Pension Alert! Dearness Relief hiked to 356% of basic ex-gratia for these pensioners and beneficiaries

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Updated: September 21, 2021 1:02 PM

The increased Dearness Relief would be provided w.e.f. 1st of July, 2021, the Department of Pension and Pensioners' Welfare (DoPPW) said in an Office Memorandum dated 20th September 2021.

dearness relief hike for cpf pensionersRepresentative image

The Central Government has revised the Dearness Relief (DR) from 312% of the basic ex-gratia to 356% for surviving CPF beneficiaries who retired from service between 18th November 1960 and 31st December 1985. The increased DR would be provided w.e.f. 1st of July, 2021, the Department of Pension and Pensioners’ Welfare (DoPPW) said in an Office Memorandum dated 20th September 2021.

The instalments of dearness relief for CPF beneficiaries was due from 01.01.2020, 01.07.2020 and 01.01 .2021. The Government has now decided that the DR admissible to the CPF beneficiaries in receipt of ex-gratia payment in the 5th CPC series will be enhanced w.e.f 01.07.2021.

“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, 20l3…shall now be entitled to enhanced Dearness Relief from 3l2% of the basic ex-gratia to 356% of the basic ex-gratia w.e.f 0 1.07.2021,” DoPPW said.

The O.M. said that the following categories of CPF beneficiaries will be entitled to enhanced DR from 304% of the basic ex-gratia to 348% of the basic ex-gratia w.e.f 01.07.202:

  • The widows and eligible children of the deceased CPF beneficiary who had retired from service prior to 1.1.1986 or who had died while in service prior to 1.1.1986 and are entitled to revised ex-gratia at Rs.645 per month w.e.f 04 June, 2013.
  • 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.

The DoPPW further said that the increase subsumes the additional instalments arising on 01.01.2020, O1.O1.2020 and 01.01.2021.

“Payment of DR involving a fraction of a rupee shall be rounded off to the next higher rupee. 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,” the O.M. said.

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