Compensation pension

Compensation pension was the pension granted to a central government servant selected for discharge owing to the abolition of his permanent post, under Rule 39 of the CCS (Pension) Rules, 1972. It ran from 1 June 1972 until 20 December 2021, and it is now a dead class: the CCS (Pension) Rules, 2021, notified as G.S.R. 868(E) on 20 December 2021, did not carry it forward. Chapter V of the 2021 Rules provides eight grants of pension where the 1972 Rules provided nine, and compensation pension is the one that went.

The class existed because the 1972 Rules drew a line by cause. A superannuation pension followed age, an invalid pension followed a medical board, a compulsory-retirement pension followed a penalty. Compensation pension followed a decision of the government about its own establishment, and the rule answered that cause by paying the full ordinary pension with nothing deducted for it. Rule 39 went further than the amount: it required three months’ notice, it barred the pension for any period already paid for in lieu of that notice, and, under Rule 39(4), it made the compensation pension a permanent floor under the pension of anyone who took an alternative appointment instead.

An employee whose post is abolished today is dealt with under Rule 34(1)(b) of the 2021 Rules, on the surplus-staff route, taking a retiring pension with an ex-gratia amount under the Special Voluntary Retirement Scheme notified by Department of Personnel and Training Office Memorandum No. 25013/6/2001-Estt.(A) dated 28 February 2002. The pension arithmetic is unchanged at 50% of emoluments, so the substance survives under a different name and a different rule number.

This article sets out the Rule 39 test and the option it carried, the notice requirement and the bar on double payment, the Rule 39(4) guarantee, the computation and two worked examples, commutation without a medical examination, how the class compared with the other grants, what the 2021 Rules did with it, the two places the term still appears in current rules, the surplus-staff route that replaced it, the position of a pensioner already drawing it, the tax treatment, and the bearing of the 8th Central Pay Commission. It is written for the reader who meets the term in a pre-2021 Pension Payment Order, an old order, or a file that still cites it.

Rule 39 and the abolition test

Rule 39(1) of the CCS (Pension) Rules, 1972 granted a compensation pension where a government servant was selected for discharge owing to the abolition of his permanent post, unless he was appointed to another post the conditions of which were deemed by the authority competent to discharge him to be at least equal to those of his own. Three elements had to be present: a permanent post, its abolition, and the selection of its holder for discharge in consequence.

The disentitling condition is narrower than it is often described. It was an actual appointment to another post, not an offer of one, and the comparison was made by the authority competent to discharge the servant, who had to deem the conditions of the new post at least equal to those of the old. Rule 39 does not use the word reasonable, and it sets no test of distance, grade or suitability beyond that single comparison of conditions. A servant appointed to a post the discharging authority assessed as at least equal simply fell outside Rule 39(1) and had no compensation pension to claim.

The rule attached to permanent posts and to servants in permanent employment, which is why the notice provision in Rule 39(2)(a) is worded for a government servant in permanent employment. A temporary post carried no compensation pension on its abolition, and the discharge of a temporary servant was governed by the Central Civil Services (Temporary Service) Rules, 1965 instead.

The option between the pension and another appointment

Rule 39(1) gave the servant a choice between two clauses, and the choice belonged to the servant. Clause (a) allowed him to take the compensation pension to which he was entitled for the service he had rendered. Clause (b) allowed him to accept another appointment on such pay as might be offered, and to continue to count his previous service for pension.

The two routes were mutually exclusive. Taking the pension under clause (a) ended the service and started the pension; taking the appointment under clause (b) kept the service running with the earlier qualifying service intact, so the employee reached the eventual retirement with the whole career reckoned rather than only the years in the new post. The continuity of service across the move is the feature that made clause (b) a genuine alternative rather than a demotion dressed up as one.

Nothing in Rule 39 compelled acceptance of the new post. The rule made the appointment relevant in one way only, through the exclusion in Rule 39(1): where the servant was appointed to a post whose conditions the discharging authority deemed at least equal to those of the old post, the compensation pension did not arise at all, and the clause (a) route was closed to him.

Three months’ notice and pay in lieu

Rule 39(2)(a) of the CCS (Pension) Rules, 1972 required notice of at least three months to a government servant in permanent employment before his services were dispensed with on the abolition of his permanent post. The notice was a condition of the discharge, not a courtesy, and it gave the establishment three months in which to find the alternative appointment that Rule 39(1) contemplated.

