The Department of Pension and Pensioners’ Welfare has clarified that Central Government employees under the National Pension System can opt for voluntary retirement after 20 years of service, with a three-month notice, and will receive benefits similar to those retiring on superannuation.
Read More:- How To Apply For A Birth Certificate In India: A Step-by-Step Guide
NPS Guidelines: The Department of Pension and Pensioners’ Welfare (DoPPW), under the Ministry of Personnel, Public Grievances and Pensions, has issued guidelines regarding entitlement for central government staff choosing voluntary retirement under the National Pension System (NPS).
According to an Office Memorandum, dated October 11, the department has notified the Central Civil Services (Implementation of National Pension System) Rules, 2021 to govern the service related matters of central government civil employees covered under the NPS.
Read More: Centre recommends reducing GST on packaged water and bicycles below Rs 10,000
Rule 12 of the Central Civil Services (Implementation of NPS) Rules, 2021 provides for voluntary retirement from service and entitlement on voluntary retirement from government service in respect of a central government servant covered under the NPS.
“The rule provides that at any time after a central government employee covered under NPS has completed twenty years’ regular service, he may, by giving notice of not less than three months in writing to the appointing authority, retire from service,” the OM says.
Read More: Diwali Bank Holiday 2024: Here’s When Banks Are Closed, Check Details Here
However, where the appointing authority does not refuse to grant the permission for retirement before the expiry of the period specified in the said notice, the retirement shall become effective from the date of expiry of the said period, it says.
The employee, however, must provide a written notice of at least three months to the appointing authority.
Upon voluntary retirement, the government servant will be entitled to the benefits available under the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015, similar to those granted to a subscriber retiring on superannuation.
If the government servant intends to continue his individual pension account or to defer payment of benefits under the NPS beyond the date of retirement, he shall exercise an option in this regard in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.
