New Delhi: In a landmark advancement for pension services, Union Minister for Labour & Employment and Youth Affairs & Sports, Dr. Mansukh Mandaviya, announced the successful pilot run of the Centralized Pension Payments System (CPPS) under the Employees’ Pension Scheme (EPS) 1995. The pilot, completed on October 29th and 30th, saw the disbursement of approximately ₹11 crore in pensions to over 49,000 EPS pensioners in Jammu, Srinagar, and Karnal regions for the month of October 2024.
The new CPPS system marks a substantial shift from the traditional decentralized pension disbursement model, where each EPFO office maintained separate agreements with a limited number of banks. Under CPPS, pensioners will be able to receive their pensions from any bank branch across the country, ensuring flexibility and eliminating the need for verification visits to banks. Once fully implemented, this system will greatly streamline the pension process, removing the requirement for pensioners to transfer Pension Payment Orders (PPO) when they change their location or banking details.
“The approval of the CPPS is a major milestone in modernizing EPFO services. This initiative ensures a seamless, efficient pension disbursement mechanism, transforming EPFO into a more robust, responsive, and tech-enabled organization,” said Dr. Mandaviya.
Set for a full rollout by January 2025 as part of EPFO’s Centralized IT Enabled System (CITES 2.01), the CPPS will benefit over 78 lakh EPS pensioners across India. This reform is expected to offer significant relief, especially for those who relocate after retirement or wish to change their bank or branch, allowing for uninterrupted pension access without the need for cumbersome paperwork.
The CPPS rollout reflects EPFO’s ongoing commitment to enhancing services for EPS pensioners, ensuring that pensioners across India can access their pensions easily and reliably.