No DA, HRA, Increment For Retired Govt Employees Returning To Work As Consultants

The retired Central Government Employees hired as consultants will get a fixed monthly amount as remuneration, as per the Department of Expenditure (DoE) of the Ministry of Finance.

Salary For Retired Central Government Employees Hired As Consultants

This fixed monthly amount will be the difference of the last pay drawn by the employee at the time of retirement and his basic pension. 

In addition to that, no allowances including DA, HRA and annual increments will be provided to such contractual employees.

Although, they will get transport allowance (TA).

Also the paid leave of absence will be allowed at the rate of 1.5 days for each completed month of service.

DoE Discourages Such Employment

Apart from this, the DoE also discourages and mentioned that such contractual appointments of retired Central Government Employees should not be a matter of practice. 

The only times it should be done is when “public interest” would be served by such appointments.

According to a recent Office Memorandum (O.M),  DoE said, “Such appointments shall not be made as a matter of practice and must be kept at a bare minimum. Such appointments may be made only in the justified exigencies of the official work where public interest is served by appointment of the retired employee. While making such appointments, adequate functional necessity with clear grounds must be placed before the appointing authority,”.

The Guidelines Under Finalization And Approval

Further, the Department of Personnel and Training is in the process of drafting a note for Committee of Secretaries (CoS) regarding guidelines for engagement of retired Government servants as Consultant in Government Ministries and Department, as per the information provided in the O.M.

These guidelines are yet to be finalised and approved.

Till then, the remuneration in cases of contract appointment of retired Central Government employees will be done on a uniform basis.

To do so,“A fixed monthly amount shall be admissible, arrived at by deducting the basic pension from the pay drawn at the time of retirement. The amount of remuneration so fixed shall remain unchanged for the term of the contract. There will be no annual increment/percentage increase during the contract period,” according to the DoE.