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Centre increases pension to families of deceased govt employees who served less than 7 years

The amendment mandates that families of government employees who passed away before completing seven years of service will receive 50 per cent of last pay drawn for 10 years as pension

twitter-logo BusinessToday.In   New Delhi     Last Updated: September 23, 2019  | 21:42 IST
Centre increases pension to families of deceased govt employees who served less than 7 years

Centre has notified amendments to grant enhanced pension to families of government employees dying after serving less than seven years. The amended pension rules will apply to families of all government employees, including those of Central Armed Police Forces personnel.

The amendments to the Rule 54 of the Central Civil Services (Pension) Rules, 1972 will come into effect from October 1, 2019. The families of government servants who died before completion of service of seven years within 10 years before October 1, 2019, will also be eligible for family pension at enhanced rates.

The amendment mandates that families of government employees who passed away before completing seven years of service will receive 50 per cent of last pay drawn for 10 years as pension. Earlier in case of their deaths, families of government employees who rendered at least seven years of service received 50 per cent of the last pay drawn as pension. For those, who had served less than seven years were eligible to receive 30 per cent of the last pay drawn.

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"The government felt that the need for family pension at enhanced rate is more in the case of a government servant who dies early in his career, as his pay at the initial phase of service is much less. As per the amended Rule 54, the family of a Government servant, who dies within seven years of joining service, will also be eligible for family pension at enhanced rate of 50% of last pay drawn, for a period of 10 years," Ministry of Personnel, Public Grievances and Pensions said in a statement.

"For the purpose of death gratuity, the final amount of the death gratuity shall be determined by the Head of Office on the acceptance and verification of the entire spell of service by him within a period of six months from the date on which the authority for the payment of provisional death gratuity was issued and the balance, if any, becoming payable as a result of determination of the final amount of death gratuity shall then be authorised to the beneficiaries," the statement further said.

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