Govt rejects demand for higher Fixed Medical Allowance to Central Govt Pensioners

No.4/4/2013-P&PW (D)

GOVERNMENT OF INDIA

MINISTRY OF PERSONNEL, PUBLIC GRIEVANCES & PENSIONS

(DEPARTMENT OF PENSION & PENSIONERS’ WELFARE)

3rd Floor, Lok Nayak Bhawan

New Delhi-110 003.

Dated the 8th July, 2013

Please refer to your letter dated 23/6/13 on the above mentioned subject. Comments item concerning this Desk is as under:

2. The Govt. had on the recommendation of the 5th Central Pay Commission sanctioned Fixed Medical Allowance (FMA) @ Rs.100 p.m. as in the year 1997. After 6th Central Pay Commission this amount was raised to Rs.300 p.m. w.e,f. 1/9/2008. The demand for further enhancement of FMA was raised during the meeting with representatives of staff side (JCM) on pensionary matters held on 18/5/11. The demand has been examined in great detail. In view of the fact that the FMA was increased three-fold from Rs.100 to Rs.300 p.m. in May, 2010 (effective from 1stSeptember 2008) at a substantial cost to the exchequer, any further upgraded increase in FMA at this stage may not be appropriate given the constraint on the fiscal side. Govt. is in the interim, also contemplating introduction of Central Govt. Employees and Pensioners Health Insurance Scheme to meet the health care requirement of Central Govt. employees and pensioners. Therefore, the demand for any enhancement of FMA cannot be accepted at this juncture.

Yours faithfully,

(Deepa Anand)

Under Secretary to the Govt. of India