The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, on 24 August 2024 approved the Unified Pension Scheme (UPS) for the central government employees.
The features of UPS are:
- Assured Pension: 50% of average basic pay for the last 12 months prior to retirement for a minimum service of 25 years (proportionate for service less than 25 years, minimum 10 years).
- Assured Family Pension: 60% of the pension immediately after the employee’s demise.
- Assured Minimum Pension: ₹10,000 per month after 10 years of service.
- Inflation Indexation: Applied to pension, family pension, and minimum pension.
- Dearness Relief: Based on All India Consumer Price Index for Industrial Workers (AICPI-IW).
- Lump Sum Payment: At retirement, 1/10th of monthly emoluments for every completed six months of service, in addition to gratuity.
- Beneficiaries: 23 lakh central government employees.
- Effective Date: From 1st April 2025.
Q.: What does UPS stand for in reference to benefits for government employees?
(a) Unified Payment System
(b) Unified Pension Scheme
(c) Universal Pension Service
(d) Union Payment Scheme
Answer: (b) Unified Pension Scheme
The Union Cabinet, on 24 August 2024 approved the Unified Pension Scheme (UPS) for the central government employees.
Q.: What is the assured family pension percentage of the employee’s pension after their demise?
(a) 50%
(b) 55%
(c) 60%
(d) 65%
Answer: (c) 60%
Assured Pension under UPS: 50% of average basic pay for the last 12 months prior to retirement for a minimum service of 25 years
