7th Pay Commission: One-time pension scheme change allowed. Check who is eligible
7th Pay Commission latest news (July 17, 2023): The Department of Personnel and Training (DoPT) has said that All India Services (AIS) officers, who were recruited against vacancies advertised before the NPS notification on December 22, 2003, may be granted a one-time option to be covered under the old pension scheme under AIS (Death Cum Retirement benefit) Rules, 1958.
“…it has been decided that the AIS officers, who have been appointed against a post/vacancy which was advertised/notified for recruitment prior to the date of notification of NPS (i.e. 22.12.2003) and who are covered under NPS on joining Service on or after 01.01.2004, may be granted one-time option to be covered under the provisions of old pension scheme under AIS (DCRB) Rules, 1958,” the DoPT said in an Office Memorandum dated July 13.
AIS officers get their salaries as per recommendations of the 7th Pay Commission for Central Government Employees. Under the old pension scheme, they become eligible for a monthly pension equivalent to 50% of the last drawn pay at the time of retirement/superannuation. However, under NPS, the pension is subject to market-linked returns.
Recently, the Central Government also amended Death-Cum-Retirement benefits rules for AIS officers. (Check notification details here)
Who is eligible to switch from NPS to OPS?
As per the DoPT’s office memorandum, members of AIS selected through Civil Services Examination, 2003, Civil Services Examination, 2004 and Indian Forest Service Examination, 2003 are eligible to be covered under these provisions.
Why this change?
The DoPT said that consequent on the introduction of National Pension System (NPS) vide Ministry of Finance Notification dated 22.12.2003, All India Services
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