Is the Central Government Planning to Reduce Retirement Age?

A popular English daily reported on the 28th of last month that the Central Government is giving serious thoughts about reducing the retirement age of its employees. The news has created a big buzz among the employees working under Central Government.

It was said that the proposal is part of the Government’s strategy to reduce non-plan expenses. It was mentioned that a senior official said that the move will help giving employment opportunities to new people under the new recommendations to be suggested by the 7th Pay Commission.

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Grant of extension/re-employment to Central Government servants beyond the age of superannuation

Most Immediate

F.No.22/35/2011-EO (SM.II)

Government of India

Ministry of Personnel, Public Grievances & Pensions

Department of Personnel & Training

(Office of the Establishment Officer)

North Block, New Delhi

26th September, 2014

OFFICE MEMORANDUM

Sub: Grant of extension/re-employment to Central Government servants beyond the age of superannuation

Attention of all the Ministries/Departments is invited to the Government of India(Transaction of Business) Rules which prescribe that the ACC is the competent authority to decide the cases of extension in service beyond the age of superannuation. Attention is also invited to DoPT’s OM. No. 26012/6/2002-Estt, (A) dated 09.12.2002 on the subject mentioned above laying down instructions/criteria for grant of extension in service to the categories of personnel referred in proviso to F.R. 56(d). The ACC has observed that in some of the cases, the Departments are not taking timely action to reconstitute the Departmental Peer Review Committee (DPRC) and are unilaterally extending the service of the officers beyond the age of superannuation without first obtaining approval of the ACC.

2. It has also been observed that Ministries/Departments often submit proposals late to the EO Division as a result of which submission of cases for consideration of the ACC also gets delayed.

3. In view of the above, all the Scientific Ministries/Departments are hereby advised to take timely action for constitution of the DPRC for considering the cases for extension of service of specialists in medical or scientific fields, beyond the normal date of superannuation and ensure that proposals seeking approval of the ACC be invariably submitted at least two months in advance of the date of superannuation.

4. It is also reiterated that in absence of specific approval of ACC towards extension of his services beyond the date of superannuation, an officer should stand retired on his date of superannuation and under no circumstances should the Ministry/Department concerned extend his services beyond superannuation unilaterally without the approval & ACC.

Sd/-

(Anand Madhukar)

Director (ACC)

Source:http://ccis.nic.in/WriteReadData/CircularPortal/D2/D02eod/22_35_2011-EOSM-II-26092014.pdf

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Cabinet enhances retirement age of teaching faculties to 62

SRINAGAR, June 19: In yet another major decision ahead of the Assembly elections, State Cabinet, which met under the chairmanship of Chief Minister Omar Abdullah, here this afternoon, enhanced the retirement age of teaching faculties of the Universities of Kashmir/ Jammu, SKUAST, Kashmir/ Jammu and Government Medical Colleges, Srinagar/ Jammu from 60 years to 62 years.

 The announcement in this regard was made by the Chief Minister during the Rehbar-e-Taleem teachers conference at Jammu few days back and the same received the Cabinet’s approval today.

 The Cabinet also approved the reckoning of the five years of service rendered by Rehbar-e-Taleem teachers before regularization, for the purpose of fixing their seniority and counting such service, notionally, for pension and other retirement benefits, wherever applicable.

It was also decided that after regularization the services of Rehbar-e-Taleem teachers will be transferable within the district to which they belong.

The Cabinet also approved the setting up of a one-man commission headed by Justice (Rtd) M L Koul to enquire into the circumstances, leading to deaths by firing, or otherwise, in law and order situations in different districts of Kashmir valley, during 2010.

 The Commission of enquiry will also enquire into the adequacy, or otherwise, of the force used, fix responsibility, wherever excessive force has been used, resulting in fatalities, and where due care has not been taken to avoid such fatalities, suggest measures to avoid the recurrence of such incidents in future and recommend the action to be taken against those found responsible in any such incidents.

 The Commission will submit its report to the Government within a period of three months from the date of issuance of the notification in this regard.

 The Cabinet also approved the recommendations of J&K State Commission of Backward Classes for inclusion of 38 villages in the list of Backward Areas.

 The villages include Balsaroo, Godhan, Kadyal, Lathari, Mawa, Brahmina, Majoor, Sandal and Sumah of tehsil Akhnoor and district Jammu, Dragu, Tehsil Bhaderwah district Doda, Rajool, Kummi, Partyal, Padal, Deon, Mohargarh, Talhar, Kathar-Brahmana and Dhergarh of tehsil and district Samba, Pamrote and Fazalabad of tehsil Surankote and Gursai of tehsil Mendher district Poonch, Lower Bhatian of tehsil Thannamandi, Dehri Ralyote of tehsil Rajouri, hamlet Charung of village Hasplote, Hasyote, Rajdhani, Saim Sammat, Dodason Payeen, hamlet Ghaikhakha of village Dodasan and hamlet Remote of village Dodasan Balla of tehsil Thannamandi district Rajouri, Audsoo, Ganoora and Lalan of tehsil Anantnag, Odina of tehsil Sonawari district Bandipora, Sehpora tehsil Anantnag, Watalbagh tehsil Ganderbal, Khanpoora and Sheikhzoo of tehsil Lar district Ganderbal.

