Thiruvananthapuram (Kerala) [India], June 18 : Communist Party of India (Marxist) leader John Brittas has written to Union Finance Minister Nirmala Sitharaman, urging the Government to extend the June 30, 2025 deadline for exercising the option to join the Unified Pension Scheme (UPS).
In a letter to the Finance Minister, CPI (M) MP highlighted several critical "ambiguities and unanswered questions" regarding the scheme - particularly in relation to death and disability benefits, voluntary retirement scenarios, tax implications, and other key aspects.
"While UPS is being positioned as a replacement for the National Pension System, a number of legitimate and fundamental questions raised by stakeholders remain unanswered, making it extremely difficult for employees to make an informed and confident decision. These unresolved issues span across areas such as death benefits, retirement, disability, voluntary retirement, taxation, procedural flexibility, etc. - all of which are central to the financial security of employees and their families," Brittas wrote in the letter.
He emphasised that such issues must be addressed before instructing employees to make an irrevocable and binding decision regarding their retirement security. He also demanded that new recruits be given a minimum of three months to exercise their choice.
"In light of the above, it would be procedurally unfair and premature to impose a final deadline of 30th June 2025 for exercising the option by the existing employees, especially when the scheme lacks clarity on such essential aspects. Forcing employees without adequate time or information to commit to a scheme - whose contours, legal safeguards, and financial implications remain undefined - risks long term and irreversible consequences for their retirement and financial planning," Brittas wrote in the letter.
Brittas has urged the Government to extend the time limit by at least three months for all eligible employees and to issue the necessary clarifications in the interest of transparency, fairness, and employee welfare.
The Union Cabinet had approved the Unified Pension Scheme (UPS) in August last year.