TABLE OF CONTENTS. SL. NO. TOPICS PAGE NO. 1 Organisational set up of PCDA (P) & Grant of pensionary awards to Defence Civilians.

Transcription

1 TABLE OF CONTENTS SL. NO. TOPICS PAGE NO. 1 Organisational set up of PCDA (P) & Grant of pensionary awards to Defence Civilians Period of service, which qualifies for pension Grant of Superannuation pension Grant of family pension and death gratuity death while in service. 5 Grant of disability pension/family pension under C.C.S (EOP) rules and liberalized pension rules Commutation of pension defence civilian Procedure for processing of Superannuation/ retirement cases on computer. 8 Procedure for processing of family pension cases on computer. 9 Procedure for processing the data sheet for revision of P.P.O by issue of Corrg. PPO including Vth CPC revision. 10 Checking of original PPO / corrg. PPO on receipt by H.O.O and issue of duplicate P.P.O Judicial System -Handling of Legal cases Grievances Redressal Mechanism Defence Pension Adalat New Pension Scheme Record Management Role of EDP Mission Excel IT

2 INDEX OF ANNEXURES SL. NO. ANNEXURE SUBJECT PAGE NO. 1. A Different organization codes B Nature of Pension Codes C Vth CPC-Pay Scale Codes, D Gallantry award codes E PDA codes F DPDO codes G State/union territories codes H Public Sector Banks codes I Dearness relief J Examples of pension calculation K Question Bank L Case Studies (1-7) M Data sheets N Flow chart 149

3 CHAPTER 1 ORGANISATIONAL SET UP OF PCDA (P) & GRANT OF PENSIONARY AWARDS TO DEFENCE CIVILIANS CONTENTS GENERAL INTRODUCTION 1. ORGANISATIONAL SETUP OF OFFICE OF PCDA (P) AND ROLE OF G1 CIVIL SECTION. 2. RULES UNDER WHICH DEFENCE CIVILIANS ARE GOVERNED FOR RETIREMENT BENEFITS. 3. VARIOUS KINDS OF PENSION AND CONDITIONS FOR ITS ADMISSIBILITY IN VARIOUS TYPES OF CONTINGENCY.

4 GRANT OF PENSIONARY AWARDS. DEFENCE CIVILIANS GENERAL INTRODUCTION. The custom of providing pension for aged employees who were no longer able to discharge their duties efficiently began during the nineteenth century in Europe and spread to other part of the world. During the British period and some time thereafter pensions has been treated a charity or an ex-gratia payments of a purely social welfare measure. Now in the present status the pension is not a bounty payable at the sweet will and pleasure of the Govt. and that pension is a valuable right vesting in a Govt. servant and has been termed as property under Article 31(1) of the constitution. Following factors are normally taken into consideration in determining pension. (i) (ii) (iii) (iv) (v) Age at which various categories of employees retire. Health of employee Length of service of an employee. Pay, which an employee gets. Condition of service, cause of death, nature of injury sustained, diseases contracted and the circumstances in which casualty took place. Initially there were offices of the superintendents of family pension and pension paymasters Bombay in the year In the year 1914 the Controller of Military Accounts Department was reorganized in 14 offices and these offices used to sanction pension for their respective regions. Later on in 1927 the pension was centralized to six main offices at (i) (ii) (iii) (iv) (v) (vi) Controller of Military Pension Accounts, Lahore Controller of Military Pension Accounts, Mhow Controller of Military Pension, Burma Controller of Military Pension, Bombay Controller of Fys. Accounts, Calcutta Controller of Royal Air Force Accounts, Ambala. After partition in 1947 the work relating to pension sanction was further centralized in the office of the CDA (P) Allahabad, which is presently designated as PCDA (P) Allahabad. The P.C.D.A (P) Allahabad sanctions all Pensionary awards in respect of the following categories. (i) Officers and personnel of Armed Forces except in the case of Naval and Air Force Officers and personnel below Officer rank who retire/die while in service on or after , Govt. of India, Min. of Defence was the Competent sanctioning Authority for grant of service Pension in respect of commissioned officer till After that the power were delegated to Pr.CDA (P) Allahabad. 2

5 (ii) Defence civilians of Defence Factories, Army and Air Force units/establishments, D.A.D, GREF and Coast Guards. The work relating to sanction of pension in respect of Naval and Air Force personnel was decentralized in the year (2) The Pr. C.D.A. (P) Allahabad still continue to sanction the family Pensionary awards and reassessment of disability pension in respect of Naval and Air Force Officers and personnel below officer rank who became non effective prior to (3) The Pr. C.D.A (P) Allahabad also adjudicates the entitlement for special family pension, disability element, reassessment of disability pension in respect of Naval and Air Force Officers and Personnel Below Officers Rank who became non effective on or after but awards is notified by the Pr.CDA (Navy) or CDA (AF) as the case may be. (4) The Office of the Pr.CDA (P) Allahabad erstwhile office of the controller of Military Accounts (Pensions) is a unit of Controller General of Defence Accounts under Ministry of Defence (Finance). This office was earlier the Controller s Office upto This Office has been upgraded as the office of the Chief Controller of Defence Accounts (Pensions), Allahabad. Further with effect from this office has been re-designated as Pr. CDA (P) Allahabad. ORGANIZATIONAL SETUP OF OFFICE OF Pr.C.D.A (P) The Office of the Principal CDA (Pensions) Allahabad is centrally responsible for. Sanction of Pensionary benefits/awards to the Armed Forces personnel i.e. A. Commissioned Officer and their families B. Personnel Below Officers rank and their families. C. Defence civilians and their families including DAD Cost Guard and GREF personnel and their families. (i) (ii) (iii) Audit of payment of pension to Defence pensioners made by the various PDAs (Pension Disbursing Agencies) and also through agencies located Ex-India. Compilation of all payments related to pension. Maintenance of draft pension circulars/pension payment orders (Since 1902). (iv) Sanction of OTI on pension w.e.f (v) (vi) Settlement of complaints received from various sources i.e. from CGDA, Min. of Defence, VIP, P&PW and PGO complaints. Various types of sanction of pension and compilation of accounts through computer. (vii) Holding of Pension Adalat at different places all over India. (viii) Revision of pension cases for pre and post 1996 and pre and post 1986 on account of Vth Central Pay Commission. 3

