Public sentiment is largely negative towards the Unified Pension Scheme (UPS), with widespread calls for reinstating the Old Pension Scheme (OPS). Many commenters voiced concerns about the inadequacies of UPS compared to OPS and the National Pension Scheme (NPS), particularly regarding pension initiation age and the lack of benefits for private sector employees. Frustration surrounds the perceived complexity of the scheme, insufficient transparency from the government, and a deep mistrust of the intentions behind the new pension structure.

Government of India

BJP Party

I wonder what options will be given to govt employees who have already made contributions in the NPS and want to switch to UPS.

lhatm

Absolutely trash. Give pension or medical facilities to those who are paying taxes regularly not who are stealing taxes regularly...

RunPool

Old wine in a new bottle. They have still kept the requirement of employee contribution of 10% from salary but the pension at the end is assured - it is delinked with the returns on the contribution. Govt contribution will be 18.5% which govt will increase or decrease periodically based on actuarial assessment.

So, any gap between assured pension and actual returns on contribution will obviously be fulfilled by govt from other sources. 

Private sector taxpayers only have taxes to pay, including funding corruption indirectly &amp; pensions also with no benefits to enjoy. Sad to see the prosperity the country has got because of the private sector boom since liberalisation in the 90s and yet the disdain private sector employees always get.

At this point, with the kind of data collection IT has managed, it is actually possible for them to give specific relief to private sector employees based on whose Form 16 are getting filed by private companies and whose PF goes to Private Company Trust or EPFO. This year, I got to know about the 20 rupees interest deposit in an old bank account I have not used for a long time - thanks to that AIS page of the IT department. But of course, they won't do it.

djch1989

There's a catch.

Pension is to be paid out from the accumulated corpus. Govt will fund the gap for which it will maintain another corpus.

  
Individual is allowed to withdraw upto 60% from the corpus at retirement but pension would be reduced proportionately. Financial burden on the govt would still be very much less than OPS. Its a middle ground between the two and govt might even benefit in a few cases.

OverArtist3

Refurbished format of Old Pension system where govt wld increase their contribution to  ~ 18.5 % for people to accomodate it quickly. 

My thoughts -- 
1. Govt wants to retain people's money and r expecting us to work and generate revenue for them. 
2. People hv stopped working / thinking good for the common good. 
3. BJP has started going with flow wrt politics. At last, everyone r the same.........loosing their national temperament. 
4. NPS can be made the best pension system in the world. Nobody wants to do it for the betterment........ better to say IAS is good only for implementation,  not policy making work. No IAS officers including the current EC doesnt want the country to prosper.

[deleted]

And we have to pay for these people who will sit study for exams form 22 till 36+ and then will do corruption and still we have to pay for there pension

Suspicious_Cat_4219

Minimum 20 yrs of govt service is now made 25 years. And even those who served 10 yrs get 10,000 minimum pension. It means pension of approx Rs 1000 per year of govt service. 

We have to see how EPFO minimum pension gets revised. Maybe that will also happen in a year or two.

htcjsb

Any link that can be read for more detailed information? For example, what happens to NPS now? What happens to the thousands of corporate employees who have also invested in NPS?

geekybrains

Inflation indexation will be provided to pension scheme.

But it will not be provided to income tax slabs. Same tax slabs are there since 2014 (old one). 
And now It will also not be provided to long term capital gains.

Wah... Nice.

sleepysoul13

As a member of the public, the opinion of government servants is based on our interaction with them directly or indirectly. The average person just sees a rude, inefficient leecher of his taxes. That is why there is so much disgust for this measure.

jaganm

Middle class is just a fucking cashcow that's all. They are born to pay taxes and die paying EMIs. The private middle class is the biggest chutiya and the most brainwashed in this country. 

We have to develop a union or a body..we have to come on the streets. That is the only solution to fight injustice. Otherwise your tax will continue to be transfered to that gawaar govt babu's pension who will still tell you ki "lunch ke baad aana" or "give me X Rs under the table for your work to be done" . That's what we get in return for sponsoring their salary and now pensions. 

