Employee pension scheme: Pensioners can get a gift soon. In view of the increasing demand since 2018, the issue of minimum pension has been kept on the agenda in the board meeting of EPFO.
Employee pension scheme: There is a lot of discussion going on these days regarding pension. On one hand, the hearing is going on in the Supreme Court regarding the Employees’ Pension Scheme. On the other hand, the discussion about minimum pension is intensified. A big decision can be taken on September 6 on the minimum pension to be received under the Employees’ Pension Scheme of EPFO. Actually, the EPFO board meeting is to be held on 6 September. The issue of minimum pension is included in the agenda of the board meeting.
Demand for minimum pension of Rs 9000
There has been a demand to increase the minimum pension from Rs 1000 for a long time. It is expected that a decision can be taken on this on 6 September under the chairmanship of the new Labor Minister Bhupendra Yadav. In March, the Standing Committee of Parliament had recommended raising the minimum pension amount from Rs 1000 to Rs 3000. However, the pensioners demand that the pension amount is very less, it should be increased to at least Rs 9000. Only then the EPS 95 pensioner will get the benefit in true sense.
Court recognized pension as a fundamental right
According to EPFO board member and Bharatiya Mazdoor Sangh General Secretary Virjesh Upadhyay, the High Court of 5 states has considered pension as a fundamental right. The matter regarding its sealing is pending in the Supreme Court. If the ceiling is removed, then its benefit will be available in pension. However, there is a demand that the pension should be fixed according to the last salary of the employee immediately before his retirement. At the same time, the Ministry of Labor has expressed its inability to do so. But, this agenda has been included in the meeting of 6 September.
What is EPS 95 Pension Scheme?
There is Employees Pension Scheme-1995 for all the subscribers on getting Provident Fund under EPFO. In this, people working under the organized sector get pension after the age of 58. For this, it is mandatory for the employee to have a job of at least 10 years. Under the scheme, employers deposit 12 percent amount in EPF in the name of the employee. In which 8.33 percent amount is given for pension. And after retirement, the amount of pension is decided on the basis of contribution to the pension fund. Under this, a minimum pension of Rs 1000 is given. Widow pension, children’s pension facility is available in the scheme. If the employee dies before 58 years of service, then his wife and children get pension.
Government does not have funds
Even though the discussion of increasing the pension is going on. But, the reality is that the government does not have funds at the moment. The covid epidemic and the halt of economic activity have affected the exchequer. It has been pointed out earlier also that it is difficult to increase the minimum pension without extra budgetary support. In such a situation, this time also the pensioners are not getting relief in this matter.
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