NPS - Extension of benefits of Retirement Gratuity and Death Gratuity to the employees of Autonomous Body/ Organisation covered under National Pension System

NPS - Extension of benefits of Retirement Gratuity and Death Gratuity to the employees of Autonomous Body/ Organisation covered under National Pension System

KVS

F.110230(NPS)2018 /KVS(HQ)/ P&I/ 2133

Dated: 16.05.2019

The Deputy Commissioner/Director,
Kendriya Vidyalaya Sangathan,
All Regional Offices/ZIETs

Sub:- Extension of benefits of Retirement Gratuity and Death Gratuity to the employees of Autonomous Body/Organisation covered under National Pension System (NPS).

Sir,
I am to inform you that Ministry of HRD, vide letter dated 22.04.2019, has directed KVS for stoppage of retirement and death gratuity to the NPS subscribers forthwith. Therefore, death & retirement gratuity and provisional family pension, in terms of CCS (Pension) Rules, 1972, will not be payable to NPS subscriber with effect from 30.04.2019 till further order.

This issues with the approval of the Commissioner, KVS.

Yours faithfully,

(A.K. Srivastava)
Assistant Commissioner (Finance)

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Central Government employees - Withdrawal of Pension Facility

Central Government employees - Withdrawal of Pension Facility

Ministry of Personnel, Public Grievances & Pensions

Withdrawal of Pension Facility

03 JAN 2019

Information regarding the number of Central Government employees in the country is not maintained centrally in this Ministry. As per information provided by Department of Expenditure, the total number of Central Government civilian employees, as on 01.03.2016, was 32, 21,183
Total number of Central Government civil pensioners, as on 31.03.2018, is 37, 02,882.

Central Government employees (except Armed Forces personnel) appointed on or after 01.01.2004 are covered under the National Pension System (NPS) notified vide Ministry of Finance (Department of Economic Affair's) Notification No. 5/7/2003-ECB & PR dated 22.12.2003 and Section 20 of PFRDA Act, 2013. Such employees are, therefore, not covered by the Central Civil Services (Pension) Rule, 1972, which are allocable to Central Government civil employees appointed on or before 31.12.2003.

Under NPS a monthly contribution of 10 percent of basic pay plus dearness allowance is required to be made by the employees and a matching contribution is made by the Government. It has since been decided to increase the Government contribution to 14 percent of basic pay and dearness allowance.
On superannuation/retirement, at least 40% of the accumulated pension wealth of such subscriber is mandatorily utilized for purchase of annuity providing for a monthly or any other periodical pension and the balance of the accumulated pension wealth after such utilization is paid to the subscriber in lump sum.

In the event of death of a Government servant of his discharge from service on account of disability or invalidation on medical grounds, the benefit of Central Civil Services (Pension) Rules, 1972 are available to the Government employees of his family members.
Central Government employees covered under NPS are eligible for the benefit of retirement gratuity and death gratuity on the same terms and conditions as are applicable under Central Civil Services (Pension) Rules, 1972.

NPS employees are also eligible for other post-retirement benefits such as leave encashment, group insurance, medical facility, etc., as are applicable to employees appointed before 01.01.2014.
This information was provided by the Union Minister of State (Independent Charge) Development of North-Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances & Pensions, Atomic Energy and Space, Dr Jitendra Singh in written reply to a question in Rajya Sabha today.

PIB

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NPS: Extension of benefits of Retirement Gratuity and Death Gratuity to the Central Government employees covered by New Defined Contribution Pension System (National Pension System) - regarding.

OFFICE OF THE PR. CONTROLLER OF DEFENCE ACCOUNTS (PENSION)
DRAUPADI GHAT, ALLAHABAD-211

Circular No C-170

No.G1/C/MISC/NPS-II/Tech
O/o the PCDA (P), Allahabad
Dated: 13-07-2017

Sub: NPS: Extension of benefits of Retirement Gratuity and Death Gratuity to the Central Government employees covered by New Defined Contribution Pension System (National Pension System) - regarding. 

