New Delhi: In a significant relief for pensioners across the country, the central government has announced a new initiative that will allow them to access their pensions from any bank or branch, regardless of location. This groundbreaking change, set to be implemented from January 1, 2025, is part of the Employees’ Provident Fund Organisation’s (EPFO) ongoing IT modernisation project, known as the Centralised IT-enabled System (CITES 2.01).
Labour Minister Mansukh Mandaviya, who also chairs the Central Board of Trustees (CBT) of the EPFO, confirmed the approval of the Centralised Pension Payment System (CPPS) for the Employees’ Pension Scheme (EPS) 1995. The CPPS is designed to streamline the pension disbursement process, ensuring that pensioners no longer need to transfer their Pension Payment Order (PPO) when they move to a different part of the country.
“This initiative addresses long-standing challenges faced by pensioners and marks a milestone in modernising the EPFO,” Mandaviya stated. “Under this new system, pensioners can receive their pension from any bank, any branch, anywhere in the country. This is an important step towards transforming EPFO into a more robust, responsive, and tech-enabled organisation to better serve its members and pensioners.”
The new centralised system is expected to benefit over 7.8 million EPS-95 pensioners, providing a seamless and efficient delivery system that eliminates the need for pensioners to visit a bank branch for verification. Once the pension is released, it will be credited immediately, significantly reducing the costs associated with pension disbursement.
In the next phase, the CPPS will transition to an Aadhaar-based Payment System (ABPS), further enhancing the efficiency and security of pension disbursements. This modernisation effort is seen as a major leap forward in ensuring that the needs of pensioners are met with greater convenience and ease.
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