An office memorandum issued by Chief Secretary Anurag Rastogi clarified that employees recruited on or after January 1, 2006 — and shifted from the National Pension System (NPS) to the UPS — will now be eligible for these lump-sum end-of-service payouts. Haryana adopted the Centre’s UPS from August 1, 2025, becoming one of the early states to implement the redesigned pension model.
The decision addresses a key grievance of NPS employees, who had long demanded restoration of gratuity benefits.
Employee unions welcomed the step, saying it signals the government’s intent to offer more predictable retirement protection. Pension experts noted that the move is likely to influence other states currently evaluating whether to adopt the UPS amid growing political pressure to revisit pension reforms.
While the extension of gratuity will add to Haryana’s long-term fiscal liabilities, officials said the measure is essential to boost employee confidence as the state transitions fully to the new hybrid pension system.
