Image Source : FILE PHOTO Representational picture
The Employees Provident Fund Organization (EPFO) has officially implemented the Centralised Pension Payment System (CPPS) under the Employees Pension Scheme. The Labour Ministry announced on January 3 that the system is now fully operational in all of EPFO’s 122 regional offices. After a successful pilot run in 2024, it disbursed Rs 1,570 crore to over 6.8 lakh pensioners across the country by December 2024, removing geographical barriers to accessing pensions.
Minister’s statement: Empowering pensioners nationwide
Union Minister Mansukh Mandaviya hailed the development, stating, “This transformative initiative empowers pensioners to access their pension seamlessly from any bank, any branch, anywhere in the country. It ensures transparency, efficiency, and convenience, setting a new benchmark for pension service delivery.”
How will CPPS help pensioners?
Nationwide access: Pensioners can now access funds from any bank or branch without any restrictions.
Hassle-free verification: No physical verification visit is required before the commencement of the pension.
Immediate credit: Pension is invested directly without delay upon release.
Simplified transfers: Pensioners moving or switching funds will not have to transfer Pension Payment Orders (PPOs).
Key components of CPPS
Uniform system: The previous model, where regional offices adhered to exclusive contracts with a few banks, has been replaced by a centralised system.
Technology-enabled services: CPPS aligns with EPFO’s vision of a tech-driven, member-centric system, which provides modern pensions.
Pilot success and nationwide implementation
October 2024: Pilot launched in Karnal, Jammu, and Srinagar, disbursing Rs 11 crore to over 49,000 pensioners.
November 2024: Expanded to 24 regional offices, distributing Rs 213 crore to 9.3 lakh pensioners.
A relief for retired citizens
From January 2025, pensioners can expect consistent, hassle-free payments regardless of location or banking preferences. This innovation particularly benefits retirees moving to their hometowns post-retirement, ensuring uninterrupted pension access.
The Centralised Pension Payment System promises to revolutionize pension disbursement, making it simpler and more efficient for millions of Indian pensioners.
Also read | PF withdrawal rules: How to withdraw money from EPF account online? Follow these steps
