Pension

                                                  Pension

 

The Pension Group headed by an IA&AS Officer of the rank of Dy.Accountant   General/ Sr.Dy.Accountant General deals with verification and authorization of pension claims of 

  • All Kerala State Government Employees
  • Staff of Non-government Educational Institutions (including schools of local bodies) who are eligible for Pension under Kerala Government Rules.
  • Pension cases of All India Service Officers borne on the Kerala cadre
  • High Court Judges who retire from the Kerala High Court
  • Chairman and members of the Kerala Public Service Commission 
  • Staff of other Governments drawing pension in Kerala 
  • Political Pensions like MLA Pension, Kerala Freedom Fighters Pension, Revenue Pension sanctioned by  former Maharaja of Travancore and still being continued
  • Other Governments Pensions like Burma Family Pension, Sri Lanka Pension, Singapore Pension, etc.,
  • The State Election Commission.
  • Kerala Kalamandalam.

 Books for Reference

  • Kerala Service Rules Part-III as amended from time to time.
  • Appendix X of the Pension (Commutation) Rules of KSRs Part III
  • The High Court Judges (Salaries & Conditions of Service) Act 1954.
  • All India Services (DCRB) Rules 1958 deals with pension cases of All India Service Officers
  • Kerala Treasury Code vol I &II contains the Rules and orders regarding payment of Pension.
  • Kerala PSC Regulations for Chairman, and Members,
  • State Election Commission

 Processing of Pension application

Procedure for Submission of Application by the Pensioner and the Process involved in the payment:

Pensioner

1. Submission of signed Application to the Office of the Accountant General (A&E) through his Department in the case of non gazetted officer and direct, if gazetted officer, along with the following:

  • Pension Book - 2 copies in the case of Gazetted Officer and one copy in the case of non gazetted officers.
  • Joint Photo (with spouse) – 3 copies of Passport size Joint Photographs with wife or husband duly attested by Head of Office. 
  • Identification marks - 2 copies duly attested by a Gazetted Officer
  • Specimen signature - 2 sets duly attested by a Gazetted Officer
  • Nomination for Life Time Arrears of Pension / Gratuity  /CVP. 
  • Details of family - with age and marital status and details of handicapped members, if any, with Medical Certificate from a Medical Board
  • Death Certificate /Departmental Enquiry Report in the case of Family Pension along with the application for Family Pension

2. Service book (Date of birth, Date of appointment duly noting the date of retirement, last pay drawn duly regulating  pay/Special pay/Personal pay etc. service verification done from date of appointment  to date of retirement)

3. Covering letter by the forwarding authority.

 Verification & Authorization

  • On receipt of the application and after verification of the proposal, AG admits the pensionary benefits based on the qualifying service and average emoluments and sends the admittance report to the department along with the service book.
  • Authorises the pensionary benefits in Pension Payment Order (for pension) Gratuity Order & commutation order (commutation of the pension) in two copies. First copy is sent to the Treasury and the second copy to the pensioner.

 Pension Payment Order

  • Two PPO books are prepared ( Pensioner's half  & Disburser's half) and sent to Treasury Officer
  • Three copies of forwarding letter for PPO are sent, one each to pensioner, Department and treasury for information.
  • Pension is payable at the treasury desired by the pensioner

Gratuity Payment Order

Two copies of GPO authorisations are prepared, and sent one each to the Treasury Officer  and the Pensioner

Commuted Value of Pension

Two copies of CVP authorisations are prepared and sent to the Treasury Officer   and the Pensioner.

Receipt of Pensionary benefits authorised by Accountant General

The Pensioner should approach the Treasury Officer for payment of PPO, DCRG and CVP by production of the intimation received from the Accountant General. Payment of DCRG is arranged on production of NLC/LC from the department. In the case of Panchayat employees, DCRG is authorized only after getting the NLC/LC in this office from the department.  

