RAJYA SABHA
The Employees Pension
Scheme, 1995 is not being linked with the Consumer Price Index.
Stating this in a written reply in the Rajya Sabha today, the
Labour Minister Dr. Sahib Singh said that such a linkage would
burden the scheme with unlimited liability. He said that the Employees
Pension Scheme is a contributory scheme with limited resources.
The Labour Minister said that however, there is a provision in
the EPS for annual valuation of the pension fund. He said that
based on valuation results as also the availability of resources,
relief is granted to the pensioners in addition to the minimum
payable pension. He said that till date four additional reliefs
have been sanctioned.
The Labour Minister
said that Employees Pension Scheme 1995 is a defined benefit funded
scheme. He said that the benefits are paid out of the Pension
Fund which are based on actuarial study. He said that all members
of the Employees Pension Scheme who have joined on or after 16.11.1995
are members of the Employees Pension Scheme 1995. Dr. Sahib Singh
said that all employees who have been members of the EPF as on
15.11.1995 but not members of the ceased Family Pension Scheme
1971, can exercise option to be members of the Employees Pension
Scheme 1995.
