Pension

Rules of training programme on Pension & Bhavishya

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Rules of training programme on Pension & Bhavishya

The Union Minister of State for Development of North Eastern Region (I/C), PMO, Personnel, Public Grievances and Pensions, Department of Atomic Energy and Department of Space, Dr Jitendra Singh addressed the training programme on Pension Rules & Bhavishya, organised by the Department of Pensions and Pensioners’ Welfare, Ministry of Personnel, Public Grievances and Pensions, here today. The programme was organised for the officials of various Ministries/departments dealing with pension related matters.

Speaking on the occasion, Dr Jitendra Singh said that organising these kinds of workshops provides knowledge to these officials while dealing with the pension-related issues. He said that the number of pensioners has increased significantly during the last few years because increase in the life span of individuals post independence. He added that, on the one hand, India has a huge population below the age of 40 years, and on the other hand, the ratio of elder population is also rising, due to which we have to deal with the both situations simultaneously. The Minister said that the Government led by the Prime Minister Shri Narendra Modi has taken various steps for the pensioners, including increase in minimum pension, issue of Digital life certificates, Anubhav and Bhavishya initiatives, among others. Modern technology has been put to the maximum use by the Ministry of Personnel, he added. He also appreciated the Department’s initiative for pre-retirement counselling. The Minister emphasised that the retired employees have vast experience and should be treated as resources. Their services should be utilised they can be put to productive use in the Government, he added.

The Minister also interacted with the participants during the programme and received their inputs. He asked the officers from Department of Pensions to make note of all suggestions and difficulties faced by the participant ministries during dealing with pension related issues and take appropriate action in this regard.

The Secretary, DARPG & Pensions, Shri K.V. Eapen said that the Department has done a root cause analysis for the pension-related issues, which will be helpful in the grievance disposal of pensioners. He said that some changes have been introduced in the NPS recently which were discussed during the workshop.

The sessions included many topics such as Pension policy & gratuity, Pension procedure and Bhavishya, qualifying service, modules under Pensioners’ Portal – Bhavishya, Anubhav and Sankalp, National Pension System, submission of Life Certificate, commutation of Pension, procedure on medical facilities for retirees and family pension etc.

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Withdrawal from New Pension Scheme – Ministry of Finance

Withdrawal from New Pension Scheme – Ministry of Finance

Government has allowed premature withdrawal from New Pension Scheme Fund. A subscriber is eligible for three partial withdrawals during the period of subscription under National Pension System (NPS), each withdrawal not exceeding twenty-five percent of the contributions made by the subscriber and excluding contributions made by the employer. There is, however, no restriction on withdrawals from the Tier-II account of the subscriber. Further, keeping in view the possibility of sudden financial needs of the subscribers, the requirement of minimum period under National Pension System (NPS) for availing the facility of partial withdrawal from the mandatory Tier-I account of the subscriber has been reduced from 10 years to 3 years from the date of joining w.e.f. 10th August, 2017. The minimum gap of 5 years between two partial withdrawals has also been removed w.e.f. 10th August, 2017.

On 06.12.2018, Government has approved the following proposals pertaining to choice of Pension Fund and investment pattern for Central Government subscribers under NPS:

Choice of Pension Fund: Central Government subscribers will be allowed to choose any one of the pension funds including Private sector pension funds.  They could change their option once in a year. However, the current provision of combination of the Public-Sector Pension Funds will be available as the default option for both existing as well as new Government subscribers.

Choice of Investment Pattern: The following options for investment choices will be offered to Central Government employees:

Government employees who prefer a fixed return with minimum amount of risk may be given an option to invest 100% of the funds in Government securities (Scheme G).

Government employees who prefer higher returns may be given the options of the following two Life Cycle based schemes.

Conservative Life Cycle Fund with maximum exposure to equity capped at 25% at the age of 35 years and tapering off thereafter (LC-25).

Moderate Life Cycle Fund with maximum exposure to equity capped at 50% at the age of 35 years and tapering off thereafter (LC-50).

In case an employee does not submit any choice, the existing allocation of funds shall continue as the default option.

This was stated by Shri Shiv Pratap Shukla, Minister of State for Finance in written reply to a question in Rajya Sabha today.

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Pre-2006 pensioners who retired from the 5th CPC scale of Rs. 6500-10500/-

Pre-2006 pensioners who retired from the 5th CPC scale of Rs. 6500-10500/-
Pre-2006 pensioners who retired from the 5th CPC scale of Rs. 6500-10500/-

 No.38/33/12-P&PW (A)
Government of India
Ministry of Personnel, PG & Pensions
Department of Pension & Pensioners’ Welfare

 3rd Floor, Lok Nayak Bhawan
Khan Market, New Delhi-110 003
Dated the 4th January, 2019

 OFFICE MEMORANDUM

Sub: Revision of pension w.e.f 1.1.2006 of Pre-2006 pensioners who retired from the 5th CPC scale of Rs. 6500-10500/-.

The undersigned is directed to say that as per Para 4.2 of this Department’s OM of even number dated 01.09.2008 relating to revision of pension of pre-2006 pensioners w.e.f. 1.1.2006, the revised pension w.e.f. 1.1.2006, in no case, shall be lower than 50% of the sum of the minimum of pay in the pay band and the grade pay thereon corresponding to the pre-revised pay scale from which the pensioner had retired.

2. Instructions were issued vide this Department’s OM of even number dated 28.1.2013 for stepping up of pension of pre-2006 pensioners w.e.f. 24.9.2012 to 50% of the sum of the minimum of pay in the pay band and the grade pay thereon corresponding to the pre-revised pay scale from which the pensioner had retired, as arrived at with reference to the fitment tables annexed to Ministry of Finance, Department of Expenditure’s OM No. 1/1/2008-IC dated 30th August, 2008. A concordance table indicating the revised pension/family pension of pre-2006 pensioners in terms of instructions contained in para 4.2 of OM dated 1.9.2008 read with the OM dated 28.1.2013 was also annexed to the OM dated 28.1.2013. Subsequently, orders were issued vide this Department’s OM of even number dated 30.7.2015 that the pension/family pension of all pre-2006 pensioners/family pensioners may be revised in accordance with this Department’s OM No. 38/37/08-P&PW(A) dated 28.1.2013 with effect from 1.1.2006 instead of 24.9.2012.

