7th CPC increased Gratuity Ceiling limit – 20 lakh from 1.1.2016
Enhancement in the Gratuity Ceiling and its Indexation
The Commission recommends enhancement in the ceiling of gratuity from the existing ₹10 lakh to ₹20 lakh from 01.01.2016.
A number of representations have been received by the Commission stating that there is a need to revise the existing ceiling of ₹10.00 lakh with regard to payment of service gratuity.
Analysis and Recommendations : Rule 49 and 50 of the CCS (Pension) Rules provides that a government servant is entitled to get retirement gratuity equal to one-fourth of his emoluments for each completed six monthly period of qualifying service subject to a maximum of 16.5 times of the last emoluments subject to a maximum of ₹10 lakh.
The Commission sought the views of the government in this regard. The Department of Pension and Pensioners Welfare stated that the VI CPC has increased the amount of gratuity from ₹3.5 lakh to ₹10 lakh w.e.f. 01.01.2006. This amount, in the view of the department, is not commensurate with emoluments that are available to senior officers at the time of retirement. The department has suggested to the Commission that a view could be taken to index gratuity with amount of DA admissible at the time of retirement.
The Commission notes that there is merit in the argument advanced to index the ceiling on gratuity so that the benefits of the enhanced ceiling are available to personnel in a manner which is more even over a time frame.
The Commission recommends enhancement in the ceiling of gratuity from the existing ₹10 lakh to ₹20 lakh from 01.01.2016. The Commission further recommends, as has been done in the case of allowances that are partially indexed to Dearness Allowance, the ceiling on gratuity may increase by 25 percent whenever DA rises by 50 percent.
I retired from Haryana govt. on 31/08/2016. Should I get difference of gratuity
I retired on 31.01.2016, when will I get the remaining gratuity amount of 10 lacs?
I RETIRED FROM BANK AS A OFFICER ON 31-01-2017, SHOULD I GET DIFF. OF GRATUITY.
Rs 20 lakh Gratuity limit Govt order for public sector employees from 01.01.2016. is issued or not. Please clarify.
Asit mukhopadhyay says
December 22, 2017 at 12:03 am
I retired on supn on 31 12 2015 AN. May I be eligible for 20 lakh max as retirement gratuity as per cpc.
I retired on supn on 31 12 2015an. may I be eligible for 20 lakh max as retd grstuity as per cpc.
Sir, one persion retired after 01.01.2016 and before 30.09.2017, as per the enhanced gratuity ceiling from 10lk to 20 lk. The dif. Amount of arrear Who has eligible or not
I retired on 30th november 2016. At the time of retirement my basic pay was Rs. 64100.00 Please inform me how much gratuity should i receive? total service length was 41years 5 months .
Dear Sir,
1. Arrears with regards to enhancement of Gratuity would be paid to the pensioners those retired after 01.01.2016 or otherwise.
2. Likely date of payment of arrears.
A.R. Basu
I am going to retire from Central Govt. on 31-7-2017. My Gratuity comes to Rs.20 lakh. Whether the amount above Rs.10 lakh is taxable . Please clarify.