Lok Sabha Question No. 3564 (UNSTARRED), answered on 2015-12-21
Subject: Minimum Pensions
Ministry: LABOUR AND EMPLOYMENT
Asked by: HARISH DWIVEDI

## GOVERNMENT OF INDIA

## MINISTRY OF LABOUR AND EMPLOYMENT

## LOK SABHA

## UNSTARRED QUESTION NO. 3564 TO BE ANSWERED ON 21.12.2015

## MINIMUM PENSIONS

†3564. SHRI HARISH CHANDRA ALIAS HARISH DWIVEDI:

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

- (a)the  minimum  pension  fixed  by  the  Government  for  the  employees retired  from  the  Government  departments, corporations and SemiGovernment departments;
- (b)the  minimum  pension  recommended  by  the  various  committees constituted so far by the Government;
- (c)whether the Government has received complaints anomalies in minimum pension scheme; and
- regarding
- (d)if  so,  the  details  thereof  and  the  reaction  of  the  Government
- thereto?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI BANDARU DATTATREYA)

- (a): The  minimum  pension  fixed  for  retired  Central  Government employees  is  Rs.  3,500/-  per  month  with  effect  from  01.01.2006.  For pensioners,  including  those  retired  from  public  sector  corporations and other establishments, to whom the  Employees' Pension Scheme (EPS), 1995 framed under the Employees' Provident Funds & Miscellaneous  Provisions  Act,  1952  applies,  provision  of  a  minimum pension of Rs. 1,000/- per month has made with effect from 01.09.2014.
- (b): The Sixth Central Pay Commission had recommended pension of Rs. 3,330/- per month in respect of employees retired from the Central Government.

The  minimum  pension  of  Rs.  1,000/-  per  month  under  the EPS,  1995  implemented  by  the  Central  Government  was  one  of  the recommendations of the Expert Committee constituted by the Government. Apart from this, the Committee on Petitions of the Rajya Sabha  under  the  chairmanship  of  Shri  Bhagat  Singh  Koshiyari  in  its 147 th   Report  had  recommended  to  increase  Government  share  of contribution under EPS, 1995 from 1.16 per cent to 8.33 per cent to support the minimum pension level of Rs. 3000/- per month. However, it was not found feasible for implementation.

(c) & (d): No complaints regarding anomalies in minimum pension in respect of Central Government employees have been received by the Government.

However, representations, grievances and complaints have been  received  from  various  quarters  that  the  monthly  pension  to pensioners  under  EPS,  1995  have  not  increased  to  Rs.  1,000/-  per month  even  after  the  notification  in  respect  of  pensioners  who  had taken short service pension, commutations or return of capital. Some grievances also relate to the fact that pension has not increased for those drawing more than Rs. 1,000/- per month.

Consequent upon implementation of the minimum pension to  pensioners  under  EPS,  1995  vide  notification  number  GSR  593(E) dated 19.08.2014, the pension of all member/widow(er)/disabled/ nominee/dependent  parent  pensioners  whose  original  pension  was less  than  Rs.  1,000/-  per  month  had  been  fixed  at  the  minimum  of Rs. 1,000/- per month. In cases where members had preferred option for  Commutation,  Return  of  Capital  and  Short  Service  Pension  and have already availed these benefits as per choice exercised by them at  the  time  of  making  pension  claim,  the  deductions  on  account  of these options would continue to apply on the minimum pension of Rs. 1,000/- per month that has now been fixed. In such cases, the pension amount would be less than Rs. 1,000/per month even after implementation of the said notification.

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