Assam Adopts Unified Pension Scheme, Bringing Major Relief to State Govt Employees

In a decision impacting thousands of state government employees, Assam Chief Minister Himanta Biswa Sarma announced that the state has officially adopted the Unified Pension Scheme (UPS), a modified version of the National Pension System (NPS) recently introduced by the Government of India.

The new scheme aims to bridge the gap between the Old Pension Scheme (OPS) and the NPS, offering better retirement security to government employees while maintaining fiscal balance.

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Speaking to reporters, Sarma said the government’s contribution under the UPS will increase from 10 per cent, as was the case in NPS, to 18.5 per cent. “The Government of India has adopted the UPS scheme, which is a modified version of the NPS.

Earlier, the government’s contribution was 10 per cent, but under UPS, it will increase to 18.5 per cent. This will bring significant relief and assurance to our employees,” the Chief Minister said. He added that Assam will extend the same benefits to state employees as those available to central government staff, ensuring parity between the two.

“Now, the same scheme that applies to central government employees will be available for state government employees as well,” he stated. Under the new framework, existing employees will have a one-year window to decide whether to remain under the NPS or switch to the UPS. “If someone adopts UPS, their contribution in NPS will be automatically transferred to the UPS account,” Sarma clarified. The Chief Minister asserted that the introduction of the Unified Pension Scheme will end the long-standing debate between NPS and OPS. “With the adoption of this scheme, the debate between NPS and OPS has finally come to an end,” he said.

The Unified Pension Scheme, launched by the Centre in September 2025, was designed to provide a balanced model combining the fiscal sustainability of NPS with the guaranteed benefits of OPS.

By adopting the scheme, Assam becomes one of the first states in the Northeast to align its pension policy with the new national framework, which promises greater financial security for employees while upholding fiscal responsibility. Employee associations across Assam have largely welcomed the move, viewing it as a long-awaited step toward a more equitable and sustainable pension system.