Uchch.Madhyamik Vibhagma Faraj Bajavata Udhyog Shixakona Uch.Pagar Dhoran Babat
As controversy grows over the matter, here we take a look at what the 7th Pay Commission originally recommended:
The mandate of the 7th Pay Commision with regard to pension was “To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the National Pension System (NPS).”
As on 01-01-2018, when NPS came into force, there were 51.96 lakh pensioners in the country, including from central civil services, railways, post, defence and defence cilians.
The Commission noted that, "For employees joining on or after 01.01.2004, the concept of pension, so far as Civilian employees including CAPFs are concerned, has undergone a complete change.
After the enactment of the Pension Fund Regulatory and Development Act, 2013, it is not the exclusive liability of the government to pay the pension."
"As per the new dispensation the employee and the government are to make equal matching contribution towards their pension. This dispensation is not applicable to the defence forces personnel," it added.
The commission made following recommendations regarding NPS:
1. Investment choices under NPS be calibrated on a life cycle approach and the choices be offered in a simple manner so that any lay person can understand and act accordingly.
As controversy grows over the matter, here we take a look at what the 7th Pay Commission originally recommended:
The mandate of the 7th Pay Commision with regard to pension was “To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the National Pension System (NPS).”
As on 01-01-2018, when NPS came into force, there were 51.96 lakh pensioners in the country, including from central civil services, railways, post, defence and defence cilians.
The Commission noted that, "For employees joining on or after 01.01.2004, the concept of pension, so far as Civilian employees including CAPFs are concerned, has undergone a complete change.
After the enactment of the Pension Fund Regulatory and Development Act, 2013, it is not the exclusive liability of the government to pay the pension."
"As per the new dispensation the employee and the government are to make equal matching contribution towards their pension. This dispensation is not applicable to the defence forces personnel," it added.
The commission made following recommendations regarding NPS:
1. Investment choices under NPS be calibrated on a life cycle approach and the choices be offered in a simple manner so that any lay person can understand and act accordingly.
