Zomato, HDFC Pension unveil NPS plan for delivery partners; new rules expand investment choices

NPS rollout: In a first-of-its-kind move for India’s gig economy, Zomato has partnered with HDFC Pension to roll out a dedicated National Pension System (NPS) framework for delivery partners. The initiative, called the ‘NPS Platform Workers Model’, was launched in New Delhi by Finance Minister Nirmala Sitharaman during the Pension Fund Regulatory and Development Authority’s (PFRDA) NPS Diwas celebrations.

The programme, built on KFintech’s digital infrastructure, is aimed at providing long-term retirement security to platform-based workers, a segment that has historically had little access to formal savings schemes.

Fast adoption

According to Zomato and HDFC Pension, the model uses digital integration for onboarding, relying on workers’ existing KYC or e-KYC records, with their consent. Over 30,000 delivery partners have already generated Permanent Retirement Account Numbers (PRANs) within 72 hours of rollout. Zomato expects to bring more than one lakh delivery partners into the NPS system by end-2025.

India has an estimated 23.5 million platform workers projected by FY2030, according to a NITI Aayog report. Despite their growing role in the economy, gig workers often lack access to structured retirement savings. The new framework allows them to make small, periodic contributions, which can grow into retirement corpus that is partly withdrawable and partly converted into annuity. Importantly, the accounts are portable across jobs and platforms.

Digital integration has been done to make the on-boarding process smooth and hassle-free by using the existing KYC or eKYC of the gig workers, with their consent, at the PRAN generation level. Additional details can be submitted by the gig workers subsequently.​​ More than 30,000 delivery partners onboarded on Zomato have already generated their PRANs (Permanent Retirement Account Numbers) within 72 hours of this integration and the platform is committed to enable over 1 lakh delivery partners with their NPS retirement accounts within 2025.

HDFC Pension MD & CEO Sriram Iyer said the model is designed to expand retirement planning access to excluded segments, while Zomato CEO Aditya Mangla noted that the collaboration aligns with the company’s focus on the long-term financial security of its partners.

Zomato currently works with about 5.09 lakh active delivery partners monthly (Q1 FY26). Alongside the NPS initiative, it already provides health insurance, accident cover, SOS support, and rest-point facilities free of cost.

New NPS reforms

The launch coincides with a significant reform in the National Pension System. Starting October 1, non-government NPS subscribers can now allocate up to 100% of their portfolio to equities, a sharp increase from the earlier ceiling of 75%. The change comes under a new Multiple Scheme Framework (MSF) approved by PFRDA.

The MSF permits pension funds to design customised schemes tailored to different categories such as corporate employees, self-employed individuals, and gig workers. Each must offer at least two options — moderate risk and high risk.

Existing schemes will continue as “common schemes”, but investors can choose new MSF schemes. Switching is restricted: subscribers can shift from MSF schemes to common schemes before completing 15 years of vesting, but free movement across schemes is allowed only after 15 years or at the time of exit.

The MSF also introduces flexibility to hold multiple schemes under a single PRAN, even across different central recordkeeping agencies like Protean, CAMS, and KFintech.

Tax benefits

NPS continues to provide substantial tax incentives. Contributions qualify for deductions up to 10% of salary (20% of income for self-employed), capped at RS 1.5 lakh, plus an additional Rs 50,000 under Section 80CCD(1B). Employer contributions enjoy exemptions of up to 10% of salary, or 14% for employees under the new tax regime.

The cost structure remains among the lowest in the financial sector — capped at 0.30% of assets annually, with an additional 0.10% incentive for pension funds that bring in new subscribers.

Why it matters

The twin developments — Zomato’s partnership to include gig workers and NPS’s expanded equity exposure — reflect the pension system’s shift toward greater inclusion and flexibility. For gig workers, this is the first structured retirement savings opportunity backed by a government framework. For private sector investors, the MSF offers wider choice and higher equity exposure, suiting those with long-term horizons. Together, these changes signal a major step forward in strengthening India’s retirement ecosystem.