New Delhi: There is no proposal under consideration of the Government of India for restoration of Old Pension Scheme (OPS) in respect of central government employees covered under National Pension System (NPS), Parliament was informed on Monday.

The government had moved away from OPS due to its unsustainable fiscal liability on the government exchequer, Finance Minister Nirmala Sitharaman said in a reply in the Lok Sabha. NPS is a defined contribution-based scheme which was introduced for central government employees (except armed forces) joining service on or after January 1, 2004. With a view to improving upon the pensionary benefits for such employees, a committee was constituted under the chairpersonship of the then Finance Secretary to suggest measures to modify the NPS, she said. Based on the deliberations of the committee with stakeholders, Unified Pension Scheme (UPS) has been introduced as an option under NPS with the objective of providing defined benefits after retirement to the central government employees covered under the NPS, she said. The features of UPS, including the definition of family, have been designed in such a way as to ensure payment of assured payouts while also maintaining fiscal sustainability of the fund, she said.