Ref:- This office Circular No. 79 dated 29/10/2010 and No. 110 dated 12/08/2013

Benefits of Retirement Gratuity and Death Gratuity to the Central Government employees covered by New Defined Contribution Pension System (National Pension System) has been extended vide Govt. of India, Ministry of PPG & P, Deptt. of P&PW in their O.M. No. 7/5/2012- P&PW (F)/B dated 26.08.2016 (copy enclosed)on the same terms and conditions as are applicable to employees covered by Central Civil Service (Pension) Rules, 1972. The Ministry has further clarified vide O.M.No.28/03/2017-P&PW(B) dt. 18/05/2017, that CCS (Pension) Rules, 1972 are otherwise not applicable to the Central Government employees covered under NPS. Hence, they would obviously not be eligible for Service Gratuity or Pension under the CCS (Pension) Rules.

2. The phrase 'terms and condition' in the ibid O.M. dated 26.08.2016 refers to the requirement of qualifying service, the rates on which retirement gratuity is to be paid, the limit of amount of gratuity, nominations, disciplinary provisions, etc. in the CCS(Pension) Rules. All these condition would be equally applicable for grant of gratuity to employees covered under NPS. The decision to extend retirement gratuity and death gratuity vide the O.M. dated 26.08.2016 is absolute and not provisional. Separate rules on gratuity for Central Government employees under NPS would be framed in due course.
3. Now, it has been decided that to submit the claims of above beneficiaries for Retirment Gratuity and Death Gratuity, the following procedures shall be adopted by HOO and Pay Audit Controllers:-

i. H.O.O. will prepare a claim in case of NPS beneficiaries going to retire in accordance with the procedure as prescribed for Defence Civilian Personnel appointed before 01.01.2004 and will submit the same along with service boom and all the relevant documents (Which is required in case of pre 01.01.2004 Cases) to PAO concerned i.e.LAO/RAO. The Permanent Retirement account No. (PRAN) of the concerned Government Servant Allotted by National Security Depository limited (NSDL) will also be indicated. In cases where PRAN has not been allotted by NSDL to a NPS subscriber being non-effecting account as on 0104.2008, permanent pension account No.(PPAN) allotted to subscriber will be indicated.

ii. PAO will carry all necessary checks with reference to the entries in service book and as admissible under the OM No.38/41/06 P&PW (A) dated 05.05.2009 (already circulated under this office circular no.79 dt. 29-10-2010) to ensure that entries made in claim are in as per records in the service book of the individual. After signing and affixing the seal, the PAO concerned i.e.LAO/RAO will pass on the claim to the PCDA(P) Allahabad. The service book will be returned by PAO to HOO concerned.

iii.HOO will also maintain a separate register for recording entries for PRAN /PPAN No., Name of Government Servant, PPO No. and awards notified.
iv. On receipt of PPO from PCDA(P) Allahabad, HOO will check the same and after recording the entries in the register retransmit PDA's copy to PDA, Pensioner copy to Pensioner and retain
HOO copy for their own record.

v. Other procedures prescribed for pre 01-01-2004 pensioner will also be followed by the HOO in case of NPS beneficiaries.

4. In view of the foregoing, you also are requested to issue suitable instructions (along with copy of this circular) to all the Head of Offices under your administrative control to ensure that claim on the subject matter henceforth are floated in accordance with instructions given in above Para.

(Rajeev Ranjan Kumar)
Dy.CDA (P)

Source: [PCDA.nic.in]

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NPS Employees shall eligible for benefit of ‘Retirement gratuity and Death gratuity’ as per CCS (Pension) Rule,1972 – Finance Ministry issued orders on 26.8.2016

NPS Employees shall eligible for benefit of ‘Retirement gratuity and Death gratuity’ as per CCS (Pension) Rule,1972 – Finance Ministry issued orders on 26.8.2016

Extension of benefits of (Retirement Gratuity and Death Gratuity) to the Central Government employees covered by new Defined Contribution Pension System (National Pension System)- regarding.

No.7/5/2012-P&PW(F)/B
Ministry of Personnel, Public Grievances and Pensions
Department of Pension and Pensioners Welfare

Lok Nayak Bhavan, Khan Market,
New De1hi-110 003, Dated the 26 August, 2016.

