Grant of pro rata retirement benefits on permanent absorption in ESI Corporation.

(1) Grant of pro rata retirement benefits on permanent absorption in ESI Corporation. - 1. At present pro rata retirement benefits are admissible to the Central Government employees who are permanently absorbed in autonomous bodies controlled or financed wholly or substantially by the Central Government. The Staff Side made a suggestion in the National Council (JCM) that pro rata retirement benefits may be granted to all Central Government employees who have been or may be absorbed permanently in autonomous bodies like Employees' State Insurance Corporation which are not controlled or financed wholly or substantially by the Central Government, if the employees have been permitted to forward their application for such absorption by the Department concerned. 2. This question has been considered in detail but it has not been found possible to accept the demand of the Staff Side that the pro rata retirement benefits should be granted to Central Government employees who are absorbed in autonomous bodies not controlled or financed wholly or substantially by the Central Government. In this connection attention is invited to the provisions of Rule 37 of the CCS (Pension) Rules, 1972. Since the criterion is satisfied in the case of ESIC in view of the statutory provisions of the ESI Act. which confers on the Central Government the power to constitute or supersede the Corporation, to appoint Principal Officer, to accord approval to recruitment rules and to approve the budget, etc., the benefits in terms of the provision of Rule 37 of the CCS (Pension) Rules, are clearly available to the Central Government employees absorbed by ESIC. Accordingly, it is hereby clarified that the Central Government employees who have been and may be permanently absorbed therein, shall be eligible for retirement benefits as admissible under the orders in force from time to time according to the dates of their permanent absorption. 3. These orders shall not apply in the case of Medical Officers who after having rendered service in the Central Health Scheme (Ministry of Health) were transferred to ESIC and have been allowed the benefit of 1/30/2019 CHAPTER http://persmin.nic.in/pension/rules/pencomp5.htm#Superannuation%20pension 8/18 pension on combined service basis, by payment of pensionary liability by Ministry of Health for the period of service rendered under Central Government. [G.I., Dept. of Per. & A.R., O.M. No. F. 27 (16)-PU/79, dated the 27th September, 1980.]