Pension Scheme: A new pension initiative, modeled after those in developed nations, is set to be launched in India. This initiative, named the Universal Pension Scheme (UPS), aims to ensure that all citizens receive pension benefits. Reports indicate that the Labor Ministry has commenced efforts to develop this scheme, which seeks to provide financial security to individuals in their later years.
Scheme will be open to all Indian citizens
Participation in this scheme will be open to all Indian citizens, with plans for its integration into the Employees’ Provident Fund Organisation (EPFO). The government is currently finalizing the structure of the scheme. Once this process is complete, the Labor Ministry will engage with the public, experts, various ministries, and stakeholders to enhance the scheme’s effectiveness and utility.
Government may incorporate several existing and new schemes into this initiative
To increase its appeal, the government may incorporate several existing and new schemes into this initiative. The objective is to ensure that a significant number of individuals from the unorganized sector, including laborers, self-employed individuals, and business owners, can benefit from this program.
The Pradhan Mantri Maan Dhan Yojana and the National Pension Scheme are both voluntary options, providing a monthly pension of Rsb3,000 after the age of 60. Participants can contribute between Rs 55 and Rs 200 each month, with the government matching their contributions.
Atal Pension Yojana
Additionally, the Atal Pension Yojana may be integrated into this comprehensive scheme, which currently operates under the Pension Fund Regulatory and Development Authority (PFRDA). Furthermore, the government may consider including funds collected under the Building and Construction Workers Act, thereby extending pension benefits to workers in the construction industry.