The Employees’ Pension Scheme (EPS) is going to go for one of its most significant transformations in its history with effect from the year 2025. The important aspect of this proposed change is the increase in the amount of the minimum pension from present levels which stand at ₹1000 per month. The basis for this proposal is to provide better financial security during retirement to individuals when faced with constantly rising costs of living.
Present Situation
The EPS would give eligible retirees just ₹1000 per month as pension, a number which has remained unchanged since it came into effect from 2014 and neither increased due to inflation nor the rising costs of living.
Proposed Raise
Many proposals are being kept on the table regarding the introduction of the increase in the minimum pension, for instance:
- ₹3,000 per month: The minimum pension under EPS is likely to increase the present baseline of ₹1,000 per month to ₹3,000 per month by the central government. Expected in the next few months, the change is going through the pipeline.
- ₹7,500 per month: According to unions and various organizations of pensioners, minimum pension should now be raised to at least ₹7,500 per month. These have been working to achieve this for quite a long time.
- ₹9,000 per month: There is also a demand for new pension up to ₹9,000. This is being raised by the pensioners in light of increased costs today.
Stand Of The Government
The central government is reviewing a proposal to increase the minimum pension under the EPS to ₹3,000 per month. A senior government officer stated that this enhancement is expected to be implemented in the next few months.
Eligibility Criteria
The EPS pension is available only to employees with 10 years of service and who have attained the age of 58 years. Early pension is given under some conditions, such as the termination of employment before 58 years and after completion of ten years of service.
Conclusion
While a very definite figure for the revised minimum pension is still to be deliberated, the mere thought of increasing the EPS pension to ₹3,000 per month is definitely a landmark movement toward financial upliftment for the retired officers. This, of course, depends naturally upon further consideration and budgetary modalities.
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