Home Business 7th Pay Commission: Know About Important Change Made In Ex Gratia Lump Sum Compensation Rule

7th Pay Commission: Know About Important Change Made In Ex Gratia Lump Sum Compensation Rule

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New Delhi: The Union Authorities lately modified the principles for cost of ex gratia lump sum compensation to household of Centre’s Workers who die in efficiency of official responsibility. 

As per the brand new guidelines, the households of Central Civil Authorities servants, who die earlier than retirement throughout efficiency of their bonafide official duties underneath varied circumstances, are entitled to cost of ex gratia lump sum compensation. 

The compensation quantity has been revised on occasion.

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Now, the federal government has determined that the cost of the ex gratia lump sum compensation will probably be made to a member, or family members, who’ve been listed because the nominee by the Authorities servant throughout service.

“On dying of a Authorities servant, cost of different lump sum quantities, corresponding to dying gratuity, GPF steadiness and CGEGIS quantity, is made in accordance with the nominations made by the Authorities servant throughout service. Accordingly, it has been determined that, on dying of a Authorities servant within the efficiency of bona fide responsibility additionally, cost of ex gratia lump sum compensation could also be made to a member or family members in whose favour a nomination is made by the Authorities servant throughout service,” the Division of Pension and Pensioners Welfare (DoPPW) said in an Workplace Memorandum (O.M.). 

The Frequent Nomination Kind in Kind 1 appended to the CCS (Pension) Guidelines, 1972 was amended to incorporate the nomination for the ex gratia lump sum cost.

What Occurs In Case Of No Nomination?

If no nomination has been made or the nomination made by the Authorities servant doesn’t subsist, the ex gratia lump sum compensation will probably be shared equally by all eligible members of the family, as within the case of Gratuity, in accordance with Rule 51 of the CCS (Pension) Guidelines, the DoPPW said.

No Nomination Exterior Household

In the meantime, it was knowledgeable that no nomination may be made in favour of an individual who will not be a member of the household, even within the case of a Authorities servant who has no household.

“The nomination for ex gratia lump sum cost shall be topic to the provisions as relevant within the case of gratuity underneath Rule 53 of the CCS (Pension) Guidelines, 1972. For the reason that ex gratia lump sum cost is payable to the household solely, no nomination shall be made in favour of an individual who will not be a member of the household, even the place the Authorities servant has no household,” the Workplace Memorandum states.

Extra Particulars

The wage to Central Authorities Workers is paid in accordance with the seventh Pay Fee suggestions.

After a Authorities servant dies, the cost of different lump sum quantities, corresponding to dying gratuity, GPF steadiness and CGEGIS quantity, is made in accordance with the nominations made by the Authorities servant throughout service.

Nevertheless, the prior guidelines didn’t specify the member of the household to whom such ex gratia lump sum compensation is payable. So, this cost was made to the member of the household who’s deemed eligible for extraordinary household pension underneath the CCS (Extraordinary Pension) Guidelines, 1939.

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