Daijiworld Media Network – New Delhi
New Delhi, Feb 27: The Central government is considering the launch of a Universal Pension Scheme aimed at providing social security for every Indian, regardless of employment status.
Reports indicate that the Ministry of Labour and Employment has initiated discussions with stakeholders to formulate the framework for this ambitious initiative. However, no official confirmation has been issued yet.
The proposed scheme is expected to be voluntary, allowing individuals from all sectors—including gig workers and domestic staff—to participate by making monthly contributions. Unlike existing pension schemes that are restricted to specific jobs or industries, this programme would be open to all, including workers in the unorganised sector.
The Employees’ Provident Fund Organisation (EPFO) is likely to oversee the implementation of the scheme. Reports suggest that the government might also co-contribute to pension accounts, either monthly or quarterly, to encourage wider participation. This model aligns with existing voluntary pension schemes like the National Pension System (NPS) for traders and self-employed individuals and the Pradhan Mantri Shram Yogi Maandhan (PM-SYM), which offers a ?3,000 monthly pension after the age of 60. In these schemes, contributions range from ?55 to ?200, with the government matching the amount.
As part of the new initiative, authorities are exploring the possibility of merging existing pension schemes into the Universal Pension Scheme. The Atal Pension Yojana, which provides retirement benefits to low-income workers, may also be integrated into the new framework. Additionally, the government is considering utilising cess collected under the Building and Other Construction Workers (BoCW) Act to fund pensions specifically for construction workers.
If implemented, the Universal Pension Scheme could be a transformative step toward financial security for millions of Indians, especially those in informal employment, ensuring they have stable income support in their later years.