UPS shall be applicable to Central Government employees who are covered under the National Pension System (NPS) and who choose this option under NPS.
- It will be operational from April 1, 2025 and Pension Fund Regulatory and Development Authority (PFRDA) may issue regulations for its operationalization.
Salient features of UPS
- Assured pension: 50% of average basic pay drawn over last 12 months prior to superannuation for a minimum qualifying service of 25 years.
- Pension will be proportionate for lesser service period upto a minimum 10 years of service.
- Assured family pension: 60% of the employee's pension immediately before their demise.
- Assured minimum pension: ₹10,000/month on superannuation after minimum 10 years of service.
- Inflation indexation: Applicable to assured pension, family pension, and minimum pension.
- Dearness Relief based on All India Consumer Price Index for Industrial Workers (AICPI-IW) as in case of service employees.
- Lump sum payment at superannuation in addition to gratuity equivalent to 1/10th of monthly emoluments (pay + DA) for every completed six months of service.