7th Pay Commission Pension fixation for Tamilnadu State Government Employees – GO issued

7th Pay Commission Pension fixation for Tamilnadu State Government Employees – Finance Department G.O.Ms.No.313, Dated 25th October 2017.

7th Pay Commission Pension fixation for Tamilnadu State Government Employees – TN Govt Abstract

 FINANCE [Pay Cell] DEPARTMENT

G.O.Ms.No.313, Dated 25th October 2017.

(Heyvilambi, Ippasi-8, Thiruvalluvar Aandu 2048)

ABSTRACT

OFFICIAL COMMITTEE, 2017 – Recommendations of the Official Committee, 2017 – Revision of Pension / Family Pension and Retirement Benefits – Orders – Issued.

Read the following :-

1. G.O.Ms.No.40, Finance (Pay Cell) Department, dated: 22-02-2017.

2. G.O.Ms.No.189, Finance (Pay Cell) Department, dated: 27-06-2017.

3. G.O.Ms.No.303, Finance (Pay Cell) Department, dated: 11-10-2017.
-oOo-

ORDER:

In Government Order first read above, Government constituted an Official Committee to examine and make recommendations on revision of scales of pay and allowances for State Government employees and teachers including employees of Local Bodies and revision of pension, family pension and retirement benefits based on the decisions of the Government of India on the recommendations of the Seventh Central Pay Commission.

2. The   Official   Committee, 2017   has   submitted   its   report   to Government   on   27-09-2017.   The   recommendations   of   the   Official Committee, 2017 on revision of pay and allowances has been accepted by the Government and accordingly orders were issued in the Government Order third read above.

3. The Government has carefully examined the recommendations of the Official Committee, 2017 on revision of pension / family pension and other retirement benefits and pass the following orders: –

PART A.

PENSION / FAMILY PENSION RELATING TO EMPLOYEES WHO RETIRED / DIED WHILE IN SERVICE BEFORE 1-1-2016

4. Paragraphs 5 to 13 below shall apply in respect of employees who have retired or died before 1-1-2016.

REVISION OF PENSION / FAMILY PENSION:

5. (1) The  Pension  or  Family  Pension,  including  enhanced  family pension, relating to employees who retired or died while in service before 1-1-2016 shall, in the first instance, be revised in the following manner:

(i) The existing pension / family pension / enhanced family pension  as  on  31-12-2015,  including  the  commuted portion but excluding additional pension applicable to pensioners / family pensioners of age 80 years and more, shall be multiplied by a factor of 2.57 and rounded off to the next higher ten rupee to arrive at the revised pension / family pension / enhanced family pension.

(ii) The ceiling limit for pension, family pension and enhanced family pension shall be revised from Rs.38,500/- to Rs.1,12,500/– (i.e. 50% of maximum pay in Pay Matrix of Rs.2,25,000/-), from Rs.23,100/- to Rs.67,500/- (i.e. 30% of maximum pay in Pay Matrix of Rs.2,25,000/-) and Rs.38,500/- to Rs.1,12,500/- respectively. Therefore, if the revised pension or family pension or enhanced family pension worked out as detailed in paragraph (i) above exceeds the applicable ceiling limit, it shall be restricted to Rs.1,12,500/-, Rs.67,500/- and Rs.1,12,500/-respectively.

(iii) The minimum revised pension / family pension / enhanced family pension shall be Rs.7,850/- per month.  Therefore, if the revised pension / family pension / enhanced family pension  worked  out  as  detailed  in  (i)  is  less  than Rs.7,850/- per month, it shall be stepped upto Rs.7,850/-.

Illustration-I

The  pension  /  family  pension  of  a  pensioner /  family  pensioner drawing Rs.6300/- shall be refixed as follows:

Sl. No.

