Pension portability okayed for Panjab University employees joining after 2004

Employees joining Panjab University from another organisation after 2004 to also get benefit of the old pension scheme

The central government has approved pension portability for employees who joined Panjab University (PU) both before or after January 2004.

Now, Panjab University employees, who had pensionable posts in their previous organisation, will be covered under the old pension scheme, as per a recent amendment notified in the Panjab University Employees (Pension) Regulations, 1991. (HT)

Now, employees, who had pensionable posts in their previous organisation, will be covered under the old pension scheme, as per a recent amendment notified in the Panjab University Employees (Pension) Regulations, 1991.

However, they must have joined PU without any break and the previous employer should have transferred the pro-rata pensionary benefit to the university.

The benefit, which was pending for several years, finally got the central government’s sanction on the recommendation of the PU senate. So far, employees switching jobs to join PU after 2004 came under the purview of the new pension scheme.

Though it will only benefit some employees at this stage, it is said that the step will encourage employees from other institutions to move to PU.

According to a recent gazette notification, a new regulation was substituted for regulation 1.2 (a) in the Panjab University Employees (Pension) Regulations, 1991.

The notification states, “1.2(a) all employees who joined service under the university before January 1, 2004, and those employees who have joined the university on or after January 1, 2004, and borne on pensionable post in the previous organisation and have applied through proper channel without any break shall also be covered under old pension scheme under the provisions of these regulations, subject to the condition that the previous employer have transferred the pro-rata pensionary benefit to university as defined in Regulation 3.14 (i)”

Welcoming the development, former PU vice-chancellor Arun Kumar Grover said, “There were people who wanted to join PU, but did not due to absence of pension portability. The university now has to ascertain how to implement the benefit, given its financial implications.”

“With pension portability, people now will not hesitate to join PU from other institutions,” said a PU senator.

President of the Panjab University Teachers’ Association (PUTA), Mritunjay Kumar said, “It will encourage people to work for PU.”

A senior PU official said they had already initiated the process to make it a part of university regulations.