Notification of Increase in Pension in Budget 2021-22

Punjab Govt, Finance Department issued the official notification on 12th July 2021 in connection with the grant of increase in pension in budget 2021-22. Governor of the Punjab has been pleased to sanction an increase 10% of net pension with effect from 1 July, 2021 until further orders to all civil pensioners of Government of the Punjab.


Pension Increase Notification 2021 Punjab


The 15% increase in pension as allowed vide Para 12(1) of this Department’s Circular letter No.FD-PC-2-1/2011, dated 11-07-2011, 7.5% increase in pension allowed as vide Para 1 of this Department’s circular letter No.FD.SR.111-4-259/2015(A), dated 23-07-2015 and 10% increase in pension as allowed vide Para 1 of this Department’s circular letter No.FD.SR.III-4-178/2016, dated 18-07-2016, No.FD.SR.111-4-170/2017 dated 14-07-2017, No.FD.SR.111-4-188/2018(A), dated 18-07-2018 and No.FD-SR-III-4-202/2019, dated 19-07-2019 shall be admissible to the new pensioners who would retire on or after 01.07.2021.

The 10% increase in pension as mentioned at Para 1 above will also be admissible to the pensioners who would retire on or after 01.07.2021 For the purpose of admissibility of increase in pension sanctioned in this circular letter, the term “Net Pension” means pension being drawn” minus “Medical Allowance”.

The increase will also be admissible on family pension granted under the Pension-cum-Gratuity Scheme, 1954, Liberalized Pension Rules, 1977, on pension sanctioned under the Punjab Civil Services Pension Rules as well as on the Compassionate Allowance.

If the gross pension sanctioned by the Government of the Punjab is shared with any Government in accordance with the rules laid down in part-IV of Appendix-lll to the Accounts Code, Volume-1, the amount of the increase in pension will be apportioned between Government of Punjab and the other Government concerned on proportionate basis. The increase in pension sanctioned in this circular letter will not be admissible on Special Additional Pension allowed in lieu of pre-retirement Orderly Allowance.

The benefit of increase in pension sanctioned in this circular letter will also be admissible to those civil pensioners of the Punjab Government who are residing abroad (other than those residing in India and Bangladesh) who retired on or after 15.08.1947 and are not entitled to, or are not in receipt of pension increase under the British Government’s Pension (Increase) Acts. The payment will be made at the applicable rate of exchange.

Notification of Increase in Pension in Budget 2021-22

Pension Increase Notification 2021 Punjab

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