Punjab Govt Order on Pension to employees who retire on 01.01.2006 or afterwards

No. 3/23/09-3FPPC/879

GOVERNMENT OF PUNJAB
DEPARTMENT OF FINANCE
(FINANCE PENSION POLICY AND COORDINATION BRANCH)

Dated Chandigarh the 17-8-2009

To
All Heads of Departments,
Commissioners of Divisions,
Registrar, Punjab and Haryana High Court,
District and Sessions Judges, and
All Deputy Commissioners in the State.

Subject: Implementation Of the recommendations of the Fifth Punjab Pay Commission regarding Pension and other retirement benefits.

Sir/Madam

I am directed to invite a reference to the subject cited above and to say that after careful consideration of the recommendations of the Fifth Punjab Pay Commission, the Governor of Punjab is pleased to revise/modify/grant various benefits to the pensioners of the State as indicated in the succeeding paragraphs

DATE OF EFFECT
1.The revised provisions as per these orders shall apply to Govt. employees who retire/die in harness on or after 1st January, 2006 (separate orders are being issued in respect of employees who retired/died before 1st January, 2006). Where pension/family pension/gratuity/commutation of pension etc has already been sanctioned in cases occurring on or after 1-1-2006, the same shall be revised in terms of these orders. In cases where pension has been finally sanctioned on the pre-revised orders and if it happens to be more beneficial than the pension becoming due under these orders, the pension already sanctioned shall not be revised to the disadvantage of the pensioner in view of the proviso to the rule 9.15(1) of Punjab Civil Services Vol-II.

2.EMOLUMENTS, AND AVERAGE EMOLUMENTS

2.1 The term ‘Emoluments’ for the purposes of calculating various Pensionary benefits other than the death-cum-retirement gratuity shall mean pay as defined in rule 6.19.6 of Punjab Civil Services Rules Volume II as amended from time to time and as applicable to pensioners/family pensioners under the rules.
2.2 Basic Pay in the revised structure means pay drawn in the prescribed pay band plus applicable grade pay but does not include any other type of pay like special pay etc.
2.3 In the case of all kinds of gratuity, dearness allowance admissible on the date of retirement/death shall continue to be treated as emoluments along with the emoluments as defined in paragraph 2.1 above.
2.4 The average emoluments of those employees who retire within ten months from the date of coming over to the revised pay structure shall be calculated as follows:-
(i) For the period during which pay is drawn in pre-revised scales, Basic Pay, personal pay if any, and NPA, DA actually admissible as on 31-12-2005 in the unrevised scale.
(ii) For the period during which pay is drawn in the Revised pay structure, Basic Pay plus grade pay and NPA in the revised pay structure scales
according to the Punjab Civil Services Rules (Revised Pay) Rules, 2009. Such employees are to give an option to have their pension computed on the basis of their pre-revised reckonable emoluments in the manner as if they retired on 31st December 2005(ignoring the revised emoluments drawn by them after 1st January 2006) and have such pension consolidated and updated to 1st January 2006 level. They shall be allowed such updated pension if it is more beneficial with effect from the date of their actual retirement. Such option shall be exercised within three months of the issue of these orders; such option may be given by eligible legal heir in case of a deceased employee

3.PENSIONS

3.1 Pension shall continue to be 50% of basic pay (plus NPA). It shall also continue to be calculated on the basis of last pay drawn or 10 months average whichever is beneficial to the employees subject to the minimum of Rs 3500/- per month.
3.2 A Government employee retiring in accordance with Punjab Civil Services Rules Vol-II as amended from time to time and as applicable to the pensioners/family pensioners, before completing qualifying service of ten years shall not be entitled to pension but he shall continue to be entitled to service gratuity in terms of rule 6.16 of Punjab Civil Service Rules Vol-II.
3.3 The amount of pension shall be subject to a minimum of Rs 3500/- with effect from 1st January 2006.
Additional pension/family pension.
3.4 In addition to above provisions, the quantum of pension available to the old pensioners/family pensioners, shall be increased as follows:-

