No early pension before 25 years of service under the new rules in Punjab

2026-02-24 - 14:13

ISLAMABAD – Rules of retirement have shifted in Punjab. What was once an easy path to early pension is now restricted, changing financial plans of many government employees and marking new chapter in pension policy. Finance Department of Punjab amended the Punjab Civil Services Pension Rules under the Punjab Civil Servants Act, 1974. This new amendment takes effect immediately and introduces stricter conditions for retirement. Previously, government employees could retire after completing 25 years of service, even if they were under 55. That option is now limited. Under the new rules, workers must complete at least 25 years of service and must be at least 55 years old. This means a worker with 25 years of service but only 52 years of age CANNOT retire and must wait until turning 55. The government can force retirement in certain cases, but now at least 20 years of countable service is required for pension eligibility. Actions in cases like corruption will be reviewed after 20 years of service. This strengthens government’s ability to take disciplinary action while still linking pension eligibility to a minimum service requirement. Changes in Chapter IV of the rules ensure pension amounts are calculated under the new system. Whether retirement is voluntary after 25 years (or at 55, whichever comes later) or compulsory after 20 years, pensions will be granted according to revised rules. Experts say the move is aimed at controlling early retirements and ensuring long-term workforce stability in the public sector. However, critics argue, it reduces flexibility for employees seeking pension security. Punjab ends pension system for THESE government employees