There has been considerable worry from retired public sector employees and pensioners over the past couple of days regarding a recent viral message circulating on social media and WhatsApp. The concern stems from claims made in the viral message regarding the Finance Bill (Law or Act) of 2025 as to whether it has abolished the benefits of pensioners.

In regards to granting PR or Permanent Resident (i.e. DA or Dearness Allowance) and future commissions (i.e. Eighth Pay Commission, Proposed). Therefore, here is how accurate/reliable they are: let us examine the historical basis of these statements.

What Does the Viral Message Claim?

As said in the viral message, all government retirees will not receive the benefit of the increases in DA from the enactment of the Finance Bill (Law or Act) of 2025. Additionally, all pensioners will not receive any future pay commission benefits (including the proposed Eighth Pay Commission). This legislation will also adversely affect millions of retired public sector employees.

What did the fact check reveal?

The fact-checking unit of the government agency Press Information Bureau (PIB) has dismissed these claims as completely false and misleading. According to the PIB, there is no provision in the Finance Act 2025 that would deprive pensioners of their DA or salary commission benefits. The government has clarified that retired employees will continue to receive DA increases as before. Furthermore, the recommendations of future pay commissions will also apply to pensioners, as has been the case in the past.

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So why did the confusion spread?

This confusion arose from an amendment to Rule 37 of the CCS (Pension) Rules, 2021. This rule applies to government employees who have been transferred to a Public Sector Undertaking (PSU) for any reason. This rule states that if such an employee is found guilty of serious misconduct, certain retirement benefits may be forfeited. However, this does not apply to general pensioners, DA increases, or pay commissions.

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Will DA or the Eighth Pay Commission benefits be stopped?

Absolutely not. The government has not stopped DA increases or excluded pensioners from future pay commissions. Whenever a new pay commission is implemented, its recommendations apply to both existing employees and pensioners, provided the government approves them.