CHAPTER VII
RE-EMPLOYMENT OF PENSIONERS
Section I – General
91. An employee may not retire with the view to being re-employed, and drawing pension in addition to pay whether in the service of Government or of a Local Fund.
92. No person discharged on pension or gratuity shall be re-employed whether temporarily or permanently without the sanction of Government. When a person who was formerly in the employment of the Government of India or of any other State Government obtains re-employment, whether temporarily or permanently, in Government service or in the service of a Local Fund, it shall be incumbent on him to declare the amount of any gratuity, bonus or pension granted to him in respect of the previous employment. The order of re-employment shall specifically state whether any deduction is to be made from pension or salary as required by the rules of this Chapter and a copy of the order should be communicated to the Audit Office.
The attention of every employee who is re-employed should be specifically called to the provisions of this chapter by the authority re-employing him, and by the Audit Officer whenever he becomes aware of such an appointment; but the failure of such authority to do this will not be admitted as a ground for condoning any breach of the regulations contained in this Chapter.
Note 1:–A Compassionate allowance is, to all intents and purpose, a pension; and the rules regarding re-employment of pensioners are, therefore, equally applicable to the case of persons in receipt of a compassionate allowance. For purposes of re-employment, a compassionate allowance is the equivalent of a compensation or invalid pension and the recipient of the allowance, if re-employed is in the same position in respect of his title to draw his allowance during re-employment as the re-employed recipient of a compensation or invalid pension.
Note 2 :– The retirement gratuity admissible under these rules is in lieu of a portion of pension.The pension equivalent of the gratuity should therefore be taken into account for determining the pay of an employee during re-employment.The table prescribed for the commutation of pension under these rules should be applied for the calculation of the pension equivalent.
93. Notwithstanding anything contained in the Chapter wound or injury or disability pension or a disability addition to pension awarded under the military rules or such pension awarded by the Government of India or any other State Government shall continue to be drawn by a retired person re-employed under the Government. The amount of such pension or addition to pension shall not be taken into account when fixing the pay during re-employment.
[Dated, 18th G.O.(P) No.126/2019/Fin. September, 2019,Thiruvananthapuram S. R. O. No. 653/2019]
Section II – Re-employment of Civil Pensioners
94. Re-employment after Compensation Gratuity – An employee who has obtained a compensation gratuity, if re-employed in qualifying service, may either retain his gratuity, in which case his former service, will not count for future pension, or refund it and count his former service.
95. The intention to refund must be stated immediately on re-employment but the refund may be made by monthly instalments of not less than one-third of the employee’s salary and also not less than the whole gratuity divided by the number of months which have elapsed since the end of the service for which the gratuity was given.The right to count previous service does not revive till the whole amount is refunded.
(The equity of this rule is based upon the consideration that so long as the refund of the gratuity is postponed, the employee avoids the risks and the State loses the possibility of the gratuity lapsing absolutely to the public treasury by the death or dismissal of the employee. A subsequent refund of gratuity even with compound interest does not compensate the State for the loss of this possibility meanwhile).
96. (a) An employee who has obtained a compensation pension, if re-employed, may retain his pension in addition to his pay, provided that if he is re¬employed in a post paid from the General Revenues the pension shall remain wholly or partly in abeyance if the sum of the pension and initial pay on re¬employment exceeds his pay at the time of his discharge, that is, an employee can draw so much of pension only as will make his initial pay plus pension equal to his pay at the time of his discharge. Once the amount of the pension has been fixed in conformity with the above condition the employee shall be entitled to receive the benefits of increments in his new scale or promotion to another scale or post without a future corresponding reduction in pension, nor shall the amount of pension so fixed be varied during leave. In the case, however, of a pensioner re-employed in either a permanent or a temporary appointment for bonafide temporary duty lasting for not more than a year, the Government may allow the pension to be drawn in whole or in part even though the sum total of pay and pension exceed his pay at the time of this discharge.
Note 1:– In the case of re-employment under a Local Fund, no deductionneed be made from a compensation pension.
Note 2 :– The Government may permit an employee who has obtained a compensation pension and afterwards re-employed in a permanent or temporary appointment sanctioned by Government to draw his full pension in addition to the pay and allowances of the appointment irrespective of the period of such re-employment.
