What steps are being taken by the government to provide assured pensions for its employees

The government is expected to do something for its employees regarding financial security.
The government has taken several steps to provide assured pensions for its employees:
  • The introduction of the National Pension System (NPS) which is a defined contribution pension system for government employees. Under this scheme, a certain amount is deducted from an employee's salary and is invested in a pension fund. The employee can also contribute additionally if they wish. The government has made it mandatory for all new employees to join the NPS.
  • The government has increased the retirement age of its employees from 58 to 60 years which ensures that an employee gets a regular income for an additional 2 years before retirement.
  • The government has set up the Pension Fund Regulatory and Development Authority (PFRDA) which regulates and promotes the NPS. It ensures that the money is invested properly and provides transparency and accountability.
  • The government has also introduced the Atal Pension Yojana (APY) which is a pension scheme for unorganized sector workers. Under this scheme, the subscribers will receive a guaranteed minimum pension of Rs. 1000 to Rs. 5000 per month depending on their contribution and age at the time of joining.
  • The government has also launched the Pradhan Mantri Shram Yogi Maan-dhan Yojana (PM-SYM) which is a pension scheme for unorganized sector workers. Under this scheme, the subscribers will receive a guaranteed minimum pension of Rs. 3000 per month after the age of 60.
Overall, these steps taken by the government provide assurance to its employees that they have a reliable source of income after retirement.
Answered a year ago
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