3. In the aforesaid OM dated 28.1.2013 of Department of Pension & Pensioners’ Welfare, the grade pay corresponding to the pre-revised pay scale of Rs. 6500-10500 was shown as Rs. 4200/- and the minimum pension in terms of para 4.2 of the OM dated 1.9.2008 was shown as Rs. 8145/- (50% of minimum pay of Rs. 16,290/- as per fitment table for the pre-revised scale of pay of Rs. 6500-10500, annexed to Ministry of Finance, Department of Expenditure’s OM No. 1/1/2008-IC dated 30th August, 2008).

4. Order were issued vide Ministry of Finance, Department of Expenditure’s OM No.1.2008-IC dated 13.11.2009 that the posts which were in the pre-revised scale of Rs. 6500-­10500 as on 1.1.2006 and which were granted the normal replacement pay structure of grade pay of Rs. 4200/- in the pay band P13-2, will be granted grade pay of Rs. 4600/- in the pay band PI3-2 corresponding to the pre-revised scale of Rs. 7450-11,500 w.e.f 1.1.2006.

5. Representations have been received in this Department for extending the benefit of grade pay of Rs. 46001- for revision of pension/family pension, w.e.f. 1.1.2006, in respect of Pre-2006 pensioners who retired/died in the 5th CPC scale of Rs. 6500-10500/- or equivalent pay scale in the earlier Pay Commission periods. The matter regarding the amount of minimum pension/family pension in terms of para 4.2 of the O.M. dated 1.9.2008 in their case has been re-examined in the light of the orders issued by Ministry of Finance (Department of Expenditure) vide their OM No. 1/1/08-IC dated 13.11.2009 and decisions of courts in certain cases. It has been observed that pay of all serving employees in the pre-revised pay scale of Rs. 6500-10500/- has been fixed w.e.f. 1.2006 in the grade pay of Rs. 4600/-. Therefore, the grade pay of Rs. 4600/- can be considered as the grade pay corresponding to the pre-revised pay scale of Rs. 6500-10500/,

6. Accordingly, it has been decided that, for the purpose of revision of pension/family pension e.f. 1.1.2006 under para 4.2 of the 0.M. dated 1.9.2008, the Grade Pay of Rs. 4600/- may be considered as the corresponding Grade pay in the case of pre-2006 pensioners who retired/died in the 5th CPC scale of Rs. 6500-105001- or equivalent pay scale in the earlier Pay Commission periods,

7. In accordance with the provisions of Rule 7 of the CCS (Revised Pay) Rules, 2008, the pay corresponding to the pay of Rs. 6500/- in the pre-revised pay scale of Rs. 6500-10500/- would be 12090/- in the PB-2. After adding the grade pay of Rs. 4600/- , the pay in the Pay Band I Grade Pay corresponding to the pay of Rs. 6500/- in the pre-revised pay scale of Rs. 6500-10500 would he Rs. 16690/- (12090+4600). Accordingly, the revised pension w.e.f. 1.1.2006 in terms of para 4.2 of OM dated 1.9.2008, for the pre-2006 pensioners who retired from the pay scale of Rs. 6500-10500/- in the 5th CPC or equivalent pay scales in the earlier Pay Commissions would be Rs. 8345/, Accordingly the entries at serial number 13 in the annexure of this Department’s OM No. 38/37/08-P&PW(A) dated 28.1.2013 may be substituted by the entries shown in the statement annexed to this O.M.

8. As provided in this Department’s OM dated 28.1.2013, in case the consolidated pension/family pension calculated as per para 4.1 of this Department’s OM No. 38/37/08- P&PW(A) dated 1.9.2008 is higher than the pension/family pension calculated in the manner indicated above, the same (higher consolidated pension/family pension) will continue to be treated as basic pension/family pension.

9. In their application to the persons belonging to the India Audit and Accounts Department, these orders are issued in consultation with the controller and Auditor General of India. All the Ministries/Departments are requested to bring the contents of these orders to the notice of Controller of Accounts/Pay and Accounts Officers and Attached and subordinate Offices under them. They are also requested to revise the pension of the affected pre-2006 pensioners in accordance with the instructions contained in this O.M. on a top priority basis.

10. Hindi version will follow.

(Harjit Singh)
Director

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Central Government employees – Withdrawal of Pension Facility

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.

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Grant of Disability Pension

Ministry of Defence
Grant of Disability Pension

31 DEC 2018

As per Ministry of Defence order dated 31.01.2001, Armed Forces Personnel who retire voluntarily / or seek discharge on request are not eligible for any award on account of disability. Provided that Armed Forces Personnel who are due for retirement / discharge on completion of tenure, or on completion of service limits, or on completion of the terms of engagement or on attaining the prescribed age of retirement, and who seeks pre-mature retirement / discharge on request for the purpose of getting higher commutation value of pension will remain eligible for disability element.

Further, Armed Forces personnel who are retained in service despite disability, which is accepted as attributable to or aggravated by Military Service and have forgone lump sum compensation in lieu of that disability, may be given disability element / war injury element at the time of their retirement / discharge whether voluntary or otherwise in addition to Retiring / Service Pension or Retiring / Service Gratuity. These provisions are effective from 1.1.2006

This information was given by Raksha Rajya Mantri Dr. Subhash Bhamre in a written reply to Shri Sanjay Seth in Rajya Sabha today.

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Whether the Government is planning to reconsider the Old Pension Scheme on optional basis for Central Government Employees?

NPS-to-OPS-New-Pension-System-Old-Pension-System

NPS To OPS – Revert to Old Defined Benefit Pension System – Parliament Q&A on 28.12.2018

National Pension System to Old Pension Scheme

In Parliament on 28th December 2018, the Minister of State in the Ministry of Finance Shri Shiv Pratap Shukla said that there is no proposal to replace the National Pension System (NPS) with old pension scheme in respect of Central Government employees recruited on or after 01.01.2004.

The detailed report of Questions and Answers are given below for your information…

Lok Sabha Un Starred Question No.2954

(a) Whether the Government is planning to reconsider the Old Pension Scheme on optional basis for Central Government Employees on heavy demand of employee associations across the country and if so, the details thereof;

(b) Whether the Government has received any representation from various State Governments and employees’ associations in this regard and if so, the details thereof along with the other major changes demanded by the employee associations and the reaction of the Government thereon;

Representations have been received which inter alia also include the demand that the Government may revert to old defined benefit pension system. However, due to rising and unsustainable pension bill and competing claims on the fiscal, there is no proposal to replace the National Pension System (NPS) with old pension scheme in respect of Central Government employees recruited on or after 01.01.2004.

