Pension to retired employees covered under PF scheme

Pension to retired employees covered under PF scheme

GOVERNMENT OF INDIA
MINISTRY OF  LABOUR AND EMPLOYMENT
RAJYA SABHA
UNSTARRED QUESTION NO-437
ANSWERED ON-07.08.2013

Pension to retired employees covered under PF scheme

437 .    SHRIMATI GUNDU SUDHARANI

(a)when the Ministry has submitted for giving pension to all those retired employees who are covered under Provident Fund Scheme;

(b)whether it is a fact that Government is working on giving pension to the tune of Rs. 1000 per month to all those who are covered by Provident Fund;

(c)if so, the details thereof; and

(d)what would be the burden on Government once this proposal is
fructified?

ANSWER

MINISTER OF STATE FOR LABOUR AND EMPLOYMENT
(SHRI KODIKUNNIL SURESH)

(a):     The Employees’ Pension Scheme, 1995 came into effect from 16th November, 1995 replacing the erstwhile Employees Family Pension Scheme, 1971, which inter-alia provides superannuation/retirement and family pension.

(b) to (d):     Yes, Sir. In order to secure a minimum pension of Rs. 1,000/- per month under Employees’ Pension Scheme (EPS), 1995 to the member pensioners, the present Government contribution to EPS, 1995 is required to be raised from the existing 1.16% to 1.79% of wages thereby increasing the Government’s present contribution from approximate Rs.990 crore per annum to Rs.1533 crore per annum in the first year. An analysis of the trend in the contribution made by the Central Government suggests that the contribution of the Central Government has been increasing at an average of 10-15% per annum over the last five years.

source-http://rajyasabha.nic.in/