O HINDUSTAN DESK
The Indian government is developing a ‘Universal Pension Scheme’ to provide pension benefits to all citizens, including those in the unorganised sector.
Key Features of the Proposed Scheme:
Inclusivity: Targets unorganised sector workers—such as construction workers, domestic staff, and gig workers—who currently lack access to large government-run savings schemes.
Voluntary Participation: Open to all citizens aged 18 and above, including salaried employees and the self-employed. Participation is voluntary, with no mandatory government contributions.
Streamlined Framework: Aims to consolidate existing pension and savings schemes, offering a unified and secure option for all citizens.
Complementary to Existing Schemes: Will not replace the National Pension System (NPS) but will serve as an additional option.
Current Pension Schemes:
Atal Pension Yojana (APY): Provides a monthly pension of ₹1,000 to ₹5,000 after the investor turns 60, requiring regular contributions.
Pradhan Mantri Shram Yogi Maandhan (PM-SYM): Benefits unorganised sector workers like street vendors and domestic workers, offering a monthly pension of ₹3,000 post-retirement.
Pradhan Mantri Kisan Maandhan Yojana: Designed for farmers, providing ₹3,000 monthly after the investor reaches 60 years of age.
The government plans to initiate stakeholder consultations once the proposal document is finalized.
This initiative reflects the government’s commitment to enhancing social security and ensuring financial stability for all citizens in their retirement years.
