EPS Pension alert: Pensioners can get pension from any bank in India from this date; check details inside
According to the ministry, there would be no need for pensioners to attend the branch for verification at the time of pension beginning, and the pension will be deposited immediately upon release.
On Wednesday, September 4, the Centre approved the Centralised Pension Payments System (CPPS) that will benefit over 78 lakh people under the Employee Pension Scheme (EPS). EPS is a part of the Employees' Provident Fund Organisation (EPFO).
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What is CPPS?
EPS pensioners can now get their pensions from any bank in India under the new CPPS scheme.
From when CPPS is available
The scheme will be implemented from January 1, 2025.
What did the Union Minister of Labour and Employment say?
Mansukh Mandaviya, Union Minister of Labour and Employment, said that EPS pensioners can get a pension from any bank, any branch, anywhere in India from January 1, 2025.
Pensioners don't need to visit the branch
According to the ministry, there would be no need for pensioners to attend the branch for verification at the time of pension beginning, and the pension will be deposited immediately upon release.
EPFO's expectation
In addition, EPFO expects a significant cost reduction in pension disbursement after moving to the new system.
Mansukh Mandaviya's comment
“The approval of CPPS marks a significant milestone in modernisation of the EPFO. By enabling pensioners to receive their pensions from any bank, any branch, anywhere in the country, this initiative addresses the long-standing challenges faced by pensioners and ensures a seamless and efficient disbursement mechanism,” said the minister.
What's next?
The government will now transition to the Aadhaar-based Payment System (ABPS).
How CPPS will benefit pensioners
CPPS will offer a more efficient, seamless, and user-friendly experience for pensioners using advanced IT and banking technologies.
Pension Payment Orders (PPO)
The centralised system would also ensure the disbursement of pensions throughout India without any need for transfer of Pension Payment Orders (PPO) from one office to another, even when the pensioner moves from one location to another or changes his bank or branch.
Pensioners can move to their hometowns without any worry
This would bring a great relief to pensioners who move to their hometown after retirement.