7th Pay Commission Latest News Today: In a piece of wonderful news for lakhs of government employees, the Centre has decided to do away with the cap on Composite Transfer Grant (CTG) in cases where the retiring employee settles at the last station of duty or at a place not more than 20 km away from it.
Till now, the Centre has paid one-third of the CTG to the employees who settle at the last station of duty or at a place not more than 20 km away from the last station.
The Centre has now decided to do away with the condition of 20 km from the last station of duty. However, to claim the grant, an actual change of residence must be involved. According to the modified guidelines, the government employees can get full CTG (i.e. 80% of the last month’s basic pay) to settle down at the last station of duty or at any place other than the last station of duty post-retirement.
For the unversed, the CTG from the Central government is a one-time grant provided to help retiring employees in shifting from the last station of duty.
At present, the CTG is credited at 80% of the basic pay of the last drawn salary to the Central government. However, the Centre provides 100% of the basic pay to employees moving in or out of island territories of Andaman & Nicobar and Lakshadweep after their retirement.
Issuing a notification in this regard, the Department of Expenditure, Ministry of Finance said, “It has been decided that for the purpose of Composite Transfer Grant in r/o Central Government employee who wishes to settle down at the last station of duty or other than last station of duty after retirement, the condition of 20 km. from the last station of duty, is done away with subject to the condition that change of residence is actually involved.”
“To settle down at the last station of duty or other than last station of duty after retirement, full CTG would be admissible i.e at the rate of 80% of the last month’s basic pay,” the memorandum from the ministry reads.
How to claim CTG
To claim CTG, the government employee will have to submit a self-declaration certificate regarding change of residence in prescribed format to the Central government and accordingly the grant will be issued.
