The Department of Pension and Pensioners’ Welfare (DoPPW) last week issued a notification regarding the categories of pensioners eligible for receiving the enhanced dearness relief (DR) announced by the central government this year.

Earlier, the Finance Ministry declared a 4 per cent hike in dearness relief (DR) from 42 per cent to 46 per cent for the central government pensioners, effective July 1, 2023.

As per the DoPPW’s October 27 notice, the improved DR will apply to the following categories of pensioners:

Pensioners eligible for increased DR

1. Civilian central government family pensioners, including central government “absorbee” pensioners in public sector undertakings (PSUs), autonomous bodies that received orders for restoration of full pension after the expiry of 15 years of the commutation period.
2. The armed forces family and civilian pensioners paid out of the defence service estimates.
3. All India service and family pensioners.
4. Railway and family pensioners.
5. Pensioners in receipt of provisional pension.
6. Burma (Myanmar) civilian and family pensioners and families of displaced government pensioners from Burma and Pakistan who received orders for restoration of pension.

In its circular, the department said: “Other provisions governing the grant of DR in respect of employed family pensioners and re-employed central government pensioners will be regulated in accordance with the provisions contained in Rule 52 of CCS (Pension) Rules, 2021 and this department’s (orders) as amended from time to time. The provisions relating to DR where a pensioner is in receipt of more than one pension will remain unchanged.”

In the case of retired judges of the Supreme Court and High Courts, the Department of Justice will issue separate orders. The DoPPW memorandum also stated that the payment of DR involving a fraction of a rupee will be rounded off to the next higher rupee.

When Will Pensioners Receive the Revised DR?

“The offices of accountant general and authorised pension disbursing banks are requested to arrange payment of dearness relief to pensioners/family pensioners based on these instructions without waiting for any further instructions from the Comptroller and Auditor General of India and the Reserve Bank of India”, DoPPW said.

Regarding people serving in the Indian Audit and Accounts Department, the orders are issued in consultation with the Comptroller and Auditor General of India.