(c) Whether the Government has decided to raise the Government contribution in National Pension System (NPS) to 14 per cent from existing 10 per cent and if so, the details thereof along with the increased financial liabilities of the Government thereon;

Yes, the mandatory contribution by the Central Government for Tier I accounts of its employees covered under NPS has been enhanced from the existing 10% to 14%. The employees’ contribution rate would remain at the existing 10%. As informed by the Department of Expenditure, the impact on Government exchequer on account of enhancing the mandatory contribution by the Government for its employees covered under NPS from 10% to 14% is estimated to entail an additional financial impact of Rs. 2840 crores on Central Government in the next immediate financial year (2019 2020).

(d) The details of cases of family pension sanctioned so far to the families of deceased Central Government employees and the payment of compensation made for non-deposit or delayed deposit of contributions under the NPS;

Number of Family Pensioners getting pension through Central Pension Accounting Office (CPAO) by authorised Bank under National Pension System- Additional Relief (NPS-AR) as on 30.11.2018 is 4,779.

(e) whether the Government has decided to stop pension scheme to all the Government employees including Government/Public Undertakings organization, if so, the details thereof and the reasons therefor; and

The Government of India vide notification dated 22.12.2003 had introduced the National Pension System (NPS) (earlier known as New Pension Scheme) for its employees and made it mandatory for all new recruits of the Central Government (excluding armed forces) who joined service on or after 01.01.2004. The old defined benefit scheme was withdrawn by the Government for Central Government employees (excluding armed forces) joining service on or after 01.01.2004. There is no proposal to stop the pension scheme for Government employees.

(f) The amount/percentage of the budget consumed every year to pay pensions to employees serving in Government jobs in the country?

As informed by the Department of Expenditure, the details of Budget consumed during 2017-18 to pay pension to pensioners and Budget for financial year 2017-18 are as under:

Budget consumed

HEAD OF ACCOUNTS AMOUNT (IN CRORES) (PROVISIONAL)
2071 Pension & other retirement benefits 145745.07
3001-101 Indian Railways Pensionary charges  366.85
3002-11 Indian Railways Pensionary charges 1996.97
3003-11 Indian Railways Pensionary charges 21.07
3201-07 Pension-Postal Services 8511.33
Grand Total 156641.29

Budget for the financial year 2017-18 under NPS-AR is as under:

Budget Estimate 2018-19 Expenditure 2018-19 Budget Estimate 2017-18 Expenditure 2017-18
Rs. 90.20 cr Rs. 59.71 cr (as on 30.11.2018) Rs. 66.21 cr Rs. 65.65 cr

Source: https://loksabha.nic.in/

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Stagnation Increment – Revision of Pension of Pre-2016 pensioners

Stagnation Increment – Revision of Pension of Pre-2016 pensioners

Benefit of additional increment has been granted to those officers who were serving as on 1.1.2016. Those who retired/died before 1.1.2016 are, therefore, not eligible for increment after retirement for the purpose of pension.”

No.38/37/2016-P&PW(A)
Government of India
Ministry of Personnel, PG & Pensions
Department of Pension & Pensioners’ Welfare

3rd Floor, Lok Nayak Bhawan
Khan Market, New Delhi-110 003
Dated the 21st December, 2018

Office Memorandum

Subject: Revision of Pension of Pre-2016 pensioners – Stagnation Increment regarding

The undersigned is directed to say that in pursuance of the decision taken by the Government on the recommendations of the 7th CPC, orders were issued vide this Deptt’s OM of even number dated 12.5.2017 for revision of pension/family pension in respect of pre-2016 pensioners/family pensioners by notionally fixing pay in the pay matrix recommended by the 7th CPC in the level corresponding to the pay in the pay scale/pay band and grade pay at which the Government servant / pensioner retired/died. Concordance tables for fixation of notional pay / pension of pre-2016 pensioners were issued vide this Department’s OM of even number dated 6.7.2017.

2. References/representations have been received in this Department seeking clarification on the applicability of the OM dated 7.9.2016 for the purpose of notional pay fixation and revision of pension of pre-2016 pensioners and family pensioners w.e.f. 1.1.2016. The matter has been examined in consultation with the Ministry of Finance (Department of Expenditure). It is clarified that the benefit of additional increment has been granted to those officers who were serving as on 1.1.2016. Those who retired/died before 1.1.2016 are, therefore, not eligible for increment after retirement for the purpose of pension.

3. This issues with the approval of Department of Expenditure vide their I.D. No.1(3)/V-V/2018 dated 4.9.2018 and 1.D. No.1(3)/V-V/2018 dated 28.11.2018

sd/-
(S.K. Makkar)
Under Secretary to the Government of India

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National Pension System (NPS) Withdrawal Norms – Government Employees

National Pension System (NPS)

Ministry of Finance
NPS Withdrawal Norms

21 DEC 2018

The Pension Fund Regulatory and Development Authority (PFRDA) has changed the norms for withdrawal of National Pension System (NPS) subscribers. Keeping in view the possibility of sudden financial needs of the subscribers, the requirement of minimum period under National Pension System (NPS) for availing the facility of partial withdrawal from the mandatory Tier-I account of the subscriber has been reduced from 10 years to 3 years from the date of joining w.e.f. 10th August, 2017. The minimum gap of 5 years between two partial withdrawals has also been removed w.e.f. 10th August, 2017. A subscriber is eligible for three partial withdrawals during the period of subscription under NPS, each withdrawal not exceeding twenty-five percent of the contributions made by the subscriber and excluding contributions made by the employer. There is, however, no restriction on withdrawals from the Tier-II account of the subscriber.

