Srinagar, Sep 28, KDC: The Jammu and Kashmir Government has sanctioned a one-time option for eligible government employees appointed against posts or vacancies advertised or notified for recruitment before the notification of the New Pension Scheme (NPS) to switch from the Defined Contribution Pension Scheme (New Pension Scheme) to the Defined Pension Scheme (Old Pension Scheme).
The decision has been issued by the Finance Department under Government Order No. 305-F of 2026 dated September 28, 2026, following the approval accorded by the Council of Ministers on September 10, 2026.
The order states that the benefit will apply to government employees of Jammu and Kashmir who were appointed against posts or vacancies advertised/notified for recruitment or appointment prior to the date of notification of the NPS issued vide SRO-400 dated December 24, 2009, but who are covered under the NPS on joining service on or after January 1, 2010.
Under the order, a government employee appointed against a post or vacancy advertised/notified for recruitment or appointment before the notification of the NPS may be given a one-time option to be covered under the Defined Pension Scheme (Old Pension Scheme).
The option has to be exercised by the concerned government employee within three months from the date of issuance of the Government Order.
An option form for switching over from the NPS to the Old Pension Scheme has been enclosed as Annexure-A to the order.
The government employee who is eligible to exercise the option but does not do so within the stipulated three months will continue to be covered by the Defined Contribution Pension Scheme (New Pension Scheme).
The order further states that once the option is exercised, it shall be final.
The employee will have to submit the option form to the Drawing and Disbursing Officer (DDO), who will forward it to the Head of Department or Appointing Authority, as the case may be. The concerned Administrative Department will scrutinise each case and determine the eligibility of the employee for coverage under the Old Pension Scheme, reported news agency Kashmir Dot Com.
The Administrative Department has been directed to issue the necessary orders within one month after determining eligibility.
For employees covered under the Old Pension Scheme, the NPS account will consequently be closed from the first day of the month following the month in which the order for coverage under the Old Pension Scheme is issued, and the employee will be required to subscribe to the General Provident Fund (GPF).
The concerned DDO will initiate the process for closing the NPS account through the concerned Treasury as per the prescribed procedure.
Regarding the accumulated corpus in the NPS account, the order provides for adjustment of the employee’s contribution, government contribution and the increased value of subscription on account of appreciation of investments through the prescribed accounting procedure.
The order states that the entire exercise, from the date of exercising the option to closure of the NPS account, shall be completed within 120 days from the date of issuance of the order by the concerned Administrative Department.
It further provides that where any doubt arises as to whether a post advertised or an appointment made falls within the ambit of the Government Order, the matter shall be referred to the Finance Department, whose decision shall be final and binding on all concerned.
The decision follows the Government of India’s Office Memorandum dated March 3, 2023, which provided a one-time option to Central Government civil employees appointed against posts or vacancies advertised/notified for recruitment or appointment before December 22, 2003, for coverage under the CCS (Pension) Rules, 1972.
The J&K Finance Department said the matter was examined following representations seeking extension of similar benefits to government employees of Jammu and Kashmir whose appointments were made against posts or vacancies advertised/notified for recruitment before the notification of the NPS under SRO-400 dated December 24, 2009.
The matter was also examined in consultation with the concerned departments, including the General Administration Department, Department of Law, Justice and Parliamentary Affairs, and the ARI and Trainings Department.
The Government Order also includes an application form for switching over from the NPS to the Old Pension Scheme. The form is to be submitted on or before December 28, 2026, and requires details including the employee’s name, parentage, date of birth, CPIS ID, PRAN number, date of joining government service, department, office, advertisement/notification number and date, selection list number and date, appointment order number and date, post of appointment and present post. (KDC)
