RBE No. 29/2006: Leave – Leave on Average Pay – LAP – Cash payment – Compulsory Retirement – IREC – ACS No.98 – Rule 550(A)
No.F(E)III/2006/LE-1/1, dated 20.03.2006
Sub: Cash payment in lieu of un-utilized earned leave on the date of retirement of the Central Government employees who are compulsorily retired as a measure of punishment under the disciplinary rules.
1. In terms of the instructions issued vide Board’s letter No.F(E)III-77/LE-1/4, dated 12.08.1987 (RBE No. 334/1987), a Railway servant, who is compulsorily retired as a measure of punishment under disciplinary rules and the disciplinary authority has imposed any reduction in the amount of his pension (including gratuity) under Rule 64 of the Railway Services (Pension) Rules, 1993, he is not being allowed for encashment of leave on such retirement.
2. The demand of the staff side to allow encashment of un-utilized earned leave to those Central Government employees, who are compulsorily retired as a measure of punishment and in whose case a cut in pension (including gratuity) has been imposed by the Disciplinary Authority has been under consideration of the Government in the Department of Personnel and Training in consultation with the Ministry of Finance and it has now been decided that in such cases where the Government servant or the Railway servants are compulsorily retired as a measure of punishment and in whose case even if a cut in pension (including gratuity) has been ordered, the benefit of encashment of earned leave at the time of such retirement shall be allowed.
3. Accordingly, the President in exercise of the powers conferred by the proviso to Article 309 of the Constitution, is pleased to direct that ‘Railway Ministry’s decision 4’ given under Rule 550(A) of Indian Railway Establishment Code, Vol-I (Fifth Edition 1985 – Second Re-print Edition-2003) may be amended as per Advance Correction Slip No.98 enclosed. The amendment shall be deemed to have come into force with effect from 13.02.2006.
The Indian Railways Establishment Code, Volume-I,
(Fifth Edition – 1985, Second Reprint Edition – 2003)
Advance Correction Slip No.98
Chapter-5: Leaves Rules
Rule 550(A): Replace ‘Railway Ministry’s decision 4’ under Rule 550(A) by the following:-
“Railway Ministry’s decision 4: Encashment of un-utilized Leave on Average Pay (LAP) will be allowed to those Railway servants who are compulsorily retired as a measure of punishment under the disciplinary rules even if a cut in pension (including gratuity) has been ordered. In such cases, the authority competent to grant leave can sanction cash equivalent of leave salary for Leave on Average Pay (LAP), if any, at the credit of Railway servant on the date of such retirement, subject to a maximum number of days permissible under the rule, in the manner specified in Railway Ministry’s decision No.1 of Rule 550(A)”
[Authority: RBE No. 29/2006, No.F(E)III/2006/LE-1/1, 20.03.2006 (ACS No.98)]
Download Railway Board Circular RBE No. 29/2006
Forward reference⇒RBE No.