Upcoming EPFO Meeting to Discuss Increasing Minimum Pension to ₹3,000
The EPFOs upcoming meeting on November 19 may propose raising the minimum pension under EPS to ₹3,000, responding to long-standing demands.
New Delhi, November 10 (Daily Kiran) : The 240th meeting of the Central Board of Trustees (CBT) of the Employees’ Provident Fund Organization (EPFO) is set to take place on November 19 in New Delhi. A key agenda item will be the potential increase of the minimum monthly pension under the Employee Pension Scheme (EPS) from ₹1,000 to ₹3,000.
Originally scheduled to occur in Gir, Gujarat, the meeting has been relocated to the EPFO headquarters in the national capital. According to a letter sent to CBT members, the session will begin at 10:15 AM.
Reports suggest that the Ministry of Labour, after consultations with the Finance Ministry, is considering this pension increase. However, neither the Labour and Employment Ministry nor the Finance Ministry has officially confirmed this proposal.
Pensioners will need to await a formal announcement from the government before any changes to pension amounts are finalized. The minimum monthly pension under EPS has remained unchanged at ₹1,000 since September 2014, following a revision approved by the CBT in February 2014. This change was announced in the 2014-15 central budget and formally notified by the government in August of that year.
For years, employee organizations and pensioners have advocated for a significant increase in the minimum pension, arguing that the current amount does not adequately address rising inflation and living costs. Numerous groups have called for the minimum monthly pension to be raised to ₹7,500, citing increasing expenses related to inflation, healthcare, and the financial needs of retired employees.
The EPS is a social security scheme managed by EPFO for employees in the organized sector. It is funded by a portion of the employer’s contribution to the Employees’ Provident Fund (EPF). Under the current system, 8.33% of the employer’s contribution is allocated to the pension scheme, subject to applicable wage limits.
Pension benefits under the EPS are determined based on the employee’s pensionable salary and eligible service period. While there is a minimum pension established, there is no fixed maximum limit for pension payments. The final pension amount varies according to the individual’s contribution history and length of service.