Age of pensioner/family pensioner : Additional quantum of pension/family pension
From 65 years to less than 75 years : 5% of revised basic pension/family pension
From 75 years to less than 80 years : 10% of revised basic pension/family pension
From 80 years to less than 85 years : 20% of revised basic pension/family pension
From 85 years to less than 90 years : 30% of revised basic pension/family pension
From 90 years to less than 95 years : 40% of revised basic pension/family pension
From 95 years to less than 100 years : 50% of revised basic pension/family pension
100 years or more : 100% of revised basic pension/family pension

Note:
(i) The Additional quantum of pension/family pension on attaining the age of 65 years and above would be admissible from the first day of the month in which his date of birth falls. For example, if a pensioner/family pensioner completes the age of 80 years in the month of August, 2008 he will be entitled to additional pension/family pension with effect from 1st August, 2008. Those pensioners/family pensioners whose date of birth is 1st August will also be entitled to additional pension/family pension with effect from 1st August, 2008 on attaining the age of 80 and above.
(ii)The Accountant General (A&E), Punjab shall ensure that the date of birth and the age of the pensioners/family pensioners is invariably indicated in the PEN-1 and the Pension Payment Order to facilitate payment of additional pension/family pension by the Pension Disbursing Authority as soon as it becomes due. The amount of additional pension/family pension will be
shown distinctly in the Pension Payment Order. For example, in case where a pensioner is more than 65 years of age and his pension is Rs 10,000 PM, the pension will be shown as (i) Basic Pension= Rs 10,000 and (ii) Additional Pension = Rs 500 per month. The pension on his attaining the age of 75 will be shown as (i) Basic Pension = Rs 10,000 and (ii) Additional Pension = Rs 1000 per month.
(iii)The existing provisions relating to grant of Dearness Relief on Old Age Allowance which has been termed as additional pension/family pension shall continue to be in force.

4. Rates of Retirement-cum death gratuity/DCRG

The maximum limit of Retirement-cum-Death gratuity is raised from Rs 3.50 lacs to Rs 10.00 lacs.

5. Rates of Family Pension

5.1 Family pension shall continue to be calculated at the existing rates subject to the minimum of Rs 3500/- per month.
5.2 The grant of special pension under the extraordinary pension rules is being considered separately.
5.3 For the purpose of rule 6.17 of Punjab Civil Services Rules Vol-II the existing provision/instructions shall remain to be in force.
5.4 Parents who were dependent on the Government employee when he/she was alive provided the deceased employee had left behind neither a widow nor a child. The parents whose total income from all sources was Rs 3500/- per mensem or more at the time of death of the employee shall not be considered to be dependent.

6. Commutation of Pension

6.1 A Government employee shall continue to be entitled to commute for a lump-sum payment up to 40% of his pension.
6.2 The existing Table of commutation value for pension annexed to the existing rule shall be substituted by a new table at Annexure 1 of this order.
6.3 The revised table of commutation value for pension will be used for all commutation of pension, which became absolute after the date of issue of this order. In case of such pensioners whose case for commutation became absolute on 1st January 2006 but before the issue of this order he pre-revised table of commutation of value for pension will be used for payment of commutation on pension based on pre-revised pay/pension. Such pensioner shall have an option to commute the amount of retrospective revision of pay/pension. On exercising such an option by pensioner, the revised table of commutation value for pension will be used for commutation of additional amount of pension.

7. Constant Attendant Allowance

A Constant Attendant Allowance @ Rs 3000 per month shall be given to the Punjab Government Employees who suffer 100% disability as a result of action against extremists or anti-social elements and who are dependent on somebody for day to day functions. This shall be in addition to the extra ordinary disability pension and other benefits.

8. Ex-gratia payment

The maximum limit of ex-gratia is increased to Rs. 8.00 lacs in case of death in harness which occurs due to causes attributable to the service and Rs. 10.00 lacs for death in the case of performance of duty such as dealing riots, terrorist attack or enemy action.

