Pay for Leave Encashment dt 04.06.1984
OFFICE MEMORANDUM
Subject: Leave Encashment
I am directed to refer to this Department’s circular letter No.FD-PC-2-1/83 dated 2nd December, 1983, and to say that some doubts have been expressed about the admissibility of pay and allowances, grant of medical leave etc., during the surrendered period of LPR for the purpose of encashment of LPR. These issues are clarified in the following paragraphs:
PAY
Pay for the purpose of encashment of LPR includes Basic Pay, Special Pay, Technical Pay, Personal Pay and any other emoluments which may be specifically classed as “Pay” by the competent authority.
A civil servant who opts for encashment of LPR may either draw leave pay for the period for which LPR is admissible subject to a maximum of 180 days lump-sum after retirement or on month to month basis during such period. The amount of leave pay would, however, be determined on the basis of pay which would have been admissible on the date, on which LPR applied for would have commenced.
ALLOWANCES
Senior Posts Allowance will form part of the pay for the purpose of encashment of LPR. No other allowance forms part of pay for this purpose.
MEDICAL LEAVE
As per para 12(b) of the FD’s circular letter No.FD-PC-2-1/83, dated 2.12.1983, a Government servant who desires to get the benefit of encashment of LPR would surrender the entire leave preparatory to retirement due to him. Therefore, no leave of any kind is admissible during the period of surrendered LPR if the benefit of encashment of LPR is to be availed of.
DURATION OF SURRENDERED LEAVE
A Government servant who opts for encashment of LPR and has 365 days or lesser period of LPR on full pay at his credit can have his LPR in cashed for the actual period of LPR subject to a maximum of 180 days. He cannot avail of any portion of LPR in that case.
