The central government has issued new guidelines regarding the voluntary retirement of central government employees who are part of the National Pension System (NPS).
According to the new guidelines of the Department of Pension and Pensioners’ Welfare, central employees who have completed 20 years of regular service and wish to take voluntary retirement can do so by giving prior notice and leaving the job.
3 Months Notice Period: The Central Pension & Pensioners Welfare Department issued an ‘Office Memorandum’ on 11 October 2024. Per the new guidelines, employees who have completed 20 years of regular service can apply for voluntary retirement.
This application should be submitted to the appointing authority and will be considered as a 3-month notice. Voluntary retirement will take effect immediately after the notice period of 3 months unless the authority rejects the central employee’s request (accepts the application).
Under the new rule, if a central employee wants to retire after giving three months’ notice, they must request it in writing. The appointing authority also has the power to reduce the notice period after considering the request.
Once a Central Government employee has given notice for voluntary retirement, they cannot withdraw it without the approval of the concerned authority. If voluntary retirement is desired to be canceled, an application for cancellation should be made at least 15 days prior to the date of retirement.
Benefits per PFRDA Regulations: According to the Department of Pension and Pensioners Welfare (DoP&PW) office memorandum, government employees who voluntarily retire from service will receive all the benefits per “PFRDA Regulations 2015”.
Voluntarily retired employees will receive all the benefits that regular government employees get at the time of retirement at the standard retirement age. The retiring employee can continue their pension account or defer the benefits under the National Pension System (NPS) as per PFRDA rules.
As per DoP&PW guidelines, if an employee retires under the ‘Special Voluntary Retirement Scheme’ due to being a ‘surplus employee,’ this rule does not apply to them.
Additionally, if a person retires from Government service and is appointed as an employee in any other Public Sector Undertaking or Self-Employed Organization, this rule shall not apply to such persons.