ISLAMABAD – The Government of Punjab made major changes in rules for voluntary and compulsory retirement, effectively shutting door on early pensions for thousands of government employees.
Punjab Finance Department officially amended Punjab Civil Services Pension Rules under the powers granted by the Punjab Civil Servants Act, 1974. The changes are immediate and binding, meaning there’s no waiting period before the new restrictions kick in!
In previous years, many government employees could retire after completing 25 years of service, even if they were younger than 55. That option has now been restricted!
Under the new rules, a government employee must complete at least 25 years of countable service, and must be 55 years old for early retirement.
The rovincial government clarified that in certain cases, it can force retirement after 20 years of countable service. This means, 20 years of service is now a minimum threshold for pension eligibility. Government retains power to retire employees in disciplinary or other situations
Pension decisions will be made under the revised rules. Authorities will now evaluate corruption and disciplinary matters in light of the 20-year service requirement before deciding on compulsory retirement actions.
Pension amounts will now be determined under the new framework. Both voluntary retirement (25 years + 55 age) and compulsory retirement (20 years) will still allow pensions, while benefits will be calculated under the updated rules.
