Agnipath Scheme salary package explained: When will Agniveers get Rs 12 lakhs?

The government earlier this week launched the Agnipath scheme to recruit soldiers for all three defence forces--Army, Navy and Air Force with the aim to lower the age profile of the Indian armed forces and stem the ballooning pension bills. 

The latest Army news ensures a drop in the age of retirement in the army from 32 to 26. Under the Agnipath-scheme, 46,000 candidates falling under the age group of 17.5 to 21 years will be recruited from all around the country. 

Agnipath scheme 2022: Salary structure 

In the first year, candidates will be paid a monthly salary of Rs 30 thousand. In addition to this, the candidates will also get the benefits of EPF/PPF making the total package of Agniveers in the first year -- Rs 4.76 lakh.  By the fourth year, the salary will increase to 40 thousand rupees plus EPF/PPF, making the annual package Rs 6.92 lakh.

Agnipath scheme 2022: Other benefits 

The Agniveers will also be offered various other benefits by the government under the Agnipath Scheme including-- 

• Risk and hardship, ration, dress and travel allowance
• Full pay and interest for the non-service period will also be available if any candidates are disabled during service
• ‘Sewa Nidhi’ will be completely income tax-free
• Agniveer will also get the benefit of gratuity and pension
• Agniveers will get a non-contributory life insurance cover of Rs 48 lakh for their term in the Indian Armed Forces
• In case of demise during service, an additional ex-gratia of Rs 44 lakh will be given.

Defence budget allocation

The defence budget of Rs 5,25,166 crore for 2022-23 included Rs 1,19,696 crore for defence pensions. The allocation for revenue expenditure was Rs 2,33,000 crore. The revenue expenditure includes the expenses on payment of salaries and maintenance of establishments.

Future of Agniveers after the fourth year

After four years of service, 25 per cent of the Agniveers will be retained in the regular cadre on the basis of merit, willingness and medical fitness for a full term of another 15 years. 

The other 75 per cent of Agniveers will be demobilised, with an exit or "Seva Nidhi" package of Rs 11-12 lakh, partly funded by their monthly contributions, as well as skill certificates and bank loans for help in their second careers.

Agniveer: Future career 

To enhance the future career prospects of our Agniveers, and equip them for various job roles in the civilian sector, the Ministry of Education (MoE) on 15 June announced to launch of a special three-year skill-based bachelor's degree programme for such defence personnel.

The degree will be offered by the Indira Gandhi National Open University (IGNOU) and will be recognised both in India and abroad for employment and education. All the three wings -- Army, Navy and Air Force will sign a memorandum of understanding (MoU) with IGNOU for implementation of the scheme. The first Agnipath entry rally recruitment will start from September to October 2022.

Read: Agnipath scheme explained: Why are Agniveer aspirants from Bihar protesting?