 In another important decision, the Cabinet approved formation of Special Purpose Vehicle (SPV) for development of the Coal Block at KudnaliLaburi, (Talcher) in Odisha allocated jointly to JKSPD & NTPC by the Union Ministry of Coal.

 The SPV Board of Directors will be comprised of five Directors including Administrative Secretary PDD J&K, who will be the Chairperson of the Board of Directors. The approval also includes signing of Joint Venture Agreement by the J&K SPDC & NTPC besides setting up of End Use Power Plant in Odisha with NTPC.

 The allocation of the Coal Block is a major achievement for Jammu and Kashmir, which suffers from energy deficit especially during winter season when the generation of power through various HEPs decreases significantly owing to low discharge in the rivers.

 The State Government with this major initiative will be able to establish a dedicated base load Thermal Power Station which would effectively wipe out the current energy deficit of nearly 28 per cent and improve the reliability of power supply round the year.

 The decision is in line with the broader policy of the State Government under the leadership of Chief Minister Omar Abdullah to make the State energy sufficient by harnessing huge hydro potential available to the State along with the Solar and Thermal Power.

 Within next five years, the State Government expects that these efforts will prove to be fruitful for the people and will give major boost to the economy of the State.

 The creation of Local Area Development Fund (LADF) for all Hydro-Electric Projects commissioned during and after 2008 with contribution of 1 % free power generated by the project allocated to State for the purpose by all hydro-electric projects also received the nod of Cabinet.

 The State Government will also facilitate 1 % by way of Development Grants. A special provision for creation of LADF has been made under the State Hydro Power Policy to carry out Local Development Activities to ensure visible additional benefit to local communities in the project area as part of the cost of the project.

 It also approved recasting of Section 185-A(2) of the J&K Water Resources (Regulation & Management) Act, 2010 so that the fund, so created, will be operated upon by the Administrative Secretary, Finance Department, for  the purpose of being utilized for the establishment of hydel projects, hydro-electric projects, multi purpose hydro-electric projects, buying back hydro-electric power projects, already established in the State, capital investment in the electric transmission and distribution network within the territory of the State, and the purchase of power by the State Government or its entities, with the prior approval of the Government.

Source:http://www.dailyexcelsior.com/cabinet-enhances-retirement-age-teaching-faculties-62/

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Central govt employees’ retirement age to be extended by 2 years to 62

   The government is planning to extend the retirement age of all central government employees by two years  from the current 60 to 62 years. Sources said that an in-principle decision has been taken in this regard and the department of personnel and training (DoPT) has begun the work to implement the same. A formal announcement to this effect is expected this year itself.

   The last time the government extended the retirement age of central government employees was in 1998. It was also a two-year extension from 58. This was preceded by the implementation of the 5th Pay Commission, which had put severe strain on government’s finances. Subsequently, all state governments followed the Centre’s policy by extending the retirement age by two years. Public sector undertakings followed suit too.

   The decision to extend the retirement age is well-timed both politically and economically.

   The UPA government reckons the move would be a masterstroke. At a time when it is buffeted by several corruption cases, it is felt that the extension of the retirement age will go down well with the middle classes. Economically also, the move makes sense because by deferring payment of lump sum retirement benefits for a large number of employees by two years, the government would be able to manage its finances better.

   “An in-principle decision has been taken to increase the retirement age by two years within this year itself. This would reduce the burden on the fisc from one-time payment of retirement benefits for employees including defence and railways personnel,” an official involved in the discussion said. With the fiscal consolidation high on the government's agenda, this deferment would come handy.

   There’s some flip side too if the retirement age is extended by two years. Those officials empanelled as secretaries and joint secretaries would have to wait longer to actually get the posts. And of course, there is the issue of average age profile of the civil servants being turning north.

   It is also felt that any extension is not being fair with a bulk of people who still look for jobs in the government.

   However, officials point out that at least it prevents an influential section of the bureaucracy to hanker for post-retirement jobs with the government like chairmanship of regulatory bodies or tribunals.

   “As it is, a sizeable section of senior civil servants work for three to five years after the retirement in some capacity or the other in the government,” said a senior government official. The retirement age of college teachers and judges are also beyond 60.

   As per a study, the future pension outgo for the existing Central and State government employees is estimated at a staggering R1,735,527 crore or 55.88% of GDP at market prices of 2004-05.

Courtesy;financialexpress

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