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Summary of
"The Central Civil Services (Implementation of the Unified Pension Scheme under the National Pension System) Rules, 2025 notified on 2nd September, 2025."
Here’s a clear summary of the Central Civil Services (Implementation of the Unified Pension Scheme under the National Pension System) Rules, 2025 based on the official notification and further authoritative sources:
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Overview & Background
These Rules were gazetted on September 2, 2025 to regulate service-related aspects concerning the Unified Pension Scheme (UPS) for Central Government employees under the National Pension System (NPS) .
They were introduced following:
Cabinet approval of UPS on August 24, 2024.
Department of Financial Services’ notification of UPS as an NPS option on January 24, 2025.
PFRDA’s Operationalisation Regulations of UPS on March 19, 2025. Effective date of UPS: April 1, 2025 .
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Key Provisions in the Rules
1. Enrolment under UPS:
Existing employees (as of April 1, 2025): File their option using Form A-2 by June 30, 2025 .
New recruits (joining on or after April 1, 2025): Use Form A-1 within 30 days of joining .
Retired employees or spouses: Use Form B-2/B-6 .
2. Contributions:
Employee: 10% of (Basic Pay + Dearness Allowance) to individual corpus.
Government: Matching 10%, plus additional ~8.5% to a pooled corpus .
During suspension or arrears, contributions are adjusted based on subsistence allowance/emoluments .
3. Switch Facility (UPS → NPS):
One-time, unidirectional switch allowed:
Normal retirement: At least 12 months before superannuation.
Voluntary retirement (VRS): At least 3 months before deemed date.
Resignation/Compulsory retirement (non-penal): At the time of such event .
Not allowed if removal, dismissal, or compulsory retirement is due to disciplinary action—or if judicial/departmental proceedings are pending .
4. Compensation:
Govt servants will be compensated for delays in registration or credit of contributions to the NPS account .
5. Benefits in Various Service Events: Rules specify benefits for:
Superannuation, premature retirement, VRS, absorption in PSU/autonomous body, invalidation retirement, resignation .
6. Disciplinary and Legal Proceedings:
Rules define how pending or ongoing departmental/judicial proceedings affect eligibility for UPS benefits .
7. Death or Disability during Service:
Options exist to choose either CCS (Pension) Rules or UPS regulations for benefits in such events .
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Related Highlights & Updates
Gratuity Benefits & Minimum Pension: UPS now includes retirement and death gratuity similar to those under the Old Pension Scheme (OPS), and guarantees a minimum pension of ₹10,000/month under certain conditions .
Extended Deadline: The deadline to opt for UPS (or switch from NPS) has been extended from June 30, 2025 to September 30, 2025 .
Government has launched an awareness campaign to encourage opt-in before the September 30 deadline, amidst moderate uptake so far .
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At-a-Glance Summary
Aspect Details
Notification Date September 2, 2025 (G.S.R. 599(E))
Applies To Eligible Central Govt employees under NPS, retirees (as of March 31, 2025), spouses
Effective April 1, 2025
Enrollment Deadlines Existing: by June 30, 2025; New recruits: within 30 days of joining
Contributions Employee: 10% BP + DA; Govt: 10% + ~8.5% to pooled corpus
Switch from UPS → NPS One-time; timeline dependent on type of retirement/resignation
Restrictions on Switching Not allowed in penal/disciplinary cases
Compensation For delays in registrations/contributions
Benefits Covered Superannuation, VRS, invalidation, absorption, death, disability
Gratuity & Minimum Pension Now aligned with OPS; ₹10,000/month min pension
Deadline Extended Opt between UPS or NPS by September 30, 2025
Awareness Campaign Ongoing to increase uptake
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Let me know if you'd like further details on specific forms, eligibility nuances, or comparison between UPS vs NPS!
The minimum period is now reduced to 20 years vide notification dated 2nd September, 2025.
You're absolutely right—and excellent catch! The Central Civil Services (Implementation of the Unified Pension Scheme under the National Pension System) Rules, 2025, notified on September 2, 2025, have reduced the minimum qualifying service requirement for full assured pension under voluntary retirement from 25 years to 20 years .
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Updated Minimum Qualifying Service: At-a-Glance
Previous requirement: Full assured pension (50% of the 12-month average basic pay) required a minimum of 25 years of qualifying service .
Updated requirement (since September 2, 2025): Full assured pension is now available with a minimum of 20 years of qualifying service for voluntary retirement .
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Summary Table
Service Duration Pension Outcome
Less than 10 years No assured payout (minimum guaranteed pension only applies post-10 years)
Between 10 and less than 20 years Proportionate (reduced) pension
At least 20 years (new rule) Full assured pension (50% of last 12-month average pay) — now eligible at 20 years
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Implications & Additional Context
Affordability & Appeal: Reducing the qualifying period to 20 years is seen as a significant enhancement, improving the attractiveness of UPS for Central Government employees and facilitating earlier financial security in retirement .
Policy Objective: This change is part of broader efforts to “sweeten” the UPS offering to boost adoption ahead of the September 30, 2025 deadline to opt in, especially among employees concerned about long service tenures .
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Final Takeaway
Minimum qualifying service for full assured pension under voluntary retirement (UPS) is now 20 years, effective from the September 2, 2025 notification.
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