The Finance Ministry has approved a proposal to raise the salary limit for Employees' Provident Fund (EPF) coverage from Rs 15,000 to Rs 25,000. While this move is a significant update, pensioners across the country are preparing for a nationwide protest on August 5. Their primary goal is to demand a hike in the minimum pension under the Employees' Pension Scheme (EPS).

Currently, private employees receive a minimum pension of Rs 1,000 after retirement. Despite years of demands from various organisations, neither the EPFO nor the government has taken concrete steps to increase this amount. The new proposal to raise the salary limit now awaits final approval from the Cabinet.

Protest Demands

The protest has been organised by the EPS-95 National Agitation Committee. The committee reports that they have submitted multiple memorandums and held peaceful protests, yet no policy action has been taken.

The committee has four key demands:

  • Increase the minimum EPS pension from Rs 1,000 to Rs 7,500.

  • Provide dearness allowance to all pensioners.

  • Offer free medical facilities for pensioners and their spouses.

  • Implement higher pension benefits for eligible retirees, as directed by Supreme Court decisions.

Commander Ashok Raut, National President of the EPS-95 National Agitation Committee, stated, "Approximately 8.1 million EPS-95 pensioners have been agitating for these demands for more than a decade. Despite repeated assurances from the government, no concrete action has been taken."

Addressing the financial struggle of retirees, Raut noted that many EPS-95 beneficiaries receive an average monthly pension of about Rs 1,171. He described this amount as "very low" in today's economic situation.

Context on Salary Limits

Employees earning a basic salary of up to Rs 15,000 are currently covered under the EPF and EPS. This limit was last updated in September 2014, when it was increased from Rs 6,500 to Rs 15,000. Under current rules, PF is deducted based on this salary limit, and retirement pensions are calculated accordingly. 

(With inputs from jagran.com)