Annual Increment Due on 1st July to the Employees Retiring on 30th June of the Year – Railway Board
Date of annual increment, viz. 1st July of every year and the employees completing 6 months and above in the revised pay structure as on 1 of July will be eligible to be granted the increment. There has been no change in the above rule / extant policy so as to enable grant of increment (notional or actual) on 30th June
File No.PC-VI/2018/R-I/1 -Part(1)
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
NO. PC V1 /2018/R-I/1 Pt.
New Delhi, dated 21.05.2020
The General Manager
All Indian Railways and Production Units
(As per standard mailing list)
Sub: Grant of annual increment due on 1st July to the employees retiring on 30th June of the year
Refer: Annual increment due on 1st July to the employees retiring on 30th June of the year: Railway Board has issued clarification based on DoPT’s OM. Dated on 11 November, 2019
A number of representations are being received in this office seeking grant of one notional increment as due on 1st July in favour of employee retiring on 30th June before drawing the same, exclusively for the purpose of pensionary benefits.
Also Read: 7th CPC Pension Calculation Formula for Govt Employees
2. As the Railways are aware, the annual increment is granted to railway employees on completion of laid down qualifying service for the purpose. Based on the recommendations of the Sixth Central Pay Commission, as accepted by the Government of India, Railway Services (Revised Pay) Rules, 2008 were notified on the lines of Central Civil Services (Revised Pay) Rules, 2008. As per Rule 10 of above Rules, it was stipulated that there will be a uniform date of annual increment, viz. 1st July of every year and the employees completing 6 months and above in the revised pay structure as on 1 of July will be eligible to be granted the increment. There has been no change in the above rule / extant policy so as to enable grant of increment (notional or actual) on 30th June, where it was due on the following 1st July.
3. In the various representations being received in this office, certain Judgements in the case of Shri Ayyamperumal, an employee of Department of Revenue are being cited. As the details of above court matter and policy decision of concerned nodal departments were not available in this office, the matter was referred to concerned departments of Government of India seeking their advice/guidelines.
Also Read: Provision of Invalid Pension to Armed Forces Personnel before completion of 10 years of qualifying service
4. DOP&T vide their O.M dated 11.11.2019 have stated that the Judgement passed in the case of Shri P. Ayyamperumal is in personam. Further, the judgement pronounced by Hon’ble High Court of Madras in P. Ayyamperumal case, as endorsed by Hon’ble Supreme Court, is based on the decision in the case of M. Balasubramaniam, which was related to Fundamental Rules of State Govt. However, Central Government employees are governed by Central Government Rules. Further, Hon’ble High Court of Andhra Pradesh at Hyderabad in C. Subbarao case has inter-alia observed that “A person who retires on the last working day would not be entitled for any increment falling due on the next day and payable next day thereafter, because he would not answer the tests in these Rules.” A copy of DOP&T O.M dated 11.11.2019 is enclosed herewith.
READ ALSO: Grant of benefit of one notional increment (as due on 1st July) for the pensionary benefits to those employees who had retires on 30th of June before drawing the same – Dopt Order dated 24th June 2021
5. The Railways are therefore advised to take further necessary action to dispose of the pending representations on the issue based on above position and advice of DOP&T. The pending court cases may also be defended accordingly. Further, in case any clarification/inputs are required relating to railway Fundamental Rules and Railway Pension Rules, Finance (Estt.) dte. may also please be consulted being the nodal directorate on these aspects. This issues with the approval of DG/HR, Railway Board.
Joint Director, Pay Commission
Click to view: Grant of annual increment due on 1st July to the employees retiring on 30th June of the year – Railway Board order 2020 pdf download
if employee on EOL in six month he was eligible for increment?
Dr Rajinder Parshad says
In response to unstarred question no. 2045 answered on 5 August 2021 raised by Dr C.M. Ramesh , the Hon’ble Minister Dr Jitendra Singh under point ( a), referred to CAT Allahabad Bench order in OA no. 330/00146/2020 delivered on 26 February 2021. It is highly surprising that the court orders referred includes ‘that the matters relating to pay fixation…are any judgement … in these matters are always in rem and can’,t be interpreted as personam.
We the senior citizens were expecting that the Govt. will favour us by issuing a general order but instead of that, it seems the Govt. has made it a prestigious issue and filed an appeal in the High Court of Allahabad.
We request our Govt. to concede to the Court’s order and grant our rightfully earned annual increment for those retiring on 30 June and have date of increment next day ( 1 July).
R S Rathod says
The verdict given by the hon,ble CAT Allahabad in the matter of grant of notional increment on retirement for the purpose of pensionery benefits is wholly justified, but the Govt.,s attitude challenging the same in High Court shows the negative attitude which does not seem to be healthy & fair in democratic system of society like our,s India.
प्रेमा यादल says
मेरे पति 2002 को रिटायर्ड B S F से 30 जून को क्या ये इस वेतन व्रद्धि का फायदा मिलेगा
Ramawtar gupta says
Retired 30 june should be entiteled for next increment in 6th pay commmision