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SAIL RSP Employees Pin Hopes on Supreme Court for Hiked Pensions

Steel News - Published on Wed, 10 Jul 2019

Image Source: EJAtlas
Express News Service reported that more than 30,000 retired and existing employees of Steel Authority of India Limited’s Rourkela Steel Plant have rested their hope on the Supreme Court to get increased pension under the Employees’ Pension Scheme, a contributory pension program. About 100 cases were filed across the country in different High Courts and Supreme Court. The apex court, in a verdict, had ruled that employees’ contribution be deducted on actual basic pay and DA, but the EPFO filed a review petition saying that SAIL comes under the ‘Exempted PF Trust category’ and it should not be applicable for SAIL employees. EPS-95 was closed in September 2014 and since then, there have been no new members

Treasurer of RSP Executives’ Association Mr Rajat Sahu said “With Employees’ Provident Fund Organization lacking adequate manpower and machinery to manage the scheme, it had allowed several PSUs, including SAIL, to form own PF Trusts to run the scheme and they were put under Exempted PF Trusts category. Under EPS-95, an employee is contributing 8.35 percent of a fixed amount of INR 15,000 as SAIL and EPFO are reluctant to deduct 8.35 percent on actual basic pay and Dearness Allowance.”

The EPS-95 was introduced across the country for PSU workers and private sector workers on November 16, 1995 as a statutory scheme under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. But it was introduced in a contentious form by SAIL following which employees, after retirement, are getting paltry pension money between INR 1,500 and INR 3,000.

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Posted By : Ratan Singh on Wed, 10 Jul 2019
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