Govt employees' pension: 'Old versus new' debate gathers momentum

Reverting to OPS is being considered an easier option from a political standpoint, but could financially stress the states

A debate on comparative advantages of the old pension system (OPS) and the new pension system (NPS) has resurfaced again after the debt-stressed Punjab government said it is considering reverting to the former. The Chhattisgarh and Rajasthan governments have already embraced OPS.

Besides, the Congress too promised voters in Gujarat on Monday that it would replace NPS with OPS if voted to power in the state assembly elections, due later this year.

While NPS has defined contributions from employers and employees, OPS has assured benefits. The pension regulator, PFRDA, is also in the process of introducing a product that would