In a landmark step towards enhancing pension services, Union Minister of Labour & Employment and Youth Affairs & Sports, Dr. Mansukh Mandaviya, announced the successful completion of a pilot run of the new Centralized Pension Payments System (CPPS) under the Employees’ Pension Scheme, 1995.
The pilot run, conducted on 29th and 30th October 2024, saw the disbursement of approximately Rs 11 crore in pension payments for October 2024 to over 49,000 EPS pensioners in the Jammu, Srinagar, and Karnal regions.
During the initial announcement of the CPPS, Dr. Mandaviya described it as a milestone in the modernization of the EPFO, highlighting that the system allows pensioners to receive payments from any bank branch across India. This initiative addresses longstanding challenges for pensioners, providing a seamless and efficient disbursement process and transforming the EPFO into a more tech-enabled, responsive organization committed to serving its members.
The CPPS represents a significant shift from the current decentralized pension disbursement model, where each EPFO Zonal/Regional Office maintains separate agreements with only 3-4 banks. Under the CPPS, pensioners will no longer need to visit the bank for verification at the start of their pension, and payments will be credited immediately upon release.
Moreover, CPPS ensures pension disbursement nationwide without requiring the transfer of Pension Payment Orders (PPO) even if pensioners relocate or change their bank or branch—an invaluable relief for retirees moving to their hometowns.
The CPPS will be fully implemented as part of EPFO’s IT modernization initiative, Centralized IT Enabled System (CITES 2.01), by January 2025 and will benefit over 7.8 million EPS pensioners.
EPFO continues to enhance services for EPS pensioners, with the CPPS marking a major reform in this direction.
