Govt Employees performance will be reviewed monthly and inefficient employees may be removed

The Department of Personnel and Training (DoPT) has issued new instructions requiring Public Sector Undertakings (PSUs) and Public Sector Banks (PSBs) to conduct periodic reviews of their employees and submit monthly reports. According to an Office Memorandum dated June 27, Central Ministries and Departments are directed to promptly identify employees eligible for review under Fundamental/Pension Rules and refer their cases to the Review Committee. Additionally, Ministries/Departments must instruct PSUs, Banks, Autonomous Institutions, and Statutory bodies under their administration to undertake these reviews.

The objective is to ensure that employees with questionable integrity or ineffective performance are not retained in government service. The DoPT emphasizes the submission of monthly reports detailing actions taken, due by the 15th of each month starting from July.

For Central Government officers and employees, the pre-mature retirement provision (Compulsory Retirement Scheme or CRS) is governed by Rule 56 J&I of Fundamental Rules for Group A, B, and C category, and Rule 48 of CCS Pension Rules for other government servants. This allows the government to retire employees prematurely in the public interest, typically after they turn 50/55 years or complete 30 years of service. The process includes a three-month notice period or equivalent pay and allowances. Review committees evaluate cases based on criteria such as integrity and effectiveness to recommend names for premature retirement

However, it remains unclear whether the same mechanisms apply uniformly to officers and employees across PSUs and banks. While PSUs conduct health check-ups for employees aged 50 years, it does not affect job continuity, according to a senior official from a prominent CPSE. Actions against officers or employees can be initiated at any time, unrelated to routine health assessments.

Similarly, a HR official from a major public sector bank mentioned health check-ups are conducted for employees completing 30 years or reaching 55 years, but these are not linked to retirement decisions. Employees involved in suspicious activities are typically not assigned sensitive postings.

As of now, officials from CPSEs and PSBs report they have not yet received specific instructions based on the new DoPT Office Memorandum.