Limitation on amount of gratuity under the National Pension System (NPS) on drawing separate gratuity for Military service – Clarification by DoPPW vide OM dated 26.12.2025
No. 28/03/2025-P&PW(B)/10865
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Pension and Pensioners’ Welfare
***
3rd Floor, Lok Nayak Bhavan, Khan Market,
New Delhi, Dated the 26th December, 2025
OFFICE MEMORANDUM
Subject: Clarification on limitation on amount of gratuity under the National Pension System (NPS) on drawing separate gratuity for Military service-regarding.
The undersigned is directed to say that Rule 4A of the Central Civil Services (Payment of Gratuity under NPS) Amendment Rules, 2025 provides for limitation of maximum admissible gratuity on availing separate gratuity for the Central Government service and for the service in PSUs/ Autonomous bodies.
2. In accordance with rule 4A of the Central Civil Services (Payment of Gratuity National Pension System) Amendment Rules, 2025, a Government servant who, having retired on superannuation gratuity or retiring gratuity or compulsory retirement gratuity or who is in receipt of a compassionate gratuity on having been dismissed or removed from service, is subsequently re-employed, shall not be entitled to a separate gratuity for the period of his re-employment:
Provided that a Government servant who was previously appointed in an autonomous body or a public sector undertaking and was subsequently appointed, with proper permission of that body or undertaking, in the Government service. shall be eligible for gratuity for the service rendered in the Government in addition to the gratuity, if any, received by him from the autonomous body or the public sector undertaking for the service rendered in that body or undertaking:
Provided further that the total amount of gratuity in respect of the service rendered in the autonomous body or the public sector undertaking and the service rendered under the Government shall not exceed the amount that would have been admissible taking into account the entire service rendered by the Government servant in the autonomous body or the public sector undertaking and the Government and the emoluments on retirement from Government.
3. Further, the Department of Pension and Pensioners’ Welfare has issued instructions on counting of past service for the purpose of grant of gratuity to Central Government employees covered under NPS vide OM No. 7/5/2012-P&PW(B) dated 12.02.2020. As per these instructions, if employees avails separate gratuity for his State Government service and Central Government service, then the admissible gratuity shall be subject to the condition that the total gratuity admissible in respect of the service rendered under the Government of India and that under the State Government, shall not exceed the amount that would have been admissible, had Government servant continued in Government service and retired on the same pay which he/ she drew on retirement from the later service.
4. References have been received in this Department seeking clarification with regard to limitation on grant of separate gratuity for the civil service in respect to Government servants re-employed in civil service after rendering military service and has drawn separate gratuity for the pervious military service. This matter has been considered in consultation with Department of Expenditure. It is clarified that similar to the provisions under the CCS (Pension) Rules, 2021, the gratuity for the service rendered after re-employment in civil service or post under the CCS(Payment of Gratuity under NPS) Rules, 2021, shall not be subject to any limitation with reference to the gratuity drawn by the Government servant in respect of the military service.
5. This issues in consultation with of Ministry of Finance, Department of Expenditure vide ID their Note No. 1(8)/EV/2025 dated 11.11.2025.
6. In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders are issued in consultation with Comptroller and Auditor General of India, as mandated under Article 148(5) of the Constitution of India.
7. All Ministries/Departments are requested that the above provisions may be brought to the notice of the personnel dealing with the pensionary benefits in the Ministry/ Department and attached/ subordinate offices thereunder, for strict implementation.
(S. Chakrabarti)
Under Secretary to the Government of India
To
All Ministries/Departments/Organisations,
(As per standard list)
COMMENTS