The initial idea when NPS was extended to the pvt sector was for the pension format to be the same across sectors. Like the 401k system of the USA. Govt employees getting fixed pensions "OVER AND ABOVE" EPF was not considered good both as policy as well as for health of state exchequer. Still, even with NPS, it was not exactly egalitarian. Private employees were contributing entire Corpus of their NPS while government employees were getting 14% aid from the government. This was still somehow tolerated by the private citizens of India. But going back to OPS? This is just vote bank politics and nothing else. It's not the job of taxpayers of the country to sponsor the pensions of government employees. They should all get market linked pensions as happens in all developed countries. We are going back to the dark ages.

ManSlutAlternative

Its basically a system to suck the taxpayer's blood dry to fund the fat bureaucracy in India. Indian bureucracy has become blood thirsty leaches like the Pakistani military.

arjun_prs

Why different pension schemes? There should be one  pension scheme for both government and private individuals. The individual should contribute to the pension scheme as required.
Why are government employees treated as special? Most of them do not do work and are involved in corruption.
Only services like defence, police etc. where life is at high risk there should be well defined pension scheme from government.

Plane-Put3298

Nice try, but they are still going to get walloped in Maharashtra and Haryana. I expect after the Maharashtra loss, they will go full socialist like Congress and start announcing free electricity and free monthly pay checks for everyone. But even after that they will still lose Haryana. After the second loss I’m not sure, maybe middle class will have to pay 50k per month to have a job.

the_storm_rider

It’s gross injustice to everyone but govt employees.  

All pension should be made 100% contributory with no burden on the tax payer just like it is for private sector employees.

slackover

Almost everyone who is venting here is misunderstanding the state govt. Employees with the central government. I invite you to visit the central secretariat at least once in your life, or visit the income tax office or excise or department of posts or ED or CBI. 

You all will have immediate respect for these services. People who are working in ED and CBI, they literally work 70 hours a day. Govt. has already abolished low level posts in the central secretariat, the entry level post is Assistant Section Officer ie. Level 7 posts, all other posts like MTS, JSA, SSA have been abolished  and outsourced and these 3 used to be about 50% of total sanctioned posts in a ministry. 

Your anger should be on the state government machinery where corruption is rampant. In the central government there is literally a 99% reduction in corruption cases of the income tax department due to the faceless assessment system. Govt. Will soon bring this system into customs as well as GST, in the central secretariat you can't earn a single penny outside your monthly emoluments. Moreover if you think one has to work less please visit the above mentioned offices once. 
Infact several instances of suicide have been observed in ED, Dept. Of Posts and CBI due to work pressure. 

Ffs don't compare central government employees with rotten state government systems.

Fun-Tangerine2140

Will be given a choice between nps or ups???

Slow_Restaurant_6759

Will pensions in UPS get revised with pay revision like in OPS?

billfruit

And who’s going to pay for this? Mostly taxpayers who have no pension, no safety net?

koyyandai

u/thwitter

Q1. Is it for state government or central government employees?

Q2. My father has completed 25 years of his service and retired in 2023, so will he be eligible for this pension?

Desperate_Pumpkin168

No pension for 12 hour working private employee, but govt is ready for more pension for 7 hr working employees.(no account of efficiency or efficacy)

1. Considering the tax rate, think that you are working 5 months out of 12 months to pay for government personal Tax.
2. Instead of bringing in any accountability of work and appraisal review, govt employee are just given free hikes and also back dated hikes and pension also - is this right? who is bearing this, the tax paying junta who doesn't have any time to stand and protest as they are busy working
3. Instead of increasing tax base and curtailing bribing, freebies is the way for this govt is working.
4. The bridges made with reduced money( due to corruption) Fall and cause damage to common human, which govt employee has taken responsibility accountability?
5. We have to get out of mindset govt job and one is set for life. That's not how india will grow or become developed.

dabster7000

Hum berozgaro ko kya krna in schemes s 😔

Orion_mta

&gt;This payment will be 1/10th of the employee's monthly emoluments (including pay and Dearness Allowance) for every completed six months of service

This is an eye opener and funny. No corpus at end? Wtf

Busy-Mongoose-1487

_ML_AI_

At any point I can say that the level of corruption in centra gov. employees compare to the private ones are significantly low. So refrain yourself from thinking that anyone is doing a favour by paying taxes.

Dramatic-Canary-4456

Can some CA explain with proper detail, wether it will help Or not?

whiteshirt69

01at3sa1ad

The biggest drawback I find is that the amount contributed in the fund will be invested in debt. 
Usually people investing in such schemes have a long time horizon of 20-30 years. 
And even an SIP in a basic index fund would generate better returns

Earlier people were crying for NPS without even knowing the depth of it and ask to withdraw it and now after UPS they will cry for it too with no reason. Indians are always unsatisfied.

