New pension rules: These central government pensioners will get additional benefits

The Department of Pension and Pensioners’ Welfare (DoPPW) has confirmed that central government pensioners who turn 80 will be eligible for a supplementary pension. The announcement, made via an office memorandum, details the benefits available to retirees based on their age.

Additional pension accrual

The supplementary pension or compassionate benefit is structured as follows:

From 80 to <85 years: 20% of the basic pension

From 85 to <90 years: 30% of the basic pension

From 90 to <95 years: 40% of the basic pension

From 95 to <100 years: 50% of the basic pension

From age 100: 100% of the basic pension

For example, a retiree aged 81 receives an extra 20% of his basic pension, while a person aged 95 receives an extra 50%. The supplementary pension commences on the first day of the month in which a retiree turns 80. For example, if a retiree was born on August 20, 1942, he will receive the extra 20% from August 1, 2022.

This policy is intended to support seniors who have dedicated their lives to public service.

The memorandum encourages all ministries and pension payment authorities to ensure that these provisions are communicated effectively.

In a separate development the Department of Pension and Pensioners’ Welfare (DoP&PW) has revised several rules for central government employees and pensioners. These changes are intended to clarify service-related matters for employees covered by the National Pension Scheme (NPS).

Central government employees covered by the NPS can now opt for voluntary retirement after twenty years of regular service.

To begin this process, an employee must submit at least three months’ written notice to the appointing authority.