Where the notice fell short and the servant had not been provided with other employment on the date his services were dispensed with, Rule 39(2)(b) allowed the authority competent to dispense with his services to sanction a sum not exceeding the pay and allowances for the period by which the notice actually given fell short of three months. So a servant discharged on one month’s notice could be paid up to two months’ pay and allowances in place of the missing notice.

Rule 39(2)(c) then barred double payment: no compensation pension was payable for the period in respect of which the servant received pay and allowances in lieu of notice. The pension started when the paid notice period ran out, not on the date of discharge. Rule 39(3) closed the remaining gap, requiring a servant who was re-employed before the expiry of the period he had been paid for to refund the pay and allowances for the period following his re-employment.

The Rule 39(4) guarantee

Rule 39(4) of the CCS (Pension) Rules, 1972 was the substantive protection for a servant who took the alternative appointment. It provided that where a government servant entitled to a compensation pension accepted instead another appointment under the Government and subsequently became entitled to receive a pension of any class, the amount of that pension could not be less than the compensation pension he could have claimed had he not accepted the appointment.

The clause converted the forgone compensation pension into a floor that followed the employee for the rest of the career. A servant who moved on the abolition of his post to a post carrying lower pay, and who retired years later on a superannuation pension computed on that lower pay, could not be paid less than the compensation pension he had given up. The guarantee ran to a pension of any class, so it applied whether the eventual exit was on superannuation, on retirement before the age of superannuation, or on invalidation.

That floor has no counterpart in the CCS (Pension) Rules, 2021. An employee redeployed today keeps the earlier service as qualifying service under the ordinary rules on qualifying service, which is the equivalent of the clause (b) continuity, but there is no rule guaranteeing that the eventual pension will not fall below what a pension on the date of the abolition would have been.

How the amount was computed

A compensation pension was computed on the ordinary basis, with nothing added and nothing taken away for the cause of the discharge. Rule 49(2) of the CCS (Pension) Rules, 1972, as substituted by notification G.S.R. 928(E) dated 21 December 2012 under F. No. 38/80/08-P&PW, fixed the pension of a government servant retiring after a qualifying service of not less than 10 years at 50% of emoluments or average emoluments, whichever was more beneficial. Length of service beyond the 10-year threshold did not change the percentage. Rule 49(3) treated a fraction of a year of three months and above as a completed half-year in reckoning the qualifying service.

Below 10 years of qualifying service no pension arose and a compensation gratuity was paid instead. Rule 49(1) computed it at half a month’s emoluments for every completed six-monthly period of qualifying service, and Rule 49(1A), inserted by the same notification of 21 December 2012, treated the dearness allowance admissible on the date of retirement as emoluments for that purpose. The retirement gratuity was separately payable, and so was the death gratuity where the case became one of death rather than discharge.

The floor and the ceiling were the ordinary ones. The figures now stated in Rule 44(1) of the CCS (Pension) Rules, 2021 are a minimum of Rs. 9,000 and a maximum of Rs. 1,25,000 a month, the 7th Central Pay Commission levels; the text of Rule 49(2) of the 1972 Rules carried the earlier figures of Rs. 3,500 and Rs. 45,000, which the pay-commission orders superseded. Dearness relief was payable on a compensation pension as on any other, and stands at 60% of basic pension from 1 January 2026, so a pre-2021 compensation pensioner draws it today at that rate.

Worked examples

Take a permanent government servant whose post is abolished after 24 years of qualifying service, on a last basic pay of Rs. 70,000, who is not appointed to another post and takes the compensation pension under Rule 39(1)(a). The pension under Rule 49(2) is 50% of Rs. 70,000, or Rs. 35,000 a month, the same figure a superannuation pension on the same service and pay would produce. Dearness relief at 60% adds Rs. 21,000, taking the monthly payment to Rs. 56,000. Up to 40% of the pension, Rs. 14,000 a month, may be commuted for a lump sum without a medical examination, and the retirement gratuity is paid on the 24 years of service.

Now take the same servant discharged after eight years of qualifying service, below the 10-year threshold. No pension arises. Rule 49(1) pays a compensation gratuity of half a month’s emoluments for each of the 16 completed six-monthly periods, and Rule 49(1A) counts the dearness allowance on the date of discharge as part of those emoluments: at a basic pay of Rs. 70,000 with dearness allowance at 60%, emoluments are Rs. 1,12,000, and the compensation gratuity is 16 multiplied by half of Rs. 1,12,000, or Rs. 8,96,000. The retirement gratuity is paid in addition, at one-fourth of emoluments for each of the same 16 periods, or Rs. 4,48,000, within the Rs. 25 lakh ceiling.