Description

Amount
1. Pension /Family Pension as on 31-12-2015 Rs.6,300/-
2. Revised Pension / Family Pension fixed (using a multiplication factor of 2.57 i.e. Rs.16,191/- and rounded off to the next higher ten rupee i.e. Rs.16,200/-). Rs.16,200/-
3. Hence, Revised Pension / Family Pension fixed Rs.16,200/-

 

(2) The revised pension / family pension / enhanced family pension shall not be lower than the additional floor limit set as follows:-

(a) where  the  Government  employee  had,  at  the  time  of retirement/death, completed the minimum required qualifying service to receive full pension as per rules applicable  at  the  time  of  retirement  /  death  of  the employee, the following percentage of the minimum of the pay (or the first cell) in the prescribed Level in the Pay Matrix corresponding to the pre-revised pay scale / pay band and grade pay from which the pensioner had retired

(i) For employee drawing Pension           : 50%
(ii) For family member drawing Normal   :
family pension
30%
(iii) For family member drawing               : Enhanced family pension 50%

and

(b) in  the  case  of  revised  pension,  where  the  Government employee had, at the time of retirement, NOT completed the minimum required qualifying service to receive full pension as per rules applicable at the time of retirement/death of the employee, the amount determined in (a) above, reduced pro rata by multiplying it with the ratio of total qualifying service of the Government employee to the minimum required qualifying service for full pension.

(3) Therefore, if  the revised pension /  family pension /  enhanced family pension fixed as detailed in clause (1) above is less than the additional floor limit set in clause (2) above, it shall be revised to the additional floor limit.  The procedure stated in paragraph 13 of this order shall be followed for giving effect to this revision.

Illustration-II:

Pensioner ‘A’ retired on 31st August 1991, in the pay scale of Rs.2200-75-2800-100-4000 [Fifth Tamil Nadu Pay Commission scales of pay] after rendering full qualifying service and drawing a pension of Rs.11,000/- as on 31-12-2015.  The corresponding pay scales in the subsequent pay revisions i.e. Rs.8000-275-13500 with effect from 1-1-1996 and Rs.15600-39100 plus Grade Pay of Rs.5400/- with effect from 1-1-2006. The revised pension shall be fixed as follows:

Sl. No.

Description

Amount

1.

Pension fixed as on 31-12-2015 Rs.11,000

2.

Revised Pension fixed (using a multiplication factor of 2.57 and rounded off to the next higher ten rupee)  

Rs.28,270

3.

Fifty percent of the minimum of the pay (or the first cell) in the prescribed Level in the Pay Matrix corresponding to the pre-revised pay scale / pay band and grade pay from which the pensioner had retired. [Level-22 – Rs.56,100 x 50/100]  

 

Rs.28,050

4.

Hence, Revised Pension fixed Rs.28,270

 

Illustration-III:

Pensioner  ‘B’  retired  on  31st May,  2015  in  the  scale  of  pay  of Rs.37400-67000 with Grade Pay Rs.8800 with last pay drawn of Rs.46,200 after rendering full qualifying service:

Sl. No.

Description

Amount

1.

Pension fixed (i.e. 50% of Rs.46,200) Rs.23,100
 

2.

Revised Pension fixed (using a multiplication factor of 2.57 i.e. Rs.59367/- and rounded off to the next higher ten rupee i.e. Rs.59370)  

Rs.59,370

 

3.

Fifty percent of the minimum of the pay (or the first cell) in the prescribed Level in the Pay Matrix corresponding  to  the  pre-revised  pay  scale / pay band and grade pay from which the pensioner had retired. [Level-29 – Rs.1,23,400 x 50/100]  

Rs.61,700

4.

Hence, Revised Pension fixed Rs.61,700

DEDUCTION OF COMMUTED PORTION OF PENSION :

6. Since   the   consolidated   pension   of   a   pensioner   revised   in accordance  with  provision  in  paragraph  5  above  will  be  inclusive  of commuted value of pension, if any, such pensioner shall not be entitled to commutation of pension on account of revision.

