SHIMLA, 23 DECEMBER 2024:The central government has urged Himachal Pradesh to implement the Unified Pension Scheme (UPS) for its employees, offering Rs 1,600 crore in special assistance if the state complies.
The letter, sent to the Himachal government, recommends bringing employees appointed on contract in 2022-23 and 2023-24 under the UPS, although the state has yet to respond.
Himachal has already restored the old pension scheme for 1.36 lakh employees, fulfilling an election promise. The Centre, however, has yet to release Rs 9,000 crore owed to the state from contributions made by NPS employees.
In addition, the state is facing financial constraints, with a borrowing cap of Rs 6,600 crore and limitations on proposals for external funding, restricted to Rs 2,944 crore until 2025-26. It remains unclear whether the government will extend the old pension or move to the UPS for new contractual workers.
