The Centralized Pension Payment System (CPPS) under the Employees’ Provident Fund Organization (EPFO) pension services has been successfully implemented nationwide. In a historic move towards pension payment services, EPFO made simultaneous pension payments to more than 68 lakh pensioners from all 122 pension-disbursing regional offices under the Employees’ Pension Scheme 1995 in December 2024.
This Step Marks a Milestone: Mansukh Mandaviya
The pension amount of Rs 1570 crore has been successfully transferred to pensioners. Union Labor and Employment Minister Dr Mansukh Mandaviya announced that the full implementation of the centralized pension payment system in all regional offices is a significant milestone.
A Transformative Initiative for Pensioners
This initiative allows pensioners to receive their pension from any bank and branch across the country, eliminating the need for physical verification. The pension distribution process is now simpler and more convenient.
Setting a New Benchmark in Pension Payment
Mandaviya highlighted that the CPPS system reflects the government’s commitment to modernizing EPFO services, ensuring better convenience, transparency, and efficiency for pensioners. He added that the new system is setting a new benchmark in pension payment.
Successful CPPS Pilots
The first pilot of CPPS was completed in the Karnal, Jammu, and Srinagar regional offices in October 2024, where pension payments totalling Rs 11 crore were made to over 49,000 pensioners.
Wider Expansion of CPPS
In November 2024, the second pilot started across 24 regional offices, distributing Rs 213 crore to more than 9.3 lakh pensioners. Under CPPS, each regional office of EPFO has agreements with just 3-4 banks. Pensioners will be able to withdraw pensions from any bank without the need for verification at the bank.
Pension Distribution Convenience Starting January 2025
From January 2025, the CPPS will ensure nationwide pension distribution without the need to transfer the Pension Payment Order (PPO) from one office to another. This is particularly beneficial for pensioners who move after retirement or change their bank or branch. It provides great convenience for those returning to their hometowns after retirement.