Kerala Service Rules Part III

(Pension Rules)

I. Introduction

The Supreme Court in SLP (C) No.

9425/1984, held that Pension is a
valuable right of an officer in
recognition of the satisfactory
discharge of duties and responsibilities
while in service.

As per Rule 12(24) of KSRs Part –I,

Pension includes Monthly Pension,
Gratituity, and Death-cum-Retirement
Gratituity.

Future good conduct is an implied

condition for every grant of a pension.
R 2 (A) & 90 (12) Part III.
1
No Pension or Gratuity or DCR
Gratuity will be paid in the case of
resignation, dismissal or removal from
service. R 29 (a) & (b) P-III

The present Pension Rules (Simplified

Pension Rules) were introduced with
effect from 14/11/1966.

II Classification of Pension. R.32 PIII

Pensions are classified into four as

shown below.
(a) Compensation
Pension
(b) Invalid Pension
(c) Superannuation
Pension
(d) Retiring Pension

2
Compensation Pension. R 33 to 41
P.III

When a permanent post is abolished,

the person selected to be discharged
will be given two options; either to
accept another employment in
Government service or to leave the
service accepting pension benefits
based on qualifying service so far
earned by the individual. The pension
granted as opted by the person, is
called compensation pension.

Invalid Pension. R. 42 to 54 P III

When the Pension Sanctioning

Authority has reasons to believe that
an employee is suffering from a
contagious disease or physical or
mental disability or infirmity, which
adversely affect the duties assigned to
3
the person, he may be retired from
service on invalid pension. The
Medical Examination can be conducted
on the application of the employee,
also. The person will be invalidated
from service from the date as specified
in the Medical Certificate, and pension
is granted accordingly. A weight age
towards qualifying service upto 5 years
is allowed, and the total Q.S thus
arrived at, should not be beyond the
date of superannuation and should not
be more than 30 years.

Note: No Medical Certificate is

necessary for the last grade
employees in the Forest Department,
who have completed 55 years of age.

4
Superannuation Pension. R.60 PI &
R 55 PIII
This is the pension on the compulsory
retirement from service at a particular
age. Every retirement will take effect
on the afternoon of the last day of the
month in which the date of birth of the
officer comes off. If the date of birth is
on the first day of the month, the
retirement will be on the afternoon of
the previous day. In the case of date
of birth on a day other than the first day
of the month, the retirement will be on
the afternoon of the last day of that
month. Now the superannuation is at
the age of 56 years.

Retiring Pension 56 P III

An employee who has completed 20
years of Q.S. is eligible to retire
voluntarily from service. The person
5
concerned must give notice at least
three months before the date on which
he desires to retire. The „three months
notice‟ is relaxed in deserving cases.
A weightage up to 5 years is allowed
towards Q.S.; and the Q.S. after
adding weightage shall not be more
than 33 years and that should not go
beyond the original date of
superannuation. When permission to
retire from service is issued, it will
become effective and accordingly the
person will be relieved from the post,
he is holding. Permission to retire
voluntarily from service will be issued
only after the service of the person is
got verified by the Accountant General.
A Govt. employee who is on LWA
under R. 88 or Appendix 12 A or 12 C
is also eligible to retire on retiring
pension. For details see G.O

6
(P)62/2010/Fin. dated 10.2.2010. This
rule has effect to from 9.3.2010.

III Calculation of Pension

There will be six parts in a pension
case of ordinary nature. They are
summarized here under.

1. Qualifying Service:
R 12(30) PI & R 9 to 31 & 57 PIII
This is the service that qualifies for the
grant of pension. This is calculated as
follows:

 Calculate length of service from the

date of first entry in Government
regular service till the date of ending
of service, both days inclusive.

