An injustice in the name of fiscal discipline: Is that means the pensioners & senior citizens are burden on the government and the society?
Pensioners of India are not a burden — To treat them now as expendable or parasitic is not just policy betrayal — it is a moral failure of the State
A Disturbing Assault on Pensioners’ Rights: The 8th Central Pay Commission’s Terms of Reference – A Dangerous Departure from Justice and Fairness
The recently issued Terms of Reference (#ToR) of the VIII Central Pay Commission (#CPC) have come as a rude shock to millions of Central Government pensioners and family pensioners. By describing them as “unfunded, non-contributory pensioners”, the Government has effectively stigmatised a generation of retired public servants as a financial burden and a drain on the exchequer — an attitude that is not only ungrateful but deeply unbecoming of a welfare State.
This #terminology, used in the ToR, is not a matter of semantics — it reflects a #fundamental shift in governmental perception. #Pensioners are being portrayed as a hostile crowd feeding upon taxpayers’ money, rather than as rightful beneficiaries of a system they built, served, and sustained with dedication and sacrifice.
Nothing could be farther from the truth. The Government of India currently holds a corpus exceeding ₹10 lakh crore, accumulated precisely for meeting #pension obligations. This massive reserve, built over decades, stands as a testimony that the pension system is not unfunded, nor does it operate at the mercy of taxpayers.
There are now apprehensions — and not without reason — that there may be a tacit plan to divert or reallocate this enormous pension corpus for other fiscal purposes, while systematically weakening the moral and legal foundation of the pension framework.
Such a move, if true, would be a grave breach of fiduciary responsibility, and an affront to the generations of employees who devoted their prime years to national service on the solemn assurance of post-retirement security.
The Finance Act, 2025, which has been retrospectively backdated to 01.06.1972, compounds these fears. The timing and retrospective scope strongly suggest an attempt to undermine judiciously protected pension rights and deny future pension revisions, effectively freezing pensions under the so-called guise of fiscal rationalization.
This stands in stark violation of the principles laid down by the Supreme Court of India in the landmark judgment of D. S. Nakara & Others vs Union of India (1983 AIR 130), which categorically declared:
- “Pension is not a bounty payable at the will of the Government, but a right earned for past services rendered.”
- “With the change in pay structure, revision of pension must also follow; otherwise the class of pensioners would become unequals among equals.”
The #Nakara judgment remains a constitutional compass that binds the Government to ensure periodic pension revision and maintain parity between serving and retired personnel. Any deviation from this, under the guise of fiscal prudence or technical classification, would constitute a violation of Article 14 of the Constitution — equality before law.
By vilifying pensioners and branding them as a liability, the Government is repudiating its own moral and legal obligations. Pension is deferred salary, a continuing right, and a social assurance guaranteed by the State — not a charitable dole.
To deny revision or attempt reallocation of the pension corpus would amount to breach of trust of monumental proportions — an act that would not only cause immeasurable hardship to senior citizens but also destroy the faith of serving employees in the very institution they serve.
It is therefore incumbent on the Government of India to:
- Withdraw the objectionable and misleading terminology from the VIII CPC Terms of Reference.
- Affirm, in explicit terms, the inclusion of pensioners in all CPC deliberations regarding pay and pension revision.
- Safeguard and ring-fence the ₹10 lakh crore pension corpus, ensuring that it is used exclusively for the purpose for which it was created.
- Rescind the provisions of the Finance Act, 2025, which intend to negate or dilute the pensioners’ right to revision.
The pensioners of India are not a burden. They are the builders of the Republic, who carried the administrative, scientific, and defence machinery of India through decades of challenge and change. To treat them now as expendable or parasitic is not just policy betrayal — it is a moral failure of the State.
Let it be known that we stand united — not only in anger, but also in defence of fairness, dignity, and justice for every pensioner who has served this nation with unwavering loyalty.
Written by: National Coordination Committee of Pensioners Associations (#NCCPA)
Is it a Pay Commission or a Finance Commission? — Questions C. Srikumar on the Terms of Reference of 8th CPC
Unlike previous Pay Commissions, the ToR of the 8th CPC places major emphasis on national economy, fiscal prudence, and funds for development and welfare activities, quips the veteran Trade Union leader
The Ministry of Finance issued the long-awaited notification on the formation and Terms of Reference (ToR) of the 8th Central Pay Commission (#CPC) on 5th November. However, the new ToR has triggered sharp criticism among Central Government employees and pensioners, with unions calling it a “deviation” from past practice.
Unlike previous Pay Commissions, the ToR of the 8th CPC places major emphasis on national economy, fiscal prudence, and funds for development and welfare activities, instead of focusing primarily on employees’ pay structure and #pension revision. Notably, the existing 69 lakh #pensioners and family pensioners have been kept outside the purview of the 8th CPC — a move that has sparked widespread concern.
C. Srikumar, General Secretary of the All India Defence Employees Federation (#AIDEF) and Member of the National Council and Joint Consultative Machinery (NC-JCM), said, “It is really shocking to note that a Pay Commission, which is expected to recommend revision of emoluments for Central Government employees and pensions for existing pensioners, has been assigned ToR focusing on national economy and fiscal prudence”.
“This is more like a Finance Commission seeking to save government funds by reducing what is legitimately due to employees and pensioners,” he added.
Srikumar observed that unlike the 7th CPC, which was directed to take into account the expectations of employees, the current ToR makes no mention of employee welfare or wage aspirations, implying that the Commission may not consider their long-pending demands seriously.
He also criticized the rejection of the demand for inclusion of the Old Pension Scheme (#OPS) within the ToR, calling it a “blatant disregard for old-age protection of government servants.”
“The Government expects 69 lakh pensioners and family pensioners to survive on pensions fixed in 2016, without any revision. It’s as if they are no longer deserving of financial justice,” he said.
In protest, AIDEF has submitted a representation to Finance Minister Nirmala Sitharaman, urging amendments to the ToR and inclusion of key employee and pensioner-related provisions. The main demands include:
- Consideration of employees’ expectations for a need-based, dignified wage revision, given the severe manpower shortages in most departments.
- Inclusion of the restoration of the Old Pension Scheme (#OPS) in place of the contributory National Pension System (#NPS).
- Revision of pensions for existing pensioners and family pensioners, restoration of commuted pension after 11 years, and introduction of enhanced pension by 5% every five years as suggested by the Parliamentary Standing Committee.
- Date of effect of the 8th CPC recommendations to be January 1, 2026.
Srikumar concluded by saying that time has come for employees and pensioners — both Central and State Government — to unite and protest against what he described as “an injustice in the name of fiscal discipline.”
“The ToR seems designed not to meet the expectations of employees and pensioners, but to save government money at their expense,” he asserted.
Courtesy: “Indian PSU”