Will a center restore the old pension scheme for central government employees? Will NPS be abolished? Highlights from the massive OPS gathering – Money News

Old pension scheme: Thousands of employees from the Centre, states and Union Territories (UTs) gathered at Jantar Mantar in the national capital for a massive rally on November 17, demanding restoration of the old pension plan (OPS) and the abolition of the old pension plan. National Pension System (NPS).

There are around 60 lakh government employees covered under the NPS. The Center introduced the NPS in 2004, replacing the OPS which guaranteed a pension equivalent to 50% of an employee’s last drawn salary. All central government departments and autonomous bodies governed by the Center have been brought under the NPS. Only the armed forces were kept outside the scope of the NPS.

Reflecting on the recent agitation at Jantar Mantar in Delhi, the All India NPS Employees Federation (AINPSEF) led the protest in which government employees expressed their dissatisfaction with the NPS and demanded restoration of the ‘OPS. AINPSEF has over 5 lakh members.

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This agitation took place despite the government’s recent announcement of the Unified Pension Scheme (UPS), which will come into effect from April 1, 2025. The OPS, like the NPS, is a contributory pension scheme, but it guarantees a pension equivalent to 50% of income. the last salary received, similar to the provisions of the old pension plan.

UPS vs. NPS

Despite UPS’s announcement, NPS will remain in place because the government has given employees the option to choose between the two.

As demand for OPS intensifies, questions are being raised as to whether the government will reverse its decision and restore the old pension system for its employees.

After many employee unions expressed dissatisfaction with UPS’s announcement, the government ruled out its withdrawal.

At the rally, prominent employee union leaders unanimously urged Prime Minister Narendra Modi to consider their demands. They say the restoration of OPS will not only secure the future of civil servants, but also strengthen their trust in the government. If action is not taken quickly, the movement will intensify and protests will take place across India.