Minimum Pension: It is believed that the government has taken this step keeping in mind the assembly elections to be held in the states in the next one year and the 2024 Lok Sabha elections.
Pension Update: If you are a central employee or there is a central government employee in your family, then this news will make you happy. Yes, after protesting against NPS, the government has now prepared a new formula for the pension of the employees. Reuters report claimed that the central government will soon assure the employees of minimum pension of 40%-45% of the last drawn salary by changing the existing market-linked pension scheme.
Update came after the formation of the committee
This update has come after the formation of a committee on pension by the government. No official information has been given by the government regarding this. It is believed that the government has taken this step keeping in mind the assembly elections to be held in the states in the next one year and the 2024 Lok Sabha elections.
Now the employees contribute 10%.
In the last days, on the protest of the employees and the demand for old pension, the government talked about considering the pension system implemented in 2004. Along with this, a committee was constituted to give a report on the National Pension Scheme (NPS). In the current National Pension Scheme (NPS), employees need to contribute 10% of the basic salary and 14% to the government.
50% guaranteed pension under OPSÂ
The pension of the employees covered under NPS depends on the returns from the market. Whereas, under the old pension scheme (OPS), 50% of the last pay is given as guaranteed pension. In the report of Reuters, it was claimed that now the government is preparing to change the current pension scheme.
Expected to get 40% to 45% amount
The report claimed that after the implementation of the new rule, employees would be able to get 40% to 45% of their last salary as pension. A Finance Ministry official told Reuters that the government’s plan is not to revive the old pension scheme (OPS) in any way.
Finance Ministry officials said that the new system to be built on pension will remove the concerns of those states who returned to the old pension system. Let us tell you that in the past, Rajasthan, Jharkhand, Chhattisgarh, Himachal Pradesh and Punjab governments have announced to restore the old pension system.
The official said that the employees currently get about 38% of the previous salary as pension. Another official told that if the government guarantees 40% return, then it will have to meet the shortfall of just 2%. However, if there is a decline in the pension corpus, the expenditure will increase.
