Big update for pensioners. Since the approval to establish the 8th Pay Commission, there have been ongoing talks about salary structures and pensions. At the same time, the long-standing request to restore the commuted pension has resurfaced. Currently, this pension is reinstated after 15 years, but employee organizations are urging the government to shorten this period to 12 years.

 

With the announcement of the 8th Pay Commission, employees are hopeful that the government will address this matter. Right now, the government is working on defining the Pay Commission’s terms. Reports indicate that the Confederation of Central Government Employees and Workers feels their demands are being overlooked.

 

So, what are the employees asking for?

 

1. They want the 8th Pay Commission to be set up right away, including their demands in the process.

 

2. The New Pension Scheme (NPS) should be scrapped in favor of the Old Pension Scheme (OPS).

 

3. The Dearness Allowance (DA) that was halted during the Covid-19 pandemic should be released immediately, and the commuted pension restoration period should be cut down to 12 years.

 

4. The cap on recommendation appointments should be lifted, allowing for the filling of vacant positions.

 

5. There should be a commitment to democratic practices within organizations.

 

What exactly is a commuted pension?

 

A commuted pension is a lump sum payment you receive upfront, which is then deducted from your overall pension. Employees are advocating for the reduction of the commutation period from 15 years to 12 years, so that retirees can access their full pension sooner. They argue that with rising inflation and living costs, this change is essential. Additionally, employees already face tax burdens and deductions during their working years. If the government agrees to these requests, it would greatly benefit countless retired employees.

 

What’s going on with the government?

 

Right now, the government hasn’t officially said anything about when the commutation pension will be restored. Meanwhile, employee groups are pushing hard for action, and if their requests aren’t addressed, they’re gearing up for a major protest.