The demand for increasing the minimum monthly pension from Rs 1,000 to Rs 7,500 has once again intensified among millions of pensioners. According to the EPS-95 National Agitation Committee, a protest will be held at Jantar Mantar on March 9, 10 and 11 where a large number of pensioners will participate to demand a minimum monthly pension of Rs 7,500.

Why the demand for increasing pension to Rs 7500

Currently, the minimum pension under EPS-95 is Rs 1,000 per month which was fixed in 2014. According to the pensioner’s committee, millions of pensioners have contributed to the EPFO ​​for 30 to 35 years, yet their average monthly pension is only around Rs 1,171. They claim that such a low pension makes it difficult for the pensioners to meet their daily expenses. They have also alleged that many government schemes provide pensions even without contributions.

Pensioners claim that the existing pension is not enough to cover their old-age expenses. Pensioners claim that with rising inflation it is very difficult to exist on the current pension. Therefore, the pensioners have long demanded a minimum pension of Rs 7,500, dearness allowance and better social security.

Pension protest at Jantar Mantar

Pensioners covered under the Employees’ Pension Scheme 1995 (EPS-95) are holding a three-day protest at Jantar Mantar in Delhi, starting March 9th. According to the EPS-95 National Agitation Committee, a “Do or Die” protest will be held at Jantar Mantar on March 9, 10 and 11. A large number of pensioners from various states will participate in the protest. MPs from several political parties are also expected to support it.

The main demands of the pensioners include raising the minimum monthly pension from Rs 1,000 to Rs 7,500, along with dearness allowance, family pension and free medical care for the pensioner and their spouse. There are also demands to extend higher pension benefits to all eligible employees, in accordance with the Supreme Court’s decision of November 4, 2022.

According to a statement, approximately 8.1 million pensioners have been demanding a hike in minimum pension for the past nine years. These include former employees of central and state government public sector undertakings, cooperatives, the private sector, media organisations and mills.

Why EPS-95 pension has not been raised to Rs 7500

The Lok Sabha was questioned in December last year about the Supreme Court’s directives to increase the minimum pension and the implementation of pension fixation. The Labour Ministry explained that EPS-95 is funded mainly through employer and government contributions. All pension payments are made from this collected fund. 

The government said there is an actuarial deficit in the pension fund. This shortfall makes it difficult to increase the minimum pension. The Centre also said that it already provides additional budgetary support to maintain the Rs 1,000 minimum pension.

While pensioners continue to pressure the government, the approval of an increased minimum pension amount has not yet been given. Only time will tell if the demand for an increased minimum pension is met.