<h1>Union Cabinet Approves Modifications to 7th Central Pay Commission Recommendations, Enhancing Pay and Pension Benefits for Pensioners.</h1> The Union Cabinet, led by the Prime Minister, approved modifications to the 7th Central Pay Commission recommendations concerning pay and pension benefits. These changes, effective from January 1, 2016, include a revised pension method for pre-2016 pensioners, benefiting over 55 lakh civil and defense pensioners, with an additional expenditure of Rs. 5031 crore for 2016-17. The Cabinet also decided to retain the percentage-based disability pension system for defense pensioners, rejecting the 7th CPC's slab-based proposal, thus incurring an additional Rs. 130 crore annually. These modifications aim to provide more beneficial options for pensioners.