(b) If his re-employment is in qualifying service he may either retain his pension (subject to the proviso above stated) in which case his former service will not count for future pension or cease to draw any part of his pension and count his previous service. Pension intermediately drawn need not be refunded.
Note:–An employee counts his previous service under clause (b) if on re¬employment, his pension remains wholly in abeyance under proviso to clause (a)
97. If an employee does not, within three months from the date of his re¬employment, exercise the option conceded by the above rule, of ceasing to draw pension and counting his former service, he may not thereafter do so without the permission of the Government.
98. After invalid pension .– There is no bar to the re-employment of an employee who has regained health after obtaining invalid pension or of an employee invalidated as being incapacitated for employment in a particular branch of the service. The rules in such case as to refunding gratuity drawing pension and counting service are the same as in the case of re-employment after compensation pension.
99. After superannuation pension or retiring pension.– An employee who is in receipt of a superannuation or retiring pension shall not be re-employed or continue to be employed in service paid from the General Revenues or from a Local Fund except in public interests.
100. The pay of re-employed State Government employee who retired from a post with pay scales currently in force will be the pay drawn at the time of retirement minus basic pension. In the case of others, the pay drawn at the time of retirement shall be updated and fixed at the appropriate stage in the scale of pay of the post held at the time of retirement or the scale of pay of the post of re-employment as the case may be, if it is a stage. If it is not a stage, pay will be fixed at the immediate lower stage and the difference being treated as Personal Pay or at the minimum of the scale of pay when the pay arrived at is less than the minimum.When appointments are made on re-employment basis to a post carrying lesser scale of pay then fixation shall be made in the scale of pay of re-employment. In the case of employees other than State Government employees, re-employment pay is to be fixed at the minimum of the scale of pay of the re-employment post. Re-employed pensioners are entitled to the benefit of Dearness Allowance, House Rent Allowance and City Compensatory Allowance applicable from time to time on the pay before reducing pension but are not entitled to Dearness Relief on pension. They will also be allowed the benefit of annual increment with effect from 1st April, 1992. Re-employed pensioners are not eligible for stagnation increment:
Provided that the pay and allowances of re-employment pensioners during the period from 1st January, 1996 to 6th June, 2000 shall be fixed as follows,
namely:¬
a. Re-employed pensioners will be given pay minus pension and all other allowances attached to the re-employed post. They will be eligible to get all pensionary benefits including Dearness Relief on pension due to them in full.
b. The re-employed pensioners will be allowed the minimum of the scale of pay of the post of retirement as revised from time to time, irrespective of the scale of pay of the post of re-employment or the pay they had drawn at the time of retirement whichever is higher. In the case of those who are re- employed in the post, the scale of pay which is lower than the scale of pay of the post of retirement, pay will be fixed in the scale of pay of the post of re-employment, limiting it to the maximum of such scale of pay, if pay at the time of retirement was above it. If pay drawn at the time of retirement is not a stage in the relevant scale of pay, it will be fixed at the stage immediately below in that scale, the difference being treated as Personal Pay to be absorbed, in future increment. All variants of pay, such as Special Pay, Personal Pay, etc., included in the definition of ‘pay’ in sub-rule (23) of rule 12 Kerala Service Rules Part-I, and reckoned for pension will be reckoned for computing re-employment salary.
c. The re-employed pensioners will be eligible to get Dearness Allowance, House Rent Allowance, City Compensatory Allowance and periodic increments.
d. Notwithstanding anything contained above, the excess amount, if any, drawn prior to 7th June, 2000 including Interim Relief on re-employed pay shall not be recovered .
Exception I:- In the case of retired Supreme/High Court Judges, the re¬employment pay together with pension and pension equivalent of other forms of retirement benefits may exceed ` 3,500 but shall not exceed the pre-retirement pay.
Exception II:- Pensioners re-employed in part time condingent posts will be exempted from the purview of this rule in matter of fixation of pay.
*Note 1 :– In the case of re-employed persons who had retired prior to 1988 Pay Revision and in whose case the basic pay plus Dearness Allowance at 608 Points of All India Consumer Price Index at the time of retirement was higher than the minimum of scale of pay of the corresponding post as revised in the 1988 Pay Revision Order, the basic pay in re-employment will be fixed at the corresponding revised scale at the stage equal to the total consisting of the pay at the time of retirement plus Dearness Allowance at 608 points of All India Consumer Price Index if not, the stage immediately below in that scale.
