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Finance department issues regulation on NPS of govt employees

The administration Thursday cleared doubts as to whether the service rendered by NPS employees who have taken another appointment in the Union Territory Government after quitting the former service is entitled to the counting of service for pensionary benefits (Death-cum-Retirement Gratuity).

The benefit of death-cum-retirement gratuity was extended to NPS employees of UT Government service vide SRO-484 dated 29.11.2017 and S.O 328 dated 24.09.2021 issued by Finance Department, on the same terms and conditions as is applicable to employees covered under Defined Pension Scheme (Old Pension Scheme) on the analogy of the pattern adopted by Government of India vide O.M. No. 38/41/06-P&PW (A) dated 05.05.2009 and O.M No. 7/5/2012-P&PW (F)/B dated 26.08.2016.

However, the departments have been expressed by the various departments in Jammu and Kashmir.

The issue has been examined in the Finance Department. The counting of service for the purpose of gratuity on the mobility of a NPS Government employee from one department to another department may be regulated in the following manner, reads the circular issued by Finance Department.

On mobility from one Department to another Department of UT Government service, the service rendered in the previous Department shall be counted for the purpose of grant of Gratuity.

On mobility from Central Government Service to UT Government Service or vice versa, having NPS with provisions of retirement gratuity/death gratuity for its employees, the service rendered in the Central Government or in UT Government, as the case may be, shall be counted for the purpose of grant of gratuity. There shall be no sharing of gratuity liability between the Center and UT Government.

On mobility from UT Government Service to UT Autonomous Body having NPS with provisions of retirement /death gratuity for its employees, similar to that in UT Government, the service rendered in the UT Government would be counted for grant of gratuity.

The Government will discharge its gratuity liability by paying the amount of retirement gratuity for the service rendered in the Government to the UT autonomous body.

This procedure shall be followed mutatis mutandis in respect of NPS employees going over from one autonomous body to another autonomous body or from an autonomous body to UT Government having NPS with provisions of retirement/death gratuity for its employees similar to UT Government employees.

On mobility from UT Government Service to a UT Autonomous Body, where the provision for grant of gratuity similar to that in UT Government does not exist or to a Public Sector Undertaking, the NPS Government employees shall be granted retirement gratuity as per rules for the service rendered in the UT Government subject to the condition that the total gratuity admissible in respect of the service rendered under the Government of J&K, shall not exceed the amount that would have been admissible, had the Government servant continued in Government Service and retired on the same pay which he/she drew on retirement from later organization.

The above provisions would be applicable to Government employees covered under NP’S who resign (technical resignation ) to take up another appointment, with proper permission, in Centre /UT Government or Central /UT Autonomous body or a PSU., it reads.

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