Key Features of the Newly Approved Unified Pension Scheme (UPS)
The Union Cabinet, led by Prime Minister Narendra Modi, has approved the Unified Pension Scheme (UPS). Key benefits include assured pensions at 50% of the average basic pay for a minimum service of 25 years, family pension at 60% of the employee’s pension, and a minimum pension of ₹10,000 per month. The scheme also includes inflation indexation, Dearness Relief, and a lump sum payment at superannuation.
Posted On: 24 AUG 2024 8:33PM by PIB Delhi
The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, today approved the Unified Pension Scheme (UPS).
The salient features of the UPS are:
- Assured pension: 50% of the average basic pay drawn over the last 12 months prior to superannuation for a minimum qualifying service of 25 years. This pay is to be proportionate for lesser service period upto a minimum of 10 years of service.
- Assured family pension: @60% of pension of the employee immediately before her/his demise.
- Assured minimum pension: @10,000 per month on superannuation after minimum 10 years of service.
- Inflation indexation: on assured pension, on assured family pension and assured 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
1/10th of monthly emoluments (pay + DA) as on the date of superannuation for every completed six months of service this payment will not reduce the quantum of assured pension
Source: PIB