EPS-95 Pensioner : In a promising development for over 75 lakh retired employees under the EPS-95 scheme, the central government is actively considering a substantial pension increase. According to recent updates, the pension amount may be raised from the current ₹10,000 to ₹18,000 per month starting June 2025. Discussions are in advanced stages, and an official notification could be released soon.
What is the EPS-95 Pension Scheme?
The Employees’ Pension Scheme (EPS-95) was introduced by the Employees’ Provident Fund Organisation (EPFO) to provide a stable monthly income to retired employees of the private sector. However, due to the low pension amounts, beneficiaries have been demanding a hike for years.
Key features of the scheme include:
- Launched in 1995 under the EPFO
- Available to employees earning up to ₹15,000 per month
- Funded by contributions from both employer and employee
- Provides lifelong pension after retirement
- Pension amount based on service years and salary history
Why Is the Pension Hike Being Considered?
There has been growing pressure from EPS-95 pensioners and welfare associations who have been consistently raising concerns over the low pension payouts that are insufficient to meet the rising cost of living. A series of protests, appeals, and legal battles have pushed the government to re-evaluate the current structure.
Reasons driving the pension hike:
- Increased cost of living and inflation
- Demand for minimum pension of ₹18,000 per month
- Supreme Court’s recommendation on pension revision
- Public protests and national attention
- Government’s focus on welfare schemes for the elderly
Proposed Hike: ₹18,000 Per Month – What Will Change?
If the pension is revised to ₹18,000 per month, it will mark a major financial relief for retired employees under EPS-95. This step will align the pension closer to minimum wage standards and ensure dignity and sustainability in old age.
Expected Changes Post-Hike
| Current Pension (₹) | Proposed Pension (₹) | Increase Amount (₹) | Implementation Month | DA Applicability | Beneficiary Count (Approx) |
|---|---|---|---|---|---|
| 10,000 | 18,000 | 8,000 | June 2025 | Yes | 75 lakh+ |
Who Will Benefit from the New Pension?
The revised EPS-95 pension structure will primarily benefit retired private-sector employees who contributed to the Employees’ Provident Fund and meet the eligibility criteria under EPS.
Beneficiaries Include:
- Retired factory workers
- Former private-sector clerks and executives
- Widows and dependents under EPS-95
- Employees retired before and after 2006
- Pensioners aged above 58 years
- Members with 10+ years of eligible service
Government’s Official Stand and Next Steps
Though no final decision has been formally declared, the Labour Ministry has acknowledged receiving multiple representations and confirmed that it is reviewing the matter. High-level discussions with the Finance Ministry and EPFO officials are currently underway.
Timeline of Developments
| Date | Event |
|---|---|
| Jan 2024 | Pensioners submitted fresh memorandum to the Prime Minister |
| Mar 2024 | EPFO held internal discussions on feasibility |
| Apr 2024 | Supreme Court urged reconsideration of pension cap |
| May 2024 | Labour Ministry hinted at “positive developments” |
| June 2025 | Tentative month for implementation of new pension structure |
Other Likely Improvements Alongside Pension Hike
Apart from the ₹18,000 monthly pension proposal, additional supportive measures may be introduced to strengthen social security for pensioners.
Possible Additions to EPS-95 Benefits:
- Inclusion of Dearness Allowance (DA) with regular updates
- Medical benefits under ESIC for pensioners
- One-time arrears or retrospective hike benefits
- Simplified digital process for pension claim tracking
- Inclusion of more private sector employees under EPS umbrella
What Pensioners Should Do Now
While the final announcement is still awaited, EPS-95 beneficiaries are advised to:
- Ensure their KYC and Aadhaar are updated with EPFO
- Link bank accounts for direct benefit transfers
- Stay connected with their pensioners’ association
- Follow government notifications for official updates
The potential hike in EPS-95 pension from ₹10,000 to ₹18,000 could significantly improve the lives of lakhs of retired private-sector workers. The government’s response to long-standing demands reflects a broader commitment to ensuring social security and financial dignity for senior citizens. While an official order is awaited, the signs point to a major positive change for EPS-95 pensioners beginning June 2025.