6 The Office of the Pr. CDA (P) Allahabad is organized in different sections with different functions of each section. It can be broadly divided into the following wings. 1. General Administration/Misc. wing. 2. Grants/EDP wing. 3. Audit wing. 4. Various important Cells GENERAL ADMINISTRATION/MISC WINGS This wing comprises of the following sections: - 1. Admin and Pay Section. 2. Record and old record section 3. Account Section. 4. Post Audit Section and 5. D - section and Vigilance. GRANTS / EDP WINGS This wing comprise of the following sections: - 1. Grants - 1 Military Sections 2. Grants - 1 Civil Section 3. Grants (ORs) Section. 4. Pension Revision Section 5. EDP Centre 6. Revision Section. AUDIT WING This audit wing deals with the audit of payment of Pensionary awards and spot audit of treasuries and Banks. This wing constitutes the following sections. 1. Audit coordination and technical section. 2. Data Base 3. Spot Audit Section 4. Demand Cell 5. Treasury and PSB Cell 6. DPDO Cell 7. Card holder Section 8. C.C.L Section. 9. Documentation Section. 4

7 VARIOUS IMPORTANT CELLS The various important Cells functioning under this wing are as under: - 1. O&M Cell. 2. Hindi Cell. 3. Legal Cell 4. Pension Adalat Cell. 5. Training cell 6. Inspection cell 7. Complaints Cell ROLE OF G-1 CIVIL SECTION. This section deals with all types of grants of Pensionary benefits/awards to the Defence civilians and their families including DAD, Coast Guard and GREF Personnel and their families. RULES GOVERNING PENSIONARY ENTITLEMENTS OF DEFENCE CIVILIANS Defence Civilians, DAD, GREF and Coast Guards Officers/Personnel are governed by following rules for Pensionary benefits. 1. Central civil Services (Pension) Rules 1972 in the matter of pensions and family pension. 2. Central Civil Services (Commutation of Pension) rules 1981 in the matter of commutation of pension. 3. Central Civil Services (Extra Ordinary Pension) Rules in the matter of disability pension and extra ordinary family pension. KIND OF PENSIONARY AWARDS ADMISSIBLE The kind of pension admissible to Defence Civilians are: - i. Superannuation pension ii. iii. iv. Retiring Pension Invalid Pension Compensation Pension v. Compulsory Retirement Pension vi. vii. viii. ix. Compassionate Allowance Pro-rata Pension on absorption in public sector Undertaking/Autonomous Bodies/public Enterprise. Retirement Gratuity Service Gratuity. 5

8 x. Death Gratuity xi. xii. xiii. Family Pension Disability Pension (under EOP Rule) Extra Ordinary Family Pension The grant of Pensionary awards are based on the emoluments/average emoluments and qualifying service rendered by the Govt. Servant which is determined as under. EMOLUMENTS: - The emoluments means basic pay as defined in Rule 9(21)(a)(i) of the Fundamental Rules which a Govt. Servant was receiving before his date of retirement or on the date of his death and also includes Non Practicing Allowance granted to Medical Officers and stagnation increment(s) if any. Basic pay in the Revised Pay Rule-2008 means the pay drawn in the prescribed pay band plus the applicable grade pay but does not include any other type of pay like special pay etc. EMOLUMENTS FOR GRATUITY: - Refer para 33 of CCS (P) Rule For computation of gratuities the emoluments last drawn by a Govt. servant as defined above will also include dearness allowance drawn by the Govt. servant on the date of retirement /death. AVERAGE EMOLUMENTS: - The average emolument is determined with reference to the emoluments drawn by a Govt. servant during the last 10 months of his service. If during the last 10 months of service, a Govt. Servant has been absent from duty on EOL or had been under suspension (without pay and allowances) the above period of leave or suspension is disregarded in calculation of average emoluments and equal period before the ten months is included. QUALIFYING SERVICE: - Refer para 34 of CCS (P) Rule Qualifying service for pension of a Govt. Servant commences from the date he takes charge of the post to which he is first appointed. Service rendered before attaining the age of eighteen years does not count except for compensation gratuity. The service of Govt. Servant does not qualify unless his duties and pay are regulated by the Govt. or under condition determined by Govt. Service means service under the Govt. and paid by the Govt. from the consolidated fund of India or a local fund administered by the Govt. but does not include service in a non pensionable establishment unless service so treated as qualifying by that Govt. Refer para 13 of CCS (P) Rule

9 CONDITIONS FOR ADMISSIBILITY OF VARIOUS TYPE OF PENSIONS (I) SUPERANNUATION PENSION: A Superannuation pension is granted to a Government servant who is retired on his attaining the age of compulsory retirement. The normal age of compulsory retirement in r/o Group A B and C D employees is 60 years w.e.f as per Govt. of India, Min. of P.A.G. & P No /2/97-Estt (A) dated provided they have rendered qualifying service for 10 years. (II) RETIRING PENSION: Refer para 35 of CCS (P) Rule Retiring pension is granted to Government servant who is permitted to retire after qualifying service of 30 years or on attaining the prescribed age for such retirement which is 50 years in the case of group A and B Government servant and 55 years for other. A Government servant may be permitted to retire voluntary on completion of qualifying service of not less than 20 years. Refer para 36 of CCS (P) Rule (III) PENSION ON ABSORPTION IN PUBLIC UNDERTAKINGS: A government servant who is permanently absorbed in public Undertaking/Autonomous bodies is deemed to have retired from Government service from the date of such absorption and is eligible to receive retirement benefits, which he may be entitled from such date as may be determined. The pro-rata pension is based on actual length of qualifying service and the emolument on the basis of absorption. The pro-rata pension can be commuted under normal rules upto 40% of pension. Retirement gratuity as admissible under normal rules is also admissible in addition to the awards mentioned above. The facility for receiving a lump sum amount in lieu of pension has been withdrawn from Refer para 37 of CCS (P) Rule (IV) INVALID PENSION: Invalid pension is granted if a Govt. servant retired from the service on the account of any bodily or mental infirmity, which permanently incapacitated him for the service. Refer para 38 of CCS (P) Rule (V) COMPENSATION PENSION: A compensation pension is granted to a government servant who is discharged from Govt. service on abolition of his permanent post. Where the individual was offered alternative post, which was accepted by him, the claim for pension will be preferred on retirement for two spell of service. The latter spell of service will not count for pension unless the post is substantive and the individual is confirmed on the post. 7