A third case shows Rule 39(2)(c) at work. A servant discharged on one month’s notice, paid two months’ pay and allowances under Rule 39(2)(b) for the shortfall, draws no compensation pension for those two months. The pension is authorised from the day after the paid period ends, and if he is re-employed inside it, Rule 39(3) requires him to refund the pay and allowances for the balance.

Commutation without a medical examination

A compensation pension could be commuted without a medical examination, which put it in the better of the two categories the commutation rules recognise. Clause (iv) of Rule 12 of the CCS (Commutation of Pension) Rules, 1981 names a compensation pension on abolition of permanent post under Rule 39 of the Pension Rules among the pensions eligible to commute a percentage without medical examination, alongside a superannuation pension under Rule 35, a retiring pension under Rule 36, a pension on absorption under Rule 37 and a pension issued on the finalisation of departmental or judicial proceedings under Rule 9.

The exemption came with a condition and an extension. The proviso to Rule 12 required the applicant to apply for commutation of pension in Form 1 or Form 1-A in accordance with Rule 13, and the Note to Rule 12 extended clauses (i), (ii) and (iv) to the provisional pension sanctioned under Rule 64 of the Pension Rules, so a compensation pensioner on a provisional pension was not made to wait for the final authorisation before commuting.

An invalid pension is absent from that list, which is the sharpest practical contrast between the two classes. Both ended a career early and both paid 50% of emoluments, but the invalid pensioner had to go before a medical authority to commute and the compensation pensioner did not, because the cause of his discharge said nothing about his health.

How it differed from the other classes of pension

Compensation pension was distinguished from the other grants by its cause: a decision of the government to abolish a post, rather than the employee’s age, choice, health or conduct. The employee was neither at the end of a career, nor leaving voluntarily, nor incapacitated, nor being punished, which is why the rules paid the full ordinary rate with none of the discretion that governs a compassionate allowance and none of the reduction that Rule 40 permits on a compulsory retirement.

The renumbering in the third column is the trap for anyone reading an old file. Rule 39 carried compensation pension in the 1972 Rules and carries invalid pension in the 2021 Rules, and Rule 38 carried invalid pension in 1972 and carries a pension on absorption in 2021. A citation to Rule 39 therefore means two different things depending on which set of Rules the document was written under, and the date of the document is what settles it.

What the 2021 Rules did with the class

The CCS (Pension) Rules, 2021 dropped compensation pension without replacing it. Chapter V of those Rules, notified as G.S.R. 868(E) on 20 December 2021 under F. No. 38/3/2017-P&PW(A), provides superannuation pension or service gratuity (Rule 33), retiring pension or service gratuity (Rule 34), pension on absorption in or under a State Government (Rule 35), pension on absorption in or under a corporation, company or body (Rule 36), pension on the conversion of a department into a public sector undertaking (Rule 37) or into a central autonomous body (Rule 38), invalid pension (Rule 39), compulsory retirement pension (Rule 40) and compassionate allowance (Rule 41). That is eight grants against the nine in the 1972 Rules, and the missing one is compensation pension.

The omission removed the class from two other rules that had leaned on it. Notification No. Q-18011/2/75-E.V(A) dated 10 April 1975 had inserted the words full compensation pension into Rule 40(1) of the 1972 Rules, fixing the compulsory-retirement band at not less than two-thirds and not more than the full compensation pension, and had substituted the same reference into the proviso to Rule 41(1), where the compassionate allowance was capped at two-thirds of what would have been admissible had the servant retired on compensation pension. Rule 40(1) and the proviso to Rule 41(1) of the 2021 Rules both read superannuation pension instead, because after 20 December 2021 there was no compensation pension left to point at.

The change of yardstick alters no amount. A compensation pension under Rule 49(2) of the 1972 Rules and a superannuation pension under Rule 44(1) of the 2021 Rules are both 50% of emoluments, so the notional figure the two-thirds ceiling runs on is the same. It matters for citation: a file that still measures a compassionate allowance against a compensation pension is quoting text that was superseded on 20 December 2021, and text that itself only entered the Rules in 1975.