9. TRAVEL CONCESSION

The existing provisions relating to the Travel Concession shall continue to be in force.

10. The pension/ family pension in terms of these orders will qualify for dearness relief beyond average All India Consumer Price Index-536 (Basic year 1982-100). The revised pattern of Dearness relief will be notified separately.

11. In respect of matters not provided in the above orders, the existing rules/instructions on the subject shall continue to be in force. The Punjab Civil Services (Revision of Pay) Rules, 2009 shall also apply, wherever required in the context of above orders. The relevant provisions of Punjab Civil Services Rules Vol-II shall deemed to have been amended to the extent of the contents of this letter, and notification for the same will be issued in due course.

12. All proposed increases in allowances and other benefits (such as old age allowance, medical allowance, constant attendant allowance, ex-gratia payment) shall be from the date of issue of these orders by the Government whereas the revised pensionary benefits (such as basic pension, commutation of pension, gratuity) shall be from 1.1.2006. Decision about payment of arrears of pensions from 1-1-2006 to 31-7-2009 shall be taken in due course of time and with effect from 1-8-2009 enhanced pension in cash shall become payable.

13. Punjabi Version of these orders will follow in due course of time.

Yours faithfully

Om Parkash Bhatia
Under Secretary, Finance (B)

A Copy is forwarded to the:
1 The Chief Secretary to the Government of Punjab,
2 All the Financial commissioners and Principal Secretaries and Administrative Secretaries to the Government of Punjab.
3 Resident Financial Commissioner, Punjab, Punjab Bhawan, Copernicus Marg, New Delhi,
4 Director Information and Technology (Infotech) Udyog Bhawan, Sector 17, Chandigarh. (Put the information on Punjab Govt. website.
5 Under Secretary to the Government of Punjab, Department of Finance (Coordination Branch)
Under Secretary, Finance (B)

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Hereunder I am reproducing Punjab Government Notification of May 27, 2009 for the benefit of Punjabi University non-teaching employees:
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GOVERNMENT OF PUNJAB
DEPARTMENT OF FINANCE
(FINANCE PERSONNEL BRANCH – I )

NOTIFICATION
No.5/10/09-5FPI/ 207
The 27th May, 2009

In exercise of the powers conferred by the proviso to Article 309 read with clause (3) of Article 187 of the Constitution of India, the Governor of Punjab, after consultation with the Speaker of the Punjab Vidhan Sabha, in so far as such consultation is necessary, in terms of the provisions of clause (3) of the said Article 187, is pleased to make the following rules, namely:-

RULES

1. Short title and commencement.- (1) These rules may be called the Punjab Civil Services (Revised Pay) Rules, 2009.
(2) They shall be deemed to have come into force on and with effect from the first day of January, 2006.

2. Application. - (1) Save as otherwise expressly provided by or under these rules, they shall apply to all the persons appointed to the services and posts in connection with the affairs of the State of Punjab and staff of Punjab Vidhan Sabha Secretariat provided that the staff of Punjab Vidhan Sabha will get pay/ allowances and other benefits at par with the staff of Punjab Civil Secretariat as per provisions of Rule 14 of Punjab Vidhan Sabha Secretariat Service Rules, 2007.

(2) They shall not apply to the: -
(a) members of the All India Services serving in connection with the affairs of the State of Punjab;
(b) persons not in the whole-time employment of the Government of Punjab;
(c) persons paid out of contingencies;
(d) employees whose scales of pay have been determined on the recommendations of the University Grants Commission;
(e) persons employed on contract basis, except when the contract provides otherwise; and
(f) persons specifically excluded wholly or in part from the operation of these rules.

