Tamil Nadu Chief Minister M.K. Stalin on Saturday (January 3, 2026) announced that the State government will implement the Tamil Nadu Assured Pension Scheme (TAPS) for State government employees. Under the new arrangement, State government employees will be provided with an assured pension equal to 50% of their last-drawn basic pay.
According to an official release, under the TAPS, employees will have to contribute 10% of their basic pay to the pension fund, while the additional fund requirement needed to provide the assured pension will be borne by the State government.
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Pensioners will be given dearness allowance (DA) hikes twice a year on par with government employees. In the event of the death of a pensioner, 60% of the pension that was being received by the pensioner will be paid as family pension to the nominated beneficiary.
At the time of retirement, or in the event of death during service, government employees will be provided with a gratuity not exceeding ₹25 lakh, based on the tenure of their service.
