7th Pay Commission Central Government Employees: Some really good news for all the central government employees! The Narendra Modi Government has given a big Diwali gift to all the central government employees in this festive season. This is related to LTC (Leave Travel Concession) which will have a positive impact on lakhs of central government employees. The government has tweaked the rules to provide this benefit. 

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After the change in rules, the employees will be entitled to take benefits of LTC without having the obligation to encash their leaves. This means that more than one bill will be valid to avail the LTC cash. 

Benefits of the scheme: The central government employees can take advantage of the LTC voucher scheme by producing multiple bills. The Expenditure Department, under the Ministry, has issued a set of FAQs (Frequently Asked Questions) on LTC cash voucher scheme, clarifying that an employee can also avail the scheme utilising the applicable LTC fare without leave encashment. 

The Finance Minister Nirmala Sitharaman on October 12 announced the LTC cash voucher scheme under which central government employees can purchase any goods or services with GST rate of 12 per cent or above to avail the benefit. Till now, employees got LTC benefits only on travels made, or had to forgo the amount. 

The expenditure should however be in accordance with the ratio as prescribed for LTC fare. 

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This scheme is applicable to the LTC fare left unutilised during the block year between 2018 and 2021). 

The government has also clarified that an employee can avail the scheme in partial, that is for the LTC part of the eligible family. This was in response to a question whether an employee with four family members eligible for LTC can avail the scheme for less than four members.