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Home Personal Finance 7th Pay Commission: Big relief news for central employees! LTC allowance becomes...

7th Pay Commission: Big relief news for central employees! LTC allowance becomes difficult

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7th Pay Commission: There is a big relief for the central employees, who booked air tickets or train tickets in advance to take advantage of Leave Travel Concession (LTC), but could not travel due to lockdown. For them, the Central Government has announced three new decisions in the Office Memorandum (OM), which can provide great relief to the employees. 

Central employees get big relief on LTC ticket

The Department of Personal and Training (DoPT) observed that due to the lockdown many airlines canceled the confirmed tickets of the passengers. Central employees who had booked tickets and then had their tickets canceled did not even get a refund from the airlines, as most airlines put this amount in their credit shells. Which travelers can use during their next trip during one year. This is like a double whammy on the employees, because with LTC advance one has to return the penal interest if the journey is not done.




One time reimbursement will be available on cancellation charge

Keeping these things in mind, the Central Government has decided that the employees who had to pay the cancellation charge for LTC, will get reimbursement of cancellation charges. Actually, there was a demand of the employees that they have to pay a thick cancellation charge when the airline ticket is canceled. Therefore, they should be given one time reimbursement regarding cancellation charge. Which the government has accepted

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Airlines did not refund cancell tickets

According to DoPT, domestic flights were banned due to the nationwide lockdown. All airlines canceled passenger tickets during the lockdown period. Some airlines also levied cancellation charges on pre-booked tickets. This is the reason why central employees, who had booked air tickets in advance for LTC benefits during this period, had to face financial difficulties as the airlines recovered the cancellation charge from the passengers.




LTC Advance and Interest was difficult to refund

According to the DoPT office memorandum, many airlines did not even refund advance LTC tickets booked during the corona lockdown period. Most airlines put this money in their credit shells and gave passengers the option that they would be able to use this amount whenever they travel within a year. The office memorandum stated that the central employees were required to return the LTC with advance penalty interest as they had not traveled for it, making it difficult for the employees.

 

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