Where the term still appears in current rules

The term survives in two live provisions, one in each of the two rule sets a pensioner deals with. Rule 19(1) of the CCS (Pension) Rules, 2021 provides that a government servant who, having retired on compensation pension or invalid pension or compensation gratuity or invalid gratuity, was re-employed and appointed on or before 31 December 2003 to a service or post to which those Rules apply, and who on such re-employment ceased to draw his pension and refunded or agreed to refund the pension already drawn, the value received for commutation and the amount of retirement gratuity including service gratuity, shall count the former service as qualifying service. The 31 December 2003 cut-off makes it a closed class that will empty out with time, but it keeps the words compensation pension and compensation gratuity operative in the current Rules.

Rule 12(iv) of the CCS (Commutation of Pension) Rules, 1981 is the second, and it carries a defect worth knowing. It still describes the eligible pension as a compensation pension on abolition of permanent post under Rule 39 of the Pension Rules, and Rule 12 as a whole still cites the 1972 rule numbers throughout, naming Rules 35, 36, 37 and 39. The 1981 Rules were never renumbered onto the 2021 Rules, so a literal reading of Rule 12(iv) today points at Rule 39 of the 2021 Rules, which is the invalid pension. The clause is a survival of the 1972 scheme, not a live grant of commutation without medical examination to invalid pensioners.

Beyond these two, the term appears in departmental instructions issued under the 1972 Rules that have not been reissued, and in the Pension Payment Orders of people who retired on it before 20 December 2021.

Abolition and surplus staff under the current rules

An employee whose post or establishment becomes surplus today is dealt with under Rule 34 of the CCS (Pension) Rules, 2021, not under any successor to Rule 39. Rule 34(1)(b) grants a retiring pension or retiring service gratuity to a government servant who, on being declared surplus, opts for voluntary retirement in accordance with the Special Voluntary Retirement Scheme for surplus employees notified by Department of Personnel and Training Office Memorandum No. 25013/6/2001-Estt.(A) dated 28 February 2002. Rule 34(2) entitles a permanent servant who takes that route to an ex-gratia amount under the Scheme, in addition to the pension under Rule 44 and the retirement gratuity under Rule 45.

The ex-gratia is where the compensation element now sits. Under the Office Memorandum of 28 February 2002 it is basic pay plus dearness allowance for a number of days computed at 35 days for each completed year of service and 25 days for each remaining year, with the total years counted capped at 33 and the whole amount capped at the balance of salary the employee would have drawn until superannuation, subject to a floor of Rs. 25,000 or 250 days’ emoluments, whichever is higher. The Scheme carries an income-tax exemption of up to Rs. 5 lakh on that amount. The option has to be exercised within three months of the employee being declared surplus, and the surplus post stands abolished once the retirement is approved.

Three further provisions of the 2021 Rules attach to the surplus case. Rule 43(7)(a) excludes a servant retiring under the Special Voluntary Retirement Scheme from the ordinary voluntary retirement rule, so the two routes do not overlap. Rule 30(3) allows the verification of qualifying service to be done whenever a post is declared surplus, rather than waiting for the periodic cycle. And Rules 37(7) and 38(7) provide for employees reverting to government service after an absorption to be redeployed through the surplus cell of the Government, which is the machinery that made outright discharge rare enough for the compensation-pension class to fall out of use.

Re-employment of a compensation pensioner

A compensation pensioner who was re-employed in a pensionable civil post faced a choice between two pensions and one, and the choice was governed by Rule 18(1) of the CCS (Pension) Rules, 1972, now Rule 19 of the 2021 Rules. Alternative (a) let him continue to draw the compensation pension, or retain the gratuity sanctioned for the earlier service, in which case the former service did not count as qualifying service in the new spell. Alternative (b) let him cease to draw the pension and refund the pension and the pensionary equivalent of the retirement benefits already drawn, in which case the previous service counted and a single pension was computed on the sum of both spells.

Department of Personnel and Administrative Reforms Office Memorandum No. 38/5/81-Pension Unit dated 5 March 1982 settled how the option worked for a compensation pensioner specifically. It held that a permanent servant granted a compensation pension under Rule 39 at a comparatively young age, re-employed and later completing not less than 20 years, since reduced to 10 years, of temporary service, is eligible to exercise the Rule 18(1) option, the requirement of holding a post in a substantive capacity being deemed relaxed for him. The option is exercised when the pension application in Form 5 is completed, about eight months before the age of superannuation, and where no option is exercised within that period the servant is deemed to have opted for alternative (a) and draws both pensions separately.

The same Office Memorandum added two conditions that decide real cases. An option exercised before superannuation becomes null and void if the servant ceases to be in service for any reason before reaching it, and the amount of pension and gratuity to be refunded under alternative (b) is determined by the Head of Office under clause (b) of Rule 18(1). For the wider position on drawing a pension alongside a salary, see re-employment after retirement and pay fixation on re-employment.

