7th Pay Commission: According to the recent decision taken by the government, if a PSU employee is dismissed or removed for wrongdoing during the job, then he will not get retirement benefits. However, the final decision on this will be taken by the Administrative Ministry.
PSU Employees New Rules: If you or any member of your family is an employee of a Public Sector Undertaking (PSU), then this news is of your use. Yes, the central government has made important changes in the rules related to pension for PSU employees. According to the new decision of the government, if a PSU employee is dismissed or removed for wrongdoing during the job, then he will not get retirement benefits. The decision of dismissal or removal from the job will also be reviewed by the concerned administrative ministry. This change has been made to increase the accountability of PSU employees and prevent them from doing wrong things.
What has changed in the new rule?
Under the Central Civil Services (Pension) Amendment Rules 2025 notified on May 22, if an employee misbehaves after joining a PSU and is dismissed due to this, then he will have to lose the retirement benefits received during government service. Earlier, there was no rule to end the retirement benefit in such cases. Under the new rules, it was also said that the decision of dismissal, removal from job or retrenchment will be finalized by the administrative ministry related to the PSU.
Pension and family pension will be affected
Under the recent rules, it has also been provided that the dismissed or retrenched employees can be given pension or family pension on the basis of ‘good conduct in future’. Apart from this, rules like composite allowance will also be applicable. This means that in some cases employees may get relief, but it will depend on the decision of the government.
Which employees will be subject to the rules?
The rules related to the Central Civil Services (Pension) Rules, 2021 will apply to such government employees who have been appointed before 31 December 2003. However, these rules will not apply to railway employees, temporary or daily wage employees and officers of the Indian Administrative Service (IAS), Indian Police Service (IPS) and Indian Forest Service (IFoS).
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