The Modi government has recently introduced changes to the regulations concerning pension and gratuity for employees.
In March 2023, the government announced the Dearness Allowance (DA), with arrears granted to employees from January 1.
Another DA increase is expected to be announced by the government in September or October.
However, it’s crucial to note that the government has issued a stern warning to central employees.
Failure to comply may result in the denial of pension and gratuity upon retirement.
Instructions to Cease Pension and Gratuity
The government has issued instructions stating that pension and gratuity will be discontinued for employees who display negligence in their work after retirement.
Currently, this directive applies to central employees, and it may be adopted by states in the future.
Rule 8 of Rule 2021 Modified
The Central Government has released a notification under the Central Civil Services (Pension) Rule 2021, which includes changes to Rule 8 of the CCS (Pension) Rules 2021.
The new provisions stipulate that if central employees are found guilty of severe offenses or negligence during their service, their pension and gratuity will be terminated after retirement.
Authorities Authorized to Take Action
The following individuals hold the power to withhold gratuity or pension:
1) Presidents associated with the appointing authority of retired employees.
2) Secretaries affiliated with the relevant ministry or department responsible for the retiring employee’s appointment.
3) The Comptroller and Auditor General (CAG) can withhold pension and gratuity for employees retired from the Audit and Accounts Department if they are found guilty.
Procedure for Taking Action
Under this rule, it is mandatory to inform the relevant authorities if any departmental or judicial action has been taken against these employees during their employment.
The same rules apply if an employee is reappointed after retirement.
In the event that a retired employee receives pension and gratuity payments and is subsequently found guilty, the authorities may recover the full or partial amount from them.
The authority also has the option to permanently or temporarily suspend an employee’s pension or gratuity.
By implementing these new rules, the government aims to ensure accountability and maintain the integrity of pension and gratuity disbursements.
