The Department of Posts has issued revised instructions regarding the disbursement of salary and other personal payments to its employees. These guidelines provide flexibility in receiving salary payments and ensure compliance with financial regulations.
Previous Guidelines on Salary Disbursement
Earlier, the Department of Posts had issued several Office Memorandums (OMs) mandating salary payments through bank accounts, particularly through Post Office Savings Bank (POSB) accounts. Instructions are here under
- OM dated 11.07.2007 – Clarified that salary payments should be made through POSB accounts.
- OM dated 14.05.2009 – Directed that all pay and allowances should be disbursed via cheque or direct credit to the employees’ salary/savings accounts.
- OM dated 03.10.2012 – Made electronic payments mandatory for salary and retirement/terminal benefits. Exceptional cases required prior approval for cheque payments.
Revised Guidelines for Salary and Personal Payments
After a review of the existing provisions and in accordance with the Ministry of Finance notifications and Department of Expenditure guidelines, the Director General (Posts) has issued the following revised instructions:
- Salary Payment Options: Employees of the Department of Posts may now choose to receive their salary through:
- Direct credit to their bank account
- Cash payment
- Cheque payment
- Payments Other Than Salary:
- Payments exceeding ₹25,000, such as House Building Advance (HBA), must be made through payment advices, electronically signed payment advices, cheque, POSB account, or bank account.
- Retirement/terminal benefits, including Gratuity, Commuted Pension, Leave Encashment, CGEGIS, and GPF withdrawals, must also be processed electronically or through cheque.
Below is the the Memo