10 If a Govt. Servant, who is entitled to compensation pension, accepts instead another appointment under the Govt. and subsequently becomes entities to receive pension of any class, the amount of such pension shall not be less than the compensation pension, which the individual would have claimed if he had not accepted for the appointment. The amount of compensation shall be determined in accordance with the method laid down for superannuation pension. Refer para 39 of CCS (P) Rule 1972 (VI) COMPULSORY RETIREMENT PENSION: A Government servant when compulsorily retired from service as a penalty may be granted by the authority competent, to impose such penalty, pension or gratuity or both at a rate not less than two-third and not more than full compensation pension or gratuity or both admissible to him on the date of his compulsory retirement. Pension granted or awarded however shall not be less than Rs. 3500/- pm. w.e.f Refer para 40 of CCS (P) Rule (VII) COMPASSIONATE ALLOWANCE: A Government servant who is dismissed or removed from service shall forfeit his pension and gratuity provided that the authority competent to dismiss or remove him from service may, if the case is deserving of special consideration, sanctions a compassionate allowance not exceeding two thirds of pension or gratuity or both which would have been admissible to him, if he had retired on compensation pension. A compassionate allowance shall not be less than Rs.3500/- w.e.f Refer para 41 of CCS (P) Rule (VIII) RETIREMENT GRATUITY: A Government servant, who has completed five years qualifying service, shall on his retirement, be granted retirement gratuity equal to one fourth of his emoluments for each completed six monthly period of qualifying service, subject to a maximum of 16 ½ times the emoluments provided that the amount of retirement gratuity payable shall in no case exceed Rs.10 lakh rupees. There is no ceiling on reckonable emoluments for calculating gratuity. (IX) SERVICE GRATUITY: Refer para 50 of CCS (P) Rule A Government Servant who has not rendered 10 years of qualifying service required to earn a pension before his retirement is granted service gratuity equal to ½ month s emoluments for each completed six monthly period of qualifying service. (X) DEATH GRATUITY: If a Government servant dies while in service, the death gratuity shall be paid to the nominated member of the family or in its absence to the family member. 8

11 RATE OF DEATH GRATUITY LENGTH OF QUALIFYING SERVICE Less than 1 year RATE OF DEATH GRATUITY 2 times of emoluments. One year or more but less than 5 years 6 times of emoluments. 5 years or more but less than 20 years 12 times of emoluments. 20 years or more Half of emolument for every completed six monthly period of qualifying services subject to a maximum of 33 times of emoluments or Rs.10 lakh whichever is less. (XI) FAMILY PENSION: Refer para 50 of CCS (P) Rule Family pension is granted to the family of a Govt. Servant in the event of his death while in service or after retirement provided he was in receipt of a pension at the time of his death. For the purpose of grant of Family Pension, the Family shall be categorized as under:- Category-I (a) Widow or widower, upto the date of death or re-marriage, whichever is earlier. (b) Son/daughter (including widowed daughter), upto the date of his/her marriage/re-marriage or till the date he/she stats earning or till the age of 25 years, whichever is the earliest. Category-II (c) Unmarried/Widowed/Divorced daughter, not covered by Category I above, upto the date of marriage/re-marriage or till the date she starts earning or upto the date, whichever is earliest. (d) Parents who were wholly dependent on the Government servant when he/she was alive provided the deceased employee had left behind neither a widow nor a child. Family pension to dependent parents unmarried/divorced/widowed daughter will continue till the date of death. Family pension to unmarried/widowed/divorced daughters in Category II and dependent parents shall be payable only after the other eligible family members in Category-I have ceased to be eligible to receive family pension and there is no disabled child to receive the family pension. Grant of family pension to children in respective categories shall be payable in order of their date of birth and younger of them will not be eligible for family pension unless the next above him/her has become ineligible for grant of family pension in that category. Refer para 54 of CCS (P) Rule

12 RATE OF FAMILY PENSION: - (a) (b) NORMAL RATE: Normal rate of family pension is 30% of emoluments last drawn by the Govt. servant. ENHANCED RATE: If the individual dies after having rendered not less than 7 years continuous service, the rate of family pension payable to the family shall be equal to 50% of the emoluments last drawn and the amount so admissible shall be payable form the date following the date of death of the Government Servant for a period of seven years or for a period upto the date on which the deceased government servant would have attained the age of 67 years had he service, whichever is less. However the enhanced family pension shall be payable to the family of a Govt. servant who dies in service from the date following the date of death of the Govt. servant for a period of 10 years, without any upper age limit. Family pension is payable from the date following the death of the Govt. servant and after the expiry of currency of the enhanced rate the family pension payable shall be at the normal rates. 10

