Parliamentary Panel To Seek Finance Minister's Explanation For Rejecting Proposal To Raise Pension Under EPFO

A Parliamentary panel will seek explanation from the finance ministry for turning down the labour ministry's proposal to increase the pension of EPFO subscribers from the current Rs 1,000 per month.
     
The quantum of increase proposed by the labour ministry could not be ascertained.
     
Top officials from the labour ministry and Employees' Provident Fund Organisation (EPFO) on Thursday briefed  Parliamentary Standing Committee on Labour chaired by BJD MP Bhartruhari Mahtab on operation of the EPF pension scheme and management of its corpus fund.
     
The finance ministry had not agreed to the labour ministry's proposal for any enhancement in the monthly pension, the officials informed the panel.
     
The panel has now decided to call top officials from the finance ministry to seek explanation behind the move.
     
The labour ministry has constituted a High-Empowered Monitoring Committee for complete evaluation and review of the Employees Pension Scheme (EPS), 1995.
     
The committee in its report had recommended that the minimum monthly pension payable to the member/widow/widower pensioner may be raised to at least Rs 2,000, provided annual budgetary provision for the same should be made.
     
Earlier this year, the panel in its report had termed the the pension of Rs 1,000 "grossly inadequate" and it is imperative for the labour ministry to pursue a proposal for raising the amount.