Min of Personnel, Public Grievances and Pensions
No. 20/16/1998-P&PW(F) dated 19-2-2013
Subject: Withholding of 10% gratuity from the retiring
Government servants – clarification
regarding.
The undersigned is directed to say
that this Department has been receiving representations from individuals and
Pensioners Associations that government Departments have been withholding 10%
of the amount of gratuity from each retirees even when they had not been
provided any Government accommodation.
2. The recovery
and adjustment of Govt. dues from retirement gratuity is regulated under Rules
71 to 73 of the CCS (Pensions) Rules, 1972 Rule (1) to (3) of Rule 72 ibid
provide for recovery of actual amount of Govt. dues in respect of Govt.
accommodation from pay & allowances before retirement and from Retirement Gratuity.
Sub rule (5) of Rule 72 ibid stipulates that if, in any particular case, it is
not possible for the Directorate of Estates to determine the outstanding license
fee, that Directorate shall inform the Head of Office that ten per cent off
gratuity may be withheld pending receipt of further information. The withheld
amount of gratuity is to be paid back to government servant immediately on
production of ‘No Demand Certificate (NDC) from Dte off Estates. Thus, if no
‘Govt. dues’ in respect off Govt. accommodation are outstanding then the rules
do not provide for Withholding of any part of the gratuity on retirement of the
Govt. servant. If no Government accommodation is allotted to a Government
servant, in accordance with Dte of Estate’s OM No. 1801/511990-Pol-1 dated
12-10-2010, it is for the Administrative Ministry to issue an ’NDC’.
3. As regards
recovery in respect of ‘Govt. dues’ other than those pertaining to Govn.
accommodation, the head of Office is required to complete assessment of such
dues eight months prior to the date of retirement (Rule 73(2)). The actual
amount of such dues and the dues which come to the notice subsequently and
remaining outstanding are to be adjusted against the amount of retirement
gratuity becoming payable to the Govt. servant on retirement. Thus, there is no
provision for withholding any part of gratuity for the purpose of recovery of
outstanding government dues other than those pertaining to government
accommodation.
Sd/-
(Tripti P. Ghosh)
Director