The EPFO is going to introduce a whopping hike in pension payouts for thousands of pensioners in India in 2025. This move is sure to provide significant help to retired employees, primarily those covered under the Employees’ Pension Scheme (EPS-95) who have, for a very long period, demanded a hike in their monthly pension.
Minimum Pension Hike On The Cards
Minimum monthly EPS pension from ₹ .000 to ₹7,500 – this is probably the maximum hyped part of the proposal. The increase would benefit over 6 million pensioners drawing from the EPS-95 scheme once approved. This would be the first major change in relation to the ₹1,000 minimum pension, which was set during the year 2014.
Why The Hike Now?
The government and EPFO have been pressurized from different employee unions to pensioner associations stating that, in today’s economy, ₹1,000 per month is too little for even the minimum sustenance. Even with increasing costs in inflation and health, this would definitely be viewed as a long pending step toward at least having the employee retired workforce in the country assured of some financial integrity.
Dearness Allowance (DA) To Be Linked
Reports even state that base pension hikes are expected to be considered towards linking with Dearness Allowance (DA). This would keep the pension continuously varied according to inflation, similar to the current setup for government employees. If implemented, this linkage would protec
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