Unified Pension Scheme: The central government is bringing UPS (Unified Pension Scheme) instead of NPS (National Pension System) for employees. The Unified Pension Scheme (UPS) will be implemented by the government from April 1, 2025. UPS will guarantee its employees a minimum pension.

Although the employees demand to implementation of the old pension scheme, the central government has found a solution between NPS and OPS so that the demands of the employees can be met. The UPS of the government will guarantee the minimum salary to the employees so that the employees can get a pension after their retirement.

UPS will have a minimum pension guarantee

The UPS being implemented by the central government will have a minimum pension guarantee. In this, UPS will guarantee a minimum pension of Rs 10,000 to the employees. This will be for those employees who have retired after at least ten years of service.

This means that if the employee has worked for at least ten years in any department of the central government, he will be guaranteed a minimum pension. After this, the employee will be guaranteed a pension of at least ten thousand rupees per month.

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Know important things about the scheme

  1. UPS is designed in such a way that central government employees who opt for the scheme can get 50% of their average basic pay of the last 12 months as assured pension on retirement. However, not every employee will be eligible for this option.
  2. According to the official notification of UPS dated January 24, 2025, the assured pension payment under UPS will be as follows:
  3. The rate of full assured payment will be 50% of the 12-month average basic pay immediately before retirement.
  4. However, full assured payment i.e. 50% of the average basic pay of the last 12 months will be given only to the employee who has completed a minimum of 25 years of qualifying service.
  5. What if the qualifying service of an employee is less than 25 years? In this case, proportionate payment will be allowed.
  6. However, the Unified Pension Scheme will guarantee a minimum payment of ₹10,000 per month in case of retirement after a qualifying service of 10 years or more.

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Know what is the objective

The objective of the government is to provide financial security to employees after retirement. UPS is an important step that will secure the future of the employees.