The extent and purpose for which partial withdrawals from the Tier-I account under NPS are permissible are as under:

Purpose

  • for higher education and marriage of his or her children including a legally adopted child;
  • for the purchase or construction of a residential house or flat in his or her own name or in a joint name with his or her legally wedded spouse. In case, the subscriber already owns either individually or in the joint name a residential house or flat, other than ancestral property, no withdrawal under these regulations shall be permitted;
  • for treatment of specified illnesses: if the subscriber, his legally wedded spouse, children, including a legally adopted child or dependent parents suffer from any specified illness, which shall comprise of hospitalization and treatment in respect of the following diseases:

(a) Cancer;

(b) Kidney Failure (End Stage Renal Failure);

(c) Primary Pulmonary Arterial Hypertension;

(d) Multiple Sclerosis;

(e) Major Organ Transplant

(f) Coronary Artery Bypass Graft;

(g) Aorta Graft Surgery;

(h) Heart Valve Surgery;

(i) Stroke;

(j) Myocardial Infarction;

(k) Coma;

(l) Total blindness;

(m) Paralysis;

(n) Accident of serious/ life threatening nature.

(o) Any other critical illness of a life threatening nature as stipulated in the circulars, guidelines or notifications issued by the Authority from time to time.

  • Towards meeting the expenses by subscriber for skill development/re-skilling or for any other self-development activities.
  • Towards meeting the expenses by subscriber for establishment of own venture or any start-ups.
  • To meet medical & incidental expenses arranging out of disability or incapacitation suffered.

Limits

The subscriber should have been in the National Pension System at least for a period of three years from the date of his or her joining;
The subscriber shall be permitted to withdraw accumulations not exceeding twenty-five per cent of the contributions made by him or her and standing to his or her credit in his or her individual pension account, as on the date of application for withdrawal;

Frequency

The subscriber shall be allowed to make partial withdrawals for a maximum of three times during the entire tenure of subscription under the NPS. There is, however, no minimum time gap now stipulated between two partial withdrawals.

This was stated by Shri Ship Pratap Shukla, Minister of State for Finance in a written reply to a question in Lok Sabha today.

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Annuity based alternate pension proposal for the employees of NVS prior to 1.1.2004

Annuity based alternate pension proposal for the employees of NVS prior to 1.1.2004

NVS-alternate-pension

F. No. 3-1/2018 -NVS(Admn)/3584

Date :o4/12/2018

To,
The Deputy Commissioner,
All Regional Offices

Sub: Annuity based alternate pension proposal for the employees of NVS prior to 1.1.2004 – reg.

Sir,
In continuation to this office letter of even number dated 06.12.2018 seeking willingness of the employees with regard to introduction of alternate annuity based pension, it is to clarify the following:-

1. Own share of employee in the existing CPF scheme shall remain intact. It will not be utilized for creating the corpus fund of the alternate pension plan.

2. However, the management share of the existing CPF scheme will be utilized to form the corpus fund for the proposed annuity based pension scheme.

3. Proposed basic pension is 50% of the basic pay at the time of retirement and there is no provision for DA thereon.

4. Provision for commutation of pension upto 1/3rd of the basic pension exists..Employee at the time of retirement can get the commutation value. It would be more or less equal to the management share. Besides 213rd of basic pension per month fixed at the time of retirement is payable.

5. The pension is payable till the pensioner is alive. There is no provision for family pension after death of the employee.

6. However, proposal for provisioning of DA and family pension is also being sent to the Ministry for consideration.

7. In case of death of the eligible employees during service, Provision for a lump sum insured amount payable to their dependents is proposed to be covered under group term Insurance Scheme.

The afore mentioned information may be widely circulated amongst the eligible employees to enable them to franchise their options/willingness for the proposed annuity based pension

This issues with the approval of Competent Authority.

Yours faithfully,
S/d,
(B.C. Panda)
Assistant Commissioner (Admn.)

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Senior Citizen Entitlement of Employees

Ministry of Personnel, Public Grievances & Pensions
Senior Citizen Entitlement of Employees

19 DEC 2018

Department of Social Justice & Empowerment has informed that there is at present no proposal in that Department for lowering the age of senior citizen. Government employees become entitle to pension on retirement. There is also no proposal to increase or decrease the age of retirement of Central Government Employees.

The salient features of the pension entitlements of employees retiring from the Central Government are as under:

  • A Government servant retiring in accordance with the rules, after completing a qualifying service of not less than 10 years, is entitled to a pension @ 50% of his last pay or 50% of average emoluments for the last 10 months, whichever is more beneficial to him/her.
  • After completion of 80 years of age or above, additional pension @ 20% to 100% is payable to the retired Government servant.
  • A retired/retiring Government servant is entitled to, at his/her option, a lump sum payment, by commutation of a maximum of 40% of his/her pension.
  • On retirement, a Government employee is entitled to a retirement gratuity based on his/her emoluments and length of qualifying service.
  • On death of a Central Government pensioner, the family is entitled to a family pension the amount of which is 50% of the last pay for a period of seven years, or for a period up to the date on which the retired deceased Government servant would have attained the age of 67 years had he/she survived, whichever is earlier. Thereafter, the amount of family pension is 30% of his last pay.  The amount of family pension is also increased by 20% to 100% after the family pensioner attains the age of 80 years and above.
  • The family of a Government servant, who dies while in service after having rendered not less than seven years’ continuous service, is entitled to a family pension 50% of the last pay for a period of ten years. Thereafter, the amount of family pension is 30% of his/her last pay.

This was stated by the Minister of State in the Ministry of Personnel, Public Grievances and Pensions and Minister of State in the Prime Minister’s Office, Dr. Jitendra Singh in a written reply to a question in the Lok Sabha today.

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Promotion on Public Rating

Ministry of Personnel, Public Grievances & Pensions
Promotion on Public Rating

19 DEC 2018

The Government has no proposal under consideration to promote the Government officials based on public rating/feedback.

Department of Pension & Pensioners’ Welfare has informed that an “Aadhar-based Digital Life Certificate (DLC)” for pensioners was launched on 10th November, 2014.

Aadhaar is used for authentication of pensioners.  As a result of this facility the pensioner is not required to present himself before his pension disbursing agency or produce other documents that he is alive.

After generation of the DLC, the pension disbursing agencies integrated with the system will get access to the submitted DLC for processing and release of pension there after.

Unique Identification Authority of India (UIDAI) has informed that it has a well-designed, multi-layered robust security system in place to maintain the highest level of data security and integrity in accordance with the Aadhaar Act, 2016 and the Regulations notified under the Act. Some of the security measures include provision of secure channel, implementation of Aadhaar Data Vault, Hardware Security Module, Registered Devices, Virtual ID-UID Token, biometric locking etc.

This was stated by the Minister of State in the Ministry of Personnel, Public Grievances & Pensions and Minister of State in the Prime Minister’s Office Dr. Jitendra Singh in a written reply to a question in the Lok Sabha today.