*Note 2 :–The re-employed pensioners who retired prior to 1st March, 1992 will be allowed fixation of their re-employment pay at the appropriate stage in 1992 Pay Revision Scale and where it does not fit in with a stage in the scale of pay, it will be fixed at the stage immediately below in that scale. In the case of persons who were drawing pay less than the minimum of the 1992 Pay Revision Scale, the pay will be fixed at the minimum of that scale. For fixation of pay in the 1992 revised scales, basic pay at the time of retirement plus Dearness Allowance at 608 points of All India Consumer Price Index will be reckoned in the case of those retired prior to 1st July, 1988
.*Note 3 :– In the case of those who retired prior to 1st January, 1996 and re¬employed thereafter the merger of Dearness Allowance allowed during the subsequent Pay Revision since retirement wherever applicable will have to be notionally added to update the pay by adding Dearness Allowance at 1510 points with effect from 1st March, 1997.
*Note 4 :–In the case of those retired prior to 1st July, 2004 and re-employed thereafter, Dearness Allowance at 59% will have to be notionally added to update the pay.
Government Decision No.1
* In cases where the re-employment pay fixed under the above rule is less than the minimum of the scale of pay of the post of the re-employment, the re-employment pay will be fixed at such amount and it will not be enhanced to the minimum of the scale
Government Decision No.2
In cases where delays are likely to occur in determining the pension and other pensionary benefits the re-employed person may be paid the full pay of the post on provisional basis which will be inclusive of his pension but will exclude an approximate amount of pension equivalent of gratuity provided he executes an agreement in the appropriate form (vide Annexure I to this section). He will also be required to furnish acquittance in the prescribed form (vide Annexure II to this section) indicating receipt of pay including pension. The acquittance should be obtained from the re¬employed person concerned along with pay bill every month he is paid provisionally.
When the pension and other retirement benefits are ultimately sanctioned to the re-employed person by the competent authority the pay would be fixed after taking into account the pension and pension equivalent of other form of retirement benefits and he will have no fresh claim for pensionary benefits in respect of the past periods during which he drew the same along with the provisional pay. The actual amount of pension equivalent of gratuity will be adjusted against the gratuity to the extent it is different from the approximate amount deducted from the pay of the post provisionally paid.
This will apply only to the cases of State Government employees re¬employed in the State Government.
Government Decision No.3
**Special pay granted in lieu of a separate higher time scale as classified under clause I (a) in Appendix IV, Part I Kerala Service Rules alone shall be reckoned as part of pay for the purpose of fixation of re-employment pay.
ANNEXURE I
Form of agreement to be executed by a State Government pensioner on his re-employment
An agreement made ….……….day………….two thousand. …………………… between…………….. (hereinafter called the retired Government employee which expression shall include his heirs, executors, administrators and legal representatives) on the one part and the Governor of Kerala (hereinafter called the ‘Government’) on the other part.
Whereas the Government has appointed ……...……….a retired Government employee in the post of ……………………which carries a scale of
Whereas in accordance with Rule 100 of Part III of Kerala Service Rules the initial pay on re-employment plus the gross amount of pension and/ or the pension equivalent of other forms of retirement benefits shall not exceed ` 3000.
Whereas the pension and/or the pension equivalent of retirement benefits in respect of the retired Government employees’ previous service has not been finally determined and sanctioned by the competent authority before his re-employment.
Whereas the retired Government employee desirous of receiving pay in the re-employed post each month inclusive of the amount of pension due to him for the relevant period but exclusive of a sum of
`……........……representing the approximate amount of pension equivalent of gratuity.
Now, therefore, the Government have agreed to fix his pay at a sum of `……….per month “provisionally” which sum shall include the amountof pension due to him for the relevant period but exclude an approximate amount of pension equivalent of gratuity.
On the condition that:
The provisional pay shall be subject to adjustment on the fixation of his final pay when the pension in respect of his previous service is sanctioned to the retired Government employee by the competent authority.