13 CHAPTER 2 PERIOD OF SERVICE WHICH QUALIFIES FOR PENSION CONTENTS 1. QUALIFYING SERVICE 2. TREATMENT OF EXTRA ORDINARY LEAVE 3. CONDONATION OF INTERRUPTION IN SERVICE. 4. PERIOD OF SUSPENSION 5. PERIOD OF CASUAL SERVICE 6. COUNTING OF SERVICE IN THE CASE OF CIVILIANS WORKING IN LIEU OF COMBATANTS 7. ADDITION TO QUALIFYING SERVICE IN SPECIAL CIRCUMSTANCES 8. COUNTING OF PAST CIVIL/MILITARY SERVICE 9. MINIMUM AND MAXIMUM QUALIFYING SERVICE. 11

14 PERIOD OF SERVICE - WHICH QUALIFIES FOR PENSION QUALIFYING SERVICE. Qualifying service of a Govt. servant shall commence from the date he takes charge of the post to which he is first appointed either substantively or in an officiating or temporary capacity provided that officiating or temporary service is followed without interruption by substantive appointment in the same or another service or post. The service of a Govt. servant shall not qualify unless his duties and pay and allowances are regulated by the Central Government. However, if a State Govt. servant is appointed on deputation to a post under the Central Government, the continuous service rendered by him under the State govt. will qualify. EXTRA ORDINARY LEAVE: TREATMENT OF Refer para 13 of CCS(P) Rule Extra - ordinary leave on medical certificate, and extra ordinary leave without medical certificate granted due to inability of the employee to join/rejoin duty on account of civil commotion or for prosecuting higher technical and scientific studies, automatically counts as qualifying service without an express sanction for this purpose. Extra - ordinary leave taken on other grounds is treated as non-qualifying and therefore a definite entry is to be made in the service book to that effect. Entries regarding service being qualifying or otherwise are required to be made simultaneously with the event. Even where this is not done, it should still be possible to rectify the omission during the period allowed for preparatory action. i.e. from two years in advance of the retirement date upto eight months before retirement. At the end of that period, however (i.e. When the actual preparation of the pension papers is taken in hand), no further inquiry into past events or check of past records should be undertaken. Specific entries in the service records regarding non-qualifying periods will be taken note of and such periods excluded from the service. CONDONATION OF INTERRUPTION IN SERVICE. The interruption period in between training period and regular appointment, it is stated that the training should be followed immediately by an appointment, which mean that there should not be any interruption. Even if any interruption falls between training period and regular appointment that should not exceed the joining time admissible under the relevant rules for the purpose of benefit. PERIOD OF SUSPENSION Time passed by a Govt. servant under suspension pending inquiry into conduct shall count as qualifying service where, on conclusion of such inquiry, he has been fully exonerated or the suspension is held to be wholly unjustified. In other cases, the period of suspension shall not count unless the authority competent to pass under the rules governing such cases expressly declares at the time it shall count to such extent as the competent authority may declare. 12

15 PERIOD OF CASUAL SERVICE Under Article 368 of the CSR, period of service from contingencies do not count as qualifying service for pension. In some cases employees paid from contingencies are employed in types of work requiring services of whole time workers and are paid on monthly rates of pay or daily rates computed and paid on monthly basis and on being found fit brought on to regular establishment. It has been decided that half of service paid from contingencies will be allowed to count towards pension at the time of absorption in regular employment subject to the condition that: - a. Service paid from contingencies should be a job involving whole time employment (and not part time for a portion of the day). b. Service paid from contingencies should be in a type of work or job for which regular post could have been sanctioned e.g. Malis, Chowkidars, khalasis etc. c. The service should have been one for which the payment is made either on monthly or daily rates computed and paid on a monthly basis and which though not analogous to the regular scale of pay should bear some relation in the matter of pay to those being paid for similar jobs being performed by staff in regular establishments. d. The service paid from contingencies should have been continuous and followed by absorption in regular employment without a break. e. Subject to the above conditions being fulfilled, the weightage for past service paid from contingencies will be limited to the period after 1 st January 1961, for which authentic records of service may be available. COUNTING OF SERVICE IN THE CASE OF CIVILIANS WORKING IN LIEU OF COMBATANTS The service rendered by the civilians working in lieu of Combatants in three Service headquarters and other Defence Establishments will count for pension when followed by other pensionable civil service, in the same manner as extra temporary establishment/casual service, subject to the normal conditions for counting of casual service when followed by pensionable civil service being fulfilled. COUNTING OF PAST CIVIL/MILITARY SERVICE A Govt. servant who having retired on compensation pension or invalid pension or compensation gratuity or invalid gratuity, is re-employed and appointed substantively to a service or post to which these rules apply may exercise option either. a. To continue to draw the pension or retain the gratuity sanctioned for his earlier service, in which case his former service shall not count as qualifying service or b. To cease to draw his pension and refund. (i) (ii) The pension already drawn and The value received for the commutation of a part of pension and 13

16 (iii) The amount of retirement gratuity including service gratuity if any and count the previous service as qualifying service provided that- (i) (ii) (iii) The pension drawn prior to the date of re-employment shall not be required to able refunded. The element of pension, which was ignored for fixation of his pay including the element of pension, which was not taken into account for fixation of pay, shall be refunded by him. The element of pension equivalent of gratuity including the element of commuted part of pension, if any, which was not taken into account for fixation of his pay shall be set off against the amount of retirement gratuity and the commuted value of pension and balance, if any, shall be refunded by him. The expression, which was taken in account, means the amount of pension including the pension equivalent of gratuity by which pay of the Govt. servant was reduced on initial reemployment, and the expression, which was not taken into account, shall be constructed accordingly. 2(a) The authority issuing the order of substantive appointment to a service or post as is referred to in sub-rule (1) shall along with such order require in writing the Govt. servant to exercise the option under that sub-rule within three months of the date of issue of such order, or if he is on leave on that day, within three months of his return from leave, which ever is later and also bring to his notice the provisions of clause (b) (b) If no option is exercised within the period referred to in clause (a) the Govt. servant shall be deemed to have opted for clause (a) sub rule 1 3. In the case of a govt. servant who opts for clause (a) of sub-rule (1) the pension or gratuity admissible for his subsequent service is subject to the limitation, that service gratuity, if any, shall not be greater than difference between the value of the pension and retirement gratuity if any that would be admissible at the time of the Govt. servants final retirement if the two periods of service were combined and the value of retirement benefits already granted to him for the previous service. 4(a) A Govt. servant who opts for clause (b) of sub-rule (1) shall be required to refund the gratuity received in respect of his earlier service, in monthly installment beginning from the thirty-six in number, the first installment beginning from the month following the month in which he exercised the option. (b) The right to count previous service as qualifying service shall not revive until the whole amount has been refunded with interest. (5) In the case of a govt. servant, who, having elected to refund the gratuity, dies before the entire amount is refunded, the amount of un refunded gratuity shall be adjusted against the death gratuity which may become payable to his family. A govt. servant, who is reemployed in a civil service or post before attaining the age of superannuation and who before such reemployment had rendered Military 14