7. The commuted portion, if any, shall be deducted from the pension while making monthly disbursements.

REFIXATION OF ENHANCED FAMILY PENSION :

8. (1) Enhanced family pension is payable under rule 49(3)(c) of the Tamil Nadu Pension Rules, 1978 for a period of 7 years from the date of death of Government employee or pensioner or till such deceased employee/pensioner would  have  attained  65  years  of  age,  whichever  is earlier.

(2) Enhanced family pension in respect of a Government employee who retired or died before 1-1-2016 shall also be revised in the manner stated in paragraph 5 above.

(3) On completion of the period of enhanced pension, i.e. after 7 years from the death of Government employee or pensioner or date on which such deceased person would have attained 65 years of age, whichever is earlier, revised normal family pension shall be payable, as fixed in   the manner stated in paragraph 5 above.

REVISION OF ADDITIONAL PENSION / FAMILY PENSION:

9. Additional Pension / Family Pension applicable to pensioners / family pensioners of age of 80 years and above shall be distinct from pension / family pension.   While revising pension / family pension in accordance with provision in paragraph 5 above, additional pension shall also be revised in accordance with paragraph 20 of this order.

FIXATION IN THE CASE OF ENTITLEMENT OF PENSION OR FAMILY PENSION FROM 1-1-2016 :

10. (1) A  person  retiring  on  31st   December,  2015,  and  becoming entitled to receive pension with effect from the 1st January, 2016, shall have his/her    pension    first    fixed    under    the    rules    applicable   on 31st December, 2015  and  thereafter  it  shall  be  revised  as  per provision contained in paragraph 5 of this order.

(2) Similarly,  a  family  pensioner  who  became  entitled  to  family pension with effect from the 1st January, 2016 shall have his/her family pension first fixed under the rules applicable on 31st  December, 2015 and thereafter it shall be revised as per provision contained in paragraph 5 of this order.

RESTORATION  OF  TWO-THIRD PENSION TO  THE  ABSORBEE  PENSIONERS (1/3rd Absorbee Pensioner like TANSI, etc.):

11. In respect of absorbee pensioners of the State such as former TANSI employees, who are drawing one third of pension at present, their pension / family pension shall be refixed as per provision contained in clause (1) of paragraph 5 with reference to the notional full pension / family pension applicable on 31-12-2015.  They shall be paid full pension / family pension with prospective effect from 1-10-2017.

PROCEDURAL MATTERS

REFIXATION OF PENSION / FAMILY PENSION ON 1-1-2016 :

12. (1) All  Pension  Disbursing  Authorities  including  Public  Sector Banks handling disbursement of pension to the Government pensioners/family pensioners are hereby authorized to pay pension/family pension to the existing pensioners/family pensioners by refixing pension / family pension / enhanced family pension in the first instance with effect from 1-10-2017 in accordance with the provision in clause (1) of paragraph 5 of this order and fix the corresponding additional pension, if any, in accordance with the provision in paragraph 20 of this order without any further authorization from the Principal Accountant General (Accounts and Entitlement), Tamil Nadu / Head of Office etc. However, before disbursement of the pension / family pension, the Pension Disbursing Authority shall authenticate that the fixation made is strictly in accordance with the provisions of this order.

(2) Where a pensioner is in receipt of more than one pension, revision shall be done separately in terms of this order.

(3) Wherever the age of pensioners/family pensioners is available in the Pension Payment Order, the additional pension/family pension shall also be paid by the Pension Disbursing Authorities immediately without any further authorization from the Principal Accountant General (Accounts and Entitlement) Tamil Nadu / Head of Office etc.

(4) A suitable entry regarding the revised pension / family pension shall be recorded by the Pension Disbursing Authorities in both halves of the Pension Payment Order.

(5) An intimation regarding disbursement of revised pension / family pension shall be sent by the Pension Disbursing Authority to the Principal Accountant General (Accounts and Entitlement), Tamil Nadu with a copy to the concerned pensioners / family pensioners.

