New Pension Scheme: The Narendra Modi government on Saturday announced the introduction of the Unified Pension Scheme, giving a gift to millions of employees and pensioners. The Union Cabinet has decided to implement the Unified Pension Scheme from April 1, 2025. Information and Broadcasting Minister Ashwini Vaishnaw has informed that the New Pension Scheme will also be continued. Employees will have the freedom to choose either of these two schemes. Ashwini Vaishnaw has given complete information about the Unified Pension Scheme in 10 points on social media. Let’s take a look at it.
Understand all the benefits of UPS in these 10 points
- Assured Pension: Employees who have worked for at least 25 years will get 50 per cent of their average basic pay of the last 12 months of their service as pension.
- The government will now deposit 18.5 percent of the money in the employee’s pension account instead of 14 percent. However, the employees will not have to deposit more money.
- Assured Family Pension: If an employee dies during employment, his family will receive 60 per cent of his basic pay as family pension.
- Assured Minimum Pension: Provision of minimum pension has also been made in UPS. Under this, people who have completed 10 years of service will be given a minimum pension of Rs 10,000.
- Relief from inflation (Indexation Benefit): Under the new rules, the benefit of indexation benefit will also be available in pension, minimum pension and family pension. Apart from this, Dearness Relief will be linked to the All India Consumer Price Index for Industrial Workers.
- Gratuity: After completing every 6 months of service, 1/10th of the salary and dearness allowance will be added to the gratuity. This payment will not reduce the amount of assured pension.
- New Pension System (NPS): People who have retired under NPS will also be given the benefit of UPS. Apart from this, they will also get arrears on PPF interest rates.
- UPS will be available as an option. Current and future employees will be given a one-time option. Once the choice is made between NPS and UPS, it cannot be changed.
- With the implementation of UPS, more than 23 lakh central government employees will benefit.
- This facility will also be provided to the state governments. If the state governments also choose UPS, then about 90 lakh employees will be benefited.
Cabinet led by PM @narendramodi Ji, has approved the Unified Pension Scheme (UPS), effective from April 1, 2025.
🧵Understand UPS in 10 points.👇 pic.twitter.com/9EkO5v8QBi
— Ashwini Vaishnaw (@AshwiniVaishnaw) August 25, 2024
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