Parliamentary panel suggests a raise to EPF pension, says ₹1,000 inadequate to meet basic needs
A Parliamentary panel on Tuesday (March 17, 2026) recommended an urgent, comprehensive review of the ₹1,000 minimum monthly pension under the Employees’ Pension Scheme, 1995
A Parliamentary panel on Tuesday (March 17, 2026) recommended an urgent, comprehensive review of the ₹1,000 minimum monthly pension under the Employees’ Pension Scheme, 1995, to raise it to a more realistic and dignified level. This assumes significance in view of pensioners' demand to raise the pension to ₹7,500 per month, as ₹1,000 is not sufficient to make both ends meet. India’s pension scheme lags in terms of coverage, contribution Pensioners under the Employees' Pension Scheme 1995 (EPS-95) run by the retirement fund body EPFO had also staged a three-day protest at Jantar Mantar from March 9, for increasing the minimum monthly pension to ₹7,500. The Parliamentary Standing Committee on Labour, Textiles and Skill Development, in its 15th Report on 'Demands for Grants (2026-27)' of the Ministry of Labour and Employment, noted that the minimum pension of ₹1,000 per month under the Employees' Pension Scheme, 1995, has remained unchanged for a considerable period of time despite the rising cost of living. During the course of evidence, the committee observed that numerous representations have been received from pensioners seeking an upward revision of the minimum pension, particularly considering the financial hardships faced by elderly and economically vulnerable beneficiaries. The Committee further take note of the submission of the Ministry of Labour and Employment that the Government of India is already extending financial support towards the Scheme, including the contribution of 1.16% for currently serving members of the Employees' Provident Fund Organisation and the budgetary support provided for ensuring the minimum pension of ₹1,000 per month.
However, the Committee stated that it is of the considered view that the existing minimum pension amount is inadequate to meet even the basic needs of pensioners, particularly in the present economic scenario marked by inflation and rising health care and living expenses. The Committee, therefore, recommend that the Ministry undertake an urgent and comprehensive review of the minimum pension under the Employees’ Pension Scheme, 1995, with a view to enhancing it to a more realistic and dignified level. Editorial | Pension woes: On EPFO member-pensioners The Committee further recommend that the Ministry explore the possibility of increasing budgetary support to the Scheme, so as to ensure that pensioners receive a reasonable minimum pension commensurate with present-day living costs, thereby providing greater social security and financial stability to lakhs of retired workers covered under the Scheme. While appreciating and welcoming the implementation of the Labour Codes, the Committee have recommended the constitution of a Permanent Co-ordination and Interaction Board consisting of representatives of both Centre and States on priority. The Board should also look into the implementation of various schemes of the Ministry. While observing that many contractual labourers perform duties similar to regular workers but often face delays in receiving relief and compensation after workplace accidents, the Committee have recommended that timely coverage of such workers under social security schemes like Employees’ State Insurance (ESI) and Employees’ Provident Fund (PF) be ensured..
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