3. Definitions: - In these rules, unless there is anything repugnant in the subject or context ;
(a) ”existing basic pay” or “pre-revised basic pay” means the pay drawn in the prescribed existing/pre-revised scale of pay including ex-gratia annual increment(s), but does not include any other type of pay like ‘special pay’, etc;
(b) “existing scale” or “pre-revised scale” in relation to a Government employee means the scale in respect of a post held or higher scale granted under the Assured Career Progression Scheme to him or, as the case may be, personal scale allowed to him on the first day of January, 2006, whether in a substantive or officiating capacity;
Explanation. - In the case of a Government employee, who was on the first day of January, 2006, on deputation out of India or on leave or on foreign service, or who would have on that date officiated in one or more lower posts, but for his officiating in a higher post, “existing scale” shall include the scale applicable to the post which he would have held, but for his being on deputation out of India or on leave or on foreign service or, as the case may be, but for his officiating in a higher post;
(c) “existing emoluments” means the sum of ;
(i) basic pay in the existing scale as on the first day of January, 2006 or on the date of option under rule 6;
(ii) dearness pay appropriate to the existing basic pay;
(iii) interim relief calculated at the rate of five per cent of the existing basic pay plus dearness pay; and
(iv) dearness allowance appropriate to the existing basic pay plus dearness pay plus interim relief.
(d) “Fitment Table” means the relevant fitment table attached to these rules showing revised pay structure corresponding to a particular pre-revised pay scale;
(e) “Government” means the Government of Punjab in the Department of Finance;
(f) “pay in the pay band” means the pay drawn in the running pay bands specified in column 6 of the Schedule;
(g) “grade pay” means the fixed amount corresponding to the pre-revised pay scales or posts specified in column 7 of the Schedule.
(h) “revised pay structure” in relation to any post or pre- revised scale specified in column 3 of the Schedule, means the pay band and grade pay, as specified against that post or pre-revised pay scale in columns 6 and 7 thereof, unless a different revised pay band and grade pay or pay scale is notified separately for the post;
(i) “basic pay” in the revised pay structure means the pay drawn in the specified pay band plus the applicable grade pay, but does not include any other type of pay like special pay etc.;
(j) “revised emoluments” means the pay in the pay band plus the grade pay of a Government employee in the revised pay structure and includes dearness allowance; and
(k) “Schedule” means a Schedule, appended to these rules providing for a General Conversion Table for revised pay structure and grouping applicable in relation to the corresponding unrevised pay scale of the employees.

4. Scale of pay of posts. — The corresponding pay band and grade pay as applicable, to every post or pre-revised scale, specified in the Schedule, shall be, as shown therein against each post or pre-revised scale.

5. Drawal of pay in the revised pay structure. — Save as otherwise provided in these rules, a Government employee shall draw pay in the revised pay structure applicable to the post to which he is appointed:
Provided that a Government employee may opt to continue to draw pay in the existing scale, until the date on which he earns his next or any subsequent increment in the existing scale or until he vacates his post or ceases to draw pay in that scale;
Provided further that in cases where a Government employee has been placed in higher pay scale between 1.1.2006 and the date of notification of these Rules on account of promotion, upgradation of pay scale under the Assured Carrier Progression Scheme or otherwise, the Government employee may elect to switch over to the revised pay structure from the date of such promotion, upgradation etc.
Provided further that in case where a Government employee has been placed in higher pay scale under the un-revised pay scales between 1.1.2006 and the date of notification of these rules on account of promotion or progression under the Assured Career Scheme, the pay of the government employee on the date of grant of such higher scale shall be regulated in such a manner that his corresponding revised pay in the revised pay structure is not lower than that shown in the Fitment Table, applicable to such pre-revised higher scale.
Explanation I - The option to retain the existing scale under the first and second provisos to this rule shall be admissible only in respect of one existing scale.
Explanation 2 - The aforesaid option shall not be admissible to a person, appointed to a post on or after the first day of January, 2006, whether for the first time in Government service or by transfer from another post and he shall be allowed pay only in the revised pay structure.