Note: For any revision or increase in D.A. on pension, the pensioner should approach the Treasury Officer / Bank.

Authorisation of Pension

 Classes of Pension

  • Superannuation Pension - Superannuation pension is granted to a Government Servant entitled  or compelled by rule, to retire at a particular age. Rule 55
  • Retiring Pension –Retiring Pension shall be granted  to a Government Servant who retires, voluntarily after 20 years of qualifying service , in advance of the age of superannuation in accordance with provisions of Rule  56
  • Pension on absorption in or under a corporation, company or body - A Government Servant  who has been permitted to be absorbed in a service or post  in or under a corporation or company wholly or substantially  owned or controlled by the Government etc., and if such absorption is declared by the Government in public interest shall be granted  Pro-Rata Pension.
  • Invalid Pension   -  A Government Servant who is declared by the appropriate medical authority to be permanently incapacitated for further service in accordance with the instructions on the subject, may be granted invalid pension - Rule 42
  • Compulsory Retirement Pension – A Government servant compulsorily retired from service as a penalty may be granted by the competent authority pension or gratuity or both at the rate not less than two-thirds and not more than full compensation pension or gratuity or both admissible to him on the date of his compulsory retirement
  • Compensation Pension – A Government servant is entitled to get compensation pension owing to the abolition of his permanent post.-Rule-33
  • Compassionate Allowance – A Government Servant who is dismissed or removed from service shall forfeit his pension and gratuity. If the case is deserving of special consideration, a compassionate allowance can be sanctioned in accordance with the provisions of Rules. The Compassionate allowance shall not exceed two thirds of pension subject to the minimum of pension sanctioned by Government from time to time.
  • Ex gratia pension – This scheme is introduced to provide relief to the employees who retire from service on superannuation and are ineligible for statutory pension as per the provisions of KSR Part III. They will not be eligible for dearness relief.

Qualifying Service

Commencement of Qualifying Service  - Qualifying Service of a Government servant shall commence from the date he takes charge of the post to which he is appointed either substantively or in an officiating or temporary capacity.

 Condition subject to which service qualifies

  • The service of a Government servant shall not qualify for pension unless his duties and pay are regulated by the Government.
  • Service means service under the Government and paid by the Government from the Consolidated Fund of the State or under conditions regulated by the Government or a local fund administered by that Government but does not include service in a non-pensionable establishment.
  • Temporary Central Government servants on deputation to the State, on getting absorbed under this Government will be allowed to count the period of continuous temporary service under the Central Government immediately preceding the service under this Government.
  • Service as an Apprentice does not qualify for pension
  • Except for compensation gratuity, an employee's service does not qualify till he has completed 18 years of age.
  • Counting of Military Service rendered before civil employment and  counting of war service rendered before civil employment is governed by Rule 8
  • Counting of period spent on leave – All leave during service for which leave salary is payable and LWA granted on medical certificate  shall count  as qualifying service
  • Counting of period spent on training – The Government may by order, decide whether the time spent by a Government servant under training immediately before appointment to service under the government shall count as qualifying service.
  • Counting of periods on suspension – A period of suspension does not count towards qualifying service unless the authority competent declares so.
  • Resignation, dismissal or  removal – entails forfeiture of past service
  • Resignation from a post to take up another appointment with the proper permission is not resignation from public service.
  • Effect of interruption in service - In the absence of specific indication to the contrary in the Service Book, an interruption between two spells of civil service by a Government servant shall be treated as automatically condoned.
  • Addition to Qualifying service in special circumstances may be permissible according to the provisions of Rule 25

Emoluments

Emoluments mean and include

  • Pay as defined in Rule 12(23) in KSR, Part I and or pay of the appointment under Rule 9 or 31 of KS&SSR 

Average Emoluments

The term Average Emoluments means the average calculated upon the last 10 months of qualifying service.