17 service after attaining the age of eighteen years, may, on his confirmation in a civil service or post, opts either- (a) To continue to draw Military pension or retain gratuity received on discharged from Military in which cases his former Military service shall not count as qualifying service, or (b) To cease to draw his pension and refund - (i) The pension already drawn and (ii) Value received for the commutation of a part of Military pension and (iii) The amount of retirement gratuity including service gratuity, if any and count previous Military service as qualifying service in which case the service so allowed to count shall be restricted to a service within or outside the employee s unit or department in India or elsewhere which is paid from the consolidated Fund of India or for which Pensionary contribution has been received by the Govt. provided that :- (a) The pension drawn prior to the date of re-employment shall be required to be refunded, (b) The element of pension which was ignored for fixation of his pay including the element of pension which was not taken into account for fixation of pay on reemployment shall be refunded by him. (c) The element of pension equivalent of gratuity including the element of commuted part of pension, if any, which was taken into account for fixation of pay shall be set off against the amount of retirement gratuity and the commuted value of pension and the balance, if any, shall be refunded by him with interest. MINIMUM AND MAXIMUM Q.S The minimum qualifying service to earn pension is ten years. In case a Govt. employee has been retired before rendering qualifying service of less than ten years then he will be eligible to get service gratuity in lieu of pension. The maximum qualifying service to earn maximum pension is thirty-three years. A Govt. employee who has rendered qualifying service of not less than thirtythree years will be eligible to get maximum amount of pension i.e. 50% of average emolument for the last ten months. However, Linkage of full pension with 33 years of Q.S. has been dispensed with w.e.f and pension shall be paid at 50% of emoluments or average emoluments received during last 10 months, whichever is more beneficial. 15

18 CHAPTER 3 GRANT OF SUPERANNUATION PENSION 1. EMOLUMENTS 2. AVERAGE EMOLUMENTS 3. AMOUNT OF PENSION CONTENTS 4. AMOUNT OF RETIREMENT GRATUITY 5. AMOUNT OF DEATH GRATUITY 6. DEARNESS RELIEF ON PENSION/FAMILY PENSON 7. RATES OF DEARNESS RELIEF 8. PROVISIONAL PENSION WHERE DEPARTMENTAL OR JUDICAL PROCEEDINGS MAY BE PENDING 16

19 GRANT OF SUPERANNUATION/RETIRING PENSIONARY AWARDS The Pensionary awards to be notified in r/o Defence civilians are determined on the basis of the rules and instructions incorporated in CCS (Pension) Rules 1972 and AI.7/5/76. The retirement benefits are based on the two factors viz. the qualifying service which a Govt. servant has rendered prior to his retirement/death and emoluments and average emolument which he was in receipt on the date of his retirement/death. The salient features regarding emoluments/average emolument, amount of pension, retirement gratuity and death gratuity are dealt with in the succeeding paras. Emoluments and Average emolument. The expression emoluments mean basic pay as defined in rule 9 (21)(a)(i) of the Fundamental Rules, which a govt. servant was receiving immediately before his retirement or on the date of his death and will also include non-practicing allowance granted to medical officer in lieu of private practice. (i) Stagnation increment shall be treated as emoluments for calculation of retirement benefits. The following points should be kept in mind while determining the emoluments for the purpose of grant of Pensionary awards. If a Govt. servant immediately before his retirement or death while in service had been absent form duty on leave for which leave salary is payable or having been suspended had been reinstated without forfeiture of service, the emoluments, which he would have drawn had he not been absent from duty or suspended shall be the emoluments for the purpose of the pension rules. Provided that any increase in pay other than the increment, which is not actually drawn, shall not form part of his emoluments. (ii) Where a Govt. servant immediately before his retirement or death while in service had proceeded on leave for which leave salary is payable after having held a higher appointment whether in an officiating capacity or temporary capacity the benefit of emoluments drawn in such higher appointment shall be given only, if it is certified that the Govt. servant would have continued to hold the higher appointment but for his proceeding on leave. (iii) If is a Govt. servant immediately before his retirement or death while in service had been absent from duty or extra ordinary leave or had been under suspension, the period where off does not count as service the emoluments which he draw immediately before proceeding on such leave or being placed under suspension shall be the emoluments for the purpose of pension rule. (iv). If a Govt. Servant immediately before his retirement or death while in service was on earned leave and earned an increment, which was not withheld; such increment though not actually drawn shall form part of his emoluments. 17