6. Exercise of option - (1) The option under the provisos to rule 5, shall be exercised in writing in the form appended to these rules so as to reach the authority specified in sub-rule (2) within a period of three months from the date of publication of these rules or where an existing scale has been further revised by any order made subsequent to that date, within a period of three months from the date of such order: -
Provided that ;
(i) in the case of a Government employee, who on the date of such publication or as the case may be, on the date of such order, is out of India on leave or on deputation or on foreign service or on active service, the option shall be exercised in writing so as to reach the said authority within a period of three months from the date of his taking the charge of his post under the State Government; and
(ii) where a Government employee is under suspension on the first day of January, 2006, the option may be exercised within a period of three months from the date of his return to his duty, if that date is later than the date specified in this sub-rule.
(2) The option shall be intimated by the Government employee to the Head of his Office.
(3) If the intimation regarding option is not received within the period as specified in sub-rule (1), the Government employee shall be deemed to have elected to be governed by the revised pay structure with effect from the first day of January, 2006.
(4) The option once exercised shall be final.
Note 1. Persons, whose services were terminated on or after the first day of January, 2006 and who could not exercise their option within the specified period, on account of discharge on the expiry of the sanctioned posts, resignation, dismissal or discharge or disciplinary grounds, are entitled to the benefits admissible of this rule.
Note 2. Persons, who have died on or after the first day of January, 2006 and could not exercise their option within the specified period shall be deemed to have opted for the revised pay structure on and from the first day of January, 2006 or such later date as is most beneficial to their dependents, if the revised pay structure is more favourable and in such cases, necessary action for payment of arrears should be taken by the Head of Office.
Note 3. Persons, who were on earned leave or any other leave on 1.1.2006, which entitled them to leave salary, shall be allowed the benefits admissible under this rule.

7. Fixation of pay in the revised pay structure - The pay of a Government employee, who opts or is deemed to have opted under sub-rule (3) of rule 6 to be governed by the revised pay structure in terms of the provisions of these rules, shall, unless in any case, the Government by special order otherwise directs, be fixed in the following manner, namely: -
(i) the basic pay in the revised pay structure will be fixed with reference to the existing basic pay in the pre-revised pay scale of the post including higher scale granted under the Assured Career Progression Scheme as on 01.01.2006 or thereafter, as the case may be, and shall be an amount equal to the sum of the ‘pay in the pay band’ and ‘grade pay’ as shown in column 4 of the Fitment Table applicable to the relevant post or pre-revised pay scale;
(ii) in case of employees, who are getting ex-gratia increments on the date of option, the revised basic pay shall be determined by multiplying the existing basic pay with 1.86 rounded off to the next higher ten and adding Grade Pay as given in the applicable Fitment Table;
(iii) an employee, who reaches at the maximum of the Pay Band, shall be placed in the higher pay band after one year without any change in the Grade Pay; and
(iv) in the case of a Government employee, who is in receipt of Special Pay, Family Planning Allowance, Special Allowance or Non-Practising Allowance (NPA) or by whatever name it may be called at the same rate or at different rates, such a Government employee shall draw Special Pay, Family Planning Allowance, Special Allowance or Non-Practising Allowance at the rate, allowed with the revised scale. In such cases, the allowance at the new rate shall be drawn in addition to pay in the revised pay structure from the date specified in the individual notifications relating to these allowances.
Note 1. Where the increment of a Government employee falls on the first day of January, 2006 he shall have the option to draw the increment in the existing scale or in the revised Pay Band.
Note 2. A Government employee, who is on leave on the first day of January, 2006, and is entitled to leave salary, shall become entitled to pay in the revised pay structure from 1.1.2006 or the date of option for the revised pay structure.
Note 3. A Government employee, under suspension, shall continue to draw subsistence allowance based on existing scale of pay and his pay in the revised pay structure will be subject to the final order on the pending disciplinary proceedings.
Note 4. Where the existing emoluments exceed the revised emoluments in the case of any Government employee, the difference shall be allowed as personal pay to be absorbed in future increases in pay.
Note 5. Where in the fixation of pay under this rule, a Government employee, who, in the existing scale was drawing immediately before the first day of January 2006, more pay than another Government employee junior to him in the same cadre, gets his pay fixed in the revised pay band at a stage lower than that of such junior, his pay shall be stepped up to the same stage in the revised pay band as that of the junior.
Note 6. In case where a senior Government employee promoted to a higher post before the first day of January, 2006 draws less pay in the revised pay structure than his junior, who is promoted to a higher post on or after the first day of January, 2006, the pay in the pay band of the senior Government employee will be stepped up to an amount equal to the pay in the pay band as fixed for his junior in that higher post. The stepping up will be done with effect from the date of promotion of the junior Government employee subject to the fulfillment of the following conditions, namely: -
(a) both the junior and the senior Government employees should belong to the same cadre and the posts in which they have been promoted should be identical in the same cadre;
(b) the pre-revised scale of pay and the revised grade pay of the lower and higher posts in which they are entitled to draw pay should be identical;
(c) the senior Government employees at the time of promotion should have been drawing equal or more pay than the junior; and
(d) the anomaly should be directly as a result of application of the provisions of these rules or any other rule or order regulating pay fixation on such promotion in the revised pay structure. If even in the lower post, the junior officer was drawing more pay in the pre-revised pay than his senior by virtue of any advance increment(s) granted to him, the provisions of this note shall not be invoked to step up the pay of the senior employee.

