The Andhra Pradesh government has announced a major relief package for thousands of employees working in public sector organizations, welfare societies, and residential educational institutions. In a key decision approved by the State Cabinet, the retirement age of employees in government-owned public sector undertakings (PSUs), societies, and Gurukulam institutions has been increased from 60 years to 62 years.
The decision will benefit employees and teachers working in various state-run organizations, including SC, ST, BC, and Minority Welfare Societies, as well as Gurukulam schools. With this move, their retirement age will now be aligned with that of regular state government employees.
According to the government, the proposal had remained pending for years and was rejected twice by the previous administration. The file received approval from Chief Minister Chandrababu Naidu recently, and the Cabinet has now cleared its implementation. The revised retirement age will be applied retrospectively from January 1, 2022.
The government has also decided that employees who had already retired during this period may be re-engaged by their respective institutions based on organizational requirements. Officials estimate that more than 15,000 employees across various corporations, societies, and educational institutions will benefit from the decision.
In another significant move, the Cabinet approved the extension of the Old Pension Scheme (OPS) to employees who were recruited through notifications issued before September 2004. As a result, nearly 11,000 employees currently covered under the Contributory Pension Scheme (CPS) will now be brought under the OPS framework.
The government stated that the decision will provide greater financial and social security to employees after retirement and fulfill a long-pending demand of many staff members. Chief Minister Chandrababu Naidu said the coalition government remains committed to safeguarding employee welfare and has consistently taken steps to address their concerns.
He also pointed out that the government had earlier introduced family pension benefits for CPS employees’ families, further strengthening social security measures for government staff.
Employee associations welcomed the Cabinet decisions and expressed gratitude to the Chief Minister, stating that the measures would provide long-term benefits and stability to thousands of employees and their families across Andhra Pradesh.