OFFICE MEMORANDUM

Subject : Extension of benefits of ‘Retirement Gratuity and Death Gratuity’ to the Central Government employees covered by new Defined Contribution Pension System (National Pension System) — regarding.

The undersigned is directed to say that the pension of the Government servants appointed on or after 1.1.2004 is regulated by the new Defined Contribution Pension System (known as National Pension System), notified by the Ministry of Finance (Department of Economic Affairs) vide their OM No.5/7/2003-ECB & PR dated 22.12.2003. Orders were issued for payment of gratuity on provisional basis in respect of employees covered under National Pension System on their retirement from Government service on invalidation or death in service, vide this Department’s OM No.38/41/2006-P&PW(A) dated 5.5.2009.

2. The issue of grant of gratuity in respect government employees covered by the National Pension System has been under consideration of the Government. It has been decided that the government employees covered by National Pension System shall eligible for benefit of ‘Retirement gratuity and Death gratuity’ on the same terms and conditions, as are applicable to employees covered by Central Civil Service (Pension) Rule,1972.

3. These orders issue with the concurrence of Ministry of Finance, Department of Expenditure, vide their I.D. Note No.1(4)/EV/2006-II dated 29.07.2016.

4. In their application to the persons belonging to the Indian Audit and Accounts Department, these orders issue after consultation with Comptroller and Auditor General of India.

5. These orders will be applicable to those Central Civil Government employees who joined Government service on or after 1.1.2004 and are covered by National Pension System and will take effect from the same date i.e. 1.1_2004.

sd/-
(Harjit Singh)
Director (Pension Policy)

Click to view the order
Authority :http://www.pensionersportal.gov.in/

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7th Pay Commission Report on Death Gratuity

7th Pay Commission Report on Death Gratuity

The Commission has received representations pointing to a need for rationalization of current slabs for death gratuity, especially for the slab of 5 to 20 years of qualifying service in which family pensioners are stated to be placed at a disadvantageous position.

Analysis and Recommendations : As per Rule 50 of Pension Rules, the death gratuity admissible will be as follows, subject to the maximum limit prescribed for the gratuity:

Authority: 7th CPC Report

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7th Pay Commission’s Recommendations on Gratuity

7th Pay Commission’s Recommendations on Gratuity

7th CPC recommends for raising Gratuity from the existing Rs.10 lakh to Rs.20 lakh from 01.01.2016. 7th Pay Commission further proposes for DA indexed Gratuity viz., increase by 25 percent whenever DA rises by 50 percent.

Enhancement in the Gratuity Ceiling and its Indexation

A number of representations have been received by the Commission stating that there is a need to revise the existing ceiling of Rs.10.00 lakh with regard to payment of service gratuity.

Analysis and Recommendations

Rule 49 and 50 of the CCS (Pension) Rules provides that a government servant is entitled to get retirement gratuity equal to one-fourth of his emoluments for each completed six monthly period of qualifying service subject to a maximum of 16.5 times of the last emoluments subject to a maximum of Rs.10 lakh.
The Commission sought the views of the government in this regard. The Department of Pension and Pensioners Welfare stated that the VI CPC has increased the amount of gratuity from Rs.3.5 lakh to Rs.10 lakh w.e.f. 01.01.2006. This amount, in the view of the department, is not commensurate with emoluments that are available to senior officers at the time of retirement. The department has suggested to the Commission that a view could be taken to index gratuity with amount of DA admissible at the time of retirement.

The Commission notes that there is merit in the argument advanced to index the ceiling on gratuity so that the benefits of the enhanced ceiling are available to personnel in a manner which is more even over a time frame. The Commission recommends enhancement in the ceiling of gratuity from the existing Rs.10 lakh to Rs.20 lakh from 01.01.2016. The Commission further recommends, as has been done in the case of allowances that are partially indexed to Dearness Allowance, the ceiling on gratuity may increase by 25 percent whenever DA rises by 50 percent.

Rationalisation of Death Gratuity

The Commission has received representations pointing to a need for rationalization of current slabs for death gratuity, especially for the slab of 5 to 20 years of qualifying service in which family pensioners are stated to be placed at a disadvantageous position.

