SC Stays 'Pay Minus Pension' Rule
Case BriefsSupreme Court

Pay Minus Pension is a salary fixation method applied to retired government employees who are re-employed or appointed to new government positions after retirement. Under this rule, the employee’s monthly salary is adjusted by deducting the amount of pension they receive from their gross pay in the new job. Essentially, the employee is paid the difference between their new pay scale and the pension amount, preventing them from drawing a full pension and full salary simultaneously.