GOVERNMENT OF INDIA (BHARAT SARKAR)
MINISTRY OF RAILWAYS/RAIL MANTRALAYA
(RAILWAY BOARD)

RAILWAY SERVICES (PENSION) RULES, 1993 - CHAPTER - V  

Subject :- CLASSES OF PENSION AND CONDITIONS GOVERNING THEIR GRANT - 53. Pension on absorption in or under a corporation, company or body

53. Pension on absorption in or under a corporation, company or body

  1. A Railway servant who has been permitted to be absorbed in a service or post in or under a Corporation or Company wholly or substantially owned or controlled by the Central Government or a State Government or in or under a body controlled or financed by the Central Government or a State Government, shall be deemed to have retired from service from the date of such absorption and subject to sub-rule (3), he shall be eligible to receive retirement benefits, if any, from such date as may be determined, in accordance with the orders of the Railways applicable to him.

    # Amended vide Railway Board's letter No. F(E)III/2003/PN1/25 dated 20.1.2005 (RBE 15/2005).

    A railway servant who has been permitted to be absorbed in a service or post in or under a corporation or company wholly or substantially owned or controlled by the Government or in or under a body controlled or financed by the Government shall, if such absorption is declared by the Government to be in the Public Interest, be deemed to have retired from service from the date his resignation is accepted and shall be eligible to receive retirement benefits which he may have elected or deemed to have elected, and from such date as may be determined in accordance with the orders of the Railways applicable to him.

    Explanation: - Date of absorption shall be

    1. In case a railway employee joins a corporation or company or body on immediate absorption basis, the date on which he actually joins that corporation or company or body;
    2. In case a railway employee initially joins a corporation or company or body on foreign service terms by retaining a lien under the railways the date from which his unqualified resignation is accepted by the railways.
  2. The provisions of sub-rule (1) shall also apply to a railway servant who is permitted to be absorbed in joint sector undertakings, wholly under the joint control of Central Government and State Governments/Union Territory Administrations or under the joint control of two or more State Governments/Union Territory Administrations.
  3. Where there is a pension scheme in a body controlled or financed by the Central Government in which a railway servant is absorbed, he shall be entitled to exercise option either to count the service rendered under the railways in that body for pension or to receive pro-rata retirement benefit for the service rendered under the railways in accordance with the orders issued by the railways.

    Explanation: - Body means autonomous body or statutory body.

Detail of the Letter / Codal / Manual Provisions