Commutation value for Government servant whose date of birth is the first of a month and who retires on the afternoon of the last day of the preceding month

Clarification regarding commutation value for Government servant whose date of birth is the first of a month and who retires on the afternoon of the last day of the preceding month

No. 42/15/2022-P&PW(D)/2
Government of India
Ministry of Personnel, P.G. & Pensions
Department of Pension & Pensioners’ Welfare

3rd Floor, Lok Nayak Bhawan,
Khan Market, New Delhi-1 10003
Date:- 25th Oct, 2022

OFFICE MEMORANDUM

Subject:- Clarification regarding commutation value for Government servant whose date of birth is the first of a month and who retires on the afternoon of the last day of the preceding month-reg

In accordance with proviso to Fundamental Rule [FR-56(a)], a Government servant whose date of birth is the first of a month shall retire from service on the afternoon of the last day of the preceding month.

2. References/Representations have been received in this Department seeking clarification as to which commutation value is to be taken in cases where a Government servant whose date of birth is first of a month and who retires from service on the afternoon of the last day of the preceding month.

3. In such cases, pension becomes due from the day following the date of retirement. Further, as per Rule 6(1)(i-a) of CCS(Commutation of Pension) Rules, the commutation of pension shall become absolute on the day following the date of retirement. Therefore, the retiring Government servant will be eligible for commutation of pension on the day following the date of his retirement and the commutation value expressed as number of year’s purchase will be age on next birthday.

4. Accordingly, in the case of such Government servants who retire on attaining the age of 60 years, the age next birthday will be 61 years, including in cases where the date of birth is first of a month and the Government servant retires on the afternoon of the last day of the preceding month. Therefore, the commutation value of 61 years (i.e age on next birthday) will be applicable in this case.

(Charanjit Taneja)
Under Secretary

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