New Retirement Benefits for Central Government Employees Announced

The Central Government has unveiled new provisions enabling employees to access partial pension benefits upon choosing voluntary retirement after 20 years of service. Detailed in the Central Civil Services Rules, 2025, these regulations are set to transform pension schemes for workers under the National Pension System.

Under the newly notified rules, employees who decide to retire voluntarily after completing two decades of service will receive a pro rata payout. This benefit is calculated by dividing their years of qualifying service by 25 to determine the prorated payout of the assured amount. The payout kicks in from the date of superannuation.

Additionally, retirees will be eligible for other entitlements like withdrawal of the individual corpus, lump sum benefits, and insurance benefits. In unfortunate events of death before payout commencement, the legally wedded spouse will receive family payouts. Manjeet Singh Patel of the All India NPS Employees Federation welcomes the change, highlighting its importance for those in demanding roles.

(With inputs from agencies.)