The Modi government has notified the Central Civil Services (Payment of Gratuity under the National Payment System) Rules, 2021. This rule of payment of gratuity will be applicable to the employees of the Central Government. It will also include civilian government employees appointed to the Defense Service and Civil Service posts for the Center, who have been appointed on or after January 1, 2004.
According to the gazette notification, any claim made for gratuity will be applicable as per the new rules. For this it will be seen whether a government employee is retiring, or has retired. Has he been discharged, has he been allowed to retire from service or has died. Gratuity will be claimed as the case may be with the employee. The date on which a Government servant retires or is due to retire or is relieved or approved to resign shall be deemed to be the last working day of the employee. Accordingly gratuity will be calculated. The calculation of gratuity on the day of the death of a Government servant shall be made by taking that day as a working day.
Retirement gratuity will be given to a government employee only after he completes five years of service. The employee must retire at the age of superannuation. The employee has retired or is about to retire before the retirement age. If permitted to receive service or post in any company or corporation of the Central Government or State Government. If the post or service is received in any institution of the Central or State Government, then such Government servant is entitled to gratuity.
Payment Calculation
In the case mentioned above, the employee will be paid on the basis of his total remuneration. Gratuity will be one-fourth of the total remuneration for the 6 months completed in the job. This maximum can be up to 161/2 times the total wages. Here the total remuneration means the basic payment received by the government employee before retirement or on the day of death. If the employee was posted on the post of doctor, then non-practicing allowance will also be added to his basic payment.
