The Union Government has released a sum of rupees 2,000 crore to the Employees Pension Scheme (EPS), 1995 as its contribution for the year 2015-2016. The Union Minister of State for Labour & Employment (Independent Charge) Shri Bandaru Dattatreya said that this contribution is in addition to rupees 250 crore contributed by the Central government as grant-in-aid in the EPS, 1995 for providing minimum pension of rupees 1000 to the pensioners of EPS, 1995.
Since September 2014, EPS pensioners have been assured of a guaranteed minimum pension of rupees 1000 per month, therefore, it is necessary to infuse such additional amounts as grant-in-aid by the Central Government to sustain the minimum guaranteed pension.
Under the provisions of EPS, 1995, the contribution of Central Government is calculated at the rate 1.16% of the monthly wages of the members contributing to the EPS, 1995. This is in addition to the funding made available by the employers covered under the Act who contribute 8.33% of the monthly wages of the members to the Scheme.
–Ministry of Law and Justice