 Then deduct Non-qualifying Service,

if any, of the following:

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(a) Service below the age of 18
years. (boy‟s service)
(b) Period of suspension not treated
as duty or leave other than LWA
(c) Period of strike or break which is
ordered not to be counted for
pension.
(d) In the case of invalid pension,
period spent beyond the date of
invalidation specified in the MC,
unless otherwise ordered by
Government.
(e) LWA granted under Appendices
XIIA, XIIB & XIIC, LWA under R 88
or 91 for higher studies, and LWA
without MC. [See circular No. 72 /
2005/Fin dated 30/12/2005.
(f) Service after superannuation
(g) Service prior to resignation
(except for taking up other
employment under Government),
removal or dismissal from service.
8
 (h) Contract service and service
paid from Local Fund if not ordered
otherwise.
(i) Service for which other pension
is admissible.
(j) Foreign service, if pension
contribution is not paid or not
exempted.
(k) From 16.12.2009 period of
thrown out from service for want of
vacancy, if not regularised.

 Add additional or special service, if

any, of the following.

(a) military service: service in the

Armed Forces of India from
01/04/1946, whether pensionable or
non-pensionable will be reckoned for
civil pension on or after 14/11/1966,
provided any bonus or gratuity

9
 received from Defence Department is
refunded.

War/military service followed by Civil

Service, with or without interruption,
will be reckoned towards Q.S
provided pensionary benefit received
from the Defence Department is
refunded. R 8(b).

(b) Full time work establishment

service/Full time contingent Service
followed by regular
service, provided CPF, if any,
received is refunded to Government. R
13&14 A.
(c) Apprentice service as Engineer
Apprenticeship in the PWD and as
Apprentice
Compositors in the Government
Press. R.15.

10
(d) Bar Service up to 10 years after the
age of 25, provided service certificate
from
Presiding Court is produced. R. 25
(a)
(e) 50 % of part time teachers if
absorbed into full time. This has
effect from 27/05/1994. (G.O.(Ms) 5/
95/ G.Edn dated 15/03/1995.
From 1/07/1988, part time
Teachers who retire from service, will
be granted pension a admissible to
part time contingent employees.
Gratuity is also granted under such
provisions.
(f) Aided School Service followed by
Government Service, provided
Manager‟s portion of
EPPF, if any, with interest is
refunded. G.D. 7 to R 14 E
(g) Central Government Service
/Service in the Autonomous bodies
11
 followed by State Government
Service will be counted, subject to
some conditions. (See note 2 to R 11
and G.O. (p) 651/03/Fin dated
6/12/2003).
(h) Edavagai/District Board Service
followed by Government Service. R 14
C&D
(i) Provisional Service up to
30/09/1994, which qualifies for the
grant of increment, will be counted.
But, that service from 1/10/1994, will
not be reckoned. GO(P) 2357/99/Fin
Dated 25/11/1999.
(j) Past Service of Government
employees/teachers in Panchayaths/
Muncipal Common
Service/Universities etc. and vice
versa will be reckoned under certain
conditions. (GO(p) 228/01/Fin dated
2/02/21 and GO (P) 193/04/Fin dated
20/04/2004.
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Rounding of qualifying Service. R 57
P III
(a) Q.S. required for minimum
pension : 10 years
(b) Q.S. required for minimum
Pension in
the case of handicapped
personnel : 3 years
(c) Q.S. for full (maximum) Pension
: 30 years
(d) Q.S. for minimum DCRG :
5 years
(e) Q.S. for maximum DCRG :
33 years

For the minimum and maximum

benefits shown above, a condonation
upto 364 days is allowed towards Q.S.,
ie, 9 years and one day will be
reckoned as 10 years, 2 years and 1
day as 3 years in the case of
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handicapped, 29 years and 1 day as
30 years, 4 years and 1 day as 5
years, and 32 years and 1 day as 33
years.

In other cases, 6 months and above

will be reckoned as one year, and
fraction below 6 months will be
ignored.

14
 Thus calculation of Q.S. will be as
follows:
 Date following the date of
retirement or death minus (in the
order of year, month, days)
 Date of first entry in Government
regular service.
 The result will be total length of
service.
 Then deduct Non-qualifying
service, if any.
 Add special/additional service, if
any.
 Net result will be qualifying
Service, and that Q.S. is rounded as
explained above.

2. Average Emoluments. R 12(23) PI

& R 63 P (III)
This is the average of ten months' duty
pay (emoluments) immediately before
retirement.
15
(Emoluments include:(i) substantive
pay, (ii) officiating pay, (iii) personal
pay, (iv) dearness pay and (v) special
pay in lieu of higher scale of pay,
alone).