20 Provided that the increment was earned during the currency of the earned leave not exceeding one hundred and twenty days or during the first one hundred and twenty days of earned leave where such leave was for more than one hundred and twenty days. (v.) Pay drawn by a govt. servant while on deputation to the Armed Forced of India shall be treated as emoluments. (vi.) Pay drawn by a Govt. servant while on foreign service shall not be treated as emoluments, but the pay which he would have under the Govt. had he not been on foreign service shall alone be treated as emoluments. (vii.) Where a pensioner who is re-employed in govt. service elects in terms of clause (a) of such rule (a) to retain his pension for earlier service and whose pay on re-employment has been reduced by an amount not exceeding his pension the element of pension by which his pay is reduced shall be treated as emoluments. (viii.) When a Govt. servant has been transferred to an autonomous body consequent on the conversion of a Department of the Govt. into such a body and the Govt. servant so transferred opts to retain the Pensionary benefits under the rules of the government the emoluments drawn under the autonomous body shall be treated as emoluments for the purpose of the pension rules. (ix.) For the purpose of calculation of retirement/death gratuity D.A. admissible on the date of retirement/death will be treated as emoluments in r/o those who retire on or after The term emoluments for the purpose of calculating various Pensionary awards other than retirement Gty. shall mean basic pay as defined in F.R.9 (21) (a) (i) which the Government servant was receiving immediately before his retirement or on the date of his death. Average emoluments: Average emoluments shall be determined with reference to the emoluments drawn by a Govt. servant during the last ten months of his service. The following points should be kept in view while determining the average emoluments. (i.) If during last ten months of his service a Govt. servant had been absent from duty on leave for which leave salary is payable or having been suspended had been reinstated without forfeiture service, the emoluments which he would have drawn had he not been absent from duty or suspended shall be taken into account for determination of the average emoluments. Provided that any increase in pay other than the increment, which is not actually drawn, shall not form part of his emoluments. (ii.) If during last ten months of his service, a Govt. servant had been absent from duty on E.O.L or had been under suspension the period where does not count a service the aforesaid period of leave or suspension shall be disregarded in calculation of the average emoluments and equal period before the ten months shall be included. 18

21 (iii.) In the case of a Govt. servant who was on E.L. during last ten months of his service and earned an increment, which was not withheld, such increment though not actually drawn shall be included in the average emoluments. Provided that the increment was earned during the currency of the E.L not exceeding 120 days or during first 120 days of E.L where such leave was for more than 120 days. Amount of Pension: In case of Govt. servant retiring in accordance with the CCS (P) Rules 1972 before completing qualifying service of ten years. Service gratuity is payable in lieu of monthly pension, which will be, calculated at the rate of ½ months emoluments for every completed six monthly period of qualifying service. Linkage of full pension with 33 years of qualifying service shall be dispensed with. Once a Government servant has rendered the minimum qualifying service of twenty years, pension shall be paid at 50% of the emolument or average emoluments received during the last 10 months, whichever is more beneficial to him. In cases where Government servant becomes entitled to pension on completion of 10 years of qualifying service in accordance with Rule 49 (2) of the CCS (Pension) Rules, 1972, pension in those cases shall also be paid at 50% of the emoluments or average emoluments, whichever is more beneficial to, the Government servant. The amount of pension finally determined shall be expressed in whole rupees and where a pension contains a fraction of rupees it shall be rounded off to the next rupee. Amount of Retirement Gratuity: A Govt. servant who has completed 5 yrs of service and has become eligible for service gratuity or pension shall on his retirement be granted retirement gratuity equal to ¼ th of his emoluments for each completed to six monthly period of Q.S. subject to maximum of 16 ½ times of emoluments the maximum limit of retirement gratuity is Rs.10 lakh Amount of Death Gratuity: If a Govt. servant dies while in service the death gratuity shall be paid to his family At the following rates Length of Qualifying Service Less than 1 yrs. One year or more but less than 5 yrs. 5yrs or more but less than 20 yrs Rate of death gratuity 2 times of emoluments 6 times of emoluments 12 times of emoluments 20 yrs or more Half of emoluments for every completed six monthly period of Q.S. subject to a maximum of 33 times of emoluments. 19

22 The maximum limit for grant of Death Gratuity is Rs.10 lakh. If the emoluments of the Govt. servant are reduced during last ten months of his service other wise than as penalty the average emoluments for ten months shall be treated as emoluments for the purpose of calculation of gratuity. Dearness Relief on Pension / Family Pension: Dearness Relief from is granted to compensate for the increase in cost of living beyond the average C.P.I 536. This will be sanctioned twice in a year, from 1 st January and 1 st July based on the price rise beyond the average CPI 536 as on the preceding 31 st December 30th June, as the case may be. Dearness Relief is admissible on original pension before commutation or family pension. Fraction of a rupee shall be rounded off to the next higher rupee. Dearness Relief will be suspended if the pensioner who is employed/reemployed under central/state Govt. or re-employed/employed/permanently absorbed in the central or a state Govt. Company, corporation, under taking or Autonomous body or in RBI or in a Public Sector Bank or in G.I.C/L.I.C, etc, holds Group A Post or held a post of the rank of commissioned officer at the time of their retirement. Has taken the benefit of post service in the re-employment. Dearness Relief will be admissible to all family pensioners including those employed under central Govt. etc from For pensioners/family pensioners in receipt of more than one pension, the dearness relief will be calculated on the total of all pensions taken together. RATE OF DEARNESS RELIEF HAS BEEN SHOWN IN ANNEXURE I DISBURSEMENT: Govt. will endorse a copy of their order to all pension disbursing authorities including the Public Sector Banks and the Postal Department. The Bank/Postmaster will get the copy of the order from their Head Office and other Pension disbursing Authorities and will automatically Credit the increase in the pensioners accounts. PROVISONAL PENSION WHERE DEPARTMENTAL OR JUDICAL PROCEEDING BE PENDING. In respect of Govt. servant, who has retired on attaining the age of superannuation or otherwise and against whom any departmental or judicial proceedings are instituted or where departmental proceedings are continued, the Accounts Officer shall authorize the provisional pension equal to the maximum pension which would have been admissible on the basis of qualifying service up to the date of retirement of the Govt. servant, or if he was under suspension on the date of retirement up to the date immediately preceding the date on which he was placed under suspension. The Accounts Officer shall authorize the provisional pension during period commencing from the date of retirement up to and including the date on which after the conclusion of departmental or judicial proceedings, final orders are passed by the competent authority. 20

