Introduction: In a recent development, the Government of India, through the Ministry of Personnel, Public Grievances & Pensions, Department of Pension & Pensioners’ Welfare, has issued an Office Memorandum (OM) regarding the grant of Dearness Relief (DR) in the 5th CPC series. This update, effective from 01.07.2023, specifically impacts CPF beneficiaries receiving basic ex-gratia payments.
Detailed Analysis: The memorandum outlines the enhanced DR for different categories of CPF beneficiaries. For surviving CPF beneficiaries who retired between 18.11.1960 and 31.12.1985, entitled to basic ex-gratia, the DR has been increased from 412% to 427% of the basic ex-gratia, effective from 01.07.2023.
Additionally, widows and eligible dependent children of deceased CPF beneficiaries, who retired or passed away before 01.01.1986, and those entitled to revised ex-gratia, will now receive an enhanced DR from 404% to 419% of the basic ex-gratia.
Furthermore, Central Government employees retired on CPF benefits before 18.11.1960, receiving varying ex-gratia payments, will also experience an increase in DR rates.
The memorandum emphasizes that any DR involving a fraction of a rupee shall be rounded off to the next higher rupee. The responsibility for calculating the quantum of DR payable in each individual case lies with the pension disbursing authorities, including nationalized banks.
This announcement reflects the government’s commitment to ensuring financial well-being for CPF beneficiaries, acknowledging the rising cost of living and inflationary pressures.
Conclusion: The grant of enhanced Dearness Relief in the 5th CPC series is a positive step towards supporting CPF beneficiaries, addressing their financial needs in the face of economic challenges. The increased rates aim to provide relief and improve the overall well-being of retired government employees and their eligible dependents. The rounding off of DR amounts simplifies the disbursement process, ensuring a smoother implementation of the revised rates. As the government continues to prioritize the welfare of pensioners, this move is expected to positively impact the lives of those dependent on CPF benefits.
No. 42/04/2023-P&PW (D)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners’ Welfare
3rd Floor, Lok Nayak Bhavan,
Khan Market, New Delhi – 110003
Dated 28th December, 2023
OFFICE MEMORANDUM
Sub:- Grant of Dearness Relief in the 5th CPC series effective from 01.07.2023 to CPF beneficiaries in receipt of basic ex-gratia payment-reg
The undersigned is directed to refer to this Department’s OM 42/04/2023-P&PW(D) dated 06.07.2023 and to say that the President is pleased to decide that the Dearness Relief admissible to the CPF beneficiaries in receipt of basic ex-gratia payment in the 5th CPC series shall be enhanced w.e.f 01.07.2023 in the following manner :-
(i) The surviving CPF beneficiaries who have retired from service between the period 18.11.1960 and 31.12.1985, and are entitled to basic ex-gratia @ Rs.3000, Rs.1000, Rs.750 & Rs.650 for Group A, B, C & D respectively w.e.f 4th June,2013 vide OM No. 1/10/2012-P&PW(E) dtd. 27th June, 2013 shall now be entitled to enhanced Dearness Relief from 412% of the basic ex-gratia to 427% of the basic ex-gratia e. f 01.07.2023.
(ii) The following categories of CPF beneficiaries shall be entitled to enhanced Dearness Relief from 404% of the basic ex-gratia to 419% of the basic ex-gratia e. f 01.07.2023:-
(a) The widows and eligible dependent children of the deceased CPF beneficiary who had retired from service prior to 01.01.1986 or who had died while in service prior to 01.01.1986 and are entitled to revised ex-gratia @ Rs.645/-p.m w.e.f 04 June, 2013 vide OM No 1/10/2012-P&PW(E) dated 27th June,2013.
(b) Central Government employees who had retired on CPF benefits before 18.11.1960 and are in receipt of Ex-gratia payment of Rs. 654/-, Rs.659/-, Rs.703/- and Rs.965/-.
2. Payment of DR involving a fraction of a rupee shall be rounded off to the next higher rupee.
3. It will be the responsibility of the pension disbursing authorities, including the nationalized banks, etc. to calculate the quantum of DR payable in each individual case.
