Grant of notional increment on 1st July/1s January to those retired from service on 30th June/31st December respectively from the purpose of calculation of pensionary benefits and other similar matters - Postalstudy | Post Office Blog | Materials for | Exams

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Grant of notional increment on 1st July/1s January to those retired from service on 30th June/31st December respectively from the purpose of calculation of pensionary benefits and other similar matters

Government of India Allows Notional Increment for Pensionary Benefits: A Step towards Ensuring Employee Welfare


The Ministry of Home Affairs, Government of India, recently issued a directive addressing a long-standing concern regarding the calculation of pensionary benefits for retired employees. Through a communication dated April 9, 2024, the Ministry responded to a contempt petition concerning the non-compliance of the Hon’ble Central Administrative Tribunal's (CAT) Order in OA No. 776/2019.


The issue pertained to the grant of notional increment on July 1st or January 1st to employees retiring on June 30th or December 31st, respectively, for the purpose of calculating pensionary benefits. The Ministry acknowledged the gravity of the matter and agreed to allow one notional increment to eligible employees of the Government of NCT of Delhi who fulfill all other conditions of qualifying service for the increment.


This decision reflects the government's commitment to addressing the welfare of its retired employees. By granting a notional increment, the government ensures that the pensionary benefits received by retired employees accurately reflect their years of service and contributions to the administration.


It is noteworthy that such measures contribute significantly to enhancing the morale and financial security of retired personnel. Pensionary benefits serve as a vital source of income post-retirement, providing a sense of stability and support during the twilight years of one's life.


The directive from the Ministry of Home Affairs underscores the importance of upholding judicial orders and addressing grievances promptly. By heeding the directives of the Hon’ble CAT and taking proactive steps to implement them, the government demonstrates its commitment to justice and fairness in administrative matters.


Moreover, this decision sets a precedent for other government entities to follow suit in ensuring that retired employees receive their due benefits in a timely and equitable manner. It reflects a progressive approach to governance, wherein the welfare of employees remains a paramount concern.


In conclusion, the decision to allow notional increments for pensionary benefits marks a significant stride towards employee welfare and administrative justice. It reinforces the government's pledge to honor its commitments and prioritize the well-being of its workforce, both during their service and in retirement.


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