What is Universal Pension Scheme (UPS)?
Universal Pension Scheme (UPS) is a scheme of the Central Government, which aims to provide financial security to all the citizens of the country in old age. Especially those people who are working in the unorganized sector.
This scheme will be completely voluntary, that is, every person has to join it willingly. The biggest thing is that this scheme will be for those people who do not have the benefit of regular and structured pension schemes. If this scheme is implemented successfully, then it can open the way to pension security for the first time in life for many citizens of India.
Under this scheme, if an employee has worked for 25 years, then before retiring, he will get 50 percent of the basic salary of the last 12 months of the job as pension. On the other hand, if a person leaves the job after 10 years, then he will be given a pension of Rs 10 thousand every month. This will benefit about 23 lakh employees. At the same time, if a government employee dies while working, then his family will get 60% of the pension received till the time of the employee's death.
Will the government contribute?
Now the biggest question is whether the government's contribution will also be included in the Universal Pension Scheme, so let us tell you that at present its process is in the initial stage and it will take time to get more details related to it. According to reports, UPS will be a voluntary pension scheme and the government will not make any contribution from its side. At present, both employees and employers contribute to the schemes run under the Employees Provident Fund Organization i.e. EPFO.
click and follow Indiaherald WhatsApp channel