AJKLTF urges LG for restoring Old Pension Scheme

Excelsior Correspondent

ANANTNAG, Nov 30: The State unit of the All Jammu Kashmir and Ladakh Teachers Federation, affiliated with Akhil Bhartiya Rashtriya Shakshik Mahasangh, has appealed to the UT Government to convert the new pension scheme to old pension scheme for the welfare of the retired employees and their family members.
In a statement here today, the JKUT President Devraj Thakur said that the Government employees recruited on or after January 1, 2010 are not eligible for the old pension scheme and are forced to opt for the new scheme.
“The new pension scheme does not provide the guarantee of minimum pension on last basic salary drawn by the employees,” said Devraj Thakur, president of the AJKLTF/ABRSM JKUT unit.
He further said the family members of the Government employees do not get any financial benefit/pension under the new pension scheme and hence the old pension scheme should be restored, so that all the retired employees or their family members can get pension/financial benefit.
As per the new pension scheme, 10 percent contribution each from the employee and the employer is accumulated in the Pension Fund Regulatory and Development Authority under the Central Record Agency. After the superannuation of an employee, only 60 percent of the accumulated fund can be withdrawn by the employee after deducting GST, and the remaining 40 percent is invested in the share market through private companies. The profit obtained from the share market is given as pension to the employee.
If the share market shows positive result, then there is a chance of getting something by the employee, and if the share goes down, there is no chance of getting any amount. Whereas under the old pension scheme, 50 percent of the last pay drawn by a retired employee is calculated as guaranteed retirement pension/salary with addition of DA as and when declared by the government from time to time. After the demise of the retired employee, the nominee gets 50 percent of the total amount drawn by the retired employee as family pension or social security.
“It is crystal clear from these facts that there is guaranteed benefit for the employee and their nominee in the old pension scheme while there is nothing good for the employees in the new pension scheme,” the AJKLTF leader said, and requested the Lt Governor to restore the old pension scheme in Jammu and Kashmir.