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Can central government staff switch back from UPS to NPS? Apparently, yes, under certain conditions. The Centre has allowed central government employees currently under the Unified Pension Scheme (UPS) to opt for a one-time, one-way switch to the National Pension System (NPS). This option will be available to all central government staff who had opted to UPS this year, according to a Ministry of Finance communication dated August 25.

It is worth noting that the switch will be bails ke just once, that too from UPS to NPS. Eligible staff will be able to exercise this switch up to one year before superannuation or three months before the deemed date of voluntary retirement.

Similar provisions will apply in cases of resignation and premature retirement under Rule 56J, with minor adjustments, according to the notification. 

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Cases involving any of the following conditions will not be able to exercise this switch, according to the ministry:

Once exercised, the NPS regulations will apply in full, according to the ministry.

Employees moving out of UPS will forfeit assured payouts and other UPS-linked benefits. The government’s differential contribution of 4 per cent will be ascertained and credited to their NPS corpus at the time of exit.

All central government departments have been instructed to inform eligible officers and staff about the new provision. Here’s the list of eligible departments from the Ministry of Finance release, presented line by line as you requested:

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