Madras University settles pension due with corpus funds
The university, in a circular, informed that the payment towards pension arrears was credited to the beneficiaries.
CHENNAI: After the Syndicate approval to utilise corpus funds to the tune of Rs 95 crores, the University of Madras has released the much-awaited pension arrears to the retired staff.
The university, in a circular, informed that the payment towards pension arrears was credited to the beneficiaries.
Sources from the university said that the amount was settled for more than 450 pensioners and family pensioners from the period of April 2015 to September 2025. The university sources further said that Death-cum-Retirement Gratuity (DCRG) amount was also credited to the pensioners.
The institution also implemented the Income Tax Bill 2025, which provides the entire amount of commuted pension (the lump sum payout) as a tax deduction for all pensioners. This move aims to ensure equal tax treatment for all pensioners, aligning with the full exemption already available for central and state government employees. The university also gave the option to receive commutation on date on or before December 12, 2025.
It may be noted that the decision to clear the pension arrears came against the backdrop of after Madras High Court order directing the state finance secretary to appear in person to explain the steps taken to clear the arrears.