New CPSE Employees Pension Scheme for 1.5 lakh Wage Workers
The detailed consultation has made the Ministry of Steel decide on the final agreement and bring a new Pension Scheme for the wage workers. As the name suggests, the CPSE Employees Pension Scheme CPSE Employees Pension Scheme is effective for executives and non-executives from January 1 (2007) and January 1 (2012) respectively. The consultation of officers associations and unions of the employees were included in the agreement. The scheme is operative for the ones who belong to the steel industry like FSNL, MSTC, RINL, SAIL, KIOCL, and MECON. The Union Minister of Steel, Chaudhary Birender Singh, has made the announcement on July 17, 2018.
Launch Details of the CPSE Employees Pension Scheme
The launch details of the CPSE Employees Pension Scheme have been given below in a table format.
|Name of the Scheme||CPSE Employees Pension Scheme|
|Set to Launch in||Steel Ministry, New Delhi|
|Announced by||Chaudhary Birender Singh|
|Date of Announcement||July 17, 2018|
|Target beneficiaries||1.5 lakh Wage Workers|
Key Features of the CPSE Employees Pension Scheme
After a long-standing demand from multiple CPSEs employees, the Ministry of Steel has decided to introduce the new pension scheme for the wage workers in the industry. While Steel Ministry has just announced to launch the scheme shortly, CPSE Employees Pension Scheme’s prerequisite features and highlights are already known in brief. Below-offered are the points.
- Beneficial for serving and retired employees – The Steel CPSE Employees Pension will be of immense benefits to the serving as well as retired employees of 94,000 and 56,000 respectively. The financial burden will also be improved with a total of Rs. 45 crore every month, after the scheme gets official.
- Factors dependent on the Steel CPSE Employees Pension– The pension scheme, as discussed with Birender Singh, indicates that it’ll subject to the factors such as the paying capacity, affordability, as well as sustainability. In addition to this, this pension scheme will not come with the inclusion of any support from the government budget.
- Depend on the Cost and the Profit – The CPSE’s boards will apparently make a decision about the contribution per year. The decided amount will have a direct impact on the cost of the entire employee of CPSE as well as the profit too. In addition to this, it will have 30% upper ceiling of the total superannuation benefits.
- Road Map Implementation – Each CPSE management will be responsible for the framing of every detail. Besides this, it will also be responsible for the preparation and implementation of the roadmap.
- Various issues discussed – With the discussion of the multiple problems, the new Pension Scheme is touted to be a part of the provident fund, medical benefits, superannuation benefits, as well as a gratuity.
The CPSE employees have already been provided with other benefits by the Steel Ministry like NMDC and MOIL, and these were launched earlier. As of now, while the announcement of the new CPSE Employees Pension Scheme has already been made, it is still ahead of its launch date that is expected to happen shortly.