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Proposal for alternative pension scheme in lieu of the existing CPF Scheme

Proposal for alternative pension scheme in lieu of the existing CPF Scheme: NVS

Navodaya Vidyalaya Samiti
Ministry of Human Resource Development
Government of India
(Department of School Education Literacy)
B-15. Institutional Area, Sector-62, Noida,
Gautam Budh Nagar, Uttar Pradesh 201309
URL: www.navodaya.gov.in
F.No.03-01-2018-NVS(Admin.) 4523.

Dated: 06/12/2018

To

The Deputy Commissioner
Navodaya Vidyalaya Samiti
All Regional Offices

Sub: Proposal for alternative pension scheme in lieu of the existing CPF Scheme

Sir,

Proposal for alternative pension scheme in lieu of existing CPF scheme is under consideration of the Ministry. It has been intimated by the Ministry that in the context of the feasibility of extending the benefits of the GPF-cum-Pension Scheme, 1972 not being there, one of the options would be to explore the possibility of having an annuity based alternative pension scheme in lieu of the existing CPF scheme. It has been desired that a comprehensive proposal based on willingness of the eligible employee to opt for the alternative scheme is annuity based pensionary benefits in lieu of existing scheme may be submitted.

Accordingly, you are requested to submit the consent of employees on shifting form existing scheme to annuity based pensionary scheme.

In this regard, you are, therefore, requested to kindly obtain willingness of the eligible employees who have joined the services before 1.1.2004 (including those who have retired) to opt for the alternative scheme in lieu of the existing CPF scheme.

The consolidated data in respect of RO and JNVs may be submitted to this office latest by 30.12.2018.

This may kindly be treated as most urgent.

This has the approval of Commissioner, NVS.

Yours faithful

(Dr. Honnareddy N)
Joint Commissioner (Admn.)

proposal-for-alternative-pension-scheme-nvs

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Employees Pension Scheme (EPS), 1995, a minimum pension of Rs. 1,000/- per month has been prescribed with effect from 01.09.2014 for the pensioners under Employees Pension Scheme (EPS), 1995.

Ministry of Labour & Employment
Minimum Pension

17 DEC 2018

As regards Employees Pension Scheme (EPS), 1995, a minimum pension of Rs. 1,000/- per month has been prescribed with effect from 01.09.2014 for the pensioners under Employees Pension Scheme (EPS), 1995.

In the case of Atal Pension Yojana (APY), depending upon the pension plan selected, each subscriber under APY shall receive a guaranteed minimum pension of Rs. 1000 per month or Rs. 2000 per month or Rs. 3000 per month or Rs. 4000 per month or Rs. 5000 per month, after the age of 60 years until his/her death. If the actual returns during the accumulation phase are higher than the assumed returns for minimum guaranteed pension, such excess will be passed on to the subscriber. As such, the minimum pension depending upon the pension plan selected by the subscriber is fixed under the APY. Under National Pension System (NPS), there is no ceiling fixed for minimum pension.

Further, a High-Empowered Monitoring Committee has been constituted for complete evaluation and review of the EPS, 1995.

There is no provision for Dearness Allowance in EPS, 1995, as it is a self-funded scheme with fixed contributions. Further, Dearness Allowance is not applicable under NPS and APY as the pension under both depends upon the accumulated corpus at the time of exit which is market linked.

This information was given by Shri Santosh Kumar Gangwar Union Minister of State (I/C) for Labour and Employment in written reply to a question in Lok Sabha today.

PIB

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Pension benefit to teachers of Jawahar Navodaya Vidyalayas

NPS Applicable to NVS Employees w.e.f. 1.4.2009

The New Pension Scheme introduced for the Central Government employees w.e.f. 1.1.2004, was made applicable to the regular employees of NVS w.e.f. 1.4.2009.

Pension benefit to teachers of Jawahar Navodaya Vidyalayas

The option to switchover to the GPF Scheme was available only to the employees of those institutions which were in existence as on 1.1.1986. Since the Navodaya Vidyalaya Samiti (NVS) was registered as a society only on 28.2.1986, the option of switchover to GPF scheme was not applicable to the employees of NVS.

The employees of NVS had been given the benefits of Contributory Provident Fund (CPF) scheme since its inception. The New Pension Scheme (NPS), which was introduced for the Central Government employees w.e.f. 1.1.2004, was made applicable to the regular employees of NVS w.e.f. 1.4.2009. Those employees who had joined NVS on regular basis before 1.4.2009 were given an option to continue with the existing CPF scheme or to join the NPS.

The option was to be exercised by 3.11.2009. Those employees of NVS who have opted for and are covered under the NPS, are entitled to the benefits envisaged under this scheme. Thus, the teachers of the Jawahar Navodaya Vidyalayas are already entitled to benefits of either the CPF scheme or the NPS scheme having regard to the option exercised by them.

This was stated by Shri Satya Pal Singh, Minister of State for Human Resource Development in a written reply to a question in Rajya Sabha on 13.12.2018.

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National Pension System Trust (NPS Trust) – Processing of Partial Withdrawal request

National Pension System Trust (NPS Trust) – Processing of Partial Withdrawal request

Public Notice – Processing of Partial Withdrawal requests in system latest by 31.12.2018

National Pension System Trust (NPS Trust)

Are you an NPS subscriber who has applied for partial withdrawal from PRAN but has yet to receive the funds?

If yes, please read and act upon the following message immediately:

An NPS subscriber is permitted to make partial withdrawal for specified purpose after three years of joining. If the subscriber has applied for partial withdrawal, the completed hard copy form and documents are also required to be submitted to the concerned nodal office for verification and authorization. In absence of submission of the hard copy form and documents to the nodal office, the online partial withdrawal request will remain pending in the system and the subscriber will not receive the funds.

As per advisories issued by the Pension Fund Regulatory & Development Authority (PFRDA) on 06 December 2018, in case of all partial withdrawal requests captured in the system till 30 November 2018, the required forms, information and documents need to be submitted to the respective nodal offices immediately so that verification and authorization can be completed
latest by 31 December 2018. The nodal offices will be: Pay & Accounts Office (PAO) / District Treasury Office (DTO) / Drawing & Disbursing Office (DDO) for the government sector subscribers and Points of Presence (PoPs) for subscribers in other sectors. If a request for partial withdrawal is not authorized in the system by 31 December 2018, it will be treated that the subscriber is no longer interested to seek partial withdrawal and the application / request will be considered as withdrawn.

