The Punjab government pension rule amendments introduce major changes for public sector employees, including a new minimum age requirement for voluntary retirement.
According to a formal notification issued by the Punjab Finance Department, government employees must now meet both service and age criteria to qualify for voluntary retirement.
Under the revised framework, voluntary retirement will be granted upon completion of 25 years of qualifying service and reaching 55 years of age. The rule applies based on “25 years of service or 55 years of age,” whichever occurs later.
The updated Punjab government pension rule amendments also revise provisions related to forced retirement. In such cases, pension benefits will now be governed by the new rules after 20 years of qualifying service.
Additionally, the amendments address pension entitlements in cases involving corruption or misconduct. Completion of qualifying service has been formally incorporated as a mandatory condition in these situations.
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The Finance Department stated that the changes aim to improve transparency and discipline within the pension system. The notification confirms that the amendments have taken effect immediately.
Separately, at the federal level, the Ministry of Finance has withdrawn two earlier notifications dated April 22, 2025, and June 19, 2025. The new office memorandum has been circulated to all federal ministries and divisions.
Previously, the government required retired employees who returned to service after age 60 to choose either a salary or a pension during re-employment. This requirement formed part of broader pension reforms aimed at containing rising pension liabilities
Earlier decisions had allowed certain re-employed retirees to draw both salary and pension simultaneously. The latest memorandum withdraws those previous notifications with immediate effect.
These developments reflect continued efforts by provincial and federal authorities to regulate pension expenditures while maintaining administrative oversight.