If there is any Non-qualifying period

during the 10 months of Average
Emoluments, an equal period will be
taken before that period of 10 months.
But, period of leave, except LWA
without MC if any, during such 10
months, will be treated as period as if
on duty.

3. Monthly Pension. R 64 P(III)

(a) For 30 years of QS (Full Pension):
50% of AE (maximum pension = 50%
of Rs.59,840
= Rs.29,920/-

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(b) For Q.S. of 10 years (3 years for
handicapped) and above up to 29
years: 50% of
AE÷ 30 XQS (minimum pension
from 1-07-2009 Rs.4500)

4. Death-cum-Retirement Gratuity
68 P III
This is lump sum payable to the
Government Officer on his retirement
or to his family on his death.
(a) The amount of DCRG is equal to
half of the emoluments last drawn by
the officer X No of years of Q.S.
(maximum 16 ½ times emoluments
last drawn or Rs. 7,00,000
whichever is less.) w.e.f. 1-07-2009.
Note: Emoluments = Pay + DA.
DCRG is in addition to service
gratuity or monthly pension.

17
(b) (i) In the case of death while in
service or for invalid person with a Q.S.
below 24
years =12 times emoluments last
drawn.
If death occurs in the st
(ii) If death occurs in the first year of
service (2 months emoluments last
drawn)
(iii) If death occurs after first
year, but before 5 years of service (6
times
emoluments last drawn)

5. Family Pension : From 1-7-2009,

family pension will be @ 30% of the
pay last drawn by the officer subject to
a minimum of Rs.4500 and maximum
of Rs.17,960.

6. Higher rate of Family Pension.

R.90 (4A) P III
18
(i) Higher rate of family pension at half
of the pay last drawn or twice the
amount of Family Pension
admissible, whichever is less, will be
paid to the family of a Government
servant who dies while in service with
not less than 7 years‟ qualifying
service, for a maximum period of
seven years or till the age of 62 in the
case of superannuation at 55 years of
age from the date following the date
of death. (67 years of age in the case
of superannuation at 60 years of age)
whichever is earlier, and thereafter at
normal rate.
(ii) In the case of death after
retirement, but before completing 7
years, a higher rate of FP not
exceeding the amount of pension
sanctioned to the pensioner will be
paid. But, if the amount of pension is
less than the amount of Family
19
 Pension admissible, then the amount
of Family pension will be paid.

7. Two Family Pensions for

Military and /or Civil Employment.

Government as per G.O.(P)

No.427/2014 Fin dated 30-09-2014 are
pleased to allow two family pensions
for military and/or civil employments on
or after 01-01-1964 with monetary
benefit with effect from 1st October,
2014.

8. Family Members eligible for F.P.

R 90 (6) & (7) P III

(i) Wife in the case of male employee,

till death or re-marriage whichever is
earlier.

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(ii) Husband in the case of female
employee till death or remarriage
whichever is
earlier.
(iii) Eldest eligible child in the order of
seniority irrespective of sex. Sons,
and daughters including
posthumous, up to 25 years of age
or till employment/ marriage,
whichever is earlier. (GO(p)
489/04/Fin dated 18/10/2004, GO
(p) 1075/87/Fin dated 15/12/1987,
and GO (p) 878/87/ Fin/Dated
29/10/1987).
(iv) Children suffering from
physical/mental disorder or disability.
(v) Un-married daughter above 25
years of age till death.
(vi) Son/daughter adopted legally,
before retirement.
(vii) Parents in equal shares.

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(viii) Judicially separated
wife/husband
(ix) Disabled divorced daughter
(x) Widowed disabled daughter from
the date of death of her husband.
(xi) Children of a deceased
employee born out of a
divorced/judicially separated wife
under certain conditions.
Ruling under R. 90 (7) P.III

Commutation Pension. Appendix X

A Pensioner can exchange a portion of
his/her pension for lump sum. The
maximum portion of pension that can
be commuted is 40% of basic pension
from 01-03-2006. No commutation will
be allowed to a person against whom
disciplinary case is pending.
Commutation pension is calculated at,
“ commuted value of one rupee of

22
pension at next birth day X portion of
pension commuted X 12”.