  • If during the last 10 months of his service a Government Servant has been absent from duty on leave with or without allowances which qualify for pension or having been suspended but reinstated  in service without forfeiture of service, the emoluments for the purpose of average emoluments will be taken as at what he would have drawn had he not been absent from duty or suspended.
  • If during the last 10 months of service, any spell of service non-qualifying for pension falls, the above spell of leave should be omitted in the calculation of the average emoluments and an equal period before the 10 months period shall be included.
  • In the case of Government servant who was on leave during the last 10 months of his service and earned an increment which was not withheld, the increment shall be included in the average emoluments.

Calculation of Pension

The amount of pension is calculated based on the total qualifying service and

the  average emoluments drawn during the last ten months by a Government

Servant
  • 50% of  average emoluments is regarded as full pension of a retiring government servant, if he has rendered not less than 30 years of qualifying service
  • If the qualifying service is less than 30 years, pension will be calculated proportionately.
  • If the service rendered is less than ten years, no pension is payable. Only Retirement Gratuity in lump sum and Ex -gratia pension is admissible.
  • The amount of pension finally determined shall be expressed in whole rupees and where the pension contains fraction of a rupee, it shall be rounded off to the next higher rupee.
  • The minimum rate of Pension w.e.f. 1.7.2004 is Rs. 2400/-  per month
  •  In addition to pension, other allowances includes
  • Dearness Allowance
  • Medical Allowance

Family Pension

 To whom it is payable

 ·         When a Government Servant dies while in service or after retirement, family   pension is payable to the Family.

 ·         The Family for the purpose of Family Pension as per Rule 90(6) means –

  • Wife , in the case of a male employee
  • Husband, in the case female employee
  • eldest eligible child ( in the order of the seniority)
  • Children suffering from physical/mental disorder or disability
  • Unmarried daughters  above  35 years
  • Son/daughter adopted legally before retirement
  • Parents (in equal shares )
  • Judicially separated wife.
  • Judicially separated husband
  • Disabled divorced daughters.
  •  Widowed disabled daughters.  
  • No nomination facility is available for Life Time Arrears of family pension
 

Calculation of Family Pension

  • Family pension is calculated at two rates
  • Enhanced Rate -- Enhanced Rate of Family Pension is calculated at 50% of last pay drawn in case of death while in service.  The enhanced rate is payable for a period of seven years from the date following the date of death and thereafter at the normal rate. The enhanced rate is admissible only if the deceased employee has not less than seven years of service. In the case of death after retirement, the enhanced rate is double the normal rate, but limited to the service pension. The enhanced rate in such case is admissible for a period of seven years or till the pensioner would have attained the age of 62/67 years of age depending upon the age of superannuation.
  • Normal Rate --  Normal Rate of Family Pension is calculated at 30% of the basic pay  last drawn ( Minimum Rate of Family Pension 1.7.2004 is Rs. 2400/-  per month)
  • Family Pension resulting in a fraction when calculated should be rounded off to the next higher rupee.

 Provisional Pension

  • Where any departmental or judicial proceedings is initiated or where a departmental proceedings is continued against an employee who has retired on attaining the age of compulsory retirement or otherwise shall be paid a provisional pension not exceeding the maximum pension which would have been admissible on the basis of the qualifying service up to the date of retirement of the Government Servant. But no gratuity is payable until the conclusion of the proceedings and issue of orders there on.
  • Payment of provisional pension made shall be adjusted against final retirement benefits sanctioned to such Government Servant upon conclusion of any departmental or judicial proceedings but no recovery shall be made where the pension finally sanctioned is less than the provisional pension or the pension is reduced or withheld either permanently or for a specified period.

 Restoration of Commuted portion of Pension

 Commuted  portion is restored after completion of specified years. The specified
 year the commutation factor reckoned for calculating commuted value, rounded
 off to the next year.For this the pensioner has to apply to the Pension Disbursing
 Authority in the prescribed form with life certificate.