You are therefore requested to liaise with your nodal office to ensure your online partial withdrawal request, supported by hard copy application and other documents, is duly processed by them well before 31 December 2018.

In case you face any issues with your nodal office in the above matter, you can approach NPS Trust (along with your Permanent Retirement Account Number – PRAN and your own & your nodal office’s contact details) via email: grievances@npstrust.org.in

Source: NPS Trust

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Approximately 18 lakh central government employees covered under NPS would be benefitted from the streamlining of the National Pension System

National Pension System-NPS-Central-Government-Employees

Ministry of Finance

Streamlining of National Pension System (NPS)

Posted On: 10 DEC 2018 3:01PM by PIB Delhi

Decision

The Union Cabinet in its Meeting on 6th December, 2018 has approved the following proposal for streamlining the National Pension System (NPS).

  • Enhancement of the mandatory contribution by the Central Government for its employees covered under NPS Tier-I from the existing 10% to 14%.
  • Providing freedom of choice for selection of Pension Funds and pattern of investment to central government employees.
  • Payment of compensation for non-deposit or delayed deposit of NPS contributions during 2004-2012.
  • Tax exemption limit for lump sum withdrawal on exit has been enhanced to 60%. With this, the entire withdrawal will now be exempt from income tax. (At present, 40% of the total accumulated corpus utilized for purchase of annuity is already tax exempted. Out of 60% of the accumulated corpus withdrawn by the NPS subscriber at the time of retirement, 40% is tax exempt and balance 20% is taxable.)
  • Contribution by the Government employees under Tier-II of NPS will now be covered under Section 80 C for deduction up to Rs. 1.50 lakh for the purpose of income tax at par with the other schemes such as General Provident Fund, Contributory Provident Fund, Employees Provident Fund and Public Provident Fund provided that there is a lock-in period of 3 years.

Background

The new entrants to the central government service on or after 01.01.2004 are covered under the National Pension System (NPS). The Seventh Pay Commission (7th CPC), during its deliberations, examined certain concerns regarding NPS and made recommendations in the year 2015. The 7th CPC recommended for setting up of a Committee of Secretaries in this regard. Accordingly, a Committee of Secretaries was constituted by the Government to suggest measures for streamlining the implementation of NPS in the year 2016. The Committee submitted its report in the year 2018. Accordingly, based on the recommendations of the Committee, draft Cabinet Note was placed before the Cabinet for its approval.

Implementation strategy and targets

The proposed changes to NPS would be made applicable immediately once time critical decisions are taken in consultation with the other concerned Ministries / Departments.

Major impact

  • Increase in the eventual accumulated corpus of all central government employees covered under NPS.
  • Greater pension payouts after retirement without any additional burden on the employee.
  • Freedom of choice for selection of Pension Funds and investment pattern to central government employees.
  • Benefit to approximately 18 lakh central government employees covered under NPS.
  • Augmenting old-age security in a time of rising life expectancy.
  • By making NPS more attractive, government will be facilitated in attracting and retaining the best talent.

Expenditure involved

The impact on the exchequer on this account is estimated to be to the tune of around Rs. 2840 crores for the financial year 2019-20, and will be in the nature of a recurring expenditure. The financial implications on account of provisions regarding payment of compensation for non-deposit or delayed deposit of NPS contributions during 2004-2012, would be in addition to the amount indicated above.

No. of beneficiaries

Approximately 18 lakh central government employees covered under NPS would be benefitted from the streamlining of the National Pension System.

States/districts covered

Pan India.

Details and progress of scheme if already running

Presently, the new entrants to the central government service on or after 01.01.2004 are covered under the NPS. NPS is being implemented and regulated by Pension Fund Regulatory and Development Authority in the country.

PIB

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New Pension Scheme Demand To Scrap it: NPS to OPS

NPS to OPS: New Pension Scheme Demand To Scrap it

New Pension Scheme Demand To Scrap it

New-Pension-Scheme-Scrap-NPS-OPSNEW PENSION SCHEME (NPS): The New Pension Scheme is made compulsory for Government employees was brought into effect 2004, this has effected them a lot, lot of agitations are being carried out on scrapping the New Pension Scheme, this agitations has forced many State Governments such as Karnataka, Kerala, Andhra Pradesh, Delhi State Governments to reconsider this New Pension Scheme and formed an expert committee to review this New Pension Scheme. This New Pension Scheme was not implemented by West Bengal State Government. In this angle an analysis is made all about New Pension Scheme and ways to scarp or modify the New Pension Scheme to benefit the Government employees at large is suggested.

Need for Pension : The Pension System thus started in India was finalized by the Indian Pension Act of 1871. It appears that the British Government had the conception of providing its pensioners increase in their pensions to neutralize the effect of inflation.

Pension is a reward for past service. It is undoubtedly a condition of service but not an incentive to attract new entrants, the Pension is paid for past satisfactory service rendered, and to avoid destitution in old age as well as a social welfare or socio-economic justice measure, the fact that the cost of living has shot up and correspondingly the possibility of savings has gone down and consequently the drop in wages on retirement.

That pension is neither a bounty nor a matter of grace depending upon the sweet will of the employer and that it creates a vested right subject to 1972 rules which are statutory in character because they are enacted in exercise of powers conferred by the proviso to Art. 309 and clause (5) of Art. 148 of the Constitution; (ii) that the pension is not an ex-gratia payment but it is a payment for the past service rendered; and (iii) it is a social welfare measure rendering socio-economic justice to those who in the hey-day of their life ceaselessly toiled for the employer on an assurance that in their old age they would not be left in lurch.

As on 01-01-2018 there were 51.96 lakh pensioners in the country, including from Central Civil Services, Railways, and Post, Defence and Defence civilians.

EVOLUTION OF NEW PENSION SCHEME (NPS) IN INDIA:

In 1991 Government of India as introduced diverse economic reforms to pull the country out of economic crisis and to accelerate the rate of growth. These reforms are often described as the New economic policy (NEP) or policy of LPG where L for liberalisation; P for privatisation; G for globalisation. The Congress Government under the Prime Ministership of Hon’ble Prime Minister Shri P. V. Narasimha Rao, the signed an agreement with the International Monetary Fund (IMF) to get the IMF loan in which the IMF had imposed various conditions to get the soft loan which includes pension reforms , which the Indian Government Congress Government had accepted it to reform in a 10 years period .

