Minister of State for Finance Pankaj Chaudhary on Monday informed the Lok Sabha that the government has no plans to restore the Old Pension Scheme (OPS) for central government employees. Replying to a question asked, MP Chaudhary said, « No such proposal is under consideration » and the Finance Ministry informed that there were over 67.95 lakh central government pensioners, including defense retirees, as of March 31, 2023.
According to the data compiled and provided by the Department of Pensions and Pensioners Welfare based on the database maintained by the Central Pension Accounting Office, the Controller General of Defense Accounts, the Ministry of Railways iron, the Department of Telecommunications and the Department of Posts, the total number of central government servants The number of government pensioners as on March 31, 2023 is 67,95,449, Minister of State for Finance Pankaj Chaudhary said in the Lok Sabha.
The number of civilian and military retirees stood at nearly 11.42 lakh and over 33.87 lakh respectively. The number of retirees from telecom and postal services stood at over 4.38 lakh and 3.01 lakh respectively.
The minister informed the House that railway pensioners numbered over 15.25 lakh as of March 2023.
A committee was set up under the chairmanship of the Finance Secretary to examine the issue of pensions under the National Pension System (NPS) for government employees and to, inter alia, examine whether, in the light of the framework and existing structure of the national pension system, as applicable to government employees, any modification thereof is justified.
He further said that the state governments of Rajasthan, Chhattisgarh, Jharkhand, Punjab and Himachal Pradesh have informed the central government/Pension Fund Regulatory and Development Authority (PFRDA) of their decision to revert to the old pension plan (OPS) for their state government. employees.
« These state governments have requested withdrawal/refund of contribution as well as return of the same. However, the Punjab government has also informed the Government of India that it continues to pay staff and government contributions to the NPS » Chaudhary said.
There is no provision under the PFRDA Act, 2013 and other relevant regulations, under which the accumulated corpus of subscribers viz. The government contribution, employees’ contribution to NPS, as well as accruals, can be refunded and deposited with state governments, he added.
Under OPS, retired civil servants received 50 percent of their last earned salary as a monthly pension. The amount keeps increasing with the rise in DA rates. The OPS is not financially viable because it is not contributory, and the burden on the Treasury continues to increase.
The NPS has been implemented for all government employees, except those in the armed forces who joined the central government with effect from January 1, 2004. Most state governments and union territories have also informed the NPS of their new employees.
(With contributions from the agency)
