The Finance Department of Punjab has issued an official notification introducing significant amendments to pension rules for government employees across the province. The revised framework aims to restructure voluntary and compulsory retirement conditions while tightening pension eligibility criteria.
Under the updated policy, new conditions have been imposed for voluntary retirement. Government employees must now complete 25 years of qualifying service and must also be at least 55 years of age. Authorities clarified that voluntary retirement will be granted on the principle of “25 years of service or 55 years of age, whichever is later,” effectively raising the threshold for early exit from service.
The changes also address cases of compulsory, or forced, retirement. For employees who have completed 20 years of qualifying service, pension matters will now be handled strictly under the newly amended regulations. Officials stated that these cases will be reviewed in accordance with the revised pension structure to ensure compliance with updated service requirements.
In addition, the notification introduces amendments to pension clauses in cases involving corruption or misconduct. Completion of qualifying service has been made a mandatory condition under the updated rules, reinforcing accountability within the public sector. The move is seen as part of broader efforts to standardize pension processing and close regulatory gaps.
According to the department, the primary objective behind the amendments is to enhance transparency, strengthen financial discipline, and ensure long-term sustainability of the provincial pension system. Officials emphasized that the reforms are designed to create a more structured and accountable framework for retirement benefits.
The revised pension rules have come into immediate effect. All pending and future pension cases will now be processed under the updated policy guidelines, signaling a significant administrative shift for government employees across Punjab.
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