WOW! Minimum Pension of Central Government Employees Increased Under 7th CPC; Read Its Benefits & Eligibility for Pension

There are many central government employees who retire every year. However, there are also many behind them who in turn are set to superannuate, which is a continuous process. It is to be noted that, central government has more than 1.1 crore employees, which includes, present and retired employees of around 48.41 lakh Central Government employees and 62.03 lakh pensioners.

Now, one of the biggest concerns for both the central government employees, after decades of work, is pension and confusion thereof especially about their minimum pension. These CG employees and pensioners must know that the minimum pension of the central government employees used to be Rs 1,275 according to the 5th pay commission.

But, the good news is that the 7th pay commission or the 7th CPC had brought much-awaited cheer for the employees and pensioners. As it has increased the pension by 2.57 times apart from increasing the minimum basic salary to Rs 18,000. Here we will tell you about the entire process of pension changed and when does a central government employee becomes eligible for pension.

Process of Changed Pension:

"The Department of Pension and Pensioners Welfare informed that according to the orders issued after Vth CPC, the minimum pension in the government was Rs 1,275. The normal revised consolidated pension of a pre-2006 pensioner is 2.26 of the pre-revised basic pension. Adding to it, the revised minimum pension of Rs 3,500 is much more than 2.26 times of the pre-revised pension of Rs 1,275," said the 7th CPC in its report. 

After the commission's recommendations were accepted by Centre, the minimum pay got increased from the existing Rs 7,000 per month to Rs 18,000 per month. The 7th CPC report further added, "Based on the computation of pension, will raise minimum pension from the existing Rs 3,500 to Rs 9,000. The minimum pension based on the recommendations of this Commission will increase by 2.57 times over the existing level." 

Eligibility Criteria of a CG employee for pension

It should be noted that, a central government employee becomes eligible for pension only after 10 years in service. However, in the case of Family Pension, the widow of an employee becomes eligible for a family pension if the spouse had completed one year of continuous service or even before completion of one year if he had been examined by the appropriate Medical Authority and declared fit for Government service.