<p>Unions have demanded an increase in the minimum pension for retired private employees from ₹1,000 to ₹9,000. Although the government has acknowledged this demand, no timeline has been given.</p><img><p>Currently, retired private employees get a minimum pension of ₹1,000, which has been the same for a long time. The demand for a pension hike has been raised for a while. Many had hoped for an increase during the last budget, but their hopes were dashed.</p><img><p>There was a demand for a minimum pension of ₹7,000, but nothing actually increased. Now, the demand for a minimum pension hike is public again. Recently, labor unions demanded a minimum monthly pension of ₹9,000 under EPS 95.</p><img><p>Recently, Minister of State for Labour and Employment, Shobha Karandlaje, confirmed that various trade unions have demanded a pension increase from the current minimum of ₹1,000. However, they have not set any deadline for this minimum pension hike.</p><img><p>The Union Minister emphasized that EPS 95 is a defined contribution, defined benefit scheme. The pension fund is mainly formed by employee contributions of 8.3% of their salary and the central government’s contribution on salaries up to ₹15,000.</p><img><p>Currently, 4,704,270 active pensioners receive a monthly pension. This means the entire process needs to be revised by increasing the minimum pension.</p><img><p>Some reports claim that to strengthen social security and in the interest of employees, the salary limit may be increased to ₹25,000-₹30,000. In that case, the minimum pension would be between ₹3,570 and ₹12,500.</p><img><p>If someone’s salary limit is ₹25,000, after at least 10 years of service, they might receive a minimum pension of ₹3,570 instead of ₹9,000. However, it’s hard to say when this amount will increase. It’s a matter of waiting. The demand for an increase has been long-standing. Now, we have to see how much it actually increases.</p>