A pensioner already drawing a compensation pension

A compensation pension granted before 20 December 2021 continues to be paid, and the 2021 Rules say so through their repeal-and-saving provision rather than through any surviving class of pension. Rule 87(1) provides that on the commencement of the 2021 Rules every rule, including the CCS (Pension) Rules, 1972, and every regulation or order including an Office Memorandum in force immediately before that commencement ceases to operate, but only in so far as it provides for a matter contained in the 2021 Rules. Compensation pension is not a matter contained in the 2021 Rules, and an already sanctioned pension is a completed grant rather than a rule awaiting operation.

Rule 87(2)(c) deals with the cases that were still open on the date. A case pertaining to the authorisation of pension to a government servant who had retired before 20 December 2021 and pending on that date is to be disposed of in accordance with the provisions of the old rule as if the 2021 Rules had not been made, so a compensation-pension case caught mid-sanction was completed under Rule 39. Rule 87(2)(e) deems anything done or any action taken under the old rule to have been done or taken under the corresponding provisions of the 2021 Rules, subject to clauses (c) and (d).

The practical consequence is that a Pension Payment Order recording a compensation pension remains valid and is administered like any other. It attracts dearness relief at 60% from 1 January 2026, it is revised at each pay commission through the ordinary revision of pension, the additional pension in old age under Rule 44(6) applies to it, and family pension follows the death of the pensioner on the usual basis. Nothing about the class having been dropped in 2021 reduces what a pre-2021 compensation pensioner is paid.

Tax treatment

A compensation pension is taxed as salary, with no relief for the involuntary cause of the discharge. Section 15(2) of the Income-tax Act 2025 provides that an employer includes a former employer, and Section 16(b) provides that salary includes any annuity or pension, so the monthly pension is chargeable under the head Salaries in the hands of the pensioner exactly as a superannuation pension is, and the standard deduction of Rs. 75,000 under serial number 2 of the Table in Section 19(1) applies.

The commuted portion is treated as it is for any government pensioner: the lump sum received on commutation is exempt, and the residual pension is taxed month by month for the 15 years until restoration. Dearness relief is part of the pension and is taxed with it. The compensation gratuity and the retirement gratuity payable where the qualifying service fell short of 10 years are gratuity receipts, not pension, and are dealt with under the gratuity provisions rather than as salary. The wider position is set out in income tax for pensioners.

The ex-gratia under the Special Voluntary Retirement Scheme, which is the modern counterpart of the compensation element, is treated differently again. The Office Memorandum of 28 February 2002 carries an income-tax exemption of up to Rs. 5 lakh on that amount, and the exemption is one-time. It is a payment on voluntary retirement rather than a pension, and it does not enter the monthly pension computation at all.

Compensation pension across the pension schemes

Compensation pension belonged to the defined-benefit pension of the Old Pension Scheme, and could only ever arise for an employee to whom the CCS (Pension) Rules applied. Rule 2 of the CCS (Pension) Rules, 2021 applies those Rules to government servants appointed on or before 31 December 2003, which is the same population that could have drawn a compensation pension in the years before the class was dropped.

An employee under the National Pension System has no defined pension to compensate. Where such an employee’s post is abolished and the exit is treated as a premature exit, the outcome runs through the accumulated corpus: up to 20% as a lump sum and at least 80% to buy an annuity, on the rules of that scheme rather than on any pension rule. The Unified Pension Scheme sits between the two, carrying an assured payout computed on a defined basis, so a surplus employee under it is dealt with on that assured-payout footing.

Confirming which scheme governs is therefore the first step in reading any older compensation-pension case across to a current one. The compensation pension was a creature of the defined-benefit rules, and its nearest live analogue, the retiring pension under Rule 34(1)(b) of the 2021 Rules with the surplus ex-gratia, is also a defined-benefit outcome available only to the pre-2004 population.

Bearing on the 8th Central Pay Commission

A compensation pension in payment is a defined-benefit amount expressed as a percentage of pay, so a pay commission changes the figure and not the entitlement. The 8th Central Pay Commission, constituted by Resolution F. No. 01-01/2025-E.III(A) dated 3 November 2025 under Justice Ranjana Prakash Desai, will recommend a revision of pay and pension, and a pre-2021 compensation pensioner will be revised along with every other pensioner through the ordinary revision machinery.

