The Union Cabinet approved the enhancement of pension under Employees’ Pension Scheme (EPS-95), which is bound to come as a sign of relief for millions of pensioners. In the latest announcement, EPS-95 pensioners will now get a minimum pension of ₹7,500 per month with all Dearness Allowance (DA) benefits. The move is aimed at providing financial security for retirees who, for long enough, have been asking for an increase in their monthly pension.
Relief To EPS-95 Pensioners
The Employees’ Pension Scheme (EPS-95) is managed by the Employees’ Provident Fund Organisation (EPFO), which gives pensions to the retired employees of private and public sector establishments. For years, these pensioners have been demanding an increase in their very small and poor pension which hardly helped them in the mounting costs of living.
Under the scheme, the latest decision allows the pensioners a minimum of ₹7,500 per month along with adjustments of Dearness Allowance, so that the pension amount is made something which the politicians cannot touch.
Reasons Behind The Need For Pension Enhancement?
Many EPS-95 pensioners have been living with an extremely low monthly pension,sometimes grossly less than ₹1,000. The present circumstances of increased costs in day-to-day living, being able to afford healthcare, and even basic necessities are some examples that these pensions unions have pressed upon the Government to revise and raise the amount of pension. It comes as some relief now for pensioners from a minimum of ₹7,500 + DA whose condition is not bearable on the minimum pension.
Who Will Stand To Benefit From The Hike?
- All EPS-95 pensioners availing lower pension amounts would now be entitled to a revised minimum pension of ₹7,500.
- The Dearness Allowance (DA) benefits will, therefore, also be granted so that pensioners can counter inflation.
- Generally, the decision will benefit around 65 lakh EPS-95 pensioners across the country.
Government Position On Pension Reform
To upgrade the financial condition of retired employees, the government has been working upon pension reforms there has been, for some time now, a demand for a higher minimum pension, and this decision underscores the government intention of still favoring senior citizens and retired workers.
Discussions regarding other options for higher pension benefits, higher interest, and better social security provisions are ongoing, and something good may come in some time.
Conclusion
The EPS-95 pension hike to ₹7,500 + DA is long overdue and much-needed relief to pensioners across India; against the rising cost of living, this will provide some form of financial stability to lakhs of retired people now. There is a feeling of hope among pensioners now that the government shall continue pushing for increasing pension benefits, thereby making these seniors secure in their post-retirement life.
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