DOP Order for Enhancement of maximum limit of Gratuity to 25 Lakh
DOP has issued an order regarding enchancement of Maximum limit of gratuity to 25 lakh,
File No. 4-1/2024-Pension (Part) Dated 03/05/2024
Here’s a breakdown of the key points:
- Increased Limit: The maximum limit for both retirement gratuity and death gratuity has been raised by 25%, jumping from Rs. 20 lakh to Rs. 25 lakh.
- Effective Date: This change is effective from January 1, 2024.
- Reason for Increase: The gratuity limit is linked to the Dearness Allowance (DA) reaching 50% of your basic pay, as per the recommendations of the Seventh Central Pay Commission (CPC).
- Applicability: The revised gratuity limits apply to both those covered under the Central Civil Services (Pension) Rules, 2021 and the Central Civil Services (Payment of Gratuity under National Pension System) Rules, 2021.
Source- CEPT
