Centre has released Rs2,000 crore to Employees' Pension Scheme as its contribution for the year 2015-16, Minister of State for labour and Employment Bandaru Dattatreya said on Monday.
This contribution is in addition to the Rs250 crore contributed by the Government as grant-in-aid in the Employees' Pension Scheme, 1995 for providing minimum pension of Rs1,000 to pensioners under the scheme, the Minister said in a statement. The contribution of central government is calculated at a rate of 1.16% of the monthly wages of the members contributing to the scheme.
It is in addition to the contribution made by employers covered under the Act. Employers contribute 8.33% of the monthly wages of the scheme members. Since last September, EPS pensioners have been assured of a guaranteed minimum pension of Rs1,000 per month.