23 No gratuity shall be paid to the Govt. servant until the conclusion of the departmental or judicial proceedings and issue of final orders thereon. Provided that where departmental proceedings have been instituted under Rule 16 of the Central Civil Services (classification, Control and Appeal) Rule 1965, for imposing any of the penalties specified in clauses (i) (ii) and (iv) of Rule 11 of the said rules, the payment of gratuity shall be authorized to be paid to the govt. servant. Payment of provisional pension made, shall be adjusted against final retirement benefits sanctioned to such Govt. servant upon conclusion of such proceedings but no recovery shall be made where the pension finally sanctioned is less than the provisional pension or the pension is reduced or withheld either permanently or for a specified period. The grant of cent percent provisional pension under Rule 69 ibid is mandatory even if departmental or judicial proceedings are instituted. 21

24 CHAPTER 4 GRANT OF FAMILY PENSION AND DEATH GRATUITY DEATH WHILE IN SERVICE CONTENTS 01. NEW FAMILY PENSION SCHEME DEFINITION OF FAMILY FOR THE PURPOSE OF FAMILY PENSION UNDER FPS PERSONS ALSO ENTITLED TO FAMILY PENSION IN PECULIAR SITUATION. 04. DETERMINATION OF EMOLUMENTS. AMOUNT OF FAMILY PENSION. 05. AMOUNT OF FAMILY PENSION. 06. DEATH GRATUITY. 07. MAXIMUM CEILING ON DCRG FIXED FROM TIME TO TIME. 08. NOMINATION FOR DEATH GRATUITY. 09. MINIMUM LIMIT OF FAMILY PENSION FROM TIME TO TIME. 10. DETERMINATION OF THE DURATION OF AWARDS. 11. DETAILED SCRUTINY OF FAMILY PENSION CLAIM. 12. PROCESS OF FAMILY PENSION CLAIMS 13. DEARNESS RELIEF ON FAMILY PENSION. 14. COMMON ERRORS BY H.O.O 22

25 GRANT OF FAMILY PENSION AND DEATH GRATUITY DEATH WHILE IN SERVICE. FAMILY PENSION INTRODUCED W.E.F Family Pension is normally granted after the death of the Govt. servant/pensioner. No provision for payment of family pension existed in the old pension rules. The Defence civilians, for the two different set of Govt. orders namely. (i) Liberalized Pension Rules (ii) New Family Pension scheme The payment of family pension was for the first time introduced with effect from under the provision of new pension rules. Under the provision of new pension rules, family pension was admissible for a limited period of 5 years to the eligible member of family of the deceased Govt. servant who died after completing of 25 years of service either whether in service or after retirement subject to the condition that it should not go beyond 5 years from the date of retirement or assumed date of retirement. The family pension was calculated at the rate of half of pension, if the deceased Govt. servant died after the retirement. From the period of grant was enhanced to 10 years subject to the condition that it did not go beyond 5 years from the date of retirement or assumed date of retirement. Thereafter with the introduction of New Family Pension Scheme 1964, the provisions of family pension under LPR-50, are no longer operative from NEW FAMILY PENSION SCHEME : The title to family pension under the new family pension scheme 1964 is effective from and arises, if the deceased Govt. servant in whose respect, family pension is claimed was himself serving in a pension able establishment on or after and to a Govt. servant who was in service on and came to be governed by the provisions of family pension scheme Secondly, in the cases governed by the new family pension scheme 1964 a family pension is granted to the family of a Govt. servant who dies while in service or after retirement on or after , if at the time of death while in service, the Govt. servant had completed a minimum period of continuous service of one year including period of E.O.L if any, or in cases of death after retirement, he was in receipt of pension or compassionate allowance. Thirdly the family of the deceased shall also be entitled to Family Pension in cases where a Govt. Servant dies before completion of one-year service provided he immediately prior to his appointment to the service or post was examined by the appropriate medical authority and declared fit by that authority for Govt. servant. Fourthly, the provisions of Family Pension Scheme -1964, have also been extended from to Govt. servants or pensionable establishment who retired/died before , as also to those who were alive on , but had opted out of 1964 scheme. 23

26 DEFINITION OF FAMILY FOR THE PURPOSE OF FAMILY PENSION UNDER FPS Family pension is granted to the family of a Govt. Servant in the event of his death while in service or after retirement provided he was in receipt of a pension at the time of his death. For the purpose of grant of Family Pension, the Family shall be categorized as under:- Category-I (a) Widow or widower, upto the date of death or re-marriage, whichever is earlier. (b) Son/daughter(including widowed daughter), upto the date of his/her marriage/re-marriage or till the date he/she stats earning or till the age of 25 years, whichever is the earliest. Category-II (c) Unmarried/Widowed/Divorced daughter, not covered by Category I above, upto the date of marriage/re-marriage or till the date she starts earning or upto the date, whichever is earliest. (d) Parents who were wholly dependent on the Government servant when he/she was alive provided the deceased employee had left behind neither a widow nor a child. Family pension to dependent parents unmarried/divorced/widowed daughter will continue till the date of death. Family pension to unmarried widowed/divorced daughters in Category II and dependent parents shall be payable only after the other eligible family members in Category-I have ceased to be eligible to receive family pension and there is no disabled child to receive the family pension. Grant of family pension to children in respective categories shall be payable in order of their date of birth and younger of them will not be eligible for family pension unless the next above him/her has become ineligible for grant of family pension in that category. NOTE 1: The dependency criteria for the purpose of family pension shall be the minimum family pension along with dearness relief thereon. NOTE 2: The childless widow of a deceased Government employee shall continue to be paid family pension even after her remarriage subject to the condition that the family pension shall cases once her independent income from all other sources becomes equal to or higher than the minimum prescribed family pension in the Central Government. The family pensioner in such cases would be required to give a declaration regarding her income from other sources to the pension disbursing authority every six months. NOTE 3: A disabled son/daughter becomes ineligible for family pension on his/her getting married. PERSONS ALSO ENTITLED TO FAMILY PENSION IN PECULIAR SITUATION In addition to family members as defined in the definition of family, the following members of the family who are placed in peculiar situations are also eligible for Family Pension under the provisions of Family Pension Scheme

