Lok Sabha Question No. 351 (STARRED), answered on 2025-08-18
Subject: Pension Schemes
Ministry: LABOUR AND EMPLOYMENT
Asked by: Shri Mukesh Rajput

## GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK SABHA

## STARRED QUESTION NO. 351

## TO BE ANSWERED ON 18.08.2025

## PENSION SCHEMES

*351. SHRI MUKESH RAJPUT:

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:

- (a)whether any pension scheme is being run by the Government for construction workers, traders and other unorganised sector workers and if so, the details thereof;
- (b)the details of the measures taken/being taken by the Government to  ensure  availability  of  facilities  for  the  Building  and  Other Construction Workers (BOCWs);
- (c)whether  any  database  of  BOCWs  is  being  maintained  by  the Government;
- (d)if so, whether any digital system is in place through which BOCWs can register themselves to avail the benefits of social security and welfare schemes of the Government; and
- (e)the  present  status  and  financial  implications  of  Employees' Pension Scheme (EPS)?

MINISTER OF LABOUR AND EMPLOYMENT (DR. MANSUKH MANDAVIYA)

(a) to (e): A statement is laid on the Table of the House.

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STATEMENT  REFERRED  TO  IN  REPLY  TO  LOK  SABHA  STARRED QUESTION NO. 351* DUE FOR REPLY ON 18.08.2025 ASKED BY SHRI MUKESH RAJPUT, M.P., REGARDING 'PENSION SCHEMES'

(a) to (d): The  Central  Government  administers  the  Building  and Other Construction Workers (Regulation of Employment and Conditions  of  Service)  Act,  1996  [Act],  the  Building  and  Other Construction Workers' Welfare Cess Act, 1996 [Cess Act] and rules made thereunder. According to the Act, the State Governments are mandated to constitute State BOCW Welfare Board to perform various functions  which  also  includes  to  provide  pension  scheme  by  the Board to building workers. The State Governments have also been empowered  for  levy  of  cess  at  the  rate  of  1%  of  total  cost  of construction on the employer to meet the expenditure on functioning of the Board.

The  National  Pension  Scheme  for  Traders  and  SelfEmployed  Persons  was  launched  in  September,  2019.  This  is  a voluntary and contributory pension scheme for providing a monthly assured pension of Rs. 3000/- after attaining the age of 60 years to the retail traders/ shopkeepers and self-employed persons.

The  Pradhan  Mantri  Shram  Yogi  Maan-dhan  (PM-SYM) scheme was launched in February, 2019 in order to provide old age pension to the workers of unorganised sector. This is a voluntary and contributory pension scheme with equal matching contribution by the Central Government. Under the scheme, a monthly minimum assured pension of Rs. 3000/- is provided to the unorganized workers after attaining the age of 60 years.

The Central Government  from time to time issued direction  to  the  States  for  implementation  of  provisions  of  the Building and Other Construction Workers (Regulation of Employment and  Conditions  of  Service)  Act,  1996  including  framing  of  pension scheme.  A  Model  Welfare  Scheme,  2018  has  been  issued  to States/UTs,  in  this  regard.  Social  security  benefits  of  the  Model Welfare Scheme inter alia contains life and disability cover, health and maternity cover, education of children, housing, skill development, awareness programme of welfare  schemes and pension,  for  building  workers.    The  utilization  of  cess  fund  by  the States/UTs is monitored by a committee constituted by the Central Government. The Committee interacts with Labour Department and BOCW  Welfare Board at regular intervals. Besides, Regional meetings, National Workshops are organized with officials of States and UTs. The Central Government  has the database of selfregistered building and other construction workers on eShram Portal. Also,  States  report the data  of registered  building and  other construction workers to the Central Government, quarterly, on BOCW MIS Portal. The State BOCW Welfare Board provide the benefits of welfare  schemes  like  immediate  assistance  in  case  of  accident, payment of pension, sanctioning loans and advances for construction of house, financial assistance for the education of children, medical assistance etc. to the eligible registered building and other construction workers with the Board. (e): The  Employees'  Pension  Scheme  (EPS),  1995  is  a  'Defined Contribution - Defined Benefit' Social Security Scheme. The corpus of the Employees' Pension Fund is made up of (i) contribution by the employer @ 8.33 per cent of wages; and (ii) contribution from Central Government through budgetary support @ 1.16 per cent of wages, up to an amount of ₹ 15000/ - per month. All benefits under the scheme are paid out of such accumulations. The fund is valued annually as mandated  under  paragraph  32  of  the  EPS,  1995. The  Budgetary Estimates for the EPS-95 for the Financial Year 2025-26 is Rs. 11250 crore (Rs. 10250 crore against 1.16% contribution + Rs. 1000 crore for Minimum Pension).

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