A very good news is waiting for lakhs of pensioners’. Are you also a former government employee? Do you also get a monthly pension from the government? Then today’s article is just for you. There is relief news for EPFO account holders and private sector employees. Pensioners covered under the pension scheme of the Employees Provident Fund Organization (EPFO) will be able to withdraw their pension from any bank or its branch. This facility will be applicable from 1 January 2025. The new system is expected to benefit more than 78 lakh EPS pensioners of EPFO.
In September, the central government had approved the proposal of the Centralized Pension Payment System (CPPS) for the Employees’ Pension Scheme, 1995, which will make it possible to get a pension through any bank or any branch across India. Under the pilot run of the Centralized Pension Payments System (CPPS) that came into effect in January, about Rs 11 crore has been disbursed as a pension to more than 49000 EPS pensioners of Jammu, Srinagar, and Karnal areas in October. Labor and Employment Minister Mansukh Mandaviya gave this information on Friday.
How to get the benefit of a pension
When CPPS is implemented, the pensioner will not need to transfer the pension payment order even after moving from one city to another or changing the bank or branch, and the pension will be available from any bank branch across the country.
The existing pension disbursement system is decentralized, with each regional/regional office of EPFO entering into separate agreements with only 3-4 banks. In this sense, CPPS is a paradigm shift. In this, pensioners will not be required to visit the bank for any verification at the time of commencement of pension, and the pension will be credited to the pensioners’ account as soon as it is released. Pensioners will be able to take their pension from any bank and any branch in the country through this.
What is the CPPS System?
1. The CPPS system will ensure disbursement of pensions across India, and there will be no need to transfer a pension payment order (PPO) from one office to another, even if the pensioner moves from one place to another or changes his bank or branch.
2. This will be a big relief for those pensioners who move to their hometowns after retirement. The new CPPS system will be fully implemented by January 2025 as part of EPFO’s ongoing IT modernization project, Centralized IT Enabled System (CITES 2.01).
3. This will benefit more than 78 lakh EPS pensioners of EPFO. EPFO has been continuously working towards improving the services for EPS pensioners, and the new CPPS system is a major improvement in this direction.