RBE No. 13/2006: Foreign Service – Contribution

No.F(E)III/2005/PN1/12, dated 06.02.2006

Sub: Calculation of monthly contribution towards cost of pension / leave salary payable during Foreign Service.

1. Rules 2006 and 2007 of the Indian Railway Establishment Code, Vol-II prescribe that while a Railway servant is in Foreign Service, contribution towards the cost of his pension must be paid to general revenue on his behalf and if the Foreign Service is in India, contributions must be paid on account of the cost of leave salary also; and the rate of such contributions payable shall be as prescribed in Appendix-I of the said Code. In terms of Department of Personnel and Training’s OM No.2/3/200-Estt. (Pay II), dated 15.05.2000, circulated vide Board’s letter No.F(E)III/2000/PN1/35, dated 22.06.2000 (RBE No.121/2000), with effect from 01.01.1996 monthly contribution towards cost of pension payable in respect of a Government servant during the active period of his Foreign Service shall be based on the maximum of the pay as defined in Rule 9(21)(a)(i) of the Fundamental Rules, which corresponds to Para 1303(21)(a)(i) of R-II of the revised pay scale of the post held by the Government servant at the time of proceeding on Foreign Service or to which he may receive proforma promotion while on Foreign Service. Consequent upon issue of instructions vide Board’s letter No.PC-V/2004/A/DA/1, dated 11.03.2004 (RBE No. 57/2004) regarding merger of Dearness Allowance equal to 50% of the existing basic pay with the basic pay to be district distinctly shown as Dearness Pay, for various purposes with effect from 01.04.2004, a doubt has arisen whether the Dearness Pay would also be taken into account for calculation of Foreign Service condition contribution.
2. The matter has been considered in Board’s office in consultation with the Department of Personnel and Training and the Department of Expenditure (Ministry of Finance) and it is clarified that the element of Dearness Pay should be taken into account while calculating pension and leave salary contribution.

Download Railway Board Circular RBE No. 13/2006

Forward reference⇒RBE No.

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