Good News for NPS Subscriber : Know about the changes in NPS

Applicability of Payment of Gratuity Act 1972 to all NPS Subscriber to all educational institutions under the Ministry of Education.

Government of India, Ministry of Education, Department of Higher Education Technical Coordination Section New Delhi issued Office Memorandum F. No. 15-2/2022-TC regarding Applicability of Payment of Gratuity Act 1972 to all educational institutions under the Ministry of Education.

The Deputy director of Technical Coordination Section Shri Kriti is directed to inform that the issue of payment of gratuity to the employees covered under New Pension Scheme (NPS) in the Autonomous Bodies/ Organizations under the Ministry of Education (MoE) has been examined in consultation with the Ministry of Finance (Department of Expenditure) and the Ministry of Labour & Employment (MoL&E).

2. The Department of Expenditure (DoE), vide OM No.1(16)/EV/2017 dated 02.12.2021 (copy enclosed), has advised this Ministry to instruct Autonomous Bodies/ Organizations to adopt Payment of Gratuity Act, 1972 in consultation with MoL&E since CCS (Pension) Rules, 1972 are strictly meant for Central Government employees only. Further, vide O.M No.R-13011/02/2022-SS.I dated 23.11.2022 (copy enclosed), the MoL&E has clarified that the Payment of Gratuity Act, 1972 is applicable to all employees of educational institutions, as the said Act does not have provisions for different set/category/class of employees and further that no separate notification is required to be issued by the Ministry of Education for applicability of the said Act (in case of NPS employees).

3. In view of the above, all Bureaus in both Departments of the Ministry of Education may like to direct the Autonomous Bodies / Organizations under their administrative control to take appropriate action accordingly.

Click Here for More details and full Circular in Pdf.

Earlier Kendriya Vidyalya Sangathan issued a letter regarding not payment of Gratuity for NPS Subscribers vide letter no. 110230(NPS)2018/KVS(HQ)/P&I/2133. dated 16.05.2019 and now we are waiting for a letter from KVS regarding applicability of payment of Gratuity for NPS Subscribers.

Click Here for KVS Letter for Not Payment of NPS Subscribers in KVS.

Click Here for the details of NPS (National Pension System) to OPS (Old Pension System) conversion after Death of Government Employee

Click Here for The Gazette of India 2021 regarding NPS

Click Here for Counting of service on- joining new service in. State Government/Central Government / autonomous body for the benefit of gratuity in respect of Central Govt. Employees covered under National Pension System (NPS)

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