Analysis and Recommendations

As per Rule 50 of Pension Rules, the death gratuity admissible will be as follows, subject to the maximum limit prescribed for the gratuity:

Length of Service	Rate of Death Gratuity
Less than one year	2 times of monthly emoluments
One year or more but less than 5 years	6 times of monthly emoluments
5 years or more but less than 20 years	12 times of monthly emoluments
20 years or more	Half month of emoluments for every complete six monthly period of qualifying service subject to a maximum of 33 times of monthly emoluments

The Commission sought the views of the government in this regard. Department of Pension and Pensioners Welfare stated that it had received similar demands from pensioners’ association and it feels a need for a review of the existing slabs for death gratuity.

The Commission, after examination of the matter, recommends the following revised rates for payment of death gratuity:

Length of Service	Rate of Death Gratuity
Less than one year	2 times of monthly emoluments
One year or more but less than 5 years	6 times of monthly emoluments
5 years or more but less than 11 years	12 times of monthly emoluments
11 years or more but less than 20 years	20 times of monthly emoluments
20 years or more	Half month of emoluments for every complete six monthly period of qualifying service subject to a maximum of 33 times of emoluments

Reduction in the time period for Restoration of Basic Pension
The Commission has received a number of representations requesting reduction of restoration period of commuted portion of pension from the existing 15 years.

Source: gconnect.in

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Payment of Death Gratuity to a minor-regarding

Payment of Death Gratuity to a minor-regarding

RBE No. 07/2015
GOVERNMENT OF INDIA (BHARAT SARKAR)
MINISTRY OF RAILWAYS (RAIL MANTRALAYA)
(RAILWAY BOARD)

No. F(E)III/2008/PN1/12

New Delhi, Dated: 29-01.2015.

The GMs/FA&CAOs,
All Indian Railways/Production Units/RDSO.
(As per mailing list)

Subject: Payment of Death Gratuity to a minor-regarding.

*****

A copy of the Department of Pension and Pensioners' Welfare (DOP&PW)'s O.M No.7/3/2013-P&W(F) dated 02/12/2014 on the above subject is enclosed for information and compliance. These instructions shall apply mutatis mutandis on the Railways also.

2. The instruction enhancing the ceiling limit of gratuity from Rs. 5000/- to Rs.10,000/- in such cases was issued vide Board's letter No. F(E)III/88/PN1/42 dated 20.10.1989.

3. Please acknowledge receipt.

D.A.: As above

(AMITABH JOSHI)
Deputy Director Finance (Eslt.)III,
Railway Board.

No. F(E)III/2008/PN1/12
New Delhi, Dated:29 .01.2015.
Copy to Depuly Comptroller and Auditor General of India (Railways), Room No.224, Rail Bhavan, New Delhi (40 spares).

for Financial Commissioner/Railways.

Source: Airfindia.com

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Grant of Family Pension and Gratuity to the eligible member of the family of any employee/pensioner

 Press Information Bureau
Government of India
Ministry of Personnel, Public Grievances & Pensions

23-July, 2013 16:55 IST

Grant of Family Pension and Gratuity to the eligible member of the family of any employee / pensioner

Family pension is payable to the family of a Government employee or pensioner after his death. Difficulties in payment arise when a Government Servant or pensioner goes missing. Clarificatory instructions have recently been issued by the Central Government for payment of benefits in such cases.

According to these instructions, the family must lodge a report with the concerned police station and obtain a report from the police, that the employee or pensioner or family pensioner has not been traced despite all efforts made by them.

The report may be a First Information Report or any other report such as a Daily Diary or General Diary Entry.

The family can apply for the grant of family pension, amount of salary due, leave encashment due and the amount of GPF and gratuity (whatever has not already been received) to the Head of Office of the organisation where the employee or pensioner had last served, six months after lodging of police report.

The amount of salary due, leave encashment due and the amount of GPF will be paid to the family in the first instance as per the nominations made by the employee or pensioner on filling of a police report and submission of an indemnity bond.

Detailed instructions are available at www.persmin.nic.in. under “Department of Pension & Pensioners’ Welfare’s” category

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