Railway Board (Discipline & Appeal)
RBE No. 07/2026 (Rule 39)
Compassionate Allowance for Dismissed Staff
Railway Compassionate Allowance Rules 2026: Pension for Dismissed/Removed Staff (Rule 39)
- Status: Notified (Part of 2026 Rules)
- Authority: Railway Board (RBE 07/2026)
- Eligibility: Staff Removed or Dismissed from Service
- Max Limit: 2/3rd of Admissible Pension
What Changed: The “Safety Net” Clause
Under the newly notified Railway Services (Pension) Rules, 2026 (RBE No. 07/2026), the Railway Board has re-affirmed Rule 39 regarding the “Forfeiture of Service” and the grant of Compassionate Allowance. While the general rule states that a railway servant who is Dismissed or Removed from service forfeits their pension and gratuity, Rule 39 empowers the Competent Authority to sanction a Compassionate Allowance in deserving cases.
✅ Official Orders Issued
Authority: Railway Board (Order No. RBE 07/2026)
Reference: Rule 39 of Railway Services (Pension) Rules, 2026.
Subject: Grant of Compassionate Allowance to railway servants removed or dismissed from service.
The New Protocol: Eligibility & Calculation
This allowance is NOT a right but a discretionary benefit granted if the case deserves special consideration.
✔ Conditions for Grant
- Deserving Case: The authority must record reasons that despite the misconduct, the case merits sympathy (e.g., long service, financial destitution).
- Minimum Limit: The allowance cannot be less than the Minimum Pension (₹9,000).
✖ Calculation Limits
- Maximum Limit: It cannot exceed two-thirds (2/3rd) of the Pension and Gratuity that would have been admissible if the employee had retired on compensation pension.
Calculation Table: Normal Pension vs Compassionate Allowance
The following example illustrates the financial loss suffered due to Dismissal/Removal, even with the allowance sanctioned.
| Component | Normal Retirement | Dismissal (with Rule 39) |
|---|---|---|
| Basic Pension | ₹30,000 (50% of Last Pay) | Max ₹20,000 (2/3rd Limit) |
| Gratuity (DCRG) | ₹10 Lakhs | Max ₹6.66 Lakhs (2/3rd Limit) |
| Commutation | Allowed (40%) | Not Allowed |
How to Respond (Draft Appeal for Allowance)
If you have been removed from service and denied pension, you can appeal to the Disciplinary Authority citing Rule 39.
“To,
The Divisional Railway Manager (Discipline & Appeal),
[Division Name].Subject: Request for sanction of Compassionate Allowance under Rule 39 of Railway Services (Pension) Rules, 2026.
Respected Sir,
I was removed from Railway Service vide Penalty Order No. [XYZ] dated [Date]. While I accept the penalty, I humbly submit that I have rendered [25 Years] of service prior to this incident. My family is in dire financial distress.
Rule 39 of the Railway Services (Pension) Rules, 2026 allows the Competent Authority to sanction Compassionate Allowance up to 2/3rd of pension in deserving cases.
I request you to kindly consider my past service record and financial condition sympathetically and sanction the Compassionate Allowance to sustain my livelihood.Yours faithfully,
[Name]
Ex-[Designation]”
Frequently Asked Questions
Is Compassionate Allowance mandatory?
No. It is discretionary. The Competent Authority (usually the one who imposed the penalty or higher) decides whether the case deserves sympathy. However, denial must be supported by reasons.
What is the difference between Dismissal and Removal?
Both result in loss of job and forfeiture of pension. However, Dismissal disqualifies you from future government employment, while Removal does not disqualify you from future employment. Both are eligible for Compassionate Allowance consideration under Rule 39.