Relevant part of Commutation table is

given below.
55 years of age : Rs. 11.73
56 years of age : Rs.11.42
57 years of age : Rs. 11.10
58 years of age : Rs. 10.78
59 years of age : Rs. 10.48
60 years of age: Rs. 10.13

Restoration period of commutation is

12 years. After the restoration no
commutation shall be allowed.

In the following cases of commutation,

MC is required.
1) Retirement on invalid pension
2) Application for commutation
pension is submitted one year after
retirement.
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3) Persons in receipt of
compassionate Allowance.

No MC is required in the following

cases.
1. Retirement on superannuation
2. Retiring Pension (Voluntarily
retirement).
3. Those who are granted Pension on
absorption in a company or corporation
4. Compensation Pension
5. Pension sanctioned in whole or part
on finalisation of departmental or
judicial
proceedings.
6. In the case of Anticipatory Pension.

IV Miscellaneous:
Compulsory retirement on penalty.
R6 P III

24
A Government servant who gets
compulsory retirement as penalty may
be granted pensionary benefits based
on his qualifying service.

Retirement in Public Interest R 56 A

P III
A Government servant who has
completed 30 years of qualifying
service, may be retired in the public
interest, provided that a notice in
writing is issued at least three months
before the date on which he is required
to retire in the public interest or 3
months pay and allowances in lieu of
such notice, will be paid, to the
employee.

Provisional Pension. R. 3 A P III

When any departmental or judicial
proceeding is pending against an
employee retired from service, a
25
provisional pension shall be paid from
the date of his retirement till the date of
passing final order, an amount not
exceeding the maximum pension
admissible including Dearness Relief.
It will be adjusted against the amount
of final payment. No gratuity or DCRG
will be paid before the conclusion of
the inquiry and issuing of final orders.

Compassionate Allowance. R 5 P III

No pension may be granted to an
employee dismissed or removed from
service for mis conduct, insolvency or
inefficiency; but compassionate
allowance may be granted in deserving
cases as special consideration,
provided the allowance shall not
exceed 2/3 of the pension which would
have been admissible if the person had
retired on the date of dismissal or
removal. Since 1-09-1968, the
26
minimum compassionate allowance
shall not be less than minimum
pension.

Residuary Gratuity R 69 P III

When a retired officer dies after
retirement and the total pensionary
benefits received by him prior to his
death are less than the amount of 12
times of the last emouluments drawn
by him, the deficiency may be granted
to the family of the pensioner. This is
called Residuary Gratuity. If a portion
of pension was commuted before the
death, the said benefit will not be
allowed.

Anticipatory Pension R 116 (1) P III

If there is administrative delay in
setling pension benefits, the pensioner
will be paid anticipatory Pension, not
27
exceeding the amount of admissible
pension, for a period of six months in
the first instance, and it will be
extended further if the Accountant
General considers so. DCRG is also
paid not exceeding ¾ of its amount.
When final payment is made, the
amount of Anticipatory Pension, and
Anticipatory DCRG paid already, will b
e adjusted.

Extraordinary Pension or Gratuity. R

93 & App: XIII
When a Government Servant is injured
or contracts disease or dies in the
execution of official duties, extra
ordinary Pension/Gratuity is paid to the
person or to his family in addition to the
normal pension benefits. It will not be
admissible to a risk common to the
human existence in the modern
conditions of living. From 18/06/1984
28
minimum extra ordinary pension is Rs.
75.

