Good news: Punjab restores lifetime family pension

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Good news: Punjab restores lifetime family pension

ISLAMABAD, AUG 20: In a major relief for government employees’ families, the Punjab government has restored the old pension law, ensuring that widows and unmarried daughters will continue to receive a family pension for life after the death of an employee.

Last year, the provincial government had amended the rules, limiting the payment of family pensions to just 10 years after the death of a government employee.

Lifetime pension restored
According to the new notification, the earlier decision has now been reversed. Widows and unmarried daughters of deceased employees will once again be entitled to lifetime pension benefits.

The notification also clarified that in cases where an employee had multiple marriages, the family pension would be divided accordingly among the eligible beneficiaries.

Also Read: Pakistan makes important update to family pension rules

In September 2024, the Finance Ministry introduced amendments to the pension scheme to manage the escalating pension costs. These amendments, outlined in three separate office memoranda issued by the ministry, were aimed at reducing the financial burden on the federal government while ensuring continued support for retired employees and their families.

According to the notifications, the period for receiving a family pension after the death of a retired employee was fixed at 10 years. Additionally, the duration for receiving a Special Family Pension was extended to 25 years.

One of the most notable changes was the introduction of a provision for the entitled child of a deceased retired employee to receive a pension for life if the child is suffering from a disability.