Unified Pension Scheme: Leaders applaud Govt's decision on assured pension for government employees

Met a delegation of staff side from the Joint Consultative Machinery for Central Government employees. They expressed joy on the Cabinet’s decision regarding the Unified Pension Scheme, tweeted PM Modi.

The Union Cabinet's approval of the Unified Pension Scheme (UPS), guaranteeing an assured pension for central government employees, has garnered widespread praise from political leaders and employee representatives. The scheme is expected to benefit 23 lakh central government employees and could extend its coverage to 90 lakh employees if state governments adopt the same framework.

The Union Cabinet on August 24 approved an assured 50 percent of salary as pension for 23 lakh government employees who joined service under the National Pension System (NPS). The National Pension System is applicable for government employees joining the service after April 1, 2004.

Prime Minister Narendra Modi expressed pride in the scheme, highlighting its alignment with the government’s commitment to the well-being of its employees. In a post on X, Modi stated, "We are proud of the hard work of all government employees who contribute significantly to national progress. The Unified Pension Scheme ensures dignity and financial security for government employees, aligning with our commitment to their well-being and a secure future."

Union Home Minister Amit Shah also praised the scheme, emphasizing its significance for government employees. He said Modi govt has reiterated its commitment to the financial security of those who form the backbone of the nation's governance. On X, Shah wrote, "Congratulations to our central government employees on the approval of the Unified Pension Scheme by PM Shri @narendramodi Ji in the Union Cabinet today. With the approval of the scheme, the Modi govt has reiterated its commitment to the financial security of our central government employees, who form the backbone of the nation's governance,"

The announcement has been well-received by government employees. Shiv Gopal Mishra, Secretary of the Joint Consultative Machinery (JCM), a joint form of government employees' organisations, said they were invited by the prime minister for the meeting. "This was for the first time that JCM was invited by the PM. It was a very good meeting. It was a very proud moment for 32 lakh government employees," he told reporters in New Delhi. Mishra said that from now on, employees will get half of their last salary on retirement, besides DA benefits. "We were told that the family pension will be 60 per cent plus the DA. There has been talk of a minimum pension of Rs 10,000," he said. Mishra said the prime minister has taken cognisance of the employees' agitation and called them for discussions. "He has also assured that the government will bring welfare schemes in the future too," the JCM secretary said.

Uttar Pradesh Chief Minister Yogi Adityanath lauded the cabinet’s decision, calling it a step towards ensuring economic security and a brighter future for employees. On X, Adityanath remarked, "The approval given to the Unified Pension Scheme (UPS) given by the Union Cabinet today, under the successful leadership of Prime Minister Narendra Modi, who is continuously dedicated to making the lives of 140 crore countrymen easier, is commendable." "This revolutionary decision benefiting lakhs of central government employees has brought a new sunrise in their lives with the assurance of economic security and a happy future. My heartfelt gratitude to you, prime minister!" he added.

Union Minister G Kishan Reddy highlighted the scheme’s benefits, noting that about 23 lakh central government employees will benefit from the UPS. He tweeted, "Union Cabinet, chaired by Hon'ble PM Shri @narendramodi, has approved the Unified Pension Scheme (UPS), which aims to provide guaranteed pension, family pension, and a minimum assured pension for government employees. UPS ensures that government employees receive 50% of their salary as a pension. About 23 lakh employees of the central government would benefit from the UPS."

Former Union Minister and Lok Sabha MP Anurag Thakur described the scheme as a monumental step for government employees. He tweeted, "The approval of the Unified Pension Scheme for government employees marks a monumental step towards securing the future of those who dedicate their lives to the service of our nation. A heartfelt appreciation to Hon'ble PM Shri @narendramodi ji for his unwavering support and encouragement, ensuring that the backbone of our nation, our diligent workforce, receives the recognition and security they truly deserve. Together, we continue to march forward in the progress of Bharat."

Unified Pension Scheme: 50% salary pension for 23 Lakh employees

The Union Cabinet approved an assured 50 per cent of salary as pension for 23 lakh government employees who joined service under the National Pension System (NPS). The National Pension System is applicable for government employees joining the service after April 1, 2004. It was based on the premise of contribution rather than defined benefit applicable for employees prior to the NPS. Announcing Cabinet decisions, Union Information and Broadcasting Minister Ashwini Vaishnaw said that under the Unified Pension Scheme (UPS), government employees will now be eligible to get 50 per cent of the average basic pay drawn over the last 12 months before the superannuation as pension.

For this full pension or 50 per cent of pay as the pension, he said, the eligibility service length will be 25 years.

Also Read: Unified pension scheme offers benefits of OPS with contributory NPS scheme

However, he said, it would be proportionate for a lesser service period up to a minimum of 10 years of service.

NPS subscribers can now opt for the Unified Pension Scheme (UPS), which offers assured pension applicable from the beginning of the next financial year.