OPS: Restoration of old pension scheme demand to be taken up by Central government employees

In a bid to placate employees, the Union cabinet has recently approved increase of the government contribution of basic pay in National Pension System (NPS) from 10% to 14% while the minimum contribution on part of employee will still remains 10%. 

OPS: Restoration of old pension scheme demand to be taken up by Central government employees
The central government employees are not happy with changes in the NPS on their demand for OPS. Representational Image, source: PTI
Written By: ZeeBiz WebTeam
Updated: Wed, Mar 06, 2019
01:18 pm
New Delhi, ZeeBiz WebDesk
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Looking at upcoming general elections, demand for restoration of old pension scheme (OPS) is once again becoming vociferous as central government employees across the country are set to stage a protest, hoping to get the support of political parties. General Secretary of All India Railway Men's Federation (AIMF), Gopal Mishra, has also written a letter to all political parties in this regards, seeking their support, said a Zeebiz Hindi report.

Mishra has urged the political parties to include the OPS into their poll manifesto if they seek to get the support of central government employees.

In a bid to placate employees, the Union cabinet has recently approved increase of the government contribution of basic pay in National Pension System (NPS) from 10% to 14% while the minimum contribution on part of employee will still remains 10%. The cabinet has also given its nod for income tax rebate under section 80C of the Income Tax Act if NPS contribution is above 10%, and government employees would also be able to withdraw 60% during their retirement. This was earlier fixed at 40%.

However, central government employees are not happy with changes in the NPS on their demand for OPS.  

According to the report, RK Nigam, general secretary, Sanyukt Sangharsh Sanchalan Samiti (S4), stated that in the last meeting, Principal Secretary, Personnel, Union govt, had stated that the central government has decided to amend National Pension System from January 31, 2019, and finance ministry also issued a notification. In that meeting, the Principal Secretary also a copy of that notification asking the Samiti to think over it, but S4 didn't agree, Nigam reportedly stated.

On the other hand, S4 president SP Tiwai also told ZeebizHindi that their organisation is protesting for restoration of OPS, and they are not ready to ready to accept NPS or any amendment related to it.

Earlier, the Delhi government had assured its employees that it would revert to the OPS. This has boosted employees of other states to further put a pressure on the government.

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Notably, over one-lakh government employees had participated in a huge rally demanding restoration of OPS in December 2018.

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