    1
    21700
    25500
    29200
    2
    22400
    26300
    30100
    3
    23100
    27100
    31000
    4
    23800
    27900
    31900
    5
    24500
    28700
    32900
    6
    25200
    29600
    33900
    7
    26000
    30500
    34900
    8
    26800
    31400
    35900
    9
    27600
    32300
    37000
    10
    28400
    33300
    38100
    11
    29300
    34300
    39200
    12
    30200
    35300
    40400
    13
    31100
    36400
    41600
    14
    32000
    37500
    42800
    15
    33000
    38600
    44100
    16
    34000
    39800
    45400
    17
    35000
    41000
    46800
    18
    36100
    42200
    48200
    19
    37200
    43500
    49600
    20
    38300
    44800
    51100
    21
    39400
    46100
    52600
    22
    40600
    47500
    54200
    23
    41800
    48900
    55800
    24
    43100
    50400
    57500


    Pay Band
    9300-34800
    Grade Pay
    3400
    4200
    4600
    4800
    5400
    Entry Pay (EP)
    12700
    13500
    17140
    18150
    20280
    Level
    5A
    6
    7
    8
    9
    Index
    2.62
    2.62
    2.62
    2.62
    2.62
    1
    33300
    35400
    44900
    47600
    53100
    2
    34300
    36500
    46200
    49000
    54700
    3
    35300
    37600
    47600
    50500
    56300
    4
    36400
    38700
    49000
    52000
    58000
    5
    37500
    39900
    50500
    53600
    59700
    6
    38600
    41100
    52000
    55200
    61500
    7
    39800
    42300
    53600
    56900
    63300
    8
    41000
    43600
    55200
    58600
    65200
    9
    42200
    44900
    56900
    60400
    67200
    10
    43500
    46200
    58600
    62200
    69200
    11
    44800
    47600
    60400
    64100
    71300
    12
    46100
    49000
    62200
    66000
    73400
    13
    47500
    50500
    64100
    68000
    75600
    14
    48900
    52000
    66000
    70000
    77900
    15
    50400
    53600
    68000
    72100
    80200
    16
    51900
    55200
    70000
    74300
    82600
    17
    53500
    56900
    72100
    76500
    85100
    18
    55100
    58600
    74300
    78800
    87700
    19
    56800
    60400
    76500
    81200
    90300
    20
    58500
    62200
    78800
    83600
    93000
    21
    60300
    64100
    81200
    86100
    95800
    22
    62100
    66000
    83600
    88700
    98700
    23
    64000
    68000
    86100
    91400
    101700
    24
    65900
    70000
    88700
    94100
    104800


    Pay Band
    15600-39100
    Grade Pay
    5400
    6100
    6600
    Entry Pay (EP)
    21000
    22960
    25980
    Level
    10
    10B
    11
    Index
    2.67
    2.67
    2.67
    1
    56100
    61300
    69400
    2
    57800
    63100
    71500
    3
    59500
    65000
    73600
    4
    61300
    67000
    75800
    5
    63100
    69000
    78100
    6
    65000
    71100
    80400
    7
    67000
    73200
    82800
    8
    69000
    75400
    85300
    9
    71100
    77700
    87900
    10
    73200
    80000
    90500
    11
    75400
    82400
    93200
    12
    77700
    84900
    96000
    13
    80000
    87400
    98900
    14
    82400
    90000
    101900
    15
    84900
    92700
    105000
    16
    87400
    95500
    108200
    17
    90000
    98400
    111400
    18
    92700
    101400
    114700
    19
    95500
    104400
    118100
    20
    98400
    107500
    121600
    21
    101400
    110700
    125200
    22
    104400
    114000
    129000
    23
    107500
    117400
    132900
    24
    110700
    120900
    136900


    Pay Band
    37400-67000
    Grade Pay
    8000
    8700
    8900
    10000
    Entry Pay (EP)
    45400
    48900
    52290
    53000
    Level
    12 A
    13
    13 A
    14
    Index
    2.57
    2.57
    2.57
    2.72
    1
    116700
    125700
    134400
    144200
    2
    120200
    129500
    138400
    148500
    3
    123800
    133400
    142600
    153000
    4
    127500
    137400
    146900
    157600
    5
    131300
    141500
    151300
    162300
    6
    135200
    145700
    155800
    167200
    7
    139300
    150100
    160500
    172200
    8
    143500
    154600
    165300
    177400
    9
    147800
    159200
    170300
    182700
    10
    152200
    164000
    175400
    188200
    11
    156800
    168900
    180700
    193800
    12
    161500
    174000
    186100
    199600
    13
    166300
    179200
    191700
    205600
    14
    171300
    184600
    197500
    211800
    15
    176400
    190100
    218200
    16
    181700
    195800
    17
    187200
    18
    192800


