EPFO Update: Ever since the Government of India introduced UPS in the form of OPS, the demand for private employees has also increased. The private employees whose PF is being deducted are constantly demanding an increase in the pension amount received through EPS. The reasoning of PF employees behind this is to fight inflation.
PF employee organisations are demanding an increase in the minimum pension amount to Rs 7500. This amount will be increased under the Employees’ Pension Scheme (EPS). If the government approves the demand of private employee organisations, then the financial burden will increase. However, the government has not yet opened its mouth on this. Employee organisations have been constantly demanding an increase in the minimum pension amount.
Demand for increasing the minimum pension amount intensifies
Employee Pension Scheme is very effective for PF account holders. It is managed by EPFO. EPFO works to give a pension to its members through this. The most important thing is that to get pension, the minimum service of the employees must be 10 years. Meaning PF should be deducted continuously for ten years.
If PF is deducted for ten years while working in a company, then you will be entitled to get a pension. At present, the minimum pension amount is only Rs 1,000. Employee organisations are continuously demanding to increase to Rs 7500. No positive response has been received from the Ministry of Labour and Employment on this yet.
Will the government approve it?
PF employee organisations have been continuously demanding to increase in the minimum pension amount. There is a discussion in media reports that the central government can approve it. However, the minimum pension amount of Rs 7500 can be reduced. PF pension amount will be available after the age of 58 years.
There are still many lakh employees who are taking advantage of the minimum pension amount. If the government makes the minimum pension amount Rs 7500, then about 78 lakh pensioners will be able to get its benefit.