VRS Pension- Central government employees are entitled to an assured payment, i.e. pension, if they opt for voluntary retirement after completing 20 years or more of service under recently notified rules, the Personnel Ministry said on Tuesday.
The Department of Pension and Pensioners Welfare has notified the Central Civil Services (Implementation of Integrated Pension Scheme under National Pension System) Rules, 2025 in the official gazette on September 2. This will regulate service matters related to benefits available to central government personnel who opt for UPS as an option under NPS. These rules, among other things, give UPS subscribers the option of voluntary retirement after completion of 20 years of service.
“Under the Unified Pension Scheme, the full assured payout is available only after completion of 25 years of service. However, on opting for VRS (Voluntary Retirement Scheme) after completion of 20 years or more of service, the assured payout on proportionate basis i.e. years of qualifying service divided by 25 of the assured payout will be paid to the subscriber,” the ministry said in a statement.
The amount will be payable from the date of retirement
The ministry said this payment will be payable from the date of retirement. “Other benefits such as final withdrawal of 60 per cent of personal funds and lump sum benefit of 1/10th of basic pay and dearness allowance for every six months of service period, retirement gratuity, leave encashment, CGEGIS (Central Government Employees Group Insurance Scheme) benefits can be availed on retirement,” the statement said. Further, in case of death of the subscriber after availing VRS but before the assured payment commences, the family payment will be paid to the legally married spouse from the date of death of the subscriber, it said.
Welcoming the amendment, Manjit Singh Patel, national president of All India NPS Employees Federation, said it is a much-needed step for all central government employees, especially paramilitary personnel who work under very difficult conditions. “This will help all those employees who are unable to serve in the department after completing 20 years of regular service,” Patel said.