31,500+ Central Govt Staff Opt for Unified Pension Scheme Till July 20: Finance Ministry

More than 31,500 Central Government employees have opted for the Unified Pension Scheme (UPS) under the National Pension System (NPS) as of July 20, 2025. The update was shared in Parliament on July 28, 2025, with Finance Minister Nirmala Sitharaman providing detailed figures and policy highlights in a written reply to the Lok Sabha. 

The enrolment window for UPS remains open until September 30, 2025, following an extension granted by the government after receiving employee feedback.

Enrolment Status and Claim Processing Update

In her reply, Finance Minister Sitharaman stated, “As on July 20, 2025, at least 7,253 claims have been received and out of which 4,978 claims have been processed for payment of benefits under UPS.” Supporting her statement, Minister of State for Finance Pankaj Chaudhary also confirmed, “As on July 20, 2025, 31,555 employees have opted for UPS.” The UPS was introduced as a new option under NPS from April 1, 2025, designed to offer assured payouts to employees opting for the scheme.

Extended Enrolment Window and Eligibility Conditions

Based on representations received from employees and associations, the government decided to extend the cut-off date for opting into UPS by three months, now allowing enrolment until September 30, 2025. Sitharaman explained that “as per eligibility criteria, there are 25,756 retired Central Government subscribers eligible to receive additional benefits under UPS.” These include employees who have either superannuated, passed away, or retired under Fundamental Rules 56(j) on or before March 31, 2025, after completing at least ten years of qualifying service under NPS.

Benefit Provisions and Tax Exemptions

The government has also extended the benefits of “Retirement gratuity and Death gratuity” under UPS. Furthermore, employees who choose UPS under NPS will be eligible to opt for benefits under the Central Civil Services (Pension) Rules, 2021 or the CCS (Extraordinary Pension) Rules, 2023, in the event of death during service or discharge due to invalidation or disablement. Tax benefits similar to those provided under NPS have also been extended to UPS under the Income Tax Act, 1961.

Also Read: Ladki Bahin Scheme: Maharashtra Govt Removes Over 26 Lakh Ineligible Beneficiaries!

Conclusion

With over 31,500 employees already enrolled and nearly 5,000 claims processed, UPS has seen substantial traction among Central Government staff. While the government has made clear there is “no proposal under consideration to extend such benefits to other pension schemes or sector,” the UPS remains a critical retirement choice for eligible NPS subscribers within the Central Government. The final deadline for new enrolments stands at September 30, 2025.

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