Minimum Pension in NPS: The government is making changes in the National Pension Scheme. After these changes, the employee will get minimum 40 to 45 percent pension in NPS. In the old pension scheme, 50 percent pension of the last salary is available. Many states have reverted to the old pension scheme.
New Delhi: Amidst the politics of Old Pension Scheme Vs National Pension Scheme, the officials of the Government of India have said a relief thing. Indian government officials said on Wednesday that they are considering changes in the new market linked pension scheme. He said that these changes would ensure that the employees get minimum pension of 40% to 45% of their last salary. This information has been received from a Reuters report. However, the officials made it clear that the government will not revert to the old pension scheme.
Many states reverted to old pension
This change in the policy of the Government of India is being seen after several opposition-ruled states reverted to the old pension scheme (OPS). Many BJP-ruled states have also expressed uneasiness about the National Pension Scheme (NPS). The government had constituted a committee in April to review the NPS after political parties started using the pension issue in elections. This review has been seen between the elections of many important states and the Lok Sabha elections to be held in 2024.
40-45% pension will be available in NPS
The government is trying to strike a balance between politics and economy by making changes in the National Pension Scheme and ensuring minimum 40-45 per cent pension. Pensions of government employees take up a major portion of the Union budget.
OPS Vs NPS
In the old pension scheme, the government guarantees pension of 50 percent of the employee’s last salary. For this, the employee does not have to make any contribution during his job. At the same time, in the National Pension Scheme, the employee has to contribute 10 percent of his basic salary. Whereas, the government pays 14 per cent contribution. Pension in NPS depends on the returns of the corpus.
