Old Pension Scheme: The hopes of all government employees regarding the old pension scheme have suffered a major setback. The Finance Secretary has clarified that it is not financially possible to implement the old pension scheme. Implementing it will be detrimental for those who are not in government jobs.
Old Pension Scheme: A big update has come for the employees demanding the re-implementation of the old pension scheme. A senior government official has clarified the picture regarding the old pension scheme in a conversation with news agency PTI. He said that it is not financially possible to implement the old pension scheme.
‘Bringing back the old pension system is harmful’
Finance Secretary TV Somanathan said that bringing back the old pension system would be detrimental for those who are not in government jobs. Some meaningful discussions have been held with employee organizations and state governments regarding the New Pension System (NPS).
There are some concerns among employees regarding NPS
Somanathan said, the work of the committee formed on NPS is not yet complete. We have talked to the employee organizations and state governments about this. There has been some progress in this. Employees have some concerns.
1. Employees say that this is a new scheme. NPS is linked to the stock market, we do not want fluctuations. They say that it should be clear how much pension will be received.
2. Whatever pension the employees get after retirement, there should be some provision to deal with inflation i.e. some arrangement like Dearness Allowance (DA). If this is not done, the actual value of the pension will keep decreasing.
3. If someone has not worked for the full term i.e. 30 years, some minimum pension should be fixed for him. These are the matters on which we have to take a decision.
Let us tell you that last year, the Finance Ministry had constituted a committee under the leadership of the Finance Secretary to review the pension scheme for government employees and suggest changes as per the need in the National Pension System.
Government will give modern look to ITI
He said that in order to make the youth of the country employable, the government will modernize 1000 ITI institutes in addition to providing them training in companies. The modern machinery and working methods of the industry will be incorporated in ITI. Good trainers will also be added. Its purpose is to provide better training.
