As all of us know, the Seventh Central Pay Commission had suggested two options for granting parity in pension to senior pensioners retired before 1-1-2006 etc. Orders were issued in August 2016 and the Second Option was implemented. Then existing basic Pension of Central Pensioners (DOT pensioners) was revised by multiplying with 2.57.
The first Option suggested by CPC was not implemented saying it is not feasible . The matter was referred to a Committee of senior officers. Based on the report of the said committee, Cabinet has now approved revision of pension of old pensioners with a THIRD OPTION. It is little better than 2.57 formula. But it is quite unsatisfactory compared to the Option 1 suggested by CPC and rejected by the Government now.
The order dated 12-5-2017 is attached here. THIRD OPTION FOR DOT PENSIONER