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-110003
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 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.
sd/-
(Suiasha Choudhury)
Director(Pension)