(6) The   Commissioner  of   Treasuries  and   Accounts  shall  issue necessary instructions to all the Treasury Officers / Sub-Treasury Officers / Pension  Pay  Officer,  Chennai  including  Public  Sector  Banks  to  make payment of the revised pension / family pension immediately.

(7) In respect of Pensioners / Family Pensioners drawing pension / family  pension / enhanced  family  pension  under  Public  Sector  Bank Scheme, the Commercial Banks shall work out the revised pension in accordance with provision in clause (1) of paragraph 5 of this order and disburse the revised amount as specified in this order.

(8) The Pension Disbursing Authorities i.e. in respect of Pilot Scheme, the Pension Pay Officer, Chennai and Treasury Officers / Sub-Treasury Officers other than Chennai and in respect of Public Sector Bank (PSB) Scheme, the authorized Commercial Banks concerned shall promptly display this order on the notice board for  the information of  pensioners/family pensioners.

FURTHER REVISION WITH RESPECT TO CLAUSE (2) OF PARAGRAPH 5 :

13. (1) Any pre-2016 Pensioner/ Family Pensioner entitled to revision of Pension / Family Pension in terms of clause (2) of paragraph 5, such Pensioner/ Family Pensioner after refixation of Pension / Family Pension with reference to clause (1) of paragraph 5 of this order may apply to the authority in the department in which the Government employee last served who  is  competent  to  process  and  forward  pension  proposal  to  the Accountant General, Tamil Nadu in the prescribed form as at Annexure-I appended to this order in triplicate. The authority concerned shall revise both the Pension and Family Pension of the existing pensioner / family pensioner with reference to paragraph 5 of this order.

(2) In respect of Family Pensioners, even if they are unable to furnish all the particulars in the application form, the Pension Sanctioning Authorities shall accept such applications and process with the available data.

(3) On receipt of application in triplicate, the competent authority shall verify the net qualifying service already certified and communicated by the Principal Accountant General, Tamil Nadu at the time of initial sanction of pension. He shall fix the revised pension admissible with reference to minimum of the level pay or first Cell in the Pay Matrix relating to the post held by the pensioner at the time of retirement and net qualifying service in the application form itself. He shall communicate a copy of the statement duly approved to the Pension Pay Officer, Chennai / Treasury Officer / Sub-Treasury Officer / Banks concerned with a copy to the pensioner / family pensioner. The Pension Pay Officer / Treasury Officer / Sub-Treasury Officer shall verify the correctness of the revised pension and make payment as specified in paragraph-5 above after making necessary entries in records maintained  in  his  office.  In  respect  of  pensioners  /  family  pensioners drawing pension / family pension under Public Sector Bank Scheme, the concerned Bank shall pay the revised pension as specified in paragraph-5 above based on the applications received from the departmental authorities till the pension records of Public Sector Bank Scheme pensioners / family pensioners  are  transferred  to  Pension  Pay  Officer,  Chennai  /  Treasury Officer / Sub-Treasury Officers concerned as ordered in G.O.Ms.No.268, Finance (Pension) Department, dated 18-09-2017.

(4) The Pension Disbursing Authorities shall intimate the Principal Accountant General, Tamil Nadu regarding the revision of Pension / Family Pension.

(5) All other conditions in the Tamil Nadu Pension Rules, 1978, as amended from time to time shall remain unchanged.

(6) A concordance table (ready reckoner) of the pre-1996, pre-2006, pre-2016 and 2016 Pay Scales / Pay Bands plus Grade Pay / Pay Level in the Pay Matrix indicating the pension / family pension (at ordinary rates) payable under clause (2) of paragraph 5 above is appended to this order at Annexure-II to facilitate payment of revised pension / family pension.

PART B.

