Great news for government employees! The Indian government has brought back the Old Pension Scheme (OPS) with new rules in 2025, giving a big gift to many workers. This decision comes after years of demands and protests by employees who wanted the secure benefits of OPS. Unlike the National Pension System (NPS), the OPS promises a fixed pension without market risks. Announced in August 2025, these changes are set to help lakhs of central and state government workers, bringing smiles across the country.
What is the Old Pension Scheme?
The Old Pension Scheme is a pension plan where government employees get 50 percent of their last salary as a monthly pension after retirement. It also includes Dearness Allowance to adjust for price rises. The scheme was stopped in 2004 and replaced by the NPS, which depends on market investments. Now, new rules allow certain employees to switch back to OPS, giving them a secure retirement. This is a big relief for workers worried about uncertain pension amounts under NPS.
Who Can Benefit from the New Rules?
The new rules apply to central government employees who joined before December 22, 2003, but were put under NPS due to delayed appointments. They can now choose OPS by August 31, 2025, as per the Finance Ministry’s order. Some state governments, like Rajasthan and Himachal Pradesh, have also brought back OPS for all their employees. Workers need to submit a form to their department to switch. This option is final and cannot be changed later.
Key Details of the 2025 OPS Rules
Here’s a simple look at the new rules for the Old Pension Scheme:
| Category | Details |
|---|---|
| Eligibility | Joined before Dec 22, 2003 |
| Pension Amount | 50% of last salary + Dearness Allowance |
| Deadline to Choose | August 31, 2025 |
| Applicable to | Central and some state employees |
This table shows who can join and what they get under the new rules.
How to Switch to the Old Pension Scheme?
Employees can switch to OPS by filling out a form available on the Department of Pension website or their office. They need to provide details like service records and Aadhaar number. The form must be submitted to the head of the department by the deadline. After verification, the NPS account will close, and OPS benefits will start. Over 50000 employees have already applied, with states like Maharashtra also adopting similar rules for their workers.
Why This is a Big Win for Employees?
The return of OPS is a major victory for government workers. It ensures a fixed pension, unlike NPS, which depends on market ups and downs. Employees say this gives them peace of mind for their future. The scheme also supports families with a family pension if the employee passes away. With rising living costs, the Dearness Allowance in OPS helps retirees stay comfortable. This move shows the government’s care for its workers, boosting their trust and morale.
What’s Next for the Scheme?
The government is working to make OPS smooth for all eligible employees. States like Punjab and Chhattisgarh are also planning to bring back OPS fully. The National Movement for Old Pension Scheme (NMOPS) has welcomed this but wants it for all employees, not just a few. With 2025 budgets allocating more funds, the scheme is set to grow. This is a big step toward a secure retirement for India’s hardworking government workers.