Payment of statutory dues, salary and wages in sick,loss making CPSEs

Press Information Bureau
Government of India

The Cabinet Committee on Economic Affairs (CCEA) today approved the proposal for providing non-plan budgetary support of Rs. 116.86 crore for liquidation of statutory dues (Provident Fund, Gratuity, Pension, Employees State Insurance and Bonus) and salary and wages from 01-04-2013 to 31-08-2013 in respect of eleven Central Public Sector Enterprises (CPSEs) under the Department of Heavy Industry, namely Hindustan Cables Ltd., HMT Machine Tools Ltd., HMT (Watches) Ltd., HMT (Chinar Watches) Ltd., Nagaland Pulp & Paper Co. Ltd., Triveni Structurals Ltd., Tungbhadra Steel Products Ltd., Nepa Ltd., HMT Bearings Ltd. Hindustan Photo Films Limited and Tyre Corporation of India Ltd.

Clarification regarding rule position for payment of gratuity to the employees covered under New Pension Scheme.

No.7/2/2013-P&PW(F)
Government of India
Ministry of Personnel, PG & Pensions
Department of Pension &Pensioners Welfare
(Desk-F)

3rd Floor, Lok Nayak Bhavan,
NewDelhi- 10003
Dated the 15th October, 2013

Office Memorandum

Subject : Clarification regarding rule position for payment of gratuity to the employees covered under New Pension Scheme

   The undersigned is directed to refer to Ministry of Defence OM.No12(15)/2013-D(Civ.II) dated 12.7.2013 & 26.9.2013 on the subject noted above and to say that the provision of CCS(Pension) rules are not applicable to government servants appointed on or after 1.1.2004. This department is in the process of framing rules on New Pension scheme.

Withholding of 10% gratuity from the retiring Government servants -clarification regarding.

No.20/16/1998-P&PW(F)
Government of India
Ministry of Personnel Public Grievances and Pensions
Department of Pension and Pensioners Welfare

3rd Floor, Lok Nayak Bhawan,
Khan Market, New Delhi-110 003
Dated the 19th February 2013.

OFFICE MEMORANDUM

Subject:- Withholding of 10% gratuity from the retiring Government servants -clarification regarding.

   The undersigned is directed to say that this Department has been receiving representations from individuals and Pensioners Associations that Government Departments have been withholding 10% of the amount of gratuity from each retirees even when they had not been provided any Government accommodation.

   2. The recovery and adjustment of Govt. dues from retirement gratuity is regulated under Rules 71 to 73 of the CCS (Pension) Rules, 1972. Rule (1) to (3) of Rule 72 ibid provide for recovery of actual amount of Govt. dues in respect of Govt. accommodation from pay & allowances before retirement and from Retirement Gratuity. Sub rule (5) of Rule 72 ibid stipulates that if, in any particular case, it is not possible for the Directorate of Estates to determine the outstanding licence fee, that Directorate shall inform the Head of Office that ten per cent of gratuity may be withheld pending receipt of further information. The withheld amount of gratuity is to be paid back to government servant immediately on production of 'No Demand Certificate' (NDC) from Dte of Estates. Thus, if no 'Govt. dues' in respect of Govt. accommodation are outstanding then the rules do not provide for Withholding of any part of the gratuity on retirement of the Govt. servant. If no Government accommodation is allotted to a Government servant, in accordance with Dte of Estate's OM NO.18011/511990-Pol-IIIdated 12.10.2010, it is for the Administrative Ministry to issue an 'NDC".

   3. As regards recovery in respect of 'Govt. dues' other than those pertaining to Govt. accommodation, the Head of Office is required to complete assessment of such dues eight months prior to the date of retirement [Rule 73(2)]. The actual amount of such dues and the dues which come to the notice subsequently and remaining outstanding are to be adjusted against the amount of retirement gratuity becoming payable to the Govt. servant on retirement. Thus, there is no provision for withholding any part of gratuity for the purpose of recovery of outstanding government dues other than those pertaining to government accommodation.

sd/-
(Tripti P. Ghosh)
Director

Source:http://ccis.nic.in/WriteReadData/CircularPortal/D3/D03ppw/Gratuity_20022013.pdf

Payment of arrear to Post—2006 retirees on account of Pension/Family Pension/Gratuity and Leave Encashment.

No. Fin (Pen) A (3)-1/09- Part-I
Government of Himachal Pradesh
Finance (Pension) Department

Dated: Shimla-171002, 14th February, 2012

Office Memorandum

Subject: - Payment of arrear to Post—2006 retirees on account of Pension/Family Pension/Gratuity and Leave Encashment.

   In continuation to this Department's Office Memorandum of even number dated the 29th March, 2010, 2nd November, 2010,10th March, 2011 and 17th August, 2011 on the subject cited above, the undersined is directed to say that the Governor. Himachal Pradesh, is pleased to order that 50% of the total balance arrears of each element of pension/ family pension/ gratuity and leave encashment may be released immediately to those Government servants who had retired between 1.1.2006 to 30.9.2009. The total cumulative arrears released so far after taking into account the present release, shall amount to 75% of the total arrears accrued to the Post-2006 Pensioners/ Family Pensioner.

   2. All the Drawing and Disbursing Officers of the Govt. Departments will ensure that the extra amount or Gratuity and Leave Encashment, if any, in terms of para -2 of this Department O.M. of even No. dated 29.3.2010 and para-3 of even No. dated 2.11.2010 is adjusted from the arrears of respective elements and only balance amount may be paid to the Posy-2006 Pensioners/ Family Pensioners.

   3. It shall be the responsibility of Drawing and Disbursing Officers/ Pension Disbursing Authorities including Public Sector Banks that 50% of the total balance arrears of each element of pension/family pension/gratuity and leave encashment as stated in para -1 above, is drawn and disbursed to the pensionrs/family pensioners immediately.

By Order

Principal Secretary (Finance) to the
Government of Himachal Pradesh.

Source:http://www.himachal.nic.in/finance/Pension/Pen1ArrFeb2012_A1b.pdf