look news india
Good news may come for central employees. The National Democratic Alliance (NDA) government may guarantee 50 percent of the last salary of its employees as pension. Instead of determining the current market-based compensation for pension, benefits will be provided under the National Pension System (NPS). If the recommendations are implemented, this step will be the first and most important step of Narendra Modi Government 3.0.
In March 2023, the Narendra Modi government 2.0 constituted a panel headed by Finance Secretary TV Somanathan. Its task was to make recommendations to increase pension benefits under the NPS without reverting to the financially disastrous non-contributory Old Pension Scheme (OPS). The panel submitted its report to the government in May last year. A report submitted to the government found overwhelming support for the NPS model implemented in Andhra Pradesh in 2023.
Suggestion.
Guaranteed payment of 40% to 50% of last salary as pension
If there is a shortfall in the pension fund, funds will be provided by the Centre
Partial withdrawal will result in proportionate reduction
This step was taken as many opposition-ruled states re-adopted OPS
Under OPS, an employee who has worked continuously for at least 20 years will be given 50 per cent of his last salary as pension.