Section 118(6) in Karnataka Panchayat Raj Act, 1993
(6)All officers and servants in the employ of the existing Grama Panchayat immediately before the specified date shall be officers and servants of Grama Panchayats constituted in respect of new panchayat areas as the Deputy Commissioner may by order direct and shall until such other provision is made in accordance with this Act, receive salaries and allowances and be subject to conditions of service to which they were entitled or subject immediately before such date:Provided that it shall be competent for the interim Grama Panchayat, Administrator or the new Grama Panchayats, as the case may be, subject to the previous sanction of the Deputy Commissioner to discontinue the services of any officer or servant who in its or his opinion is not necessary or suitable to the requirements of the Grama Panchayat service in respect of the new panchayat area, after giving the officer or servant such notice, as is required to be given by the terms of his employment and every officer or servant whose services are so discontinued shall be entitled to such leave, pension and gratuity as he was entitled to take or receive on being invalidated out of service as if the Grama Panchayat in the employ of which he was, had not ceased to exist.