No figure for that revision can be stated as fact until the Commission reports and revised rules are notified. What is settled is that the classes of pension are a matter for the CCS (Pension) Rules and the establishment instructions, not for a pay commission, so nothing the 8th Central Pay Commission recommends will restore compensation pension as a class or alter the surplus-staff route under Rule 34(1)(b). A pay revision moves the amounts; the structure was settled on 20 December 2021.

Related Articles

• Central government pension
• CCS (Pension) Rules, 2021
• Central government pension calculation
• Retiring pension
• Superannuation
• Voluntary retirement
• Premature retirement
• Invalid pension
• Compulsory retirement
• Compassionate allowance
• Dismissal and removal from service
• Service gratuity
• Gratuity for central government employees
• Death gratuity
• Qualifying service
• Emoluments (for pension)
• Minimum and maximum pension
• Commutation of pension
• Dearness relief
• Revision of pension
• Family pension
• PPO and life certificate
• Re-employment after retirement
• Pay fixation on re-employment
• Income tax for pensioners
• Standard deduction
• Old Pension Scheme
• National Pension System
• Unified Pension Scheme
• 8th Central Pay Commission

External references

• Department of Pension and Pensioners’ Welfare
• CCS (Commutation of Pension) Rules, 1981 (persmin.gov.in)
• Special Voluntary Retirement Scheme for surplus employees, OM No. 25013/6/2001-Estt.(A) dated 28 February 2002
• Pensioners’ Portal
• Department of Personnel and Training
• Central Pension Accounting Office

References

1. Central Civil Services (Pension) Rules, 1972 (in force from 1 June 1972), Rule 39: sub-rule (1) on the option between a compensation pension and another appointment on the abolition of a permanent post, sub-rule (2) on the three-month notice and pay and allowances in lieu, sub-rule (3) on refund on early re-employment, and sub-rule (4) on the guarantee that a later pension of any class shall not be less than the compensation pension.
2. Central Civil Services (Pension) Rules, 1972, Rule 49 as substituted by notification G.S.R. 928(E) dated 21 December 2012 (F. No. 38/80/08-P&PW): sub-rule (1) service gratuity below 10 years of qualifying service, sub-rule (1A) dearness allowance treated as emoluments for that purpose, sub-rule (2) pension at 50% of emoluments or average emoluments, and sub-rule (3) rounding of qualifying service.
3. Central Civil Services (Pension) Rules, 1972, Rule 18 (option on re-employment) and Rules 40 and 41 as amended by notification No. Q-18011/2/75-E.V(A) dated 10 April 1975, which made the compensation pension the reference for the compulsory-retirement band and the compassionate-allowance ceiling.
4. Central Civil Services (Pension) Rules, 2021, notified as G.S.R. 868(E) on 20 December 2021 under F. No. 38/3/2017-P&PW(A): Chapter V, Rules 33 to 41, which provide eight grants and no compensation pension; Rule 19(1) counting former service of a re-employed compensation pensioner; Rule 30(3) verification of service on a post being declared surplus; Rule 43(7)(a); Rule 44(1) amount of pension; Rule 45 gratuity; and Rule 87 repeal and saving.
5. Central Civil Services (Pension) Rules, 2021, Rule 34(1)(b) and Rule 34(2), granting a retiring pension and an ex-gratia amount to a government servant declared surplus who opts for the Special Voluntary Retirement Scheme.
6. Central Civil Services (Commutation of Pension) Rules, 1981, Rule 12 clause (iv) and the Note thereto, and Rule 13, on commutation without medical examination for a compensation pension on abolition of permanent post.
7. Department of Personnel and Training Office Memorandum No. 25013/6/2001-Estt.(A) dated 28 February 2002, Special Voluntary Retirement Scheme for surplus central government employees, with the ex-gratia at 35 days for each completed year and 25 days for each remaining year, capped at 33 years.
8. Department of Personnel and Administrative Reforms Office Memorandum No. 38/5/81-Pension Unit dated 5 March 1982, on the option under Rule 18(1) for a re-employed pensioner in receipt of an invalid or compensation pension.
9. Income-tax Act, 2025, Section 15(2) (former employer), Section 16(b) (salary includes any annuity or pension) and Section 19(1) Table serial number 2 (standard deduction of Rs. 75,000).
10. Ministry of Finance, Department of Expenditure, Resolution F. No. 01-01/2025-E.III(A), dated 3 November 2025, constituting the 8th Central Pay Commission.