8. Mode of payment of arrear of pay – Notwithstanding anything contained in these rules, the arrear with effect from first January, 2006 to 31 of July 2009 will be paid in such manner and at such time as may be decided by Government. The revised pay under these rules shall be drawn from the first day of August, 2009.

9. Rate of increment in the revised pay structure. - The rate of increment in the revised pay structure will be three per cent of the sum of the pay in the pay band and grade pay applicable, which will be rounded off to the next multiple of 10. The amount of increment will be added to the existing pay in the pay band.

10. Date of next increment. - The next increment of a Government employee, whose pay has been fixed in the revised pay structure in accordance with rule 7, shall be granted on the date, he would have drawn his increment, had he continued in the existing scale:
Provided that the next increment of a Government employee whose pay is fixed on the first day of January, 2006 at the same stage as the one, fixed for another Government employee junior to him in the same cadre and drawing pay at a lower or equal stage than his senior in the existing scale, shall be granted on the same date as admissible to his junior, if the date of increment of the junior happens to be earlier.

11. Fixation of pay on promotion. - In the case of promotion from one grade pay to another in the revised pay structure, the pay fixation will be done as follows: -
(i) one increment equal to three per cent of the sum of the pay in the pay band and the existing grade pay will be computed and rounded off to the next multiple of 10. This will be added to the existing pay in the pay band. The grade pay corresponding to the promotion post will thereafter be granted in addition to this pay in the pay band. In cases where promotion involves change in the pay band also, the same methodology will be followed. However, if the pay in the pay band after adding the increment is less than the minimum of the higher pay band to which promotion is being made, the pay in the pay band will be stepped to such minimum.

12. Illustration :- With a view to provide guidance in the fixation of pay under the relevant rules of these rules, illustrations 1 to 5 have been given, which are appended to these rules.


13. Overriding effect - The provisions of the Punjab Civil Services Rules, Volume I, Part I and the Punjab Civil Services Rules, Volume II, the Punjab Civil Services (Revised Scales of Pay) Rules, 1979 the Punjab Civil Services (Revised Pay) Rules, 1988 and the Punjab Civil Services (Revised Pay) Rules, 1998, shall not, save as otherwise provided in these rules, apply to the cases, where pay is regulated under these rules, to the extent they are inconsistent with these rules.

14. Power to relax. - Where the Government is satisfied that the operation of these rules causes undue hardship to any individual Government employee or class of Government employees, it may, by an order in writing, relax or dispense with any of the provisions of these rules to such extent and subject to such conditions, as it may consider necessary.

15. Interpretation. - If any question arises relating to the interpretation of any of the provisions of these rules, the Government shall decide the same.