Cabinet approves Unified Pension Scheme for central govt employees

New Delhi: The Union Cabinet, chaired by Prime Minister Narendra Modi, today approved the Unified Pension Scheme (UPS) for government employees providing for assured pension, family pension and assured minimum pension.

Under the assured pension scheme, the beneficiary will get 50 percent of the average basic pay drawn over the last 12 months prior to superannuation for a minimum qualifying service of 25 years.

The pension drawn will be proportionate for lesser service period up to a minimum of 10 years of service.

“Today the Union Cabinet has approved Unified Pension Scheme (UPS) for government employees providing for the assured pension…50% assured pension is the first pillar of the scheme and second pillar will be assured family pension,” said Union Minister Ashwini Vaishnaw.

About 23 lakh employees of the central government would benefit from the Unified Pension Scheme (UPS)..There will be an option for the employees to opt between NPS and UPS, he said.