1. The first major component of the expenditure under this demand relates to pension and pensionary benefits of Government employees and teaching and non-teaching staff in Aided Educational institutions. This demand also covers the expenditure on pension and other benefits granted to freedom fighters and Ex-INA personnel. There are about 4,97,781 pensioners and family pensioners in this state as on 31.12.2003. The details of pensioners and family pensioners in the State are given below:

2. This Demand comprises the following major heads:

3. PENSION :

A minimum qualifying service of 10 years is necessary for eligibility for pension. Pension is calculated based on the average emoluments, drawn during the last 10 months of service. Full pension is admissible for a maximum qualifying service of 33 years and proportionate pension is paid for a qualifying service of less than 33 years. The Government has issued orders revising pension/family pension with effect from 1.1.96 as granted to Central Government pensioners/family pensioners. Minimum pension has been enhanced from Rs.375/- to Rs.1275/- per month with effect from 1.1.1996.

4. GRATUITIES:

(i) Service Gratuity :

Service gratuity is admissible for those who have put in less than 10 years of qualifying service. It is calculated at the uniform rate of half a month’s emoluments for every completed six monthly period of service. This is a one time lumpsum payment for the service rendered in addition to the retirement gratuity admissible.

(ii) Death Gratuity :

In the event of death in harness, death gratuity is admissible at the following rates:-

iii) Retirement Gratuity :

One who has completed five years of qualifying service and above is granted retirement gratuity on his retirement at the rate of 1/4th of emoluments for each completed six monthly period of qualifying service subject to a maximum of 16 1/2 times of monthly emoluments. The Government has issued orders enhancing the maximum of retirement gratuity from Rs.2.50 lakhs to Rs.3.50 lakhs with effect from 1.1.1996. The Government has also issued orders that the calculation of gratutity will be based on pay and dearness allowance last drawn in respect of the employees retiring on or after 1.4.1998.

5. FAMILY PENSION :

The family of a Government servant is eligible for family pension in the event of his death either in service or after retirement. In the case of death while in service, one year continuous service in a pensionable post at any time during his service is required to become eligible for family pension. Family pension is also allowed to the family of Government Servants who die in harness before completion of one year continuous service provided that the deceased Government servant concerned immediately prior to his appointment to the service or post was examined by a medical authority and declared fit for Government service. In the case of death after retirement, one should be a pensioner at the time of death to become eligible for family pension. However, in cases of death after retirement minimum family pension is allowed to those who had put in less than 10 years of service and otherwise not eligible for pension.

The Government has issued orders enhancing the minimum family pension from Rs.375/- to Rs.1275/- per month. The maximum family pension will be 30% of the maximum of the highest pay scale.

Family pension is payable to the widow/ widower till her/his remarriage or death whichever is earlier. After her/his death, it is payable to the children upto the age of 25 years. However, if the son/unmarried daughter is suffering from any disorder or disability of mind or physically crippled or disabled so as to render him/her unable to earn a living the family pension shall be payable to such son/daughter for his/her life time even after attaining the age of 25 years.

6. EX-GRATIA PAYMENT :

Government has issued orders enhancing ex-gratia payment from Rs.150 per month to Rs.605/- per month with Dearness Allowance of Rs.31/-with effect from 1st November 1997 to the families of deceased Contributory Provident Fund / Non-Pensionable establishment beneficiaries of State Government and the employees of former District Board who had retired / died in harness prior to 1st January 1986 and who are not eligible for family pension. They are also eligible for the increase in Dearness Allowance sanctioned by the Government from Ist January 1998 onwards.

7. COMMUTATION OF PENSION :

Pensioners are eligible to commute a portion of pension upto 33 1/3% of pension into a lumpsum payment. This commutation of pension is authorised by the Accountant-General without medical examination if they apply for the same within one year from the date of issue of Pension Payment Order. This concession has been extended in the case of voluntary retirement also. The Government has also allowed restoration of the commuted portion of pension after 15 years from the date of retirement in cases where commutation of pension is simultaneous with retirement or 15 years from the date of commutation where commutation of pension is done in the second or subsequent months of retirement.

8. OTHER RETIREMENT BENEFITS :

i) Encashment of earned leave at credit at the time of retirement upto a maximum of 240 days is allowed.

ii) Encashment of 50 percent of the leave on private affairs standing to their credit at the time of retirement upto a maximum of 60 days is also allowed.

iii) Pay, and Dearness Allowance, are allowed for the entire portion of earned leave and unearned leave on private affairs.

iv) Transfer Travelling Allowance is allowed for going to native place or to the place wherever retired employee wishes to settle down after retirement.

9. OTHER BENEFITS TO PENSIONERS:

A. Dearness Allowance:

i) The pensioners / family pensioners are paid Dearness Allowance on par with the serving personnel of the Government.

ii) Military pensioners who are in receipt of State Pension are allowed to draw Dearness Allowance on State Pension also in addition to Dearness Allowance on Central Pension.