PENSION / FAMILY PENSION RELATING TO EMPLOYEES WHO RETIRE / DIE WHILE IN SERVICE ON OR AFTER 1-1-2016

14. Paragraphs 15 to 25 below shall apply in respect of employees who retire or die on or after 1-1-2016.

FIXATION OF SUPERANNUATION/RETIREE PENSION :

15. (1) Pension  of  a  Government employee  retiring  after  1-1-2016 shall continue to be regulated by Rule 43(2A) of the Tamil Nadu Pension Rules, 1978.  There shall be no change in the minimum qualifying service of 30 years required for full pension.

(2) Pension of a Government employee retiring on or after 1-1-2016 shall be determined as follows:

(i) Full pension shall be 50% of the pay last drawn in applicable level       in  the  revised  pay  structure  (excluding  Dearness Allowance, but including dearness pay, if applicable) by the Government employee OR 50% of the average emoluments drawn during the last ten months of service rendered, whichever is higher.

(ii) Where a Government employee has, at the time of retirement, completed  the  minimum  required  qualifying  service  of  30 years for being eligible for full pension, his Pension shall be fixed at full pension determined in (i) above.

(iii) Where   the   Government  employee  has,   at   the   time   of retirement,  NOT completed the minimum qualifying service of 30 years required to receive full pension but has completed qualifying service of 10 years, his Pension shall be fixed by with pro rata reduction of pension from the amount of full pension determined in (i) above by multiplying it by a factor equal to the ratio of total qualifying service of the Government employee to the minimum qualifying service required for full pension.

(iv) The maximum pension permissible shall be Rs.1,12,500/-. Therefore, if the Pension arrived at in (ii) or (iii) above exceeds this ceiling limit, it shall be restricted to Rs.1,12,500/-.

(v) The  minimum  pension  shall  be  Rs.7,850/-  per  month. Therefore, if the Pension arrived at in (ii) or (iii) above is less than this amount, it shall be increased to Rs.7,850/-.

FIXATION OF NORMAL FAMILY PENSION ON DEATH OF A PENSIONER :

16. There shall be no change in provision regarding fixation of normal family pension on death of a pensioner and shall continue to be regulated by Rule 49(2A) of the Tamil Nadu Pension Rules, 1978 as follows:

(i) Upon death of a pensioner, Family Pension shall be fixed at 30 percent of the last pay drawn in the revised pay structure by the pensioner   at   the   time   of   superannuation  or   the uncommuted value of superannuation pension as determined in paragraph 15 of this order, whichever is lower.

(ii) The    maximum    family    pension    permissible    shall    be Rs.67,500/-.  Therefore, if the Family Pension arrived at in (i) above exceeds this ceiling limit, it shall be restricted to Rs.67,500/-.

(iii) The minimum family pension shall be Rs.7,850/- per month. Therefore, if the Family Pension arrived at in (i) is less than this amount, it shall be increased to Rs.7,850/-.

ENHANCED   FAMILY   PENSION   ON   DEATH   OF   A   PENSIONER   BEFORE ATTAINING AGE OF 65 YEARS :

17. Presently, enhanced family pension is payable under rule 49(3)(c) of the Tamil Nadu Pension Rules, 1978 for a period of 7 years from the death of the deceased Government employee or pensioner or till such deceased person would have attained 65 years of age, whichever is earlier. The period of 7 years in this clause shall be increased to 10 years.  This enhanced period shall apply  only to Government employees who retire or die while in service on or after 1-1-2016.

18. (1) In case a pensioner, who retired on or after 1-1-2016, dies before  attaining  age  of  65  years,  enhanced  family  pension  shall  be permissible at 50% of the last pay drawn by the Government employee at the time of superannuation or uncommuted value of superannuation pension or Rs.1,12,500/- whichever is less, rounded off to nearest higher ten rupee.  If the enhanced family pension so arrived is less than Rs.7,850/-, it shall be increased to Rs.7,850/-.  This enhanced family pension shall be payable for a period of 10 years or till the year the deceased pensioner would have attained 65 years of age, whichever is earlier.

