Voices from the Ground: Why Immediate Action is Needed for EPS-95 Pensioners

As per “Oxford Dictionary of Commence” Pension is of the following types:

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1) “Pay As Go” System: Which is equal to Old Pension System of Central Government Employees who got appointed upto 31-12-2003.

2) Defined Contribution Pension: Which is equal to Contributory Pension Scheme of Central Government employees implemented.w.e.f. 01-01-2004.

3) Defined Contribution – Defined Benefit Scheme: Which is equal to the Pension under EPS,’95.

If the EPS,’95 is a Social Welfare Measure, why other employees bear the burden of the Pension payable to the nominee in the even of the death of the employee while in service. Here, besides the nominee, two children are also provided Pension upto the age of 25 years.

When an Employee of the Central Government or State Government dies while in service his family is being taken care of the Government alone with regard to Pension, besides providing job to the nominee under Bread-winnder Scheme and other benefits. Then why should an Industrial worker coming under EPS,’95 has to bear the burden of the Pension of the nominee of an employee who died while in service?

This is is greatest injustice in EPS,’95 system which was never realised by the employees coming under the Scheme. Let Government keep its share of 1.16% keep apart and take care with regard to Pension to the nominee and its children who died while in service. Why should it pool the contributions and calculated the Pension as per the formual besides providing succor to the nominee of the deceased employee.

The Pension formula under EPS,’95 is deivsed in such a way that the Contributions of the employees “forever remain” in investments and only basing on Interest Pension and Withdrawal expenditure is met for not only for present payments but for future payments also by keeping a provision.

The Hon’ble Supreme Court judgement of 11th November, 2003, upheld the EPS,’95 in the hope that there will be improvement in the future. But no improvement for the past 31 years (16-11-1995 to 16-11-2026) and on ther other hand reduction in benefits such as Multiplication Factors under Table “B” and for extending the benefit of two year Weightage etc.

In the judgement of 11th November, 2003, there is a mention that Employees need EPS,’95 because they need the intrinsic value of their money.

The judgement and its observations of 11th November, 2003 were totally forgotten by everybody.

As you said, as Legal Advisor to EPS,’95 Welfare Association, head quartered at Nagpur, there is no mention of EPS,’95 as Social Welfare Measure. How can it be when the Pension is based on Contributions which are forever remain in investments for the past more than 53 years both under Employees’ Family Pension Scheme, 1971 and EPS,’95.

Social Welfare Measure is that where there is no contribution for Pension such as which provided to Elderly persons of above 55, 58 and 60 years depending upon age from “Tax Payers” Money. In Andhra Pradesh it was 75/- as on 16-11-1995 and now it is 4,000/- an increase of 53.33 times, Highest in the Country which was paid from Tax payers money. For this increase elderly people never asked for increase nor they participated in Dharnas. Governments itself increasing their Pension to secure the Vote Bank of elderly persons from Tax Payers money.

To Sri Dada Tukaram Zone, Legal Advisor to EPS,’95 Welfare Association, Nagpur.

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