The center decided to enable its employees who chose a one -way device for one -way switches to the National Pension System (NP).
The device with the switch can be fastened at any time before the supplementary pension insurance date or three months ago to the retirement date in the event of a voluntary retirement, the office memorandum on the Ministry of Finance, the Ministry of Finance said.
If the device that is not executed within the deadlines, the employee must continue under the UPS by default, he said.
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Similar provisions will be made for resignation and cases of Rules 56J, with minor modifications as needed, the office memorandum said.
Rule 56 (a). J) is part of the Indian Central Civil Services (Pensions), 1972 and grants the Government to the Government of Absolute Right to retire any government employee in the public interest, with a notification of three months or pay.
The option of the switch will not be provided in the case of removal, release or compulsory retirement as a sanction or in cases where or is considering disciplinary proceedings.
In order to become a one -time, one -way matter, the Ministry of Finance decided that once the switch was used, the provisions of the PFRDA regulations (exit & withdrawal under NPS), 2015 would mean that the employee will no longer be entitled to secured payments and UPS benefits.
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The government differential contribution (4%) will be elaborated in the starting investment formula and will be credited to the NPS corpus at the individual in the case of the switch.
The changes were handed over to all ministries of the Central Government and the department to share with all eligible employees.
The Ministry of Finance announced the UPS on 24 January 2025 for employees of the central government covered under the NPS. Since April 1, 2025 it has been implemented throughout India. From the beginning, there has been slow progress with data from the Ministry of Finance, suggesting that only 31,555 employees of the Central Government decided to move from NPS to UPS by 20 July.
In fact, the government extended the deadline for selection for the UPS program for 30 September from the earlier date of the marginal value of June 30 to bring more employees looking for a guaranteed pension as set out in the UPS.
The UPS guarantees employees 50% of their average basic wages for the last 12 months before retirement, provided they have completed the minimum qualification service for 25 years. This is, unlike the yields associated with the NPS market.
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The government takes various measures to strengthen social security for its employees and other individuals. An old retirement scheme (OPS) was used before NPS. OPS provided a defined advantage, guaranteed the percentage of the last salary and was used for government employees who joined service by January 1, 2004.
NPS, which began on January 1, 2004, became the only pension system for all employees of the central government to which they join. NPS is a market, defined system of contributions where the individual’s pension body depends on investment performance.
As a result of the need to provide a government pension system, a hybrid scheme was launched in the form of UPS, which guaranteed only up to 50% of the last last salary in the previous 12 -month period. It also partly provided employees of shares from accumulation in the pension fund from the market investment.
In addition to employees of the Central Government, the government officially launched Atal Pension Yojana (APY) on 9 May 2015 and made it on 1 June 2015 to provide a universal social security system, especially for poor, disadvantaged and workers in an unorganized sector. APY is a voluntary periodic pension system established £1,000 per month.
(Tagstotranslate) UPS