(2) When the period of payment of enhanced family pension ends, normal family pension as determined in paragraph 16 above shall be paid.

FIXATION OF ENHANCED FAMILY PENSION ON DEATH OF EMPLOYEE WHILE IN SERVICE ON OR AFTER 1-1-2016 :

19. (1) In  the  event  of  death  while  in  service,  of  a  Government employee who has rendered not less than 7 years continuous service, enhanced family pension shall be permissible at 50% of the last pay drawn in the revised pay structure or Rs.1,12,500/- whichever is less, rounded off to nearest higher ten rupee.  If the enhanced family pension so arrived is less than Rs.7,850/-, it shall be increased to Rs.7,850/-.  This enhanced family pension shall be payable for a period of 10 years or till the year the deceased employee would have attained 65 years of age, whichever is earlier.

(2) When the period of payment of enhanced family pension ends, family pension payable shall be 30 percent of the last pay drawn in the revised pay structure by the deceased employee or Rs.67,500/- whichever is less, rounded off to nearest higher ten rupee.  If the pension so arrived is less than Rs.7,850/- , it shall be increased to Rs.7,850/-.

ADDITIONAL PENSION / FAMILY PENSION

20. (1) The  quantum  of  additional  pension/family  pension  shall continue to be as specified in the table given below: –

Sl. No. Age of Pensioner / Family Pensioner Additional quantum of pension/family pension

[1]

[2]

[3]

1.

From  80  years  to  84 years 20%  of  revised  pension  /
family pension

2.

From  85  years  to  89 years 30%  of  revised  pension  /
family pension

3.

From  90  years  to  94 years 40%  of  revised  pension  /
family pension

4.

From  95  years  to  99 years 50%  of  revised  pension  /
family pension

5.

100 years or more 100%  of  revised  pension  /
family pension

(2) The Pension Disbursement Authorities shall ensure that the date of  birth  and  the  age  of  the  pensioners/family pensioners  is  invariably indicated in PPO (issued by Principal Accountant General (Accounts and Entitlement), Tamil Nadu and the pension payment order to facilitate payment  of  additional  pension/family  pension  by  them  as  soon  as  it becomes due. If the requisite information is not available in the Pension Payment  Order  (PPO),  in  those  cases  the  requisite information may  be obtained from the Pensioners / Family Pensioners before adding the additional pension/family pension in the existing pension/family pension. The amount of additional pension/family pension shall be shown distinctly in the pension/family pension payment order.

Illustration:- In case where a pensioner/family pensioner is more than 80 years of age and his pension/family pension is Rs.10,000/- per  month,  the  pension/family pension shall    be     shown     as     (i)     pension /     family pension = Rs.10,000/-  and  (ii)  additional  pension  / family pension = Rs.2,000/- per month. The pension / family pension on his attaining the age of 85 years shall      be      shown      as      (i)      Pension / family pension = Rs.10,000/- and additional pension / family pension = Rs.3,000/- per month.

(3) The additional pension/family pension on attaining the age of 80 years and above shall be admissible from the first day of the month in which his date of birth falls.

Illustration:- If a pensioner/family pensioner completes age of 80 years on any date in the month of July 2016, he shall become entitled to additional pension/family pension with effect from the 1st July, 2016.

(4) Dearness allowance shall also  be  admissible on  the  additional pension/family  pension  in  accordance  with  the  orders  issued  by the Government from time to time.

GRATUITY

RETIREMENT / DEATH GRATUITY :

21. (1) The rates for payment of death gratuity shall be revised with effect from 1-1-2016 as follows:-

Sl. No. Length of Service Rate of Gratuity

(1)

(2)

(3)

 

1.

 

Less than one year

 

Two       times       of       monthly emoluments.

 

2.

 

One year or more but less than five years

 

Six times of monthly emoluments.

 

3.

 

Five years or more but less than eleven years

 

Twelve      times      of      monthly emoluments.

 

4.

