Grant of Increase in Pension to Civil Pensioners dt 14.07.2017
OFFICE MEMORANDUM
Subject: Increase in Pension
I am directed to state that the Governor of the Punjab has been pleased to sanction an increase @ 10% of net pension with effect from 01 July, 2017 until further orders to all civil pensioners of Government of the Punjab.
2. The 15% increase in pension as allowed vide Para 1 of this Department’s circular letter No.FD.SR.III-4-108/2010(A) dated 15.07.2010, shall be discontinued for those who would retire on or after 01.07.2017.
3. However, 15% increase in pension as allowed vide Para 12 (i) of this Department’s Circular letter No. FD.PC-2-1/2011, dated 11.07.2011, 7.5% increase in pension as allowed vide Para 1 of this Department’s Circular letter No.FD.SR-III-4-259/2015(A), dated 23.07.2015 and 10% increase in pension as allowed vide Para 1 of this Department’s Circular letter No.FD.SR-III-4- 178/2016 dated 29.07.2016 shall be admissible to the new pensioners who would retire on or after 01.07.2017.
4. The 10% increase in pension as mentioned vide Para 1 above will also be admissible to the pensioners who would retire on or after 01.07.2017.
5. For the purpose of admissibility of increase in pension sanctioned in this circular letter, the term “Net Pension” means “pension being drawn” minus “Medical Allowance”.
6.The increase will also be admissible on family pension granted under The Punjab Civil Services Pension Rules, Pension-cum-Gratuity Scheme 1954, Liberalized Pension Rules, 1977, on pension sanctioned under the Central Civil Service (Extra Ordinary Pension) Rules as well as on the Compassionate Allowance.
7. If the gross pension sanctioned by Government of the Punjab is shared with any Government in accordance with the rules laid down in part-IV of Appendix-III to the Accounts Code, Volume-1, the amount of the increase in pension will be apportioned between the Government of Punjab and the other Government concerned on proportionate basis.
8. The increase in pension sanctioned in this circular letter will not be admissible on Special Additional Pension allowed in lieu of pre-retirement Orderly Allowance. However, the Orderly Allowance has been discontinued w.e.f. 31.10.2016 vide this Department’s notification No.FD.PC.2-5/78(Pt.I)(PR) dated 10.11.2016. Similarly, the conversion into Special Additional Pension on retirement has also been discontinued with effect from the same date. However, those who are already drawing Special Additional Pension before 31.10.2016 will continue drawing the same @ Rs.12,000/-. The same will not be admissible to the family of the pensioners on their death.
9. The benefit of increase in pension sanctioned in this circular letter will also be admissible to those civil pensioners of the Punjab Government who are residing abroad (other than those residing in India and Bangladesh) who retired on or after 15.08.1947 and are not entitled to or are not in receipt of pension increase under the British Government’s Pension (Increase) Acts. The payment will be made at the applicable rate of exchange.