The retired Government employee shall not have any further claims for pension in respect of the period during which he had drawn the amount thereof included in the provisional pay.
And further that the actual pension equivalent of gratuity shall be subject to adjustment from the gratuity when sanctioned to the extent it is different from the approximate amount excluded from the pay in the re-employed post to arrive at the provisional pay.
In witness where of the retired Government employee has here to set his hand the day and year first before written.
Signed by the said………… Signature……………
In the presence of …………………………………….
ANNEXURE II
Receipt to be given by the re-employed pensioner
along with pay bill every month
Received a sum of Rupees ...........………being the provisional pay (which is inclusive of the amount of pension accrued to me) in………………….(name of the post held and office) for the month of …………..I hereby declare and state that my pension for the month of …………….may be treated as adjusted
against the above payment when the pensionary benefits are sanctioned to me and I will not be entitled to any further payment on account of pension for the said period.
Signature…………………
Section III – Military pensioners re-employed
101. Except where it is otherwise expressly provided the rules in Section II of this Chapter do not apply to an employee of the Defence Services who has been granted a pension under military rules and who is re-employed under the Government. The claims of such an employee to pay and allowances are governed by Rule 102. His pension for service in the Civil Department shall not be affected by his military pension.
102.(a)(i) In the case of re-employed military pensioners of all categories including mustered-out pensioners, but excepting mustered-out pensioners of the ex-Travancore Cochin State Forces whose case is dealt with separately below, the pay otherwise admissible to them in the civil post will be reduced as shown below :
Note :–†The pay of military pensioners who are on re- employment at the commencement of these rules shall be refixed according to the above rates with effect from the date of commencement of these rules.
Government Decision
**The reduction in civil pay contemplated in the sub-rule in respect of a military pensioner re-employed is applicable throughout the re-employed service and will be effected not only at the initial fixation but also on every occasion of subsequent promotion/revision and will be subject to the condition that pay plus military pension and pension equivalent of other forms of retirement benefit for the military service shall not exceed ` 3500 per month. The reduction will not, however be effected when an increment is earned. In the case of promotion/revision of pay “the pay otherwise admissible” (excluding reduction) shall be fixed under the normal rules in Kerala Service Rules with reference to “the pay otherwise admissible excluding reduction and including increments” and then the reduction contemplated in the sub-rule shall be effected.
(ii) The pay on re-employment in Civil Departments of retired military personnel who received only a gratuity shall be fixed taking into account the gratuity received from the military authorities. For this purpose, the pension equivalent of the gratuity based on the commutation table given in Appendix X will be arrived at and then the pay on re-employment in the civil post fixed by applying the table of calculation mentioned above.
(iii) *The Emergency / Short Service Commissioned Officers who joined pre-commissioned training or were commissioned after 1st November 1962 may on their appointment in Government Service to unreserved vacancies, be granted advance increments equal to the completed years of service rendered by them in the Armed Forces on basic pay (inclusive of deferred pay but excluding other emoluments) equal to or higher than the minimum of the scale, attached to civil post in which they are employed. The pay so arrived at should not, however, exceed the basic pay (including the deferred pay but excluding other emoluments) last drawn by them in the Armed Force. When the minimum of the scale of pay in the civil post to which a pensioner is re-employed is more than the last pay drawn by him before retirement, his initial pay in the civil post shall be fixed at the minimum of the scale of pay of the re-employed post.
(b) In respect of mustered – out pensioners of the ex-Travancore-Cochin State Forces who are provided with permanent alternate employment in civil posts under the State Government, the question of any reduction in their civil pay does not arise. In the case of these mustered out pensioners of the ex-Travancore – Cochin State Forces, who are not so permitted to count their military service or who do not desire to have their previous service counted for purposes of pension for the civil post or those whose appointments in the civil post are only temporary, their pay on re-employment will be governed by the same rules as are applicable to ordinary military pensioners enunciated above.
Ruling
Wound or extraordinary pension awarded under the Defense Service
Rules should be reduced or terminated only in virtue of the conditions of its award and should not be affected by the pensioner’s re-employment in Government Service.
[Dated, 18th G.O.(P) No.126/2019/Fin. September, 2019,Thiruvananthapuram S. R. O. No. 653/2019]
Section IV – Pension for new service
103 Except as provided in Rules 101 and 102 an employee who, having been discharged with a pension is subsequently re-employed, may not count his new service for a separate pension. Pension, if any, is admissible only for the new service combined with the old, the whole being counted as one service.
