The Ministry of Finance has announced that September 30, 2025, will be the final date for eligible Central Government employees and past retirees under the National Pension System (NPS) to opt for the Unified Pension Scheme (UPS). After this date, those who continue with NPS will no longer be able to switch to UPS. To avoid delays, employees have been advised to exercise their choice well before the deadline. Additionally, through an Office Memorandum dated August 25, 2025, the Department of Financial Services has introduced a one-time, one-way switch facility for employees who have already opted for UPS, allowing them to revert to NPS under specific conditions. This switch option can only be exercised once, and employees cannot switch back to UPS afterward. The facility is available only if exercised at least one year before superannuation or three months before voluntary retirement, whichever comes first. It is not permitted in cases of removal, dismissal, compulsory retirement due to penalty, or if disciplinary proceedings are pending or anticipated. Employees who do not make use of this option within the given timeframe will continue under UPS by default. This framework ensures employees can make an informed decision about their retirement planning while providing limited flexibility to align with their financial security needs.
Ministry of Finance
September 30, 2025 to be the last date for eligible employees and past retirees under NPS to opt for UPS
One-time, One-way Switch facility from UPS to NPS made available to the Central Government Employees under specific conditions
Posted On: 18 SEP 2025 1:18PM by PIB Delhi
The Ministry of Finance, Government of India, had notified the Unified Pension Scheme (UPS) for eligible Central Government employees vide Notification No. F. No. FX-1/3/2024-PR dated 24.01.2025. The Department of Financial Services (DFS) underlines that the last date for eligible employees and past retirees under NPS to opt for UPS is September 30, 2025. All eligible employees are urged to exercise their option well before the deadline to avoid any last-minute difficulties and to ensure timely processing of their requests. Employees who choose to remain in NPS cannot opt for UPS after this date.
Further, DFS has issued an Office Memorandum No. 1/3/2024-PR dated 25.08.2025, introducing a one-time, one-way switch facility for Central Government employees who have already opted for UPS, allowing them to revert to the National Pension System (NPS) under specified conditions:
I. Eligible employees under UPS can switch to NPS only once, and cannot switch back to UPS.
II. The switch must be exercised at least one year before superannuation or three months before voluntary retirement, whichever is earlier.
III. The switch facility will not be allowed in cases of removal, dismissal, or compulsory retirement as a penalty, or where disciplinary proceedings are ongoing or contemplated.
IV. Those who do not opt for the switch within the stipulated time will continue under UPS by default.
V. Employees who choose to remain in NPS cannot opt for UPS after 30th September 2025.
This initiative aims to provide Central Government employees with an informed choice in planning their post-retirement financial security. By opting for UPS, the employees retain their choice for switch to NPS at a later date.
PFRDA
@PFRDAOfficial
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. Follow us for more updates. #PFRDA #NPS #UnifiedPensionScheme #RetirementPlanning #SecureFuture
NB/AD
