Central Government Employees Rules for Retirement Gratuity under New Provisions

The grant of retirement gratuity & counting of service for gratuity on the mobility of an NPS government employee shall be regulated by the following method.

Central Government Employees Rules for Retirement Gratuity under New Provisions
Central Government Employees

Central Government Employees: The benefit of retirement gratuity for CG employees covered under the NPS, while counting the service period, moving from one organisation to another is still a matter of concern. Now, the government has come out with a clarification and the rules to determine the service period in these cases. 

The grant of retirement gratuity (RG) and counting of service for gratuity on the mobility of an NPS government employee can now be regulated by the following ways:

1. On mobility from a Central Government (CG) service to ‘another Central Government service, the service rendered in the previous Department in the CG shall be counted for the purpose of grant of gratuity. There will be no sharing of gratuity liability between the two Departments of Central Government. 

2. On mobility from a CG service to a State Government service having NPS with provision for Retirement or Death Gratuity for its employees same to those in Central Government, the service rendered in the Central Government shall be counted for the purpose of grant of gratuity. Same provisions will apply on the mobility of an NPS employee of the State Government to the Central Government Department. There shall be no sharing of gratuity liability between the Central and State Governments. 

3. On mobility from Central Government service to a Central or State Autonomous Body service having National Pension System with the provision of retirement/death gratuity for its employees similar to that in the Central Government, the service rendered in the Central Government would be counted for grant of gratuity. The Government will discharge its gratuity liability by paying the amount of retirement gratuity for the service rendered in the Government to the Central or State Autonomous body.

4. On mobility from CG service to a Central or State Autonomous Body or to a State Government where the provision for grant of gratuity similar to that in Central Government does not exist or to a Public Sector Undertaking, the NPS Government employees shall be granted retirement gratuity according to the rule for the service rendered in the CG subject to the condition that the total gratuity admissible in respect of the service rendered under the Government of India and that under the later organization, shall not exceed the amount that would have been admissible.

It is to be noted that the above provisions will be applicable to Government employees covered under NPS who resign to take up with proper permission, another appointment in the Central / State Government or Central / State Autonomous body or a PSU.

Source: Financial Express