The Kerala government has issued orders which in principle sanction the Assured Pension Scheme (APS) to be implemented from April 1 this year.
The maximum assured pension will be 50% of the basic salary at the time of retirement. This will be subject to 50% of the maximum of the highest pay grade as per the state government provided the employee has completed 30 years of qualifying service, the finance department said in an order dated February 28.
Hardship relief (DR) will be allowed for insured pension.
Employees appointed on or after 1 April 2026 will be able to opt for the National Pension Scheme (NPS) or ASP. Existing Civil Servants of the Civil Service covered by NPS will have the option to switch from NPS to APS.
Detailed orders covering various aspects of APS will be issued separately, the finance department said.
In the 2025–26 State Budget, the government announced plans to introduce an APS instead of a contributory pension scheme for civil servants. In the 2026-27 budget, Finance Minister KN Balagopal announced that it will be implemented from April 1 this year.
Published – 28 Feb 2026 21:18 IST
