Government Employees Pension Law, 1996Schedule 1 : Rules of the Government Employees Pension Fund14. Benefits payable to members14.1 Discharge prior to 10 years of total pensionable service |
[Rule 14(14.1) heading substituted by section 8 of Notice No. 5191, GG51202 dated 10 September 2024]
| 14.1.1. | Subject to rule 14.10 if a member who has less than 10 years of total pensionable service to his or her credit is discharged— |
| (a) | on account of ill-health not occasioned by his or her own fault; |
| (b) | owing to the abolition of his or her post or the reduction or the reorganisation or the restructuring of the activities of his or her employer; |
| (c) | on the grounds that his or her discharge will promote efficiency or economy or otherwise be in the interest of his or her employer; |
| (d) | on account of his or her incapability to carry out his or her duties efficiently excluding cases where such incapability and inefficiency result in such a person being discharged on grounds of misconduct; |
| (e) | on the grounds that the President or the Premier of a province appointed him or her in terms of the provisions of an act to an office and his or her pensionable service cannot be recognised as pensionable service for the purposes of a superannuation, pension, relief or provident fund or scheme established by or under any law for the holders of such office; |
| (f) | as a result of injury or ill-health, not occasioned by his own fault, arising out of and in the course of his employment; or |
| (g) | in terms of Act section 17(4) of the Public Service Act, 1994, or in terms of Act section 17(7) of the Post Office Service Act, 1974 (Act No. 66 of 1974), |
there shall be paid to him or her
a gratuity which shall be calculated at 15.5 per cent of such a member's final salary, multiplied by the period of his or her vested and savings service, provided that a member's final salary shall for this purpose not be less than his or her pensionable emoluments as on the day immediately before the commencement date;
and
subject to rule 16.5 and the Income Tax Act, an annuity, calculated by the actuary, as either
a deferred annuity payable from his/her pension-retirement date earned by the period of his or her retirement service whose capitalised value, as at the date of discharge, is equivalent to the gratuity that is calculated at 15.5 per cent of such a member’s final salary multiplied by the period of his or her retirement service, if a member is discharged for a reason mentioned in rule 14.1.1(b),(c),(d),(e) or (g),
or
an immediate annuity payable from the date of discharge earned by the period of his or her retirement service whose capitalised value, as at the date of discharge, is equivalent to the gratuity that is calculated at 15.5 per cent of such a member’s final salary multiplied by the period of his or her retirement service, if a member is discharged for a reason mentioned in rule 14.1.1(a) or (f),
| 14.1.2 | If a member is discharged for a reason mentioned in rule 14.1.1(a), (b), (c), (e) or (f), the amount of the gratuity which is payable to him or her in terms of rule 14.1.1, shall be increased by one-third of the said amount. |
| 14.1.3 | The gratuity payable in terms of rule 14.1.1 or rule 14.1.2 shall be subject to a minimum of the benefit calculated in terms of rule 14.4.1(a). |
| 14.1.4 | The gratuity used to determine the annuity payable in rule 14.4.1 shall be subject to a minimum of the capitalised value of the amount of the benefits described in rule 14.4.1(b). |
| 14.1.5 | If the capitalised value of the annuity payable in rule 14.4.1 is lower than the de minimis amount, then the capitalised value of the said annuity will be payable as a lumpsum at the point at which the annuity would have first been paid. |
[Rule 14(14.1) substituted by section 8 of Notice No. 5191, GG51202, dated 10 September 2024]