Central Government Employees Won’t Face Any Delay in Pension or Gratuity Payment if PPO is Not Issued

The government has directed officials to ensure that pension and gratuity payments to retired Central Government Employees are not halted if the final Pension Payment Order (PPO) is delayed for more than six months due to administrative issues. 

Payment of temporary pension is available for six months under present guidelines if PPO is delayed. 
 

Official Notification: 

The Department of Pension and Pensioners' Welfare (DoPPW) recently issued an Office Memorandum (O.M) that stated: "In view of the provisions of Rule 62 of the CCS (Pension) Rules, 1972, the Accounts Officer has to treat the provision pension as final and issue pension payment order immediately on the expiry of the period of six months provided in the Rule, if the final amount of pension and gratuity has been determined by the Head of Office in consultation with the Accounts Officer within the said period." 

"As a result, there should not be a circumstance where a retired Government servant's regular pension is not authorized by the Accounts Officer after the six-month period has expired," it added. 

"Pension should not be withdrawn under any circumstances, if, for whatever reason, PPO for regular pension could not be granted by the Accounts Officer until the expiration of the period of six months," according to the O.M. dated February 23, 2022. 

In circumstances when a delay in issuing a PPO approving regular pension is anticipated, the Head of Office is required to award a provisional pension/gratuity under Rule 62 of the Central Civil Services (Pension) Rules, 2021 (Rule 64 of the old Central Civil Services (Pension) Rules, 1972). 

In Case of Delay, Interest Shall Be Paid On The Arrears:

In all cases where a pension/family pension/gratuity (including provisional pension/family pension/gratuity) has not been sanctioned or is delayed, and it is clearly established that the delay in payment was due to administrative reasons or lapses, interest shall be paid on the arrears of pension/family pension/gratuity at the rate and in the manner applicable to General Provident Fund amounts, as provided in Rule 65 of the CCS (Pension) Rules, 2021. 

Serious Action will be taken if there is any delay in Payment: 

If it is determined that the delay in the payment of a pension, family pension, or gratuity was caused by administrative reasons or lapse, interest must be given to the affected pensioner/family pensioner, according to the rules. In such circumstances, accountability will be assigned, and disciplinary action will be taken against the Government employee or employees who are determined to be accountable for the administrative breaches that caused the delay. 

Prior to the latest order, provisional pension payments had to be halted after six months from the date of the Government servant's retirement, as per Rule 62 of the CCS(Pension) Rules, 2021. If the final amount of pension and gratuity has not been determined by the Head of Office in consultation with the Accounts Officer within the six-month period, the Accounts Officer shall treat the provisional pension as final and issue a pension payment order immediately after the six-month period has expired.