 

Eleven years or more but less than twenty years

 

Fifteen     times     of     monthly emoluments.

 

5.

 

Twenty years or more

 

Half   month’s   emoluments   for every  completed  six  monthly period of qualifying service subject to a maximum of 33 times of monthly emoluments.

(2) The maximum limit of Retirement Gratuity and Death Gratuity shall be enhanced from the existing Rs.10 lakh to Rs.20 lakh with effect from 1-1-2016.  The ceiling on gratuity shall increase by 25% of Rs.20 lakh, i.e. Rs.5 lakh each time the rate of dearness allowance crosses a multiple of 50 percentage points.

(3) Retirement  Gratuity  for  employees  who  have  retired  between 1-1-2016 and 30-09-2017 and Death Gratuity in respect of employees who have died between 1-1-2016 and 30-09-2017 shall also be reworked in accordance to clauses (1) and (2).    In  such cases, pensioners /  family pensioners shall be entitled to payment of differential amount between the gratuity thus worked out and that has been paid earlier.

COMMUTATION OF PENSION

22. (1) There  shall  be  no  change  in  the  provision  relating  to commutation values, the limit upto which the pension can be commuted or the   period   after   which   the   commuted   pension   is   to   be   restored. Commutation of pension shall accordingly be calculated on pension determined as per provision in paragraph 15 above for employees who retire after 1-1-2016.   The commuted portion of pension, wherever applicable, shall be deducted from the pension while making monthly disbursements.

(2) Pensioners who have retired between 1-1-2016 and 30-09-2017 and have commuted their pre-revised pension as per the Tamil Nadu Civil Pension (Commutation) Rules, 1944 shall be entitled to commute the additional amount of  pension consequent to revision of  pension.   Such pensioners shall be allowed to file a revised option, to be exercised within 3 months from  the  date  of  issue  of  this  order,  for  commutation of  the additional amount of pension consequent on revision of pension.  They shall also be permitted to exercise option to not to commute the difference in pension consequent on revision of pay / pension.   In case of failure to exercise the  option, the default option shall be to  not  to commute the additional amount of pension.

(3) In respect of pensioners who have retired between 1-1-2016 and 30-09-2017, the age reckoned for calculation of commuted value of pension at the time of original application for commutation of pension shall apply for additional commutation of pension.

(4) In respect of pensioners who have retired between 1-1-2016 and 30-09-2017 but have died before issue of this order, commutation of additional amount of pension consequent to revision shall not be permissible since option cannot be exercised in such cases.

23. As  the  entitlement  of  revised  pension  shall  be  inclusive  of commuted portion of pension, the commuted portion, wherever applicable, shall be deducted from the pension while making monthly disbursement.

ENCASHMENT OF LEAVE SALARY

ENCASHMENT  OF  LEAVE  SALARY  OF  GOVERNMENT  EMPLOYEES  AT  THE TIME OF RETIREMENT / DEATH :

24. (1) At  the  time  of  retirement,  encashment  of  leave  upto  a maximum of 330 days shall be allowed.  This shall include encashment of upto 240 days of accumulated Earned Leave and 180 days of accumulated Unearned Leave on Private Affairs, convertible into 90 days for full pay.

(2) Consequent on revision of pay notionally with effect from 1-1-2016 to 30-09-2017, pensioners / family pensioners who have availed leave encashment calculated based on pre-revised scale of pay consequent to retirement  /  death  of  Government  employee  between  1-1-2016  and 30-09-2017 shall be paid the difference between leave encashment entitled based on revised pay structure and leave encashment already sanctioned based on pre-revised scale of pay.

ARREARS  ON  RETIREMENT  BENEFITS  IN  RESPECT OF  EMPLOYEES  WHO RETIRED BETWEEN 1-1-2016 AND 30-09-2017 :

25. (1) The arrears on retirement benefits i.e. Gratuity/Commutation of pension including encashment of leave surrendered at the time of retirement consequent on pay revision in respect of the employees who retired between 1-1-2016 and 30-9-2017 shall be paid in two instalments i.e. first instalment in the current financial year 2017-2018 and second instalment in the next financial year 2018-2019.

