Over 1.22 lakh central govt employees, including new recruits opt for Unified Pension Scheme

New Delhi: A total of 1,22,123 central government employees, including new recruits, serving staff and past retirees, have opted for the Unified Pension Scheme (UPS) as of November 30, 2025, Parliament was informed on Monday.

Minister of State for Finance Pankaj Chaudhary, in a written reply to the Lok Sabha, said the government has provided a one-time, one-way option for employees who have opted for UPS to revert to the National Pension System (NPS) at any stage during their service, subject to specified conditions.

However, this facility will not be available in cases of removal, dismissal or compulsory retirement imposed as a penalty, or where disciplinary proceedings are ongoing or contemplated.

The Unified Pension Scheme came into effect from April 1, 2025. The window to exercise the option to join UPS was initially open until June 30, 2025, and was later extended first to September 30, 2025, and then further up to November 30, 2025.

Chaudhary said the government has notified the Central Civil Services (Implementation of the Unified Pension Scheme under the National Pension System) Rules, 2025, to regulate service-related matters of central government employees opting for UPS.

Under the scheme, employees completing a minimum qualifying service of 25 years will be entitled to an assured payout equal to 50 per cent of the average basic pay drawn during the last 12 months prior to superannuation.

The payout will be proportionate for employees with a shorter service period, subject to a minimum qualifying service of 10 years. In addition, after completing at least 10 years of service, an assured minimum pension of Rs 10,000 per month will be payable on superannuation.

The minister further said that the family payout under UPS will be 60 per cent of the total admissible pension amount and will be payable to the legally wedded spouse. Children will not be entitled to receive the 60 per cent assured family payout under the scheme.

Replying to a separate question, Chaudhary said gross non-performing assets of public sector banks declined significantly from 7 per cent in 2020-21 to 2 per cent in 2024-25, reflecting an improvement in the asset quality of education loans.

He said credit-related matters of regulated entities are largely deregulated and governed by board-approved loan policies framed in line with regulatory and statutory requirements, as well as the terms of loan agreements.

The Reserve Bank of India has advised banks to take credit decisions in accordance with such board-approved policies.

Chaudhary highlighted the PM Vidyalaxmi scheme, launched on November 6, 2024, which offers meritorious students admitted to top institutions collateral-free, guarantor-free education loans through a simple and transparent application

process.