Big achievement💥 Unified Settlement Rule, Unified Pension Rule, United Health care system were the demand on the agenda of BPS for along time. It was the product of thought of our hon'ble Secy Genl who always think for the benefit of all the Pensioners of the country. Govt has considered at least one of these. Now all the CG Pensioners will be regulated by single Pension Rule. Greatful to such thinking of hon'ble Secy Genl /BPS & also the Govt who considered it.🙏🏻LIVE : Union Minister Ashwini Vaishnaw Addresses Press Briefing on Cabi...

TIMES OF INDIA: Unified Pension Scheme: Prime Minister Narendra Modi-led Cabinet has on Saturday approved the Unified Pension Scheme for government employees. The decision was announced by Railway Minister Ashwini Vaishnaw in a press briefing. Vaishnaw said that the new Unified Pension Scheme will benefit 23 lakh central government employees.

Big achievement💥 Unified Settlement Rule, Unified Pension Rule, United Health care system were the demand on the agenda of BPS for along time. It was the  product of thought of our hon'ble Secy Genl who always think for the benefit of all the Pensioners of the country. Govt has considered at least one of these. Now all the CG Pensioners will be regulated by single Pension Rule. Greatful to such thinking  of  hon'ble Secy Genl /BPS  & also the Govt who considered it.🙏🏻

Unified Pension Scheme: Key features and benefits for retirees explained

ByHT News Desk

Aug 24, 2024 08:26 PM IST

Unified Pension Scheme: Union Cabinet approved assured 50 per cent of salary as pension for govt employees under Unified Pension Scheme.

The Union Cabinet has approved a major reform in the pension system by introducing the Unified Pension Scheme (UPS). The introduction of the Unified Pension Scheme comes in response to widespread demands from government employees for changes in the New Pension Scheme (NPS). The NPS, which was implemented in the early 2000s, was criticised for not providing a guaranteed pension amount, leaving many employees uncertain about their financial security after retirement.

Union minister Ashwini Vaishnaw outlined that the Unified Pension Scheme (UPS) is built on five key pillar.

“Government employees have demanded some changes in the New Pension Schemes. For this, PM Modi constituted a committee under the chairmanship of Cabinet Secretary TV Somanathan. This committee held more than 100 meetings with different organisations and nearly all the states,” Union minister Ashwini Vaishnaw said at a Cabinet briefing.

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"Following extensions consultations with everyone, including Reserve Bank of India and World Bank, the committee has recommended a Unified Pension Scheme. Today, the Union Cabinet has approved this Unified Pension Scheme, and it will be implemented in the future," he added.

Five pillars of Unified Pension Scheme (UPS)

Vaishnaw outlined that the UPS is built on five key pillars. The first and most significant pillar is the assured pension, which directly addresses the primary demand of government employees for a guaranteed post-retirement income. The other pillars, which include the assured family pension and the assured minimum pension, further enhance the financial security provided by the scheme.

What are the features of UPS?

Assured Pension:

Under the new scheme, retirees will receive a pension amounting to 50% of their average basic pay from the last 12 months of service before superannuation. This benefit is designed for those who have completed a minimum of 25 years of service. For employees with less than 25 years but more than 10 years of service, the pension will be proportionate to the length of service.

Assured Family Pension:

In the event of an employee's demise, their family will receive a pension that amounts to 60% of the pension the employee was receiving immediately before their death. This provision ensures financial security for the employee's dependents.

Assured Minimum Pension:

The scheme also guarantees a minimum pension of ₹10,000 per month, provided the employee has served for at least 10 years. This measure is particularly significant for employees with lower pay scales, offering them a safety net against inflation and financial uncertainties post-retirement.

·         Unified Pension Scheme for Government Employees (UPS)

·         The Unified Pension Scheme (UPS) is the result of a compromise suggested by Bharat Pensioners Samaj and its affiliate, KCGPA Bangalore, in response to the demand for the restoration of the Old Pension Scheme (OPS) in place of the National Pension System (NPS).

·         Although the UPS emerged as a compromise solution, it is now being credited by many who had initially rejected any alternative to their demand for a full rollback to the Old Pension Scheme. While it's common for people to claim credit for the hard work of others, we take satisfaction in knowing that the outcome will benefit a large number of Central and State government employees.

·         Please visit: https://scm-bps.blogspot.com/2024/08/live-union-minister-ashwini-vaishnaw_24.html

·         S.C.Maheshwari

·         Secretary General BPS