Rs 2,300-cr pension plan for ex-servicemen cleared

The government Monday cleared a Rs 2,300-cr pension package for retired defence personnel, which, it said, would "nearly achieve" the contentious one-rank-one-pension demand that has been raised by ex-servicemen's organisations as well as the three armed forces.

With this attempt to bridge the pension gap between pre- and post-2006 retirees — when the sixth pay commission came into force, the government said nearly "99 per cent" of the demands of the three services and ex-servicemen had been met.

The cabinet also cleared changes in the rules for family pension, significantly enhancing the pension received by family members of deceased ex-servicemen, besides ensuring family pension for life for disabled children of retired defence services personnel. The case of dual family pension has also been cleared.

However, organisations that have been spearheading the campaign for pay parity said their basic demand for one-rank-one-pension had not been met, and dismissed Monday's decision as an "eyewash".

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