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Implementation of the recommendation of the 7th CPC – Option regarding commutation of additional amount of pension

Admin October 25, 2016

Implementation of the recommendation of the 7th CPC – Option regarding commutation of additional amount of pension

F.No.42/14/2016-P&PW(G)
Government Of India
Ministry Of Personnel, PG & Pensions
Department of pension & Pensioners welfare

3rd Floor, Lok Nayak Bhawan
Khan Market, New Delhi – 110 003
Date: 24th Oct, 2016

OFFICE MEMORANDUM

Subject: Implementation of the recommendation of the 7th CPC – Option regarding commutation of additional amount of pension.

The undersigned is directed to state that in pursuance of Government’s decision on recommendation of 7th central pay commission, orders have been issued for revision of provisions regulating pension/gratuity/commutation of pension etc. vide this Department’s OM 38/37/2016-P&PW(A) dated 04.08.2016. In Para 8.1 of the said OM, it has been mentioned that there will be no change in the provisions relating to commutation values, the limit upto which the pension can be commuted or the period after which the commuted pension is to be restored.

2. As per Rule 10 of CCS (Commutation of Pension) Rules, 1981, an applicant who has commuted a percentage of his final pension and after commutation his pension has been revised and enhanced retrospectively as a result of Government’s decision, the applicant shall be paid the difference between the commuted value determined with reference to enhanced pension and the commuted value already authorised. For the payment of difference, the applicant shall not be required to apply afresh.

3. References have been received in this Department that many pensioners who retired after 01.01.2016 and have drawn pension/commuted value of pension based on their pre-revised pay/pension do not wish to commute the pension which has become additionally commutable on revision of pay/pension on implementation of recommendations of 7th CPC. The matter has been examined in consultation with Ministry of Finance (Department of Expenditure). It has been decided that those pensioners who retired from 01.01.2016 till 04.08.2016 i.e. the date of issue of orders for revised pay/pension based on the recommendations of the 7th CPC may be given an option, in relaxation of Rule 10 of CCS (Commutation of Pension) rules, 1981, not to commute the pension which has become additionally commutable on revision of pay/Pension on implementation of recommendations of the 7th CPC. The cases where the additional pension after 7th CPC has already been commuted will not be re-opened.

4. In their application to the employees of Indian Audit and Accounts Department, these orders issue in consultation with comptroller and Auditor General of India.

5. This issues with the concurrence of Ministry of Finance, Department of Expenditure ID No.192/E.V/2016, dated 30.09.2016.

6. Hindi version will follow.

(Sujasha Choudhury)
Director (Pension)

Signed copy

Filed Under: 7th Pay Commission, 7th Pay Commission Orders, DOP&PW, LATEST 7TH PAY COMMISSION NEWS, Pension

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Reader Interactions

Comments

  1. Ex Sub Chava SA says

    August 5, 2017 at 10:07 am

    Govt should boost morale for son/ daughter of soil & veterans of Army/ Nevy/ Airforece with any Disability Pension.
    Sub Chavan SA

  2. Ramesh Kunte says

    October 27, 2016 at 7:25 am

    Thanks government of India & special thanks for Modiji

  3. Brig KC Sukhija(Retd) says

    October 27, 2016 at 6:14 am

    What are outcomes of the one man committee ,s report headed by Justice Reddy What are their recommendations ?
    Letter dated 18/10/2016 on the equal envy of defence Armed officers V/S civilians officers should be withdrawn immediately I can not understand why such letter should have the approval of Raksha Mantari If he can not understand such simple thing he should resign as A Raksha Mantari and some Retd senior officer souls take over as the Raksha Mantari Reduction in the disability pension for defence Armed Forces should be withdrawn and reverted back to old orders as per the 6th CPC
    The morale of the Armed Forces is at its lowest In the present conditions at the borders Govt should raise the morale of the serving troops and veterans whose sons and daughters are in the defence forces and to lower their morale Govt should take action immediately to amend these orders otherwise this may lead to worst consequences
    Jai Hind
    Brig KCSukhija(Retd)

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