    Pay Band
    67000-79000
    75500-80000
    80000
    90000
    Grade Pay
    Entry Pay (EP)
    67000
    75500
    80000
    90000
    Level
    15
    16
    17
    18
    Index
    2.72
    2.72
    2.81
    2.78
    1
    182200
    205400
    225000
    250000
    2
    187700
    211600
    3
    193300
    217900
    4
    199100
    224400
    5
    205100
    6
    211300
    7
    217600
    8
    224100

    Matrix for Military Nursing Service (MNS) Officers
    5.2.17 In the design of the pay matrix for Military Nursing Service (MNS) Officers, the Commission has kept in view the approach followed by previous Pay Commissions as well as historical and traditional relativities between the Armed Forces Officers and Military Nursing Service Officers. In particular the pay scales/grade pay based on the V and VI CPC Reports were kept in view.

    Pay Structure of Defence Officers and Military Nursing Service Officers over time
    Rank
    V CPC
    VI CPC
    Army
    MNS
    Army
    MNS
    Lieutenant
    8250-300-10050
    RP=Nil
    8000-300-9500
    RP=Nil
    GP 5400 (PB-3)
    MSP=Rs.6000
    GP 5400 (PB-3)
    MSP=Rs.4200
    Captain
    9600-300-11400
    RP=Rs.400
    9400-300-12100
    RP=Nil
    GP 6100
    MSP=Rs.6000
    GP 5700
    MSP=Rs.4200
    Major
    11600-325-14850
    RP=Rs.1200
    11200-300-14800
    RP=Nil
    GP 6600
    MSP=Rs.6000
    GP 6100
    MSP=Rs.4200
    Lieutenant Colonel
    13500-400-17100
    RP=Rs.1600
    12800-300-15200
    RP=Nil
    GP 8000
    MSP=Rs.6000
    GP 6600
    MSP=Rs.4200
    Colonel
    15100-450-17350
    RP=Rs.2000
    13400-300-15500
    RP=Nil
    GP 8700
    MSP=Rs.6000
    GP 7600
    MSP=Rs.4200
    Brigadier
    16700-450-18050
    RP=Rs.2400
    14700-300-16200
    RP=Nil
    GP 8900
    MSP=Rs.6000
    GP 8400
    MSP=Rs.4200
    Major General
    18400-500-22400 
    RP subsumed in Pay
    16400-450-20000
    GP 10000
    MSP subsumed in Pay
    GP 9000
    MSP subsumed in Pay
    RP- Rank Pay; MSP- Military Service Pay

    Military Nursing Service (MNS) Officers Pay Matrix
    5.2.18 Accordingly, the following Pay matrix for Military Nursing Service (MNS) Officers is recommended by the Commission:

    Pay Matrix (MNS)

    Pay Ba nd
    15600-39100
    37400-67000
    Grade Pay
    5400
    5700
    6100
    6600
    7600
    8400
    9000
    Level
    10
    10A
    10B
    11
    12
    12B
    13B
    1
    56100
    59000
    64100
    96300
    109800
    119700
    129800
    2
    57800
    60800
    69900
    99200
    112900
    123300
    133700
    3
    59500
    62600
    72000
    102200
    116300
    127000
    137700
    4
    61300
    64500
    74200
    105300
    119800
    130800
    141800
    5
    63100
    66400
    76400
    108500
    123400
    134700
    146100
    6
    65000
    68400
    78700
    111800
    127100
    138700
    150500
    7
    67000
    70500
    81100
    115200
    130900
    142900
    155000
    8
    69000
    72600
    83500
    118700
    134800
    147200
    159700
    9
    71100
    74800
    86000
    122300
    138800
    151600
    164500
    10
    73200
    77000
    88600
    126000
    143000
    156100
    169400
    11
    75400
    79300
    91300
    129800
    147300
    160800
    174500
    12
    77700
    81700
    94000
    133700
    151700
    165600
    179700
    13
    80000
    84200
    96800
    137700
    156300
    170600
    185100
    14
    82400
    86700
    99700
    141800
    161000
    175700
    190700
    15
    84900
    89300
    102700
    146100
    165800
    181000
    196400
    16
    87400
    92000
    105800
    150500
    170800
    17
    90000
    94800
    109000
    155000
    175900
    18
    92700
    97600
    112300
    159700
    19
    95500
    100500
    115700
    164500
    20
    98400
    103500
    119200
    169400
    21
    101400
    106600
    122800
    174500
    22
    104400
    109800
    126500
    23
    107500
    113100
    130300
    24
    110700
    116500
    134200