Personal_Floor4119

When I initially read about this, it seemed to just be a wrapper applied to nps and the govt would guarantee a minimum and make up the shortfall. 

This I feel should have been done from the beginning to make NPS more palatable to the public. Not sure why that wasn't done. I mean, if you are going to get people to contribute to their own pension plan and then guarantee a minimum payout anyway, this sounds like a better option for the armed forces rather than the current agniveer scheme. 

Cause, the govt likely won't really need to contribute any difference when paying out the pensions. The NPS pension plans have been earning decent returns afaik.

Aah so this was the Joomla they pulled to placate govt officials. While us pvt employees are getting rod put in our a** Hole

Thin-Theory-4805

In NPS for central govt employees, you can maximum have LC50 Auto Choice. That makes NPS not that good of a scheme for central govt employees. When compared with that, UPS seems like a better option as the returns are not that great.

satvikbrahman

There is a correction. No corpus withdrawal is permitted in ups

Flynnrider93

Ups is totally flawed scheme, under ups you will only be eligible for pension once u achieved your superannuation date i.e. 60 years of age. Ups is a proper jumla by bjp. Schemes like ups is starting of demise of bjp. Salaried class and small businesses are suffering under this government from long

vishanshu

UPS is like NPS but with a guarantee of 50% basic pay. In the long term due to market compounding always you will be getting more than that.

Independent_Tour4500

12-14 % returns cannot be sustained over a period of 25 year. The kind of returns seen in the last decade or two are highly unlikely to be repeated. This is notwithstanding the fact that under NPS the exposure to equities keeps decreasing with age

Southern-Run9093

If you are in a New Pension Scheme and there is no employer contribution, then NPS no longer makes sense.

For example, I am in the 30% bracket, new regime and employer is dilly-dallying on the employer contribution (it is a small company) - therefore no longer sensible to invest in NPS. I stopped my NPS today.

firedtoday098

People need to understand a few things about this OPS debate:

1. Most countries have moved away from such a system and in India this will benefit only a very small set of people. It would be better to fight for a universal pension/social security system that benefits all. As for govt employees they should fight for improving the NPS system.

2. If this system is implemented, there will be a fall in regular govt hiring. You can already see this in HP where they implemented OPS(that too not even fully). Govts will move towards contract/outsourced hiring.

3. Future pay commissions will give more subdued hikes, salaries were increased a lot when NPS was implemented, if OPS is back, the future hikes will take that into consideration and salaries will fall.

v00123

obviously. OPS means giving money to someone. NPS is essentially investments in stocks, funds etc.

AkaiAshu

Ops sucks and it's really bad for economy

Miserable-Sweety

Congress should go one step further and give job to the child after the demise of govt. employee. /s

Open-Evidence-6536

OPS is a terrible idea, govt employees form less than 2 percent of the population and this will give them huge share of pie which should be distributed to other poorer population. 

All failed states like Venezuela, Cuba , Argentina have suffered due to this crisis
If India were rich , it could still be possible but it just can't afford it.
People don't understand that all this money has to be generated from somewhere and not thin air

wasbatmanright

Man, Congress seems to be scary now if elected in our state as the govt employees and the people looking to become govt employees would vote for OPS and the govt would destroy the state's economy in the process.

Any party saying they are providing free services, its coming out of your tax money, infact you pay more for the said free service.  Not sure why people do not understand.

TimeVendor

Congress stubborness on OPS shows that it cannot manage its government and has no vision for development. Karanata government is struggling.  Voting for congress government will put states under severe distress.

phonechor

Who stopped OPS (Old Pension Scheme) and started NPS (New Pension Scheme)?

Elected Leaders?

Are they currently receiving some variation/flavor of OPS?

If yes, stop their pension first and bring them under NPS to set a proper example to the democracy of India that NPS is good. Also, give all the elegible persons Old pension arrear one time payment as long as the Elected Leaders got their Old Pension then after that NPS will start.

If no, ignore me.

&amp;#x200B;

If they have to give something to citizens then only it's costly. If elections are coming freebies do not cost a cent. 

If they want to extort money from the citizens then we have to pay no matter what.

