Retirement Age 62 and 10% DA from Jan 2014 - Cabinet expected to clear on Friday (28.202014)


Retirement Age 62 and 10% DA from Jan 2014 - Cabinet expected to clear on Friday (28.202014)

As per media news, Union cabinet is going to meet on Thursday or Friday(27th or 28th Feb. 2014) and the Cabinet is expected to clear two main agenda points in the meeting as follows...

One is Retirement Age 62: Retirement age of Central Government employees will increase by two years from 60 to 62 with effect from 1.3.2014.

Additional 10% DA from 1.1.2014 : 10% of Additional Dearness allowance from 1.1.2014 to all Central Government employees and pensioners, may be declared in the meeting.
Updated news...
Government has decided to raise the Retirement age to 62
What is the background behind this news?

Right now, the retirement age for Central Government employees is 60. While news has circulated that the Government has decided to raise the age to 62, no decisions have been made regarding this during the Cabinet Committee meeting that was held on 28.02.2014. There also have been no reports of any discussions on this issue.

It has become almost a routine for such stories to circulate each year, only to be followed by statements that they were mere rumours. But, it is interesting to note that this year, it looked as if the story might have some truth in it. 

Two reasons could be attributed for the spreading of the story this time – 
Firstly, the fact that recommendations have been made to raise the retirement age for the Parliamentary Committee to 65. 

Then, there are the fast-nearing Lok Sabha polls. 

The spate of rumours began ever since the Parliamentary Committee submitted its report to the Central Government in the first week of February. One of the points mentioned in it was its recommendation that the retirement age for Central Government employees be increased to 65. 

It has to be stressed very strongly here that none of the central government employee unions or federations had presented any demand seeking a hike in retirement age. 

Initial reports said that raising the age to 65 was impossible, however, it could be revised to 62.

Then, rumours began about the date of implementation of this decision. With that the excitement and buzz increased. Persons with contacts in the power circles first began writing in various forums that the decision would be implemented as of January 1st later became March 1, 2014. 

Many were angry when they were told that that decision wouldn’t apply for those retiring in February! When the decision was made in February to be implemented in March, it should also be applicable for those who retired in February, they protested!

Opposition to the decision to raise the age of superannuation also began to grow. Tempers began to flare up. A number of people who opposed this decision began to write angry articles. 

Unemployment would increase.
Promotions would get affected. 
Retirement age should be fixed at 55...etc. 
Countless such opinions appeared at various forums. Heated debates ensued. 

Soon, the noise became so loud that even leading newspapers, magazines, blogs and websites couldn’t ignore it any longer and were compelled to carry this news. 

Due to the elections!

The argument, that the Government was making all these populist decisions in order to win the support of a segment of the voters, was very convincing. Proof of this fact is the series of heated discussions and the subsequent withdrawals of strike notices by various organizations. 

Also, the argument, that the decision regarding this issue has to be made before the MODEL CODE OF CONDUCT was enforced, made it all the more believable. 

Finally, since the CABINET COMMITTEE meeting of 28.02.2014 was going to be the last one to be called by this UPA Government, and since the decision had to be made before the election rules and regulations came into effect, there was excitement and tension in the air. 

Central Government employees all over India were eagerly waiting for the Cabinet decision and announcement in this regard. 

As hours went by, at around 12 PM, it was announced that a decision has been made to issue 10% Dearness Allowance. Then, for a number of hours, there was nothing. Even after it was announced that the session had ended, it was saddening to see a section of the people waiting hopefully, asking questions. 

After raising the expectations of countless people who were waiting for announcements on decisions regarding 10% Dearness Allowance, 50% D.A Merger, Consent to 7th CPC ToR, and to raise the retirement age to 62, the meeting ended, leaving them more confused than before. 

There was no information regarding RETIREMENT AGE...!
Some were relieved that the retirement age was not raised...!
It looked as if some were wondering if they deserved to be treated this callously...!

Some even believe that it was a sly Government ploy to escape from the pressure that all the Central Government employee unions and federations would exert. 

It is now being said that at the CABINET COMMITTEE meeting, they suggested that the increase expenses due to 50% DA Merge could be compensated by raising the RETIREMENT AGE, but, at the face of intense opposition, both these proposals were dropped. 

Now, nobody is ready to believe anything!