104 If an employee who has obtained a compensation or invalid pension is re¬employed in pensionable service and retains the pension (See Rule 94) the pension or gratuity admissible for his subsequent service is subject to the following limitation, namely that the capital value of pension shall not be greater than the difference between the value of the pension that would be admissible at the time of the employee’s final retirement if the two periods of service were combined, and the value of the pension already granted for the previous service.
105.(a) If a gratuity received for the earlier service has not been refunded gratuity or pension (as the case may be) may be allowed for the subsequent service on condition that the amount of such gratuity or the present value of such pension plus the amount of the previous gratuity shall not exceed the amount of gratuity of the present value of the pension that would have been admissible and the gratuity received for the earlier service been refunded.
(b) If the amount of such gratuity or the present value of such pension, plus the amount of the previous gratuity exceeds the amount of gratuity or of the present value of the pension that would have been admissible if the gratuity received for the earlier service had been refunded, the excess must be disallowed.
(For the purpose of Rules 104 and 105 the capital value of pension shall be calculated in accordance with the table prescribed in Appendix X.)
Section V – Commercial employment after retirement
106. If an employee who belonged to the first grade (vide Travelling Allowance Rules) at the time of his retirement wishes to accept any commercial employment before the expiry of two years from the date of his retirement he should obtain the previous sanction of Government to such acceptance. No pension shall be payable to a pensioner who accepts a commercial employment without such sanction in respect of any period for which he is so employed or such longer period as the Government may direct, provided that an employee permitted by the Government to take up a particular form of commercial employment during his leave preparatory to retirement shall not be required to obtain subsequent permission for his continuance in such employment after retirement.
Note 1:– In this rule, ‘Commercial Employment’ means employment in any capacity including that of an agent, under a company[**] firm or individual engaged in trading, commercial, industrial, financial or professional business and includes also a directorship of such company and a partnership of such firm and employment in private institution like the Devaswom Board.
†Government Decision
The service in the Government companies and the companies in which Government have majority of shares, or institutions like Kerala Financial Corporation and other statutory corporations *and Government Sponsored organization like Co-operative Societies will not come underthe purview of commercial employment and will be treated in the same manner as re-employment in Government service in so far as re-employment pay of retired Government employees are concerned. This Decision takes effect from 27th June 1974.
Section VI-Employment under other Governments after retirement
107. If a pensioner wishes to accept any employment under a Government within or outside India, he should obtain the previous sanction of the Government to such acceptance. No pension shall be payable to a pensioner who accepts such an employment without proper permission in respect of any period for
which he is so employed or such longer period as the Government may direct:
Provided that an employee permitted by the Government to accept a particular form of employment under another Government during his leave preparatory to retirement shall not be required to obtain subsequent permission for his continuance in such employment after retirement.
Note:– For the purpose of this rule “employment under other Government” shall include employment under a local authority or Corporation, or any other institution, or organization which functions under the supervision or control of other Governments.
The maximum period up to which the family pensions payable to the husband of the deceased officer is
A:-till death
B:-till remarriage
C:-till death or remarriage whichever is earlier
D:-till death or remarriage whichever is later
Correct Answer:- Option-C
Ex-Gratia family pension shall be paid to _______ only up to the date of re-marriage or death which ever is earlier with effect from
1.7.2014
A:-Spouse
B:-Mother
C:-Father
D:-Brother
Correct Answer:- Option-A
The pay of the re-employed pensioner will be fixed in accordance with
A:-Rule 30 Part I KSR
B:-Rule 28 A Part I KSR
C:-Rule 48 Part I KSR
D:-Rule 100 Part III KSR
Correct Answer:- Option-D:-Rule 100 Part III KSR
EXECUTIVE OFFICERS TEST -JULY 2019
ReplyDeleteAn employee and his wife died in an accident. They were survived by Father of the employee, and unmarried and unemployed daughters aged 21 and 23. Family pension is payable to
DeleteA:-daughters in equal shares
B:-daughter aged 23
C:-father and daughters in equal shares
D:-daughter aged 21