Categories: Bank Staff

Dearness Relief for Bank Pensioners: February-July 2019

Pensioners will get 70 slabs more in Dearness Relief for the ensuing half year February 2019 to July 2019 compared to the preceding half year. The percentage of revised Dearness relief to pensioners retired at different period is as under.

Retired on or after 11.2012:  6885- 4440= 2445/4 = 611,   611- 541 slabs =  It means increase of  70 slabs@ 0.10%= 70.00%

As per CPI announced by the Labour Bureau of the Government today (31.01.2019), the average index numbers for October ‘18 to December ‘18 works out to 6885. It means 70 slabs increase in Dearness Relief (DR) for the half year February 2018 to July  2018, over the previous half year. The details are as under.

DR for pensioners retired on or after 1.11.2012

The average CPI for Oct 18 to Dec’18 is 6885In terms of X BPS/Joint Notes, 4440 points of DA was merged with the ‘pay’ and DA rate was fixed at 0.10% per DA slab. The Dearness Relief (DR) payable to pensioners is 611 slabs @ 0.10 % for the months of February 2019 to July 2019.  It means an increase of 70 slabs over the previous level.

No of slabs Rate per Slab Percentage of DR  payable DR on Basic Pension (Before commutation)
611 0.10% 61.10 Basic Pension × 61.10%

DR for pensioners retired on or after 1.11.2007 and up to 31.10.2012 (2836 points merger)

The average CPI for Oct 18 to Dec’18 is 6885. In terms of 1X BPS/Joint Notes, 2836 points of DA was merged with the ‘pay’ and DA rate was fixed at 0.15% per DA slab. It means 6885-2836= 4049/4 =1012 The Dearness Relief (DR) payable to pensioners is 1012 slabs for the months of Febraury2019 to July 2019.  The percentage of DR payable to the pensioners for the half year February 2019 to July 2019 will be 1012× 0.15 @  151.80 % on Basic Pension.

No of slabs Rate per Slab Percentage of DA  payable DR on Basic Pension (Before commutation)
1012 0.15% 151.80% Basic Pension× 151.80%

 Dearness Relief (DR) for pensioners retired on or after 1.11.2002 and up to 31.10.2007

The average CPI for Oct 18 to Dec’18 is 6885.In terms of VIII BPS/Joint Notes, 2288 points of DA was merged with the ‘pay’ and DA rate was fixed at 0.18% per DA slab. The Dearness Relief (DR) payable to pensioners is (6885-2288=4597/4)=1149 slabs for the months of February 2019 to July 2019. . Thus, the percentage of Dearness Relief (DR) payable to the pensioners for the half year will be ;

No of slabs Rate per Slab Percentage of DA  payable DR on Basic Pension

(Before commutation)

1149 0.18 206.82 % Basic Pension× 206.82 %

Retired on or after 01.04.1998 till 31.10.2002

Average index 6885-1685 =5200 points (1300 Slabs).

Rate per slab:

Up to Basic pension 3550= 1300 x24 %=( 312%),

3551 to 5650= 1300 x 20 %=( 260 %),

From Basic pension 5651   to 6010= 1300x 12 %=( 156 % of basic pension),

From Basic Pension   6011 and above 1300 x6 %=( 78% of basic pension)

Basic pension (before commutation) DR amount on 1300 slabs
Up to basic pension 3550 Basic Pension×312%
Basic pension from 3551 to 5650 (2100) 11076+ for the basic pension in excess of @ 260%
Basic pension from  5651 to 6010

(360)

16536 +for  basic pension in excess of 5650 up to 6010 @      156%
Basic pension 6011 and above 17097.60 + for the basic  pension in excess of 6010 @ 78%

Retired on or after 1.11.92/ up to 31.3.98 (1148 merger)

No. of slabs 1434

Average index 6885-1148=5737/4 = 1434 slabs  DA on basic pension up to 2400= 1434 ×35 %=( 501.90%) + From 2401 to Rs.3850 @ 1434 ×29% = (415.86 %) + From 3851 to 4100 @ 1434×17%= (243.78%)+ above 4100 @ 1434×9% = (129.06%)

Basic pension (before commutation)  

DR Amount on 1350 slabs

Up to basic pension 2400 501.90% × basic pension
Basic pension from 2401 to 3850

(1450)

12045.60 + from 2401 up to 3850 @  @415.86%
Basic pension from  3851 to 4100

(250)

18685.02 + for pension in excess of 3851 up to 4100 @ 243.78%
Basic pension 4101 and above 19294.47 +for pension in excess of 4100  @ 129.06%

Retired on or after 1.1.86 and before 1st November 1992/1st July 1993 and before 01.11.2002[Average index 6885 -600 points merger (1571 Slabs)]

Average 6885-600= 6285/4=1571 slabs

DA rate on basic: up to 1250 @ 67%x 1571 slabs = (basic pension×1052.57%),

1251 up to 2000 @ 55%x1571 slabs= (Basic Pension ×864.05%),

2001 up to 2130   @ 33%x 1571 slabs = Basic Pension×518.43%,

Above 2130 @ 17% x1571slabs=basic pension×267.07%.

Basic pension Total pension
Basic pension upto 1250 Basic Pension +( Basic Pension ×1052.57%)= 1250+13157.12total pension=14407. 12
Basic pension from 1251 to 2000 Rs.14407.12+for the basic pension in excess of Rs.1250 @864.05%
Basic pension from  2001 to 2130 Rs.20887.49 +for the basic pension in excess of Rs.2000@518.57%
Basic pension from 2131 above Rs.21561.63+ for the basic pension in excess of Rs.2130 @ 267.07

 

  1. Ex-gratia for Pre-1.1.86 retirees, 600 points DA merger in Pay

Average6885-600= 6285/4= 1052.57% (1571 slabs @ 67%)

Applicable CPI Average (600 points merger) Amount of exgratia per month Rate of Dearness Relief Amount of dearness relief per month Total  relief including  Basic Dearness relief
6261 Pre-1.1.86

Retirees

350 1052.57% 3684+ 350= 3984    4034
6261 Spouse of

Pre-1.1.86

Retirees

175 1052.57%     1992      1992

Related article:

Bank Officers and Employees Dearness Allowance: DA Chart For Feb-Apr 2019

Surendra Naik

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Surendra Naik

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