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Comments

Anonymous said…
bad decession. why they are levaing behing february retirees.they must include feb retirees
Anonymous said…
Is this news from any government source or just speculations??
Anonymous said…
It is lerned from media sources that Cabinet is expected to hike central Govt employees retirement age to 62 years wef 01 Mar 2014. An employee date of birth is 01 Mar is going to be retire on 28 Feb 2014.Prime Minister Sir, you are requested to kindly considered the case also sympathetically for benefits of those date of birth is 01 Mar so that they can not loose the benefits given by the Govt. only for one day.
Unknown said…
it is learned from media sources government hike retirement age to 62 years wef 01 Mar.2014,this is bad news why they are leaving behing february retirees, they must include Feb. retirees ple. Some of employees date of birth is 01 Mar. but they retiring on 28 Feb.
Anonymous said…
Retirement age 60 is all right.The govt. may consider extension of the service of retired employees up to 5 years on contract basis only with fixed monthly wage only.
Anonymous said…
Very bad decision by UPA GOVERNMENT . 60 YEARS IS OK .
Anonymous said…
Nothing is going to come. Except for DA
Anonymous said…
It is NOT a right decision. It should include the employees who retire on this feb...Why to do injustice to those employees?? Meeting will b on 27th or 28th, then on 27th or 28th itself it is to be declared to be effective; why to declare it on next month. Is it a game or what?? Meeting will be on one day and decision is effective on other day: its not good. Govt should declare it to be effective from this 27th or 28th day of this month. Why the govt not thinking about the employees retiring this feb. It should take a proper decision.
Anonymous said…
Totally WRONG decision. Govt should include the Employees who retire on this feb. It must declare this decision to be effective from the 27th or 28th of this feb.
Sihab Badawi said…
Please don't mix it up with a liberal dose of 'bitterness' to this otherwise 'sweet', commendable & long pending by EXCLUDING the January & February Retirees. Please ensure their INCLUSION. Sihab..Dibrugarh.
Anonymous said…
very bad decision by UPA govt. to hike the retirement age to 62...
Anonymous said…
What. About. The unemployment. Problems. Think. Of the youth. Make the retirement age to fifty eight.
Anonymous said…
The pay scale of eighth passed or matriculate is equal or higher than that of a graduate/BE/Agri BSc/ BVSc in central agricultural university, imphal. will it be rectified in this pay commission?
Anonymous said…
For the employees under NPS (New Pension Scheme, popularly known as No Pension Scheme), the retirement age should be increased to 62 or further more. For those who are under GPF, the age of 60 itself is higher. For employees under GPF 60 is OK, and for those under NPS 65 should be the retirement age.
Anonymous said…
Govt should not raise the retirement age instead they should lessen the age to 58 or 55.
Anonymous said…
Pension for all central government employees joining before or after 2004 should be ensured. Scrapping new pension scheme, old pension scheme should be implemented immediately.
Krishna kumar said…
Instead of conceding the demand of 50% merger and Interim relief, the Govt.is bent upon raising the R.A to 62 thereby fuelling the unemployment problem and promotional opportunities of already suffering employees. The UPA is eager to implement something not put up by the C.G.E.Union thereby sidetracking the other issues. this is bad. Anyhow let us wait and see.
Anonymous said…
Wait for decision before comments

Anonymous said…
What will happen to employees whose retirement age is already 62? Will it be increased to 64?
Anonymous said…
if politicians can work even upto 70-80, what is wrong?
JAI HIND said…
Very bad NEW by UPA GOVERNMENT . RETIREMENT AGE 62 YEAR BUT 60 YEARS IS OK .
Anonymous said…
It is a welcome decision (if at all) to raise retirement age upto 62 years. A huge man hours can be utilized to minimise deficit gap. Govt. should also divest part of this money in the manufacturing/service sectors.
Anonymous said…
this is very good decision.i am agree for this decision.
Anonymous said…
Govt. has huge qualified and experienced man force. Now-a-days in India, human mortality rate has significantly reduced and longitivity has increased. Govt. has some responsibility to keep people engaged by providing them some incentive towards wages and extract experience and expert knowledge towards development and social sectors. As far as solution towards unemployment is concerned, new ventures/ ppp models should be adopted. So hike in retirement age is a welcome decision. People should be encouraged to keep fit as long as they can and provide service towards the society.
Anonymous said…
1. If only 7th pay commission would be implemented in the year 2016 those retiring in the year span 2014 -2016 would be greatly benefitted.

