Govt Employees Under Unified Pension Scheme to Get Gratuity Benefits

On June 18, 2025, Dr. Jitendra Singh, Minister of State for the Ministry of Personnel, Public Grievances and Pensions, announced a major development concerning Central government employees. In a press conference marking the completion of 11 years of the NDA government, the Minister declared that government employees covered under the Unified Pension Scheme will now be eligible for gratuity benefits on retirement and death.

Gratuity is a one-time financial benefit paid to employees as a gesture of gratitude for their service, particularly at the time of retirement or in case of death while in service. The Unified Pension Scheme, also referred to as the National Pension System (NPS), is a contributory pension model introduced to replace the old defined-benefit pension scheme. Until now, many employees under NPS were not eligible for gratuity, a concern that has been a long-standing demand among government staff.

Dr. Singh emphasized that this move aims to bring parity in retirement benefits and reflects the government's broader commitment to ensuring social security for all categories of employees. Social security, in this context, refers to a system of public support intended to protect individuals from financial hardship due to retirement, disability, or death.

Highlighting the wider scope of governance under the leadership of Prime Minister Narendra Modi, Dr. Singh noted that the administrative reforms introduced over the past 11 years extended far beyond mere administrative convenience. Many of these reforms, he said, carried broader socio-cultural significance, influencing not only how the government operates but also how it connects with citizens.

The Minister also addressed employment concerns, stating that the government has taken concrete steps to fill backlog vacancies in Central government departments over the last decade. In addition, he highlighted the government's efforts to promote ease of living for citizens by leveraging technology—a reference to digital governance tools and platforms that simplify access to public services.