&amp;#x200B;

Gormint Aunty was right:

" यह बिक गई है गोरमिंट, ....   "

Applicable to each and everyone of our elected leaders.

HarmoniumChacha

Wish that people could have been kinder to govt servants as well. They get pennies as salary and yet they are the devil now for asking ops. When they join service they are barred from taking any other kind of job making them useless for any post retirement job. A govt servant retiring at the age of 60 hardly gets 50k salary after all the deductions( don't give the bs of 2 lac salary, only the secretaries get that much). Reduce that amount to pension and it is around 20k per month for ops. Yet they are the ones who kept working while people were scared during COVID. Under BJP , there is very little remaining of Babu culture. I ,as a railway servant, work around 10hrs a day and have to be available 24hrs a day. Yet when I will retire all I can get is around 1 crore in nps ( corrected for inflation after 30 years). If the share market crashes I will get less than that.

souravtxt

Ridiculous comments. Most of you for or against are too sentimental without providing any evidence. And I don’t understand the random hate towards all government employees. Sure some don’t work, but some private sector employees don’t work either and are handsomely compensated. I’ve seen many such people during my time in private sector. 

And there is no corruption in private sector? All government employees pay tax. All of the unregulated private sector seems to be enjoying their life not declaring taxes. I have friends whose families have built multi crore houses by evading taxes. Tax payer percentage is 1-2%, most of the non payers are from private or unregulated sector. 

Again I’m not defending corruption but the straight up hate is kinda disgusting. Not saying anything about OPS or NPS either and people commenting should say cons of this instead of brushing all government employees as bums.

nubpokerkid

Apprantely no pension schemes are costly even for the 1 day MPs or MLAs !!

If old India was capable of managing OPS then new India is very much so especially with the shrinking public sector jobs. And every retard who oppose OPS is probably from BJP cum Sanghi IT cell or just a retard... pretty much every country in the world who boats to be in the top 5 economies have some sorta pension schemes and not just a mockery in the name of pension like the one we have in India.

That's why we need it right now! Building highways, roads etc. isn't stopped because it's costly.

chiguy_1

If the gov can give pension, salary, house ,plane ticket train ticket ,and countless other benefits to MPs and MLA why cant gov give pension to their employe which have work 30yr why is the dual standard

Significant_Ad9221

Doesn't matter, stop pensions for politicians as well.
Why this hypocrisy?

Aryansaheb

My 2 cents of advice if u can think and reply back after reading it. ---

I wld be saying huge NO towards both. 

1. NPS is best product... however being said 40% grey area exists due to irregular insurance companies still unregulated by IRDA.... which wld ur 40 % corpus for pensions..... thats huge
We r not prepared for defined non-inflation indexed pensions in future.... india is a superpower in making.... spending economy is anticipated. 

2. UPS --- half copied form of OPS but still better in avoiding govt burden. However, nothing has yet come out  wrt rules. Still better alternative to NPS as it draws similarities with OPS...... still govt has to bear burden to pay ur pension from taxpayer money...... for satisfying someone's whims and fancies, the govt had decided to bring the taxpayer money. 

3. U can allocate the same proportion to ur own ideal index fund --- DIY Pension fund method. Not beyond 1.5 Cr is rqd for setting up base pension post retirement --- can be done on ur own thru multiple Jeevan Utsav policies. It wld evolve expenses higher than the NPS/UPS but i wld say atleast u know what has to be done..... ir 100% in ur hands. U can make ur own pension (assume 25% of ur salary per annum as lumpsum into the index fund of ur choice). U can hv salary like SWP equivalent to ur last drawn salary. 

4. Govt shd actually make PFRDA the pension provider instead of insurance companies who wld eat up all ur money. --- SC in recent judgement for a case said that the state doesn't hv any rights to confiscate private property. This gave a notion that govt can hv a hand on ur pension money which makes sense. I m very much against the notion. 

Better write a letter to them stating u only want gratuity and no Qs asked Health insurance and keep quiet. If u wld give in writing to the relevant govt guys, u can save urself and as well the govt won't disturb u...... i haven't seen anywhere which had stated pension thru govt is mandatory. Govt wld be happy to see you not depending on the govt  for pension alone..... ur job promotions await u.

I wld do it this way..... it gives a good impression for people to see u as a good officer.

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Unified Pension Scheme Benefits for Government Employees

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