2. Economically the employees would be in better position due to this rise of the age of superannuation

3. The pension amount and the other beneficiaries would also increase along side

4. There this chance of imparting fruitful experience to the subordinates or new recruit by those benefitted by rise in retirement age

5. More over there is chance of getting an additional MACP by the central govt employees

6. A good health psychological effect would prevail in their minds due to this boon of rising their retirement age and thus removing their fatigue
Anonymous said…
youngsters are backbone of India.Already we have many graduates without job,there is no point in increasing the retirement age.
UPA government should drop this issue,instead of retirement age they should concentrate on creating job opportunities for youngsters.
Anonymous said…
It is irony of this country that while educated youth are not getting job and are forced to be unproductive
during there youth retired person are going to work after 62 for nothing.
Anonymous said…
Increasing Retirement age to 62 years will only leave 2 years of unemployment for the youth, even some may cross the age limits and may loose the chance to become a government employee permanently. Retirement age of scientists, etc may be enhanced since their expertise contributes largely for the development of the nation
krishna said…
It is not justice with the employee who will retired on 28 February this year government should think for them also it will better to effect from 27 th February or 28 .If decision will take on 28 February then why it effect from 1march its a wrong decision
mudigonda A said…
All the decision during the entire rule of this govt were questionable. Only agend push the kid in the PMs chair at any cost let the nation go to dogs. Why 62. Young generation curse for this folly
Anonymous said…
It is all rumour. Nothing is going to come except increase of DA by 10%.
Anonymous said…
UPA government should not increase retirement age to 62. I have worked in central government for last 22 years and have seen people above 50 just dont work. They enjoy only taking salary. Instead Indian youth should be given opportunity to join central government. Thought for last 18 years retirement age is not increased. This should not be the criteria. Our Indian population is 1 billion and youth should have opportunity to play a role in central government. It is sincere request not to increase retirement age.
Unknown said…
Very bad NEW by UPA GOVERNMENT . RETIREMENT AGE 62 YEAR BUT 60 YEARS IS OK IF WORK FORCE IS REQUIRED CAN BE APPOINTED ON YEARLY CONTRACT BASIS.
Anonymous said…
very bad news. Youth will have to wait for 2 more years to get jobs. Frustrating
Unknown said…
Very bad decision for fiscal discipline and unemployment point of view
Youngsters will remain unemployed for two more years
Financial burden on exchequer will be greater due to higher salries of senior employees.
Retirement benefits will be defered but this may be treated as defered fiscal deficit
Congress government is completely paranoid and had lost hope for itself and hell bend to destroy the financial health further may be beyond repairs for years alltogether
Unknown said…
I strongly opposed enhancement of retirement age as mass qualified youth are unemployed
Anonymous said…
Respected Prime Minister Sir, as per media news Cabinet is likely to hike retirement age to 62 years wef 01 March 2014. Sir, some of the employees date of birth is 01 Mar but they also retire on 28 Feb 2014. Sir, you are requested to kindly give this benefits with immediate effect i.e. 28 Feb 2014 so that justice given to those who are retiring on 28 Feb 14 as well as whose date of birth is 01 Mar also.
Anonymous said…
Will increase unemplyment. Already employees in there 50s are reluctant to working citing health reasons, seniority and all nonsense. No new recruitment. So no one to work in lower level. If it is 62, nothing will improve except another couple of yrs of wasted manpower, unemployment, medical expenses of these old people borne by the govt and all nonsense. Hell with the decision without public debate pure vote politics which is going to back fire for this foolish govt.
Unknown said…
Very bad decision for fiscal discipline and unemployment point of view
Youngsters will remain unemployed for two more years
Now if you want to increase the retirement age 62 yrs than Apply "33 yrs of service or 62 yrs of age which aver is earliest" because in 33 yrs every one gating full pension benefits
Anonymous said…
Retirement age to 62 years will lead to unemployment/ frustration to Freshers.

