Government allows one-time pension scheme change: UPS members can move to NPS; deadline fixed for September 30

The Finance Ministry has launched a single-use, unidirectional change possibility for central authorities workers who opted for the Unified Pension Scheme (UPS) to return to the National Pension System (NPS). The move provides workers and eligible retirees extra readability on their pension selections because the September 30, 2025 deadline approaches.Strict guidelines for switchingAccording to the ministry, the change from UPS to NPS can be exercised solely as soon as, and workers is not going to be allowed to revert to UPS thereafter. The possibility is permitted both a 12 months earlier than superannuation or three months earlier than voluntary retirement.The facility will not be accessible to these going through elimination, dismissal, obligatory retirement as punishment, or ongoing disciplinary proceedings. Employees who don’t make use of this provision throughout the specified interval will robotically stay underneath UPS.The ministry has additionally clarified that those that select to proceed underneath NPS by September 30, 2025, can’t decide for UPS later. Conversely, current UPS members now have a single, everlasting alternative to move again to NPS, topic to these situations.Features of the Unified Pension SchemeThe Unified Pension Scheme, which got here into impact on April 1, 2025, serves in its place to NPS for central authorities workers, providing assured retirement advantages. It ensures a minimal month-to-month payout of Rs 10,000 for workers who full at the very least 10 years of qualifying service, supplied contributions are common and no withdrawals are made.In the occasion of a pensioner’s loss of life post-superannuation, 60 per cent of the final payout will go to the legally wedded partner, as recognised on the time of retirement. However, the assured payout is not going to be accessible in circumstances of resignation, dismissal, termination, or superannuation earlier than finishing 10 years of service.