In lieu of NPS, OPS offers a one-time pension alternative

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The Department of Pension and Pensioners’ Welfare has issued another office memorandum regarding coverage under the Central Civil Services (Pension) Rules, 1972, in lieu of the National Pension System, for those Central Government employees whose selection of appointment was finalised before January 1, 2004, but who began government service on or after January 1, 2004.

In place of the National Pension System, the Department of Pension and Pensioners’ Welfare offered Government employees a one-time choice to be covered under the Central Civil Services (Pension) Rules, 1972.

This option was available to persons who were judged successful for recruitment in results announced on or before December 31, 2003 for vacancies occurring before January 1, 2004, and who joined the National Pension System on or after January 1, 2004. According to the office memorandum dated 17.02.2020 and 31.03.2021, such one-time options had set cut-off dates for various actions included in the option exercise process.

It has been brought to the Department of Pension and Pensioners’ Welfare’s attention that, despite Government employees’ submission of options within the statutory time limit, some offices may not have decided these options within the stipulated time schedule of these activities. Cut-off dates for case processing were established to guarantee that cases were dealt with in a timely manner and that employee grievances were resolved more quickly.

In the Department’s most recent note, it is stated that these cut-off dates should not be used as an excuse to not process an option given by a government employee in a timely manner, and that all Ministries and Departments should take appropriate action on the options exercised by government employees within the timeframe specified.

All government employees appointed on or after 01.01.2004 to jobs in the Central Government service (excluding the armed forces) are required to participate in the National Pension System (NPS). The Central Civil Services (Pension) Rules, 1972, and related rules were also changed, and they no longer apply to government employees hired after December 31, 2003.

The government, on the other hand, had received representations from government personnel appointed on or after 1.1.2004 demanding benefits under the Central Civil Services (Pension) Rules, 1972 on the grounds that their appointment had been delayed due to administrative reasons or lapses.

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