EPFO May Raise Minimum Monthly Pension from Rs 1,000 to Rs 3,000

Hyderabad, Nov 10: The Employees’ Provident Fund Organisation (EPFO) is considering a proposal to raise the minimum monthly pension under the Employees’ Pension Scheme (EPS) from Rs 1,000 to Rs 3,000.

The Labour Ministry has reportedly reached a decision on the proposal following consultations with the Union Finance Ministry. The matter is likely to be discussed at the EPFO’s Central Board of Trustees (CBT) meeting scheduled for November 19, where a final decision may be taken.

India currently has around 81.48 lakh EPS pensioners, of whom approximately 73.55 lakh receive less than Rs 3,000 per month. If approved, the proposed hike is expected to benefit these pensioners, including around five lakh beneficiaries in Telangana.

The minimum monthly pension was fixed at Rs 1,000 in 2014. Trade unions have since been demanding an increase, citing rising living costs and the inadequate pension amount.

The proposal has gained momentum following the recent revision of the EPFO wage ceiling from Rs 15,000 to Rs 25,000 in September, after nearly 12 years.

However, the proposed pension hike is yet to receive formal approval.