On the basis of the decision taken in the Eleventh Conference of State Finance Secretaries held in the Reserve Bank of India (RBI) during January 2003, a Group was constituted by the RBI in February 2003 to study the pension liabilities of the State Governments and make suitable recommendations.

The “Pension Fund” to be created under the proposed revised schemes should be kept completely outside the States’ Consolidated Fund and the Public Account
The pension systems, both for Civil Servants and other citizens, as evolved over the years have begun to show signs of financial stress in many countries, including India. Since the pension benefits of Government employees are usually paid from the general revenue of the Governments, the steep rise in such liabilities adversely affect the fiscal soundness of the Government entities. In India too, the increasing pension liabilities of the Central and State Governments have emerged as a major area of concern, especially in the wake of fiscal deterioration in recent years. About 20% of the state Government funds are spent on pension.

During the Hon’ble Prime Minister Shri Atal Bihari Vajpayee of NDA was in power from 1998 to 2004 which implemented this agreement of IMF on pension reforms . The NDA Government constituted two committees namely B.K.Bhattacharya committee headed by Shri B.K.Bhattacharya, Former Chief Secretary, Government of Karnataka as chairman and under the Chairmanship of Shri Biju Patnaik, Chief Minister of Orissa , both these committees recommended introduction of New Pension Scheme (NPS) & Hon’ble Prime Minister Shri Manmohan Singh of Congress (UPA) was in power from 2004 to 2014 continued to accept these pension reforms.
The New Pension Scheme (NPS) was announced on December 22, 2003 by the NDA Government, for all new government employees excepting those in the Armed Forces. This brand new system replaces the defined benefit system of pension and this includes GPF. Contributory pension scheme is for entrants who joined after 1st January 2004.

While the NPS is mandatory for the Central government employees, it has potentially a much wider reach. As of March 2007, 19 states which have decided to introduce similar schemes, mandating newly recruited civil servants to mandatorily join the NPS‐type scheme.

The NPS started with the decision of the Government of India to stop defined benefit pensions for all its employees who joined after 1 January 2004. While the scheme was initially designed for government employees only, it was opened up for all citizens of India in 2009. Over 15 lakhs Government employees are currently registered in NPS scheme.

The Department of Economic Affairs (DEA) at the Ministry of Finance, notified a new pensions regulator in August 2003, before the NPS commenced operations in January 2004. The PFRDA bill was presented in 2005, and was finally passed in Parliament in 2013.

Let us analyse why Government is adopting the pension reforms:

Sl. no Indian Government View Employees view
1 The ratio of retirees to workers is on continuous rise and further by 2030 the 25% of the population (200 million pensioners) will be above 60 years of age. The large number of employees are effected by the New Pension reforms, hence Government should keep it in mind the interest of the large chunk   of employees
2 The Pension system shall put enormous financial pressure on the Government and take away funds meant for social cause spending, this will cause a drain on the state of economy. About 80 % of employees are Group “C” workers, the pension amount is ultimately spent by them for their daily needs and money flows into the market and economy will not be effected , secondly Government is a model employer and it has social responsibility towards its employees.

After a decade of existence, there is need to examine the existing NPS and compare the performance of this system to the goals with which it was created.

*One of the key bottlenecks has been the lack of a sound regulatory framework, put in place by an empowered and independent regulator. The PFRDA Bill that had been pending since 2002 was finally passed in 2013. This enables the formal institutionalisation of the PFRDA as the regulator of the NPS. The PFRDA can now take on the task of both the relatively short term agenda of closing the gap between the current NPS and the original design.

*Central government employees can invest in these assets only through their Tier II account which get higher returns on longer period.

  • After the enactment of the Pension Fund Regulatory and Development Act, 2013, it is not the exclusive liability of the government to pay the pension.”
    The Ministry of Finance will oversee and supervise the Pension Funds through a new and independent Pension Fund Regulatory and Development Authority.”

WHAT IS THE NATIONAL PENSION SCHEME?
Each Government employee contributes 10 % of his salary (Basic Pay + DA + DP) to the pension account , which is then matched by a Government contribution of an equal amount .

National Pension Scheme or New Pension scheme is a pension plan offered by the government. Investment in this scheme is via debt and equity market. The invested amount is locked until retirement. At retirement age, you can withdraw 60% of the maturity amount while the balance40% must be invested in annuity. The maturity amount is taxable. The NPS is regulated by the PFRDA and fund management is by designated fund managers from the private and public sector. NPS has the lowest charges.

From our salaries and daily allowance, 10 per cent is cut towards pension and an equal amount is given by the government. This amount is invested into the share markets under the new scheme.

An NPS subscriber can withdraw 25% of his contribution to the corpus for emergencies before retirement. Instead of withdrawing the entire amount at retirement, you can withdraw Rs 25,000, or 25% of your contribution, earlier, without any tax incidence. The remaining Rs 1.75 lakh is withdrawn on retirement.

New Pension Scheme 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. All these condition would be equally applicable for grant of gratuity to employees covered under New Pension Scheme.

An individual can claim tax deduction of upto 10 percent of the salary contributed towards NPS under Section 80 C. For those contributing through the corporate scheme, an employee can claim tax deduction on contribution made by the employer, not exceeding 10 percent of his basic salary plus dearness allowance (if any) Under Section 80 CCD (2). This is above the overall limit of Rs.1 lakh offered under Section 80C.

How New Pension Scheme (NPS) is affecting the Government employees.

The New Pension Scheme is highly disadvantageous to the Government employees under the present situation the pension amount is invested into the share markets under the new scheme. If the markets are doing well, the employees will get a good pension if the share market fails no pension is available to them. Under the old system, employees would get a fixed amount as pension that was 50 per cent of their last basic salary. When the salary was hiked, the pension amount too would be revised. Under the present NPS system, there is no security as pensions depend on market conditions. Secondly the NPS is highly disadvantageous if the length of the Government service is less if a employee serves for 20 years, he draws a pension of about Rs 3,000/- to Rs 5,000/ only. If he completes 33 years of service he draws about Rs 12,000/- to Rs 15,000/- compared to Rs 15,000/- to Rs 20,000/- in the old pension system, this new pension system needs a deep study and its minimum pension should be at least 50% of the last pay drawn. It is upto the Government how and where the money is invested, but a minimum guarantee of 50% of the last pay drawn should be assured by the Government to the employee.

