Entitlement on Discharge Due to Invalidation for Central Government Servants under Unified Pension Scheme: DoP&PW O.M.

Entitlement on Discharge Due to Invalidation for Central Government Servants under Unified Pension Scheme: DoP&PW O.M.

New Delhi: Department of Pension and Pensioners’ Welfare (DoP&PW) has issued an Office Memorandum detailing the entitlement provisions for Central Government employees who are discharged from service on account of invalidation and have opted for the Unified Pension Scheme (UPS) under the National Pension System (NPS).

The guidelines are based on Rule 17 of the Central Civil Services (Implementation of Unified Pension Scheme under the NPS) Rules, 2025. The rule defines the process and benefits applicable to government servants retiring due to any permanent physical or mental incapacity.

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According to the OM, if a government servant under the UPS wishes to retire due to such infirmity, they may apply to the Head of Department for invalidation benefits. If the employee is unable to do so, the application can be submitted by the spouse or a family member.

The Head of Department must then refer the case to the designated Medical Authority within 15 days, and the medical examination must be completed within 30 days. A lady doctor must be part of the board if the employee being examined is a woman.

If the medical authority finds the employee unfit for further service, benefits on retirement due to invalidation will be granted. If the employee is found fit for lighter duties, they may be offered a post of less laborious nature. In case such a post is not available, invalidation benefits will still be extended.

The memorandum further clarifies that:

• If the subscriber’s option (or default option) is for the Central Civil Services (Pension) Rules, 2021 or Extraordinary Pension Rules, 2023, the benefits will be processed under those rules.
• The Unified Pension Scheme account of such employees will be closed, and the government’s contribution with returns will revert to the government account. The employee will receive their own contribution and returns in a lump sum.
• Employees who avail benefits under the Unified Pension Scheme will receive benefits as per PFRDA (Operationalisation of UPS under NPS) Regulations, 2025.
• In addition to UPS benefits, such employees will also be eligible for Death Gratuity as per Rule 22 of the CCS (Payment of Gratuity under NPS) Rules, 2021.

The DoP&PW has directed all Ministries and Departments to ensure strict implementation of these provisions and to inform personnel handling pension-related matters accordingly.

Source: DoP&PW Office Memorandum No. 57/03/2022-P&PW(B)/8361(8), dated 29.10.2025