Hike In Minimum Pension under EPS, Complete Evaluation by 2025

A Parliamentary Standing Committee on Labour, chaired by BJP MP Basavaraj Bommai, has urged the Ministry of Labour and Employment to finish the first-ever third-party evaluation of the Employees’ Pension Scheme (EPS) by end of 2025. The panel also emphasized revising the minimum pension amount of ₹1,000, considering the sharp rise in the cost of living since the scheme’s inception in November 1995.

Key Highlights

First Third-Party Evaluation Since 1995

• The EPS, launched in November 1995, has never undergone an independent evaluation. This marks the first such assessment in nearly 30 years.

Evaluation Underway

• The Ministry has awarded the evaluation contract through the Request for Proposal (RFP) process, and the process is currently ongoing.

Deadline Set: End of 2025

• The committee has strongly recommended that the evaluation be completed within a specific timeline, ideally by December 2025, to ensure actionable insights and improvements.

Urgent Call to Raise Minimum Pension

• The panel urged the government to urgently reconsider the current minimum pension of ₹1,000, which is inadequate given the rising cost of living.

Administered by EPFO

• The Employees’ Provident Fund Organisation (EPFO) administers the EPS, catering to organized sector workers and providing pension benefits post-retirement.

No Past Evaluations

• Ministry officials confirmed that no evaluations were conducted earlier since the scheme began, highlighting a critical gap in policy review.

Summary/Static	Details
Why in the news?	Hike In Minimum Pension under EPS, Complete Evaluation by 2025
Scheme Name	Employees’ Pension Scheme (EPS)
Administered By	Employees’ Provident Fund Organisation (EPFO)
Evaluation Status	First-ever third-party evaluation currently underway
Deadline for Completion	End of 2025 (as recommended by the panel)
Minimum Pension (Current)	₹1,000
Panel Recommendation	Urgently raise minimum pension and complete evaluation on time
Committee Head	BJP MP Basavaraj Bommai