Deadline Nears for Central Government Employees to Opt for Unified Pension Scheme

The Ministry of Finance has announced a critical deadline for central government employees and retirees under the National Pension System (NPS). By September 30, 2025, they must decide whether to switch to the Unified Pension Scheme (UPS). After this date, transitioning from NPS to UPS will no longer be possible.

Employees are urged to make their decisions ahead of the cutoff to prevent last-minute hurdles. A statement from the Department of Financial Services (DFS) indicates a one-time switch option, allowing shifts from UPS back to NPS under certain conditions. However, this option is constrained by employment status and pending disciplinary actions.

The initiative is designed to grant employees flexibility in managing their pension plans, ensuring informed financial decisions post-retirement. The Ministry reassures that while UPS offers advantages, a return to NPS is possible, provided the requirements are met.

(With inputs from agencies.)