There's good news for central government employees. The Eighth Pay Commission may change a 40-year-old rule, benefiting retired central government employees. Currently, central government employees are awaiting the Eighth Pay Commission's recommendations. Employee unions have made several demands from the Pay Commission. Pensioners have also made similar demands. If their demands are met, the 40-year-old rule applicable to retired central government employees will be changed, benefiting them.

Central government pensioners and employee unions are demanding that the 15-year period for resumption of premature pensions be reduced. Several unions have recommended to the Eighth Pay Commission that this period be reduced to 10 to 12 years. They argue that the current rule is based on decades-old economic and actuarial assumptions. The 15-year commuted pension rule was introduced in 1986, meaning it is 40 years old.

Central government employees can commute up to 40% of their basic pension upon retirement and receive it as a lump sum. The commuted portion is deducted from their monthly pension. Under current rules, the deducted pension is restored after 15 years. Employees' and pensioners' organizations say that economic and demographic conditions have changed significantly since the system was introduced.

The National Council of the Joint Consultative Machinery, the All India Defence Employees Federation (AIDEF), and the Federation of National Postal Organizations (FNPO) have demanded an extension of the reappointment period to 11 years. The Indian Technical Supervisors Association has also proposed 12 years. The All India New Pension Scheme Employees Federation has demanded 10 years. The Bharat Pensioners Samaj and the All Pensioners Association have also recommended 11 years.

PC: Google