B. Medical Allowance:

The pensioners/family pensioners are allowed medical allowance of Rs.50/- per month.

Provisional Pensioners / Family Pensioners are also allowed Dearness Allowance and Medical Allowance.

10. PENSIONERS' HEALTH FUND SCHEME:

Tamil Nadu Government Pensioners’ Health Fund Scheme has been implemented with effect from 1.7.95 to provide financial assistance to pensioners for undergoing specialised treatment/surgery by constituting a fund called Tamil Nadu Government Pensioners’ Health Fund.

The Government has introduced the Tamil nadu Government Pensioners' Family Security Fund Scheme with effect from 1.1.1997. Under the above scheme, a uniform contribution of Rs.70/- is deducted from the pension till the death of pensioners towards the Tamil Nadu Government Pensioners' Family Security Fund and the Fund is operated from 1.1.1998. In the case of death of a pensioner after one year of contribution to the fund, a sum of Rs.25,000/- will be paid to the family from the fund.

12. PENSION TO STAFF OF AIDED EDUCATIONAL INSTITUTIONS INCLUDING LOCAL BODIES :

The Staff of Aided Educational Institutions and Local Bodies are allowed the same pensionary benefits as available to State Government servants.

13. The Expenditure on Pension and Retirement Benefits over the past years has been as follows:

It may be seen that the Percentage share of Pension and Retirement Benefits has gone up substantially.

14. Contributory Pension Scheme

New employees who have joined after 1.4.2003 are enrolled under the Contributory Pension Scheme. Under this scheme Government will make a fixed contribution every month. This together with the employees contribution will enable a suitable pension scheme to be funded.

PENSION AND OTHER BENEFITS TO FREEDOM FIGHTERS AND EX-INA PERSONNEL

15. For the benefit and welfare of the Freedom Fighters and their families, who had participated in the Freedom Movement and had experienced untold miseries, the Government of Tamil Nadu has instituted a number of welfare schemes such as Freedom Fighters Pension, Medical facilities, free transport facilities, special reservation for their dependants in educational institutions, priority in Government employment, allotment of houses etc. are being implemented by the Government.

17. Extracts of the concerned jail records or judgement of the concerned Court in proof of the imprisonment undergone are essentially to be enclosed along with the application. In the absence of the above records, ‘Co-prisoner’ certificate obtained from the legislators who served during the period 1980 or before, was accepted as evidence for jail imprisonment, with effect from 1-4-1980. Since some deficiencies in the above system were brought to the notice of the Government, the system of issuing co-prisoners’ certificate by the MLAs was modified during 1988. As per the orders dated 16.11.1988 issued by the Public Department, an applicant may obtain co-prisoner's certificate from any two of the fifteen Freedom Fighters authorised to issue such co-prisoner's certificate throughout the State and apply for sanction of pension. As certain difficulties in the above system were also brought to the notice of the Government, a District Level Screening Committee was formed in each District as per the orders of the Public Department dated 7^th February 1996, consisting of the Collector of the District as Chairman, the District Revenue Officer, as Vice-Chairman, three prominent freedom fighters as members and two prominent Freedom Fighters as certifiers. The members and certifiers should be in receipt of State Freedom Fighter’s Pension on the basis of their original Court or jail records. The applicant who claim freedom fighter pension should have completed 18 years of age at the time of imprisonment. The application in the prescribed format should be submitted to the Collector concerned. These cases are examined by the District Level Screening Committee, as per the guidelines issued and are recommended to Government.

18. The pension payable to Freedom Fighters had been enhanced from time to time. The details have been indicated in Annexure I. Apart from this, State Pension of Rs.500/- per month is also paid to those who receive Central Pension.

19. In the event of death of any State Freedom Fighter Pensioner, the pension is paid continuously to the wife/husband/minor children of the Freedom Fighter. In case they suffer from any permanent physical disability or mental illness, they are paid the pension till their life time. This pension scale has been enhanced from time to time. The details have been indicated in Annexure II.

20. The Government has been sanctioning Special lumpsum grants and pension to eminent persons or their descendants in recognition of their significant role played by them in the Freedom Movement. Accordingly 161 descendants of Marudhu Pandiar Brothers and 7 direct and senior descendants of Veerapandia Kattabomman are receiving the above pension at the rate of Rs.500/-p.m. The request for sanction of Political Pension to the descendants of Muthuramalinga Vijaya Raghunatha Sethupathy of Ramnad was pending for a long time. A Committee was constituted to examine the above request and to submit a report in this regard. Based on the report of the above Committee, the Collector of Ramanathapuram has made detailed enquiry and sent a list of eligible descendants of Muthuramalinga Vijaya Raghunatha Sethupathy to Government. After detailed examination, the Government have issued orders on 8.1.2003 sanctioning Political Pension of Rs.500/- p.m. to the 87 eligible persons as descendants of Muthuramalinga Vijaya Raghunatha Sethupathy till their life time.