Youngsters will boycott Congress !!!!
Unknown said…
THIS IS ONE OF THE DIRTY VOTE BANK POLITICS OF THE CONGRESS LED UPA GOVERNMENT SINCE INDEPENDENCE.
THEY HAVE NEVER THOUGHT OF THE PLIGHT OF THE UNEMPLOYED YOUTH ESPECIALLY WHO ARE ON THE VERGE OF THEIR MAXIMUM AGE LIMIT FOR GOVERNMENT EMPLOYMENT. BY EXTENDING TWO YEARS, RECRUITMENT WILL NOT BE MADE FOR THOSE POSTS AND BY THE TIME THE ASPIRING UNEMPLOYED YOUTH WILL CROSS THE UPPER AGE LIMIT FOR THE GOVERNMENT EMPLOYMENT. I AM COCKSURE THAT NO YOUTH WILL VOTE FOR CONGRESS. I AM ALSO A GOVERNMENT EMPLOYEE. RETIREMENT AGE SHOULD BE REDUCED TO 58.
Anonymous said…
Will be very disastrous decision in view of growing unemployment. This will bring in further dissatisfaction amongst young and educated lot and destroy total social fabric. Mr Rahul Gandhi must see that such moves do'nt see cabinet nod.
To use experience of retired employees with good record, provision of contractual engagement may be promoted.
Anonymous said…
If you retain the senior beyond 60 years,his one month salary can be disbursed to 3 fresh recruits.Instead of raising the retirement age from 60 to 62 the GOI can go for recruitment rally which will solve the unemployment problem but also reduce the Govt expenditure.At the same time vacancies will be filled up.
Anonymous said…
Very Bad news of increase of retirement age 62 Govt not consider increase of retirement age of central gov employees due to increase of unemployee...
Anonymous said…
very bad decision retirement age is 60 is sufficient no one happy with that decision in our department
Anonymous said…
It is really good decision. Youngsters do not like government job.
Anonymous said…
Bad decision youth are already angry with congress on issues like damini case and corruption this decision will hamper congress chances of winning
Anonymous said…
Everything should be judged on proper perspective. One may recall huge food grains were wasted last year because of lack of management, does this means we should reduce production of food grains. Similarly increasing of retirement age will not hamper employment opportunity to the younger generation. Merit base increase of retirement age may be encouraged. Now-a-days a trend is seen that only senior level babus manipulate their extension of retirement, leaving behind huge talented work force available to serve the society. Most of private sectors, small business houses employ retired servants, they need not to train them. Ready made pull of technically experts are exploited by them. Govt. should encourage or extend incentives for new ideas. Moreover, automisation has already reduce man-hours and increase productivity. Does this means we should stop automisation ?
Anonymous said…
It is not wise to hike the retirement age 62-enmass.
But the same can be considered for deficit groups
(manpower) leaving other groups for fresh recruitees.
Anonymous said…
What about the retirement age?
I guess the news related to hiking of age was again a rumour...age is as it is 60
Anonymous said…
It was said that there is going to be cabinet's decision on the agenda of increasing of the retirement age of central govt employees on FEB 28TH 2014, but noting was announced yesterday about the retirement age but only about D.A. And even the central govt. employment news is silent to let us know if he extension of the retirement is not being considered or will later be thought off. When they posted so confidently about the extension about of the retirement age. WHY ARE YOU NOT LETTING US KNOW ABOUT THE RETIREMENT AGE.. WHETHER NOT CONSIDERED OR STILL GOT TO WAIT OR NO INFORMATION AS OF NOW?? THEY HAVE TO COMMENT ON THIS....THANK YOU!
Anonymous said…
Merger is fine but extension of retirement age to 62 is a bad decision. It will affect the juniors craving for their promotion. I think upa is encouraging unemployment. How can one expect a 62 year old can work as 20 or 25 year old.
Anonymous said…
definately the cabinet have to take the decision in favour of increasing retirement age because there will be a good financial help for employeers who are in lower post.2nd thing is that according to my opinion is that it will not increase the unemployment as there are lakhs of vacancies still have which is not fullfilled till yet.3rd thing is that the output of work will not affect due to age factor because if someone is unhealthy then he/she will not put the 100percent output at any age.
Anonymous said…
Increasing the retirement age to 62 is not at all welcome. If the people sit till 62 still earning getting their children married, and their grandchildren's marriage and great grand children's education while another side we will find many unemployed youths becoming ineligible due to over age in the due course for lack of vacany and adopting anti social ways to earn to get their family settled.Enough as much as they have earned. Its time for the young to take the reins. As for the intelligence aspect the present generation and future generation are having more updated techno knowledge and can run the administration. Please NO No NO to the increase in retirement age

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