Pension Payment Order on retirement: When are PPOs and e-PPOs issued to CCS employees?

Pension Payment Order (PPO) of a central civil services (CCS) employee is required to be issued at least two months before the date of his/her retirement. However, it is handed over to the employee only on the last date of retirement.

The Pay & Accounts Office (PAO) of the department is also required to check the pension and gratuity admissible to the employee and forwarding the PPO/ePPO to the pension paying authority two months before retirement.

In case the person is retiring for reasons other than superannuation, then the PPO is required to be issued within 45 days of the date of receipt of pension papers from the HOD.

The dispatch of PP/ePPO to the Central Pension Accounting Office (CPAO) by the PAO is required to be done on the last working day of the month preceding the month of retirement.

The PPO/ePPO is required to be handed over to the retiring employees on the date of retirement.

"Rule 63(1)(a) of the CCS (Pension) Rules, 2021, stipulates the issuance of the PPO/ePPO, not later than two months in advance of the date of the retirement of a government servant on attaining the age of superannuation," the DoPPW said in a circular on "Comprehensive Guidelines for timely payment of retirement dues (pension and pensionary dues) and issue of Pension Payment Orders (PPOs) at the time of retirement of Central Civil Services Employees" dated September 29, 2025.

The Department of Pension and Pensioners' Welfare (DoPPW) also clarified that PPOs should include e-PPOs also.

The circular further asked departments to make a a "concerted and timebound target" for digitization of service records and 100% adoption of e-HRMS so that verified Service Records are available.

As per the circular, nodal officers (not below the rank of Joint Secretary/Director or equivalent) should be nominated across Ministries/Departments for effecting the timely payment of retirement dues, including pension and pensionary dues, and the issue of PPOs both in cases of retirement on superannuation and retirement other than superannuation.

Why are pension dues delayed?

According to the circular, the timely verification of the qualifying service is one of the major causes for delay in processing and sanctioning of pensionary dues. to avoid this, the DoPPW has entrusted the HoD to ensure that the certificates regarding verification of qualifying service of the employees are issued 18 years after the service and 5 years prior to their retirement.

"A report ‘on compliance of this provision shall also be submitted to Secretary of the Ministry/Department by 31st January every year," the circular said.