RBI HAS REVICED FAMILY PENSION ALONG WITH REVISION OF LENGTH OF SERVICE FOR FULL PENSION TO AVOID VIALATION OF DOPPW PENSION POLICY

There is a technical & legal problem in increasing family pension alone to 30% of the last pay drawn. If family Pension is revised to 30% of last Drawn Basic without revision of the present length of service for full Pension (33 years 50% 0f LPD), the Present system of calculation of Pro rata pension for less than 20 years will be in violation of the Govt of India, DOPPW Pension Policy. The effect of this violation is that family pension will be more than the live pension in case of an employee retiring on superannuation with less than20 years of length of service.
Example.
Last pay basic drawn 15000, family pension on 30% flat rate will be 4500.where as live pension for 18 years of service on superannuation will be 15000/2 = 7500 x 18÷33 = 4091 which is less than family pension. Hence the revision of length of service for Pro rata Pension to 20 years from the present 33 years or removal of pro rata calculation as adopted by DOPPW is a must before revision of family pension to 30%.
This above problem occurs due to short service length of last grade employee like P T Sweeper made fulltime sweeper, compensatory employment of next of kin of employee died in harness & Ex-servicemen employee.

RBI AMENDED PENSION REGULATION ALLOWING 50% PENSION FOR 20 YEARS SERVICE