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Seventh Central Pay Commission – Revision of provisions regulating pension/gratuity/commutation of pension/family pension/disability pension

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PC-VII No. 05/2016
R..B.E. No.: 99 /2016

GOVERNMENT OF INDIA (BHARAT SARKAR)
MINISTRY OF RAILWAYS (RAIL MANTRALAYA)
(RAILWAY BOARD)

No.2016/F(E)III/1(1)/8
The GMs/FA&CAOs,
All Zonal Railways/Production Units,
(As per standard mailing list)

New Delhi, Dated: 12.08.2016

Sub: Implementation of Government’s decision on the recommendation of the Seventh Central Pay Commission – Revision of provisions regulating pension/gratuity/commutation of pension/family pension/disability pension etc. .

********

In pursuance of Government’s decision on the recommendation of the Seventh Central Pay Commission, the President is pleased to introduce the following modifications in the rules regulating Pension, Retirement/Death/Service Gratuity, Family Pension, Disability Pension etc. under the Railway Services (Pension) Rules, 1993 (hereafter referred to as Pension Rules) and Commutation of Pension under Railway Services (Commutation of Pension) Rules, 1993 and Railway Services (Extraordinary Pension) Rules, 1993.
2. These orders apply to Railway employees governed by the Railway Services (Pension) Rules, 1993.

DATE OF EFFECT

3.1 The revised provisions shall apply to Railway servants who retire/die in harness on or after 01.01.2016. Separate orders have been issued in respect of employees who retired/died before 01.01.2016.
3.2 Where Pension/Family Pension/Gratuity/Commutation of Pension, etc. has already been sanctioned in cases occurring on or after 01.01.2016, the same shall be revised in terms of these orders. In cases where pension has been finally sanctioned on the pre-revised orders and if it happens to be more beneficial than the pension becoming due under these orders, the pension already sanctioned shall not be revised to the disadvantage of the pensioner in view of Rule 90 of the Pension Rules.

EMOLUMENTS

4.1 The term ‘Emoluments’ for purposes of calculating various pensionary benefits other than various kinds of Gratuity shall have the same meaning as in Rule 49 of the Pension Rules.
4.2 Basic pay in the revised pay structure means the pay drawn in the prescribed level in the Pay Matrix with effect from 01.01.2016 but does not include any other type of pay like special pay, etc.
4.3 In the case of all kinds of gratuity, dearness allowance admissible on the date of retirement/death shall continue to be treated as emoluments along with the emoluments as defined  in Paragraph 4.1 above.

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