Ravi Shankar Prasad Criticizes Congress Over Pension Promises

Senior Bharatiya Janata Party (BJP) leader Ravi Shankar Prasad criticized the Congress party for making false promises following the Cabinet’s approval of the Unified Pension Scheme (UPS) on Saturday. Speaking at a press conference, Prasad questioned, “Will the Congress party only make announcements, or will they ever fulfil them as well?”

He challenged Rahul Gandhi, asking whether his government implemented the Old Pension Scheme as promised in Himachal Pradesh during their election campaign. Prasad stated, “Governing India is a serious business,” and accused the Congress party of making false assurances about pensions, pointing out that the party lacked the courage to include such promises in its manifesto for the Lok Sabha elections.

Prasad further claimed, “The Congress party just makes announcements to garner votes, and now the public has lost trust in its decisions.”

Referring to the UPS announced by the Cabinet, Prasad said, “A significant decision was made by the Cabinet yesterday, which you are aware of. There is considerable stress on employees, whether in service or retired, and sometimes it becomes a political issue. First, there was the Old Pension Scheme, and in 2004, the National Pension Scheme (NPS) was introduced during Atal Ji’s rule. Our Prime Minister listens and understands the needs and remains sensitive to them. When the Confederation for Central Government Employees presented their demands, a committee was formed last year. The committee’s report was accepted by the Cabinet yesterday.”

He added that under the NPS, “10 per cent of the employee’s salary and 14 per cent from the government” was contributed. “But by yesterday’s decision, it is now 10 per cent from the employee’s salary and 18 per cent from the government,” he said.

On Saturday, in a significant move impacting lakhs of employees, the BJP-led central government approved the Unified Pension Scheme (UPS), which provides for Assured Pension and Assured Family Pension. Briefing the media after a meeting of the Union Cabinet, Information and Broadcasting Minister Ashwini Vaishnaw said about 23 lakh central government employees would benefit from the Unified Pension Scheme (UPS). The Cabinet meeting was chaired by Prime Minister Narendra Modi. Employees will have the option to continue with the National Pension Scheme or opt for the UPS.

“The Union Cabinet has today approved the Unified Pension Scheme (UPS) for government employees, providing for assured pension. The first pillar of the scheme is 50 per cent assured pension; the second pillar will be assured family pension. About 23 lakh central government employees will benefit from the UPS. There will be an option for employees to choose between NPS and UPS,” he said.

Regarding Assured Pension, he said it would be 50 per cent of the average basic pay drawn over the last 12 months prior to superannuation for a minimum qualifying service of 25 years. It will be proportionate for shorter service periods, with a minimum of 10 years of service. The Assured Family Pension would be calculated at 60 per cent of the employee’s pension immediately before their demise. The Assured Minimum Pension will be Rs 10,000 per month upon superannuation after a minimum of 10 years of service.