Under New Pension Scheme is in reality much steeper than what the quantum of pension would indicate the differential treatment for those retiring under Old Pension scheme and New Pension Scheme, would be according differential treatment to pensioners who form a class irrespective of the type of retirement and, therefore, would be violate of Art. 14. It was also contended that classification based on fortuitous circumstance of retirement in old or New Pension Scheme, fixing of which is not shown to be related to any rational principle, would be equally violate of Art. 14.

Pension Scheme around the Globe : The USA, Canada, United Kingdom, China , Germany etc. Governments have a scheme of a Defined Benefit (DB) pension is where you receive a specific amount of pay out that is guaranteed by employer, regardless of how their pension investment performs. Your defined benefit amount depends on how much is paid into the plan and your years of service with that employer.

CONCLUSION:The Indian Government should also have a similar Defined Benefit (DB) pension scheme like other major countries in the world have, as many state Governments are re thinking on the New Pension Scheme, hence this New Pension Scheme should be remodelled to suit the Government employees. The Government should take up more social responsibilities of protecting its employees.

We request the government to reintroduce the old pension system. For this a greater movement should take place amongst the New Pension Scheme employees forcing Central Government to rethink the new pension policy adopted after 2004.

P.S.Prasad
Working President
COC Karnataka

Source: http://karnatakacoc.blogspot.com/

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National Pension Scheme: Good News for central government employees! Government contribution to NPS to rise to 14% of basic salary

National Pension Scheme: Good News for central government employees! Government contribution to NPS to rise to 14% of basic salary

In a bonanza for government employees, the Cabinet Thursday raised the government’s contribution to National Pension Scheme (NPS) to 14 per cent of basic salary from the current 10 per cent, sources said. Minimum employee contribution will, however, remain at 10 per cent. The Cabinet also approved tax incentives under 80C of the Income Tax Act for employees’ contribution to the extent of 10 per cent, they added. Presently, the government and employees contribute 10 per cent of basic salary each to NPS.

While the minimum employee contribution remains at 10 per cent, the government contribution has been increased from 10 per cent to 14 per cent. The Cabinet, headed by Prime Minister Narendra Modi, also allowed government employees to commute 60 per cent of the fund accumulated at the time of retirement, up from 40 per cent at present. Also, employees will have the option to invest in either fixed income instruments or equities, sources said.

As per the Cabinet decision, if the employee decides not to commute any portion of the accumulated fund in NPS at the time of retirement and transfers 100 per cent to annuity scheme, then his pension would be more than 50 per cent of his last drawn pay, sources said. The government did not announce the decision in view of the ensuing polls in Rajasthan Friday. While the government is yet to decide on the date of notification of the new scheme, sources said such changes usually come into effect from the beginning of a financing year, meaning April 1, 2019. This formula for changes in the NPS was worked out by the Finance Ministry based on the recommendation of a government-appointed committee.

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Non-Grant of Revised Pension (7th CPC) to Pre-2016 Retirees

Non-Grant of Revised Pension (7th CPC) to Pre-2016 Retirees

NFIR
National Federation of India Railwaymen
3, Chelmsford Road, New Delhi – 110 055

No.II/35/2018

Dated: 16/11/2018

The Secretary (E),
Railway Board,
New Delhi

Dear Sir,
Non-grant of revised pension 7th CPC to pre-2016 retirees – reg.
Ref: NFIR’s letter No. II/35/20l8 dated 08/09/2018

In view of difficulties faced for revision of pension (w.e.f. 01/01/2016 -7th CPC) of retired Running Staff consequent upon non-reckoning of 55% add on pay element to retired Running Staff, 30% add on pay element for retired Loco inspectors (pre-2016) and non-reckoning of ‘Charge Allowance‘ granted to JA Grade Officers (worked on adhoc basis and retired) which is counted as pay for all purposes as per extant instructions, NFIR vide its letter dated 08/09/2018 requested the Railway Board to make adequate provisions in the ARPAN software to enable the zonal Railways tb redress the grievances of retired staff.

Along with its communication dated 08/09/2018, Federation also enclosed copies of Western Railway and Sourh Central Railway’s letters dated 06/07/2018 & 10/08/2018 wherein specific difficulties/problems faced by the zonal Railways were highlighted’ Federation feels disappointed that though a period of more than two months passed, neither.rectification in the software ARPAN has bleen don. no, Federation apprised of steps taken to mitigate problem.

While enclosing copy of Federation’s letter dated 08/0912018 (together with enclosures), NFIR once again requested Railway Board to kindly intervene to see that rectification in the software is ensured soon. Federation may please be apprised of the action taken in the matter.

Yours faithfully,
sd/-
(Dr.M.Raghavaiah)
General Secretary

Source: NFIR

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Provision and rules for NPS part withdrawal

Provision and rules for NPS part withdrawal

Provision and rules for NPS part withdrawal
  1. The partial withdrawal can be made to the limit of 25% of the contributions made by the subscribers, but excluding contributions made by the employer.
  2. The purpose of withdrawal is defined by the PFRDA. The purpose of withdrawal include treatment of specified illness of a family member, education of children, wedding expenses of children and purchase or construction of house.
  3. The education expenses can be made for the subscriber’s own children including the legally adopted children.
  4. The marriage expenses can be a reason for withdrawal so long as the subscriber’s own child is getting married, including his/her legally adopted child.
  5. To be able to withdraw the money for construction of house, the subscriber must make sure that the house belongs to him/her or in a joint name with his/her legally wedded spouse, that too if the subscriber doesn’t own more than one house besides the ancestoral property.
  6. For the treatment, the permission to withdraw upto 25% can be made allowed only if the diseases suffered fall in the category of diseases such as cancer, kidney failure, multiple sclerosis, major organ transplant, stroke, heart valve surgery, coma, paralysis and total blindness, among a few other major ailments.
  7. The subscriber can withdraw for a maximum of three times during the entire tenure of subscription.
  8. For withdrawal, subscriber must make the request to the central record keeping agency or the national pension system trust through the nodal office.
  9. In case the subscriber is suffering from an ailment, as mentioned in the clause, the request can be made by a subscriber’s family member.
  10. The rules have been effective from January 10, 2018 onwards.

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