(a) The types and details of pension schemes being implemented by the Government at present;
(b) Whether any new pension scheme has been introduced by the Government during the last four years and if so, the details and the salient features thereof;
(c) Whether the National Pension System (NPS) has been simplified and if so, the details thereof; and
(d) The percentage of persons covered/ subscribed under pension scheme at present in the country, State/UT-wise?
The Minister of State in the Ministry of Finance
(a) and (b) The Department of Financial Services, Ministry of Finance is implementing two pension schemes, namely the National Pension System (NPS) and the Atal Pension Yojana (APY).
The Government of India vide notification dated 22.12.2003 had introduced the National Pension System (NPS) (earlier known as New Pension Scheme) for its employees and made it mandatory for all new recruits of the Central Government (excluding armed forces) who joined service on or after 01.01.2004. Further, State Governments are empowered under Section 12(4) of the PFRDA Act, 2013, to notify NPS for their employees. NPS being a contributory pension scheme, in the Tier-I account, a monthly contribution @ 10 percent of basic salary plus dearness allowance is required to be paid by the employee and a matching contribution by the Government. The Tier II account is a voluntary account on the part of the employee which is linked to the active Tier I account.
The Atal Pension Yojana (APY) was launched in May, 2015. Indian Citizens between the age group of 18 to 40 years are eligible to join APY through their savings bank account or post office savings bank account. Depending upon the pension plan selected, each subscriber under APY shall receive a guaranteed minimum pension of Rs. 1000 per month or Rs. 2000 per month or Rs. 3000 per month or Rs. 4000 per month or Rs. 5000 per month, after the age of 60 years until his/her death.
The Employees’ Provident Fund Organisation (EPFO) has informed that EPFO is implementing Employees’ Pension Scheme, 1995 (EPS, 1995). Further, it is also informed that EPFO has not introduced any new pension scheme during the last four years.
The Department of Pensions and Pensioners’ Welfare has informed that it administers the pension scheme for the Central civil Government servants retiring in accordance with the provisions of CCS (Pension) Rules, 1972. After completing a qualifying service of not less than 10 years, an employee is entitled to a pension @50% of his last pay or 50% of average emoluments for the last 10 months, whichever is more beneficial to him/her.
(c) The Pension Fund Regulatory and Development Authority (PFRDA), administering NPS, has simplified exit and withdrawal norms under NPS, vide PFRDA (Exit and withdrawals under NPS) Regulations, 2015. Keeping in view the possibility of sudden financial needs of the subscribers, the requirement of minimum period under National Pension System (NPS) for availing the facility of partial withdrawal from the mandatory Tier-I account of the subscriber has been reduced from 10 years to 3 years from the date of joining w.e.f. 10th August, 2017. The minimum gap of 5 years between two partial withdrawals has also been removed w.e.f. 10th August, 2017. A subscriber is eligible for three partial withdrawals during the period of subscription under NPS, each withdrawal not exceeding twenty-five percent of the contributions made by the subscriber and excluding contributions made by the employer. There is, however, no restriction on withdrawals from the Tier-II account of the subscriber.
(d) The number of subscribers covered under NPS, State/UT wise, as on 30.11.2018 is provided at Annexure I. The number of subscribers covered under APY, State/UT wise, as on 22.12.2018 is provided at Annexure II. The number of employees subscribing to EPS, 1995, as on 01.03.2018, State/UT wise, is provided at Annexure III.
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