Exgratia Pension
Those Government servants, who
retire from service with less than 10
years qualifying service, are not
eligible for statutory pension. They are
eligible for service gratuity. Vide G.O.
(p) 1851/99Fin dated 18/09/1999,
Government introduced Exgratia
Pension to provide relief to such
persons. The scheme is optional. A
person who opts for the scheme shall
not be eligible for Service Gratuity,
Dearness Relief or Family Pension.
Consolidated amount of exgratia
Pension admissible w.e.f 1.07.2009 is
as below:

Qualifying Service Amount

admissible
29
1. 9 years - Rs.4050
2. 8 years - Rs.3600

3. 7 years -
Rs.3150
4. 6 years - Rs.2700
5. 5 years - Rs.2250
6. 4 years - Rs.1800
7. 3 years and below - Rs.1350

Pension for Part-Time Contingent

Employees (w.e.f 1.07.2009)
1. Age of retirement : 70
years
2. Qualifying Service for minimum
Pension :10 years
3. Q.S. for full pension : 30
years
4. Q.S. for minimum DCRG :
5 years
30
5. Q.S. for maximum DCRG
: 33 years
6. Minimum Pension from 1/07/2009
: Rs. 2000
7. Maximum Pension from 1/07/2009
: Rs. 4200 (50% of highest basic pay
of
Rs. 8400)
8. Pro-rata pension granted in eligible
case: :50% AE x QS(AE : Average
Emoluments)
30
9. DA is reckoned for DCRG
10. Minimum Family Pension
: Rs. 1300
11. Maximum Family Pension
: Rs. 2500 (30% of highest pay of
Rs.8400)
12. Voluntary retirement is also
allowed on Completion of 20 years
Q.S.

31
13. Procedures are same as in the
case of regular employees.
14. Part time invalid pension will be
part time minimum pension.
***********
REVISED PENSION RULES AT A
GLANCE

1. Qualifying Service (R 12 (30) P1 &

R 9 to 31 P III)

(a) for minimum pension : 10 years

(b) for maximum (full) pension : 30
years
(c) for minimum DCRG : 5
years
(d) for maximum DCRG : 33 years
(e) for minimum pension to
handicapped : 3 years

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2. Average Emoluments: (R 12 (23)
PI & R 63 P III)

Average of 10 months duty pay

immediately before retirement

3. Pension (R 64)

(a) for 30 years of qualifying service

: 50% of AE
(b) for qualifying service of 10 years to
29 years : 50% of AE x Q.S
30
(Minimum pension w.e.f.
01-07-2009 Rs. 4500/-)

4. Death-cum-Retirement
Gratuity(R.68)

(a) the amount of DCRG is equal to ½

the emoluments last drawn X No.

33
 of years of Qualifying Service
(maximum 16 ½ times emoluments last
drawn or Rs.3.30 lakh
whichever is less) emoluments = last
Pay + DA

(b) (i) in the case of death while in

service or for 12 times emoluments
invalid pension with a
Qualifying service last drawn
of 5 years or more but below
24 years

(ii) if death occurs in the first years

of service 2 months emoluments

(ii) if death occurs after first year,

but 6 times emoluments
before 5 years of service

34
5. Family Pension w.e.f. 01-07-2009
(R.90)
30% of pay last drawn by the Officer
subject to a minimum of Rs.4500/- and
maximum of 30% of the highest pay in
the State ie. Rs.17,960 (30%
Rs.59840)

6. Commutation Pension
Commuted value of one rupee of
pension at next birthday X portion of
pension commuted. (Maximum portion
to be commuted 40%) X 12

COMMUTATION TABLE

Till 8-1-2002
55 years of age : Rs.11.73
56 years of age : Rs.11.42
57 years of age : Rs.11.10
58 years of age : Rs.10.78

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The restoration period of commutation will
be 12 years.
1. Age of retirement : 70
years
2. Qualifying Service for minimum
Pension :10 years
3. Q.S. for full pension : 30
years
4. Q.S. for minimum DCRG :
5 years
5. Q.S. for maximum DCRG
: 33 years
6. Minimum Pension from 1/07/2009
: Rs. 2000
7. Maximum Pension from 1/07/2009
: Rs. 4200 (50% of highest basic pay
of
Rs. 8400)
8. Pro-rata pension granted in eligible
case: : 50% AE x QS (AE : Average
Emoluments)
30
36
9. DA is reckoned for DCRG
10. Minimum Family Pension
: Rs. 1300
11. Maximum Family Pension
: Rs. 2500 (30% of highest pay of
Rs.8400)
12. Voluntary retirement is also
allowed on Completion of 20 years
Q.S.
13. Procedures are same as in the
case of regular employees.
14. Part time invalid pension will be
part time minimum pension.

37