The Finance Ministry has simplified norms to speed up payment of Savings Fund on account of CGEGIS for retiring central government employees.
In number of cases delay occurs in payment of Central Government Employees Group Insurance Scheme (CGEGIS) dues owing to missing entries.
The issue was considered in consultation with Department of Pension and Pensioners’ Welfare and Controller General of Accounts, the ministry said in a circular.
“It has been decided that in order to ease the process of payment of Savings Fund on account of CGEGIS at the time of retirement...payment of accumulation under the Savings Fund of CGEGIS be made without awaiting confirmation of deduction of each monthly subscription of CGEGIS...,” it said.
The norm has been tweaked as service verification of the employee is carried out based on the monthly salary payment, and the CGEGIS subscriptions are mandatory deductions from these payments.
All ministries and departments have been asked to ensure compliance of the new instructions so that the dues of CGEGIS of government servants retiring on attaining the age of superannuation are “discharged with due promptness”.
There are about 48.85 lakh central government employees.
Earlier this month, the Union Cabinet had approved release of an additional instalment of dearness allowance to central government employees and dearness relief to pensioner with effect from January 1, 2017.
The DA/DR has been increased by 2 per cent over the existing rate of 2 per cent of the basic pay/pension to compensate for price rise and it is in accordance with the accepted formula based on the recommendation of 7th pay commission.