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ARMY PAY RULES 2017-GAZETTE NOTIFICATION

[TO BE PUBLISHED IN THE GAZETTE OF INDIA PART-II SECTION 4]
EXTRAORDINARY
MINISTRY OF DEFENCE
(Department of Defence)

NOTIFICATION

New Delhi, the 3rd May, 2017

SRO .  9 (E )–In exercise of the powers conferred by the proviso to article 309 of
the Constitution, the President hereby makes the following rules, namely:

1. Short title and commencement.– (1) These rules may be called Army Pay
Rules, 2017.

(2) They shall be deemed to have come into force on the 1st day of January, 2016.

2. Application.–

(1) Save as otherwise provided by or under this rule, these rules shall apply to Honorary
Commissioned Officers, Junior Commissioned Officers, Non-Commissioned Officers,
and Other Ranks of the Army, Defence Security Corps (DSC), Territorial Army (TA)
[when embodied], and Army Postal Service (APS), who were on the effective strength
of the Army, DSC, TA (embodied), and APS, as the case may be.

3. Definitions.– In these rules, unless the context otherwise requires,-
(a) “existing basic pay” means pay drawn in the prescribed existing Pay
Band and Grade Pay but it does not include any other types of pay like Special
Pay, Military Service Pay, Group ‘X’ Pay etc;
(b) “existing Pay Band and Grade Pay” in relation to Junior Commissioned
Officers/ Other Ranks means the Pay Band and the Grade Pay applicable to the
rank held by him (including under Modified Assured Career Progression) as on
the date immediately before the notification of these rules, in a substantive
capacity;

Explanation.– For the purposes of clauses (a) & (b) the expressions “existing
basic pay”, “existing Pay Band and Grade Pay” in respect of a Junior
Commissioned Officer/ Other Rank who, on the 1st day of January, 2016, was on
deputation out of Indian Army or on leave or on foreign service, or who
would have on that date officiated in one or more lower ranks but for his officiating
in the higher rank, shall mean such basic pay, Pay Band and Grade Pay in
relation to the rank which he would have held but for his being on deputation out
of Indian Army or on leave or on foreign service or as the case may be, but for
his officiating in that rank;

(c) “existing pay structure” in relation to a Junior Commissioned Officer/
Other Rank means the present system of Pay Band and Grade Pay as per Sixth
Central Pay Commission applicable to the rank held by him (including under
Modified Assured Career Progression) as on the date immediately before the
coming into force of these rules, in a substantive capacity;

(d) “existing Military Service Pay” in relation to a Junior Commissioned
Officer/ Other Rank means the amount of Military Service Pay applicable to the
rank held by him as on the date immediately before coming into force of these
rules;

(e) “existing Group ‘X’ pay” in relation to Junior Commissioned Officer/ Other
Rank means the amount of Group ‘X’ Pay applicable to him as on date
immediately before coming into force of these rules;

(f) “existing emoluments” mean the sum of (i) existing basic pay; (ii)
existing Military Service Pay; (iii) existing Group X Pay; and, (iv) existing
dearness allowance at the index average as on the 1st day of January, 2016;

(g) “Pay Matrix” means the Matrix specified in Part A of the Schedule, with
Levels of pay arranged in vertical cells as assigned to corresponding Pay Band
and Grade Pay;

(h) “Level” in the Pay Matrix, means the Level corresponding to the existing
Pay Band and Grade Pay specified in the Part A of the Schedule;

(i) “pay in the Level” means the pay drawn in the appropriate cell of the
Level as specified in Part A of the Schedule;

(j) “Military Service Pay” in relation to a Junior Commissioned Officer/ Other
Rank means the Military Service Pay applicable to the rank held by him on drawal
of pay in the prescribed Level in the Pay Matrix;

(k) “Group ‘X’ pay” in relation to a Junior Commissioned Officer/ Other Rank means the Group ‘X’ pay applicable to him on drawal of pay in the prescribed
Level in the pay matrix;

(l) “revised pay structure” in relation to a rank means the Pay Matrix and
the Levels specified therein corresponding to the existing pay band and grade
pay of the rank (including under Modified Assured Career Progression);

(m) “basic pay” in the revised pay structure means the pay drawn in the
prescribed Level in the Pay Matrix;

(n) “revised emoluments” means the sum of (i) basic pay; (ii) Military Service
Pay; and, (iii) Group ‘X’ Pay; and

(o) “Schedule” means a schedule appended to these rules.

4. Level of ranks.– The Level of ranks shall be determined in accordance with the
various Levels as assigned to the corresponding existing Pay Band and Grade Pay
(including under Modified Assured Career Progression) as specified in the Pay Matrix
and the Level in pay matrix corresponding to the rank of a Junior Commissioned Officer/
Other Rank is specified in Part B of the Schedule.

5. Drawal of pay.– (1) Save as otherwise provided in these rules, a Junior
Commissioned Officer/ Other Rank shall draw pay in the Level in the revised pay
structure applicable to the rank to which he is appointed (including under Modified
Assured Career Progression);
Provided that a Junior Commissioned Officer/ Other Rank may elect to
continue to draw pay in the existing pay structure, until the date on which he
earns his next or any subsequent increment in the existing pay structure, or until
he ceases to hold his rank or ceases to draw pay in the existing pay structure.
Provided further that in case a Junior Commissioned Officer/ Other Rank
has been placed in a higher grade pay between the 1st day of January 2016 and
the date of notification of these rules on account of promotion, he may elect to
switch over to the revised pay structure from the date of such promotion.
Explanation.– (i) For the purpose of this rule the option to retain the existing pay
structure shall be admissible only in respect of one existing Pay Band and Grade
Pay.

