LTC rules overhaul: What's in store for government staff in terms of benefits?

The Department of Personnel and Training (DoPT) has recently issued fresh clarifications regarding Leave Travel Concession (LTC) for central government employees, introducing significant changes to the existing rules. As per the provisions of the Central Civil Services (Leave Travel Concession) Rules, 1988, the following updates have been made:

Reimbursement of catering charges

Employees opting for catering services while booking tickets to travel in eligible trains for LTC purposes will now be allowed reimbursement of catering charges. This change acknowledges that Indian Railways offers travellers the option to avail catering facilities during their journey.
"It has been decided that wherever employees opt for catering services while booking the tickets for the eligible trains for the purpose of LTC, the reimbursement of catering charges shall be allowed," DoPT stated in the directive.

DoPT recently changed Leave Travel Concession rules | Image credit: Unsplash

Reimbursement of cancellation charges

The new rule specifies that reimbursement of cancellation charges will be limited to cases grounded in official exigencies. Both the cancellation charges levied by airlines and those imposed by the three authorised travel agents for utilising their portals/platforms will only be reimbursed if cancellations occur due to official reasons.

"It has been decided that both types of the cancellation charges, vis (i) cancellation charges levied by the airlines and (ii) cancellation charges levied by the three authorised travel agents for utilisation of their portals/platforms, if any, shall be reimbursed on the ground of official exigencies only," DoPT added.

DoPT recently changed Leave Travel Concession rules | Image credit: Unsplash

Flexibility in booking air tickets

The DoPT clarified, "It has been decided that government employees not entitled to air travel but wishing to travel by air, are no longer required to book their air tickets through these three travel agencies, vis Balmer Lawrie & Company Limited (BLCL), Ashok Travels & Tours (ATT), Indian Railways Catering and Tourism Corporation Ltd (IRCTC) only as the reimbursement is restricted to the actual air fare or the entitled train/bus fare for the shortest route, whichever is less."

"In case of cancellation of tickets, cancellation charges shall be borne by the government employees concerned. However, in the case of the Special Dispensation Scheme, government employees not entitled to air travel under LTC, but wishing to travel by air to the intended place of visit in North East region, Union Territories of Jammu and Kashmir, Ladakh, and Andaman and Nicobar, are required to book their air ticket through three authorised travel agents only," the DoPT further clarifed.

DoPT recently changed Leave Travel Concession rules | Image credit: Unsplash

Settlement of LTC claims

The DoPT emphasised that LTC claims will be settled according to the provided instructions, and cases that have already been resolved will not be reopened. These clarifications are aimed at refining and modernising LTC regulations to address various issues that have arisen. These changes take effect immediately upon their publication in the Official Gazette. This update aligns with the government's ongoing efforts to improve employee benefits and streamline administrative processes for Central Government Employees, in line with the recommendations of the 7th Pay Commission.