21. The other concessions granted to the Freedom Fighters and their dependants are given below:-

a) Medical Facilities:-

A sum of Rs.15/- per month is paid as Medical Allowance to those who are receiving Central Pension or State Pension or both and to the Widows and Minor Children. The above pensioners or their dependants are permitted to have free Medical treatment in Government Hospitals with ‘A’ class ward facilities.

b) Educational concession:-

Fee concession and scholarships are granted to the children / grand children of freedom fighters studying in schools, colleges, professional and technical institutions.

Further, reservation of seats have been made to children / grand children of Freedom Fighters in professional colleges, Polytechnics and other special institutions.

c) Housing Facility:

Reservation of 1% has been made to the Freedom Fighters, in the allotment of houses/plots/flats made by the Tamil Nadu Housing Board from out of 18% reserved for SCs/STs, out of 5% reserved for Dhobies and Barbers and out of 37% reserved for the General Public.

d) Transport facility:

The Freedom Fighters drawing Central or State pension their widows and legal heirs are given free bus passes to travel in the buses of State Transport Corporation. .

e) Funeral Expenses:-

In the event of death of the freedom fighter, a sum of Rs.2,000/- is being sanctioned immediately, to the wife or the immediate legal heirs of the Freedom Fighter towards funeral expenses. This is applicable to all the Freedom Fighters receiving State/Central Pension or both. As a mark of respect to the deceased Freedom Fighter, an officer not below the rank of a Tahsildar of the Reveue Department on behalf of the Government, place a wreath on the body of the deceased Freedom Fighter.

f) Employment Assistance:

As per the orders of Labour and Employment Department, dated 4.5.99 priority is given for the legal heirs of Freedom Fighters and Tamil Savants, when names are sent by Employment Exchanges to Government Departments and undertakings for filling up vacancies.

22. Central Pension scheme:-

The Central Scheme of freedom fighters pension is being implemented by the Central Government with effect from 15.08.1972. According to that Scheme, the following concessions are granted:

i) Persons who had suffered a minimum imprisonment of six months in connection with freedom struggle are eligible for Swatantrata Sainik Samman Pension. They have to produce jail certificate in support of their imprisonment and in the absence of jail certificate from official records, a certificate indicating "Non Availability of Records" from the jail authorities concerned along with two co-prisoner's certificates in the prescribed form will have to be produced. The co-prisoner's certificate has to be obtained from the freedom fighter pensioners who had undergone jail suffering for one year or one co-prisoner's certificate from a sitting M.P. or M.L.A. or from an Ex-M.P. or an Ex-M.L.A. specifying the period of imprisonment.

ii) The period of imprisonment has been reduced from six months to three months in respect of Scheduled Caste / Scheduled Tribe and Women Freedom Fighters.

iii) The annual income ceiling of Rs.5,000/- prescribed for the grant of pension was removed with effect from 01.08.1980.

iv) Persons who had remained underground for six months or more but are unable to produce official documents can produce a
Co-prisoners certificate from a prominent Freedom Fighter who had undergone imprisonment for a period of two years or more along with a certificate to indicate "Non Availability of Records" from the concerned authorities. The certifiers should belong to the same District as that of the Freedom Fighters certified.

v) Ten strokes of flogging / whipping / caning inflicted for participation in the freedom Movement will be treated as equivalent to six months of imprisonment.

vi) Further, Ex-INA personnel are also eligible for pension if the imprisonment/ detention suffered by them was outside India for six months or more.

vii) The monthly pension payable under the Central Freedom Fighters Pension Scheme has been enhanced from time to time. The details have been indicated in Annexure III.

viii) In the event of death of any Central Freedom Fighters’ pensioner, Central Pension of Rs.3,000/- along with the State Pension of Rs.500/- p.m. from the State Funds is paid continuously to the legal heirs.

ix) The recipient of Swatantrata Sainik Samman Pensioners are getting 39% D.A. along with pension with effect from 01.08.2003.

23. This Government have issued orders sanctioning State Freedom Fighters Pension to 329 persons during the period from May 2001 to 31.3.2004. The Government also sanctioned political pension to 87 descendants of Muthuramalinga Vijaya Ragunatha Sethupathy, the Ex-Ruler of Ramanathapuram in its order dated 8.1.2003.

24. The number of Freedom Fighters in Tamil Nadu who are drawing State /Central Pension as on 31.03.2004 are as follows:-

25. For the year, 2004-2005 a total sum of Rs.11,69,45,000/- has been provided for the purpose of political pension mentioned above.

C. PONNAIYAN

MINISTR FOR FINANCE & FOOD

ANNEXURE-I

Rate of monthly pension paid by the State Government to Freedom Fighters:

ANNEXURE -II

Rate of monthly pension paid to the Dependants of State Freedom Fighters Pensioners:

ANNEXURE -III

Rate of monthly pension paid to the Swatantrata Sainik Samman Pensioners by Central Government.