PFRDA Circular regarding enhanced Govt Contribution from 10% to 14% under NPS i.r.o. Central Autonomous Bodies
PENSION FUND REGULATORY
AND DEVELOPMENT AUTHORITY
B-14/A, Chhatrapati Shivaji Bhawan,
Qutub Institutional Area,
Katwaria Sarai, New Delhi-110016
All Principal Accounting Officers of Central Autonomous Bodies
instructions for all CABs (Central Autonomous Bodies) concerned with
reference to gazette notification F.No.1/3/2016-PR dated 31/01/2019
issued by Dept of Financial Services (DFS), Ministry of Finance
containing recent announcements under NPS- reg.
is with reference to the gazette notification F.No.1/3/2016-PR dated
31/01/2019 issued by Dept of Financial Services (DFS), Ministry of
Finance (copy enclosed).
Vide the aforementioned
notification, certain changes under NPS have been announced by Central
Government including enhanced contribution by the Central Government to
its employees covered under NPS from the existing 10% to 14% (to Tier-I
account). The changes under said notification are applicable w.e.f.
01-04-2019 for Central Government employees. However, the circular is
silent on the its applicability to the employees of the CABs covered
In view of the above, PFRDA has requested
the Department of Expenditure to clarify whether the above-mentioned
changes/ modifications under NPS would be applicable to employees of
Central Autonomous Bodies (CABs) covered under NPS.
the interim, PFRDA has been approached by various CABs who have
individually obtained their internal approvals for enhancing the
employer contribution from 10% to 14% and hence, have sought PFRDA’s
approval for uploading the same through the existing CRA functionality.
light of the above and till the time clarification emerges on the
matter of applicability of notification dated 31.01.2019 on CABs , it
has been decided by the competent authority that the CABs who have
obtained such internal approvals, should obtain a separate and express
approval/concurrence for the applicability of the said provisions of the
notification dated 31.01.19 on their employees from Department of
Expenditure (DOE), Ministry of Finance.
receipt of such approval from the DOE, Ministry of Finance, a copy of
the referred approval may be forwarded to the CRA, for necessary action
at the CRA’s end.
(Sumeet Kaur Kapoor)
Chief General Manager