Section 19A in Life Insurance Corporation of India Class III and Class IV Employees (Revision of Terms and Conditions of Service) Rules, 1985
19A. [ Graduation Increments and Graduation Allowance] [As amended vide Notification dated 2262000 (GSR No. 552(E)).].
(a)Graduation Increments - An employee in the scale of Assistant or Stenographer(i)who is graduate of a recognised university at the time of appointment or(ii)who becomes graduate of the recognised university after the date of appointmentshall be granted two increments in the scale of pay applicable to him on and from the date of appointment, in case of employee covered under clause (i) and from the first day of the month following the month in which the result of the examination is declared, in case of employee covered under clause (ii).(b)Graduation Allowance -(i)Graduation Allowance payable to the employees in the scale of Record Clerk -an employee in the scale of Record Clerk who is a graduate of a recognised university at the time of his appointment or who becomes a graduate of a recognised university after his appointment to such post, shall be granted graduation allowance of [Rs 535/-] [Substituted 'Rs 320/-' by Notification No. G.S.R. 30 (E), dated 14.1.2016 (w.e.f. 11.4.1985).] p.m. from the date of his appointment as Record Clerk or from the first day of the month following the month in which the result of the examination is declared respectively, which shall not count for any purposes.(ii)Graduation Allowance payable to the employees in the scale of Assistant and Stenographer -(a)an employee in the scale of Assistant or Stenographer who becomes a graduate of a recognised university after reaching maximum of the scales applicable to him shall be granted graduation allowance of [Rs 1000/-] [Substituted 'Rs 530/-' by Notification No. G.S.R. 30 (E), dated 14.1.2016 (w.e.f. 11.4.1985).] p.m. from the first day of the month following the month in which the result of the examination is declared.(b)an employee in the scale of pay of Assistant or Stenographer who has received the graduation increments and who reaches the maximum of the scale of pay referred to in sub-rule (1) of rule 4 of the said rules shall be granted graduation allowance of [Rs 510/-] [Substituted 'Rs 270/-' by Notification No. G.S.R. 30 (E), dated 14.1.2016 (w.e.f. 11.4.1985).] per month from the first day of the month following the completion of one year of service commencing from the date of reaching such maximum:(c)an employee in the scale of pay of Assistant or Stenographer who has received the graduation increments and who reaches the maximum of the scale of pay referred to in sub-rule (1) of rule 4 of the said rules shall be granted graduation allowance at the rate of [Rs 1000/-] [Substituted 'Rs 530/-' by Notification No. G.S.R. 30 (E), dated 14.1.2016 (w.e.f. 11.4.1985).] per month from the first day of the month following the completion of two years of service commencing from the date of reaching such maximum.(d)the graduation allowance payable to the employees in the scale of Assistant or Stenographer shall not be treated as part of basic pay, provided, however, that the said allowance shall count for the purpose of Dearness Allowance, Provident Fund, Gratuity, Pension, Encashment of Privilege Leave, House Rent Allowance and fixation of salary on promotion;Provided that those who are in receipt of Graduation Allowance under these rules shall continue to get the benefit:Provided further that those who become Graduates after 31st July, 2007 shall not be eligible for Graduation Allowance under these rules.
