What if someone retires after 30 years of hard work only to live on a meager Rs 1,000 a month—a sum hardly adequate for a week’s groceries or bills in present-day India? Post November 2025, reality dawned on hundreds and millions of significant members covered by the now-defunct EPS-95 archaic pension scheme.
Right in the middle of chaotic debates, follow-ups, listening to romancing initiatives and rallying for overdue hikes—a timely and more colorful threat on the skies of pensioners—the Government of India revealed during one of the heated parliamentary discussions a terrifying extent of a huge fund shortage, unbelievable conditions for even the most optimistic ER holders. But there stood a silver lining clearer in the eye: substantial dispense of claims for sought higher pensions.
| Application Milestone | Total Filed | Forwarded by Employers | Processed (%) | PPOs Issued |
|---|---|---|---|---|
| Higher Pension Claims | 17.49 lakh | 15.24 lakh | 99% | 1.24 lakh |
| Retired Beneficiaries | N/A | N/A | 99% | 1.24 lakh |
| Active Members | N/A | N/A | 99% | Deposits Adjusted |
This table displays the instant measure of the efficient functioning of the EPFO and brings a breather to those who had been deprived of their pension and marked by actual income but instead, by Rs 15,000 capping.
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Deficit Dilemma
Joy of raising pension funds to Rs 7,500 or even Rs 9,000 has been short-lived due to a negative response from the Ministry of Labour. On the basis of the actuarial valuation carried out in March 2019, the deficit can be seen as complacency that would allow payouts to keep pace with inflation and longevity—until their interminable deterrence. Currently, the minimum pension is Rs 1,000, which is completely supported with budgetary backing. Yet, experts see this as a miserable state being pulled through a path far too destructively.
Protestations Ring Protests By The Benefited
November 17 witnessed nationwide protests against what was termed a “black day” concerning the provisions of the EPS-95. Retirees in Visakhapatnam marched toward the PF offices and agitated for a price floor of Rs 9,000 as well as health grants. Evidently, there were reasons for their protest:
- Skyrocketing healthcare is outpacing the fixed pensions.
- Inflation devoured the powers to purchase against a last amendment in 2014.
- Family pensions in arrears, and their terrible effect over women and children.
Labor leaders like Brother Sk. Hussain have proclaimed the necessity of linking the dearness allowance to consumer prices-a “missing step” that needed to have been addressed long back.
A Ray Of hope?
The situation with EPS-95 is pretty much tagged for necessary reforms or controls as 2025 comes to a close and as we move onto the 2026 Union Budget, considering that challenges surrounding the public finances mean fiscal prudence surrounding public finances remains a big hurdle in the way. For the beeps, I request that you stay alert and watch out for your PPO update from EPFO authorities as well as look out for additional voluntary NPS investments.