27 (a) HANDICAPPED CHILDREN If the son or daughter of a Govt. servant is suffering from any disorder or disability of mind or physically crippled or disabled so as to render him or her to enable to earn a living even after attaining the age of 25 years, the Family Pension shall be payable to such son or daughter for life subject to the conditions laid down in sub rule of Rule 54 of CCS (P) Rules These orders are effective from and apply to that Govt. servant who died /retired on or after subject to the condition that only that disability which manifests itself before the retirement the death of the Govt. servant while in service, shall be taken into account for in the purpose of grant of family pension under these provisions. The handicapped children of those employees who retired/died before , will also be entitled to Family Pension throughout life but in their cases the financial benefit will take effect from and no arrears on this account will be admissible. The requirement of manifestation of the disability before the retirement/death in harness of a Govt. servant as a precondition for the grant of life time family pension in respect of handicapped children has been dispensed with under Govt. letter dt (b) POSTHUMOUS CHILD Posthumous child of the deceased Govt. servant would also be entitled to Family Pension. (c) POST RETIRAL SUPOUSES The benefit of Family Pension Scheme 1964 will also be admissible to the post retrial spouses from the date following the date of death of the pensioner. (d) MISSING EMPLOYEE/PENSIONER When an employee/pensioner disappears leaving behind his family and his whereabouts are not known Family Pension is paid to the eligible member of the family one-year after the date of lodging of the FIR with the police station. The Family Pension will accrue from the date of lodging FIR or expiry of leave of the employee who has disappeared, whichever is later. (e) FAMILY PENSION IN CASE OF OFFICIALS MISSING AFTER COMMITTING FRAUD In case of officials disappearing after committing fraud Family Pension will be sanctioned only on the Govt. employee being acquitted by the court of law or after the conclusion of disciplinary proceedings. (f) CHILDREN FROM THE VOID OR VOIDABLE MARRIAGE Child/Children of a deceased Govt. servant born out of void able marriages or marriage which are held void under the provisions of Hindu Marriage Act, will be eligible for the benefit of Family Pensions when their turn comes in order of their birth. In other words the younger of them will not be eligible for Family Pension 25

28 unless the elder next above him/her has become ineligible for the grant of Family Pension. (g) CHILDERN FROM DIVORCED WIFE When the deceased Govt. servant or pensioner is survived by a widow but has left behind eligible child/children from a divorced wife or wives the eligible child/children shall be entitled to the share of Family Pension which the mother would have received at the time of death of the Govt. servant/pensioner, had she not been so divorced. (a) MINOR CHILD / CHILDREN: - The minor child /children of the deceased Govt. servant are also entitled to the award of Family Pension in the order of their birth and the younger of them will not be eligible from Family Pension unless the elder next above him/her has become ineligible for the grant of Family Pension. DETERMINATION OF EMOLUMENTS: Family Pension: - The family pension under the New Family Pension Scheme 1964 is calculated on the emoluments drawn by the govt. servant on the date of his death while in service or immediately before his retirement. EMOLUMENTS MEANS: - Basic pay in the Revised Pay Rule-2008 means the pay drawn in the prescribed pay band plus the applicable grade pay but does not include any other type of pay like special pay etc. IMPORTANT NOTE: If the emoluments of the Govt. servant have been reduced during the last ten months of his service otherwise than as penalty and if for the purpose of calculating the death-cum-retirement gratuity, his average emoluments are treated as pay for calculating the Family Pension under the New Family Pension Scheme AMOUNT OF FAMILY PENSION: - (A) Enhanced rate of Family Pension (B) Normal rate of Family Pension NORMAL RATE OF FAMILY PENSION In the event of death while in service the amount of Family Pension admissible to the eligible member of the family of the deceased Govt. servant will be determined in the following manner. (i) RATES OF FAMILY PENSION ON OR AFTER PAY MONTHLY FAMILY PENSION A) Pay below Rs. 200/- 30% of pay Min. of Rs.25/- B) Rs.200/- and above but below Rs.800/- 15% of pay Min of Rs. 60/- max of Rs.96/- C) Rs.800/- and above 12% of pay Max of rs

29 (ii) RATES OF FAMILY PENSION ON OR AFTER MONTHLY FAMILY PENSION A) Pay below Rs.400/- 30% of pay Min. of Rs.60/- Max of Rs.100/- B) Rs.400/- and above but below Rs.1200/- 15% of pay Min. of Rs.100/- max of Rs.160/- C) Rs.1200/- and above 12% of pay Min. of Rs.160/- Max of Rs.250/- (iii) RATES OF FAMILY PENSION ON OR AFTER MONTHLY FAMILY PENSION A) Pay below Rs.1500/- 30% of pay Min. of 375/- B) Rs.1500/- and above but below Rs.3000/- 20% of pay Min. of 450/- C) Rs.3000/- and above 15% of pay Min. of Rs.600/- Max of Rs.1250/- IMPORTANT NOTE Minimum Family Pension that can be sanctioned is Rs.3500/- pm and maximum of Family Pension Rs.27000/-pm. These are applicable with effect from to those employees who have retired/or die on or after ENHANCED RATE OF FAMILY PENSION If the individual dies after having rendered not less than 7 years continuous service his/her family will be entitled to the following rates of enhanced Family Pension. Family Pension payable at enhanced rate for the initial period after death while in service or after retirement. Additional Pension to old pensioners 27