Question
The Unified Pension Scheme (UPS) offers a minimum
guaranteed pension of ____ of the average basic pay over the last 12 months before retirement for employees having at least 25 years of service.ÂSolution
On 24 August 2024, the government announced a new employee pension scheme, the  Unified Pension Scheme (UPS) , effective from 1 April 2025. Currently, all government employees are covered under the  National Pension Scheme (NPS) , which provides a pension based on market-linked investments. Before 2004, all government employees received pensions under the  Old Pension Scheme (OPS) . In 2004, the government introduced the NPS and discontinued the OPS. The government received a backlash from employees for discontinuing OPS. Thus, the government announced the UPS to provide assured pension amounts. However, only employees who are currently subscribers of the NPS, including retirees, can opt for the UPS .  Features of UPS Â
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