(ii) The aforesaid option shall not be admissible to any Junior Commissioned
Officer/ Other Rank appointed to a post on or after the 1st day of January, 2016,
whether for the first time in government service or by transfer from another post
and he shall be allowed pay only in the revised pay structure.

(2) (i) Military Service Pay is a compensation for the various intangible aspects linked
to the special conditions of service in Army;

(ii) Military Service Pay shall be admissible on drawal of pay in the prescribed Level in
the Pay Matrix, at the rate of Rs 15,500 for Honorary Commissioned Officers, and Rs
5,200 for all Junior Commissioned Officers/ Other Ranks; and

(iii) Military Service Pay shall be counted as pay for the purpose of computation of
dearness allowance and pension;

(3) (i) Group ‘X’ Pay is a fixed amount admissible to a Junior Commissioned Officer/
Other Rank of Group ‘X’, because of his higher educational qualification vis-à-vis a
Junior Commissioned Officer/ Other Rank of Group ‘Y’;

(ii) The Levels for same ranks in trade Group ‘X’ and trade Group ‘Y’ shall be same.
Group ‘X’ Pay shall be admissible on drawal of pay in the prescribed Level in the Pay
Matrix at;

(a) a higher rate of Rs 6,200, for Group X’ trades which requires a qualification
equivalent to a diploma recognised by All India Council for Technical Education;
and

(b) a lower rate of Rs 3,600, for other Group ‘X’ trades, but not having a technical
qualification recognised by All India Council for Technical Education;
(iii) when a Junior Commissioned Officer/ Other Rank in relevant Group ‘X’ trades
drawing a lower rate of Group ‘X’ Pay acquires a higher technical qualification equivalent
of a diploma recognised by All India Council for Technical Education, he shall be
admissible to higher rate of Group ‘X’ Pay with the approval of concerned Competent
Authority;
(iv) when a Junior Commissioned Officer/ Other Rank is re-mustered from Group ‘Y’ to
Group ‘X’, he shall be admissible Group ‘X’ Pay as applicable under sub–clause (ii)
above; and

(v) Group ‘X’ Pay shall be counted as pay for the purpose of computation of dearness
allowance only.

6. Exercise of option.– (1) The option under the provisions to rule 5 shall be
exercised in writing in the form appended to these rules so as to reach the concerned
Pay Accounts Office within one hundred and eighty days of the date of notification of
these rules, or where revision in the existing pay structure is made by any order
subsequent to the date of notification of these rules, within one hundred and eighty days
of the date of such order.
Provided that;

(i) In the case of a Junior Commissioned Officer/ Other Rank who is, on the
date of such notification or, as the case may be, date of such order, out of India
on leave or deputation or foreign service or active service, the said option shall
be exercised in writing so as to reach the Pay Accounts Office within one hundred
and eighty days of the date of his taking charge of his post in India; and

(ii) Where a Junior Commissioned Officer/ Other Rank is under suspension
on the 1st day of January, 2016, the option may be exercised within one hundred
and eighty days of the date of his return to his duty, if that date is later than the
date prescribed in this sub-rule;

(2) The option, along with an undertaking appended to these rules, shall be intimated
by a Junior Commissioned Officer/ Other Rank to the Pay Accounts Office.

(3) If the intimation regarding option is not received by the Pay Accounts Office within
one hundred and eighty days of the date of notification of these rules, the Junior
Commissioned Officer/ Other Rank shall be deemed to have elected to be governed by
the revised pay structure with effect from the 1st day of January, 2016.

(4) The option once exercised shall be final.
Note 1.– Junior Commissioned Officers/ Other Ranks whose services were terminated on or after the 1st day of January, 2016 and who could not exercise the option within the prescribed time limit, on account of discharge on the expiry of the sanctioned strength, release,
resignation, dismissal or discharge on disciplinary grounds, are entitled to exercise option under sub-rule (1).

Note 2.– Junior Commissioned Officers/ Other Ranks who have died on or after
the 1st day of January, 2016 and could not exercise the option within the prescribed time limit, are deemed to have opted for the revised pay structure on and from the 1st day of January, 2016 or
such later date as is beneficial to their dependents, if the revised pay structure is more favourable and in such cases, necessary action for payment of arrears shall be taken by the Pay Accounts
Office or Depot Battalion or Record Office.

Note 3.– Junior Commissioned Officers/ Other Ranks who were on Annual Leave
or any other leave on the 1st day of January, 2016, which entitled
them to leave salary, shall be entitled to exercise option under subrule(1).

7. Fixation of pay in the revised pay structure.– (1) The pay of a Junior
Commissioned Officer/ Other Rank who elects, or is deemed to have elected under rule
6 to be governed by the revised pay structure on and from the 1st day of January, 2016,
shall, unless in case the President by special order otherwise directs, be fixed in the
following manner:

(i) The pay in the applicable Level in the pay matrix shall be the pay
obtained by multiplying the existing basic pay by a factor of 2.57, rounded
off to the nearest rupee, and the figure so arrived at shall be located in that
level in the pay matrix, and if such an identical figure corresponds to any
cell in the applicable level of the pay matrix, the same shall be the pay,
and if no such cell is available in the applicable level, the pay shall be fixed
at the immediate next higher cell in that applicable level of the pay matrix.
(ii) If the minimum pay or the first cell in the applicable level is more than
the amount arrived at as per clause (i) the pay shall be fixed at the
minimum pay or the first cell of that applicable level.

SOURCE:http://mod.gov.in/writereaddata/ArmyPayRules.pdf

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