Pension: The government gave a gift before Diwali, this is how employees who took VRS after 20 years will now get their pension..

Pension: Good news for central government employees. The Ministry of Personnel said on Tuesday that under recently notified rules, central government employees are entitled to a "pro-rata assured payment" upon opting for voluntary retirement after completing 20 years of service. This means that employees are entitled to receive a guaranteed payment, or pension, upon opting for voluntary retirement. This is nothing short of a Diwali gift for central government employees.

The Department of Pension and Pensioners' Welfare notified the Central Civil Services Rules, 2025, in the official gazette on September 2. These rules regulate service matters related to benefits under the Unified Pension Scheme for central government employees who have opted for UPS as an option under the NPS.

The Ministry issued a statement providing information.
These rules, among other things, provide employees opting for UPS the option to voluntarily retire from service after completing 20 years of service.

The ministry said in a statement, "Under the Unified Pension Scheme, the full assured payment is available only after completing 25 years of qualifying service. However, if a subscriber opts for VRS (Voluntary Retirement Scheme) after completing 20 years or more of service, the assured payment will be payable to the subscriber on a pro-rata basis. That is, the benefit of the pension or fund created will be paid to them on a pro-rata basis.

The benefits of all these will also be available.
This payment will be payable to employees only after the date of retirement. The statement said, "Other benefits such as final withdrawal of 60 percent of the personal fund and lump sum benefit of 1/10th of the basic pay and dearness allowance for each six months of service, retirement gratuity, leave encashment, CGEGIS (Central Government Employees Group Insurance Scheme) benefits can be availed on retirement."

Furthermore, in the event of an employee's death after opting for VRS but before the assured payment commences, the family payment will be paid to the legally married spouse from the date of the employee's death.

Welcoming this amendment, Manjeet Singh Patel, national president of the All India NPS Employees Federation, said this is a much-needed step for all central government employees, especially paramilitary personnel who work in extremely difficult conditions.

"This will help all those employees who are unable to continue serving in the department after completing 20 years of regular service," Patel said.

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