Centre Extends Retirement Benefits to all Central Govt Employees

Centre Extends Retirement Benefits to all Central Govt Employees – Under the existing system the pension of the Government servants appointed on or after January 1, 2004 is regulated by the new Defined Contribution Pension System.

In a measure that would benefit thousands of Central government employees, the central government on Friday extended the Retirement Benefits and death gratuity to all, irrespective of the date on which they had entered government service.

Under the existing system the pension of the Government servants appointed on or after January 1, 2004 is regulated by the new Defined Contribution Pension System (known as National Pension System) whereas those who were in service earlier were covered under the Central Service (Pension) Rules, 1972.

According to a notification by the Department of Personnel, the issue of grant of gratuity in respect of government employees covered by the National Pension System has been under consideration and it has now been decided that they shall be eligible for Retirement Benefits, gratuity and Death gratuity’ on the same terms and conditions, as are applicable to other employees covered by the Central Service (Pension) Rules, 1972.

It said these orders will be applicable to those Central Civil Government employees ‘who joined Government service on or after January 1,2004 and are covered by the National Pension System and will take effect from the same date.’

Source: The Hindu