New Delhi: The Ministry of Finance has announced that 30 September 2025 will be the last date for eligible Central Government employees and past retirees under the National Pension System (NPS) to opt for the Unified Pension Scheme (UPS).
The Department of Financial Services (DFS), in a statement released today, urged employees to exercise their option well before the deadline to avoid last-minute hurdles and ensure smooth processing of requests. Officials clarified that once the date lapses, those who remain in NPS will have no further opportunity to shift to UPS.
The Unified Pension Scheme was formally notified earlier this year through Notification No. F. No. FX-1/3/2024-PR dated 24 January 2025. In a subsequent directive, DFS issued Office Memorandum No. 1/3/2024-PR dated 25 August 2025, introducing a one-time, one-way switch facility for employees who had already enrolled under UPS, enabling them to revert to NPS under specific conditions.
Key features of the switch facility include:
- The switch can only be exercised once, with no provision to return to UPS thereafter.
- Employees must exercise the switch at least one year before superannuation or three months before voluntary retirement, whichever comes earlier.
- The facility will not apply in cases of dismissal, removal, or compulsory retirement as a penalty, nor where disciplinary proceedings are pending or contemplated.
- Those who fail to act within the stipulated timeline will continue under UPS by default.
The government has emphasised that the initiative is designed to give Central Government employees flexibility in planning their post-retirement financial security. Employees who move to UPS now will still retain the option to shift back to NPS once, but not vice versa.
With the deadline just weeks away, the Ministry has advised eligible employees and retirees to make their choice without delay.
📢 Important Update for Central Govt Employees
A one-time, one-way switch facility from #UPS to NPS is now available under specific conditions.
🗓 30th September 2025 is the last date to opt for UPS.
Don’t miss the deadline- secure your retirement future today.
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— PFRDA (@PFRDAOfficial) September 18, 2025