Increase of Pension under Employees’ Pension Scheme, 1995 (EPS-95): Loksabha Q and A
GOVERNMENT OF INDIA
MINISTRY OF LABOUR AND EMPLOYMENT
LOK SABHA
UNSTARRED QUESTION NO. 1448
TO BE ANSWERED ON 09.02.2026
INCREASING OF PENSION UNDER EPS-95
1448. DR. KIRSAN NAMDEO:
Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:
(a) whether it is a fact that various Labour Unions including the Bharatiya Mazdoor Sangh (BMS) have urged the Government to increase the minimum amount of pension under the Employees Pension Scheme (EPS) 1995 to Rs. 9,000;
(b) if so, the details thereof along with the time by which the pension is likely to will be increased; and
(c) the number of the retired EPS pensioners that are getting pension less than Rs.9,000?
ANSWER
MINISTER OF STATE FOR LABOUR AND EMPLOYMENT
(SUSHRI SHOBHA KARANDLAJE)
(a) & (b): Representations have been received from various stakeholders including trade unions and public representatives to increase the minimum pension under the Employees’ Pension Scheme (EPS), 1995 from the existing Rs.1,000/- per month.
Employees’ Pension Scheme, 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) 1.16 per cent contribution from Central Government on wages upto Rs.15,000/- per month. All benefits under the scheme are paid out of this Fund.
The Government is providing a minimum pension of Rs.1000 per month to the pensioners under the EPS, 1995 through budgetary support, which is in addition to the budgetary support of 1.16 per cent of wages towards EPS to Employees’ Provident Fund Organization (EPFO).
The fund is valued annually as mandated under paragraph 32 of EPS, 1995. The objective of the valuation is to determine the long-term viability of the fund given the expected stream of money inflows from contributions, etc. and the outflows in terms of benefits.
The Government of India is committed to provide robust social security coverage through EPF Scheme, 1952, EPS-95 and EDLI Schemes being run by EPFO, to the members of these schemes, taking into consideration the sustainability of the respective funds as well as the future liabilities thereon
(c): The total number of active member pensioners under EPS 95 receiving pension of less than Rs 9000/- is 47,04,270.
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