Bhubaneswar: The Odisha government is set to implement the Unified Pension Scheme (UPS) for its employees. The state Cabinet in its meeting held on Friday decided to implement this system for those government employees who are considered eligible for pension under the NPS system.
Chief Minister Mohan Charan Majhi, who chaired the Cabinet meeting, briefed the media about the decisions on Saturday.
Majhi said that implementation of the Unified Pension Scheme (UPS) for the government employees in the state was among the eleven proposals approved by the state Cabinet.
Following are the salient features of the UPS:
– Assured Pension: For a minimum qualifying period of 25 years, a pension of 50% of the average basic pay or basic pay earned in the 12 months preceding retirement will be available. Pension will be available pro rata for the period of service starting from a minimum period of 10 years up to 25 years.
– Assured Family Pension: A family pension of 60% of the pension that the employee was drawing before death will be available.
– Assured Minimum Pension: A monthly pension of Rs. 10,000 will be available after retirement after completing a minimum period of 10 years of service.
– Inflation-adjusted pension: On top of guaranteed pension, guaranteed family pension and guaranteed minimum pension, dearness relief will be available for industrial workers in the case of service employees based on the Consumer Price Index.
– Lump sum after retirement in addition to gratuity: One-tenth of the monthly salary drawn on the date of retirement will be available as a lump sum for every complete six months of service. The amount of guaranteed pension will not be reduced due to this amount.
Employees under NPS can decide to opt for UPS or remain affiliated with NPS.
In UPS, there will be a guaranteed family pension benefit in case of death of a government employee after retirement, which was not available in NPS.