    5.2.19 As indicated earlier in the case of the Defence Pay Matrix, the Commission has adopted an approach that blends elements of the principles and philosophy adopted in devising the matrices for civil and defence forces personnel with the existing uniqueness in the pay structure of MNS officers.

    5.2.20 Therefore while the minimum pay at the entry level for MNS officers is identical with their civil and defence counterparts, as is the application of the fitment in pay for officers migrating into the matrix, the Commission has had to adopt a different approach while determining minimum pay corresponding to the existing grade pays other than GP 5400 (PB- 3). In doing so, the Commission has adopted a formulation as under:

    Minimum Pay for a Rank in MNS= (Minimum Pay for that Rank in Defence Pay Matrix) x (Grade Pay of the Rank in MNS)/(Grade Pay of that Rank in the Services)

    For example Minimum Pay for Colonel in MNS= (125,700) x (7600)/(8700)= ₹1,09,807. This has been approximated to ₹1,09,800 in the Matrix.

    5.2.21 While this formulation has been adopted for all ranks of MNS officers, two exceptions have been made for purposes of rationalising the pay structure:

    i. In the case of Captains, the Commission has moderated the minimum pay level upwards to ₹59,00017, to avoid bunching of minimum pay of MNS Lieutenant and Captain.

    ii. In the case of Brigadiers some moderation downwards from the figure arrived at by the formula (₹1,26,800) has been effected to provide suitable differential in the minimum of the pay level between Brigadier and Major General of MNS. Hence the mid-point of the minimum of the pay levels of Colonel and Major General viz., ₹1,19,700 has been taken as the minimum pay for the Brigadier of MNS.

    Military Service Pay (MSP)

    5.2.22 The defence forces personnel, in addition to their pay as per the Matrices above, will be entitled to payment of Military Service Pay for all ranks up to and inclusive of Brigadiers and their equivalents. The Commission recommends an MSP for the four categories of Defence forces personnel at ₹15,500 for the Service Officers, ₹10,800 for Nursing Officers, ₹5,200 for JCO/ORs, and ₹3,600 for Non Combatants (Enrolled) in the Air Force per month. MSP will continue to be reckoned as Basic Pay for purposes of Dearness Allowance, as also in the computation of pension. Military Service Pay will however not be counted for purposes of House Rent Allowance, Composite Transfer Grant and Annual Increment.

    17 Without moderation upwards, by use of formula, the minimum pay for a Captain of MNS would be ₹57,280, which would be very close to ₹56,100 the minimum pay at the level of an MNS Lieutenant.

    Annex to Chapter 5.2

    Annex: Levels as per the Pay Matrix
    Existing Pa yBands
    Existing levels of Grade Pay
    Available for*
    New Levels
    PB-1
    1800
    C
    1
    1900
    C
    2
    2000
    C,D
    3
    2400
    C
    4
    2800
    C,D
    5
    PB-2
    3400
    D
    5A
    4200
    C,D
    6
    4600
    C,D
    7
    4800
    C,D
    8
    5400
    C
    9
    PB-3
    5400
    C,D,M
    10
    5700
    M
    10A
    6100
    D
    10B
    6100
    M
    10B
    6600
    C,D,M
    11
    7600
    C
    12
    PB-4
    7600
    M
    12
    8000
    D
    12A
    8400
    M
    12B
    8700
    C
    13
    8700
    D
    13
    8900
    C
    13A
    8900
    D
    13A
    9000
    M
    13B
    10000
    14
    HAG
    15
    HAG+
    16
    Apex
    17
    Cabinet Secretary, Defence Chiefs
    18

    *C: Civil; D: Defence; M: Military Nursing Service (MNS)


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