Provisional pension to be treated as final if PPO delayed beyond 6 months

The Government has asked officials to ensure that the payment of pension and gratuity to retired Central Government Employees is not stopped in case the final Pension Payment Order (PPO) is delayed beyond six months due to administrative reasons. 

As per the current rules, payment of provisional pension is allowed for six months if PPO is delayed. 

However, in a recent Office Memorandum (O.M), the Department of Pension and Pensioners’ Welfare (DoPPW) said: “In view of the provisions of Rule 62 of  CCS (Pension) Rules, 1972, the Accounts Officer has to treat the provision pension as final and issue pension payment order immediately on the expiry of the period of six months provided in the Rule, if the final amount of pension and gratuity has not been determined by the Head of Office in consultation with the Accounts Officer within the said period.”

“Therefore, there should not be a situation where the regular pension is not authorised by the Accounts Officer to a retired Government servant on expiry of the period of six months,” it added. 

The O.M. dated 23rd February 2022 further emphasised that “pension should not be discontinued under any circumstances, if, for any reasons, PPO for regular pension could not be issued by the Accounts Officer till the expiry of the period of six months.”

In accordance with Rule 62 of the Central Civil Services (Pension) Rules, 2021 (Rule 64 of the erstwhile Central Civil Services (Pension) Rules, 1972), the Head of Office is required to sanction a provisional pension/gratuity, in cases where a delay is anticipated in issuing a PPO authorizing regular pension. 

Rule 65 of the CCS (Pension) Rules, 2021 further provides that in all cases where pension/ family pension/gratuity (including provisional pension/ family pension/gratuity) has not been sanctioned or is delayed, it is clearly established that the delay in payment was attributable to administrative reasons or lapses, interest shall be paid on arrears of pension/family pension/gratuity at the rate and in the manner as applicable to General Provident Fund amount. 

Action for Lapses

As per the rules, if it is found that the delay in the payment of pension/family pension/ gratuity was caused on account of administrative reasons or lapse, interest shall be required to be paid to the affected pensioner/family pensioner. In such cases, responsibility shall be fixed and disciplinary action shall be taken against the Government servant or servants who are found responsible for the delay on account of administrative lapses. 

Old Rule

Prior to the recent order, payment of provisional pension had to be stopped beyond the period of six months from the date of retirement of the Government servant as per  Rule 62 of CCS(Pension) Rules, 2021. The Rule further provided that the Accounts Officer shall treat the provisional pension as final and issue pension payment order immediately on the expiry of the period of six months, if the final amount of pension and gratuity has not been determined by the Head of Office in consultation with the Accounts Officer within the aforesaid period of six months.