(2) The  procedure  to  be  followed  in  such  cases  is  given  in  the Annexure-III to this order.

PART C.

ALLOWANCES APPLICABLE TO ALL PENSIONERS

DEARNESS ALLOWANCE :

26. (1) The Dearness Allowance shall be granted to the Pensioners / Family Pensioners at the same rate and from the same date as given to serving employees. The Dearness Allowance applicable on pension / family pension / enhanced family pension including additional pension / family pension shall be as follows:

Sl. No. With effect from Rate of D.A. [per month]

[1]

[2]

[3]

1.

1-1-2016

0 [Zero]

2.

1-7-2016

2%

3.

1-1-2017

4%

4.

1-7-2017

5%

(2) The   Dearness   Allowance   as   above   shall   be   payable   from 1-10-2017.

MEDICAL ALLOWANCE:

27. (1) The existing quantum of Medical Allowance to the Pensioners / Family Pensioners shall be enhanced from Rs.100/- to Rs.300/- per month with effect from 1-10-2017.

(2) In  case  a  pensioner  or  family  pensioner  is  in  receipt  of  two pensions viz. service pension and another family pension or military pension and another civil pension or military family pension and another civil family pension, only single medical allowance shall be admissible.

APPLICATION OF THESE ORDERS:

28. These orders shall apply to the following categories of pensioners:-

(i) Government   pensioners,   teacher   pensioners   of   aided institutions and local bodies;

(ii) Former   Travancore-Cochin   State   Pensioners   drawing pension on 1st November 1956, in the treasuries situated in the areas transferred to Tamil Nadu State on that date i.e. Kanyakumari District and Shencottah Taluk of Tirunelveli District;

(iii) Pensioners drawing their pension on 1st April 1960 in the Tiruttani Sub-Treasury in whose cases pensions were sanctioned  by  the  Composite  Madras  State  prior  to 1st October 1953 or by the Andhra Pradesh State prior to 1st April 1960;

(iv) Pensioners  of  the  Ex-Governor’s Bank  Establishment in receipt of ‘Mustering out’ pension;

(v) Pensioners who are in receipt of special pensions under Extraordinary Pension Rules, Madras and Compassionate Allowance;

(vi) Ex-Pudukottai Pensioners; and

(vii) Teachers  rendered  surplus  and  whose  services  were terminated in the transferred areas of Kanyakumari District and Shencottah Taluk of Tirunelveli District.

(viii) Pensioners   and   Family   Pensioners   of   the   State Government employees who have commuted full pension at the time of their permanent absorption in State Public Sector     Undertakings   /    Boards   /    Local    Bodies/ Universities    /   Co-operative   Institutions   /   Central Public Sector Undertakings / Central Autonomous bodies, etc. and for whom 1/3rd  of the commuted pension was restored after 15 years.

29. These orders shall not apply to Government employees recruited on or after 1-4-2003 who are presently covered under New Contributory Pension Scheme.

DATE OF TAKING EFFECT OF CHANGES IN PENSION / FAMILY PENSION / PENSIONARY BENEFITS:

30. (1) Revision of pension and family pension as per this order shall take notional effect from 1-1-2016 or date of entitlement to pension / family pension is later, and shall have monetary effect only from 1-10-2017.

(2) Revision of gratuity and encashment of leave shall take effect from
112016.

31. Necessary amendments to Tamil Nadu Pension Rules, 1978 will be issued separately.

(BY ORDER OF THE GOVERNOR)

K.SHANMUGAM
ADDITIONALCHIEF SECRETARY TO GOVERNMENT

Download / Read 7th Pay Commission Pension fixation for Tamilnadu State Government Employees – Tamilnadu GO G.O.Ms.No.313, dated 25.10.2017

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