EPFO Big Alert: Rs 9,000 or Rs 7,500—Will Minimum Pension Be Hiked From Rs 1,000 Under EPS 95 Scheme?

Once again, the question is whether the minimum pension under the EPS 1995 scheme should be hiked or not. Recently, the All Pensioners Retired Persons Association staged a protest, demanding the minimum pension to be hiked from Rs 1,000 per month. However, what should be the ideal hike for EPS pension is blurry.

EPS-95 Minimum Pension Hike:

Many are demanding the EPS pension be increased to Rs 9,000 from the current Rs 1,000. If this becomes reality, then pensioners would see a breathtaking 800% jump in minimum pension.

However, earlier, many employees' representatives demanded for the minimum pension to be Rs 7,500 from the current Rs 1,000. If this becomes reality, then pensions could rise by a whopping 650%.

Minimum Pension Latest Update:

As per The Hindu report, representatives of All Pensioners Retired Persons Association staged a protest, as part of the nation-wide protests being organised every year on November 16 as 'black day' against the imposition of the EPS 95 scheme, at the Regional PF Office at Marripalem, here, on Monday (November 17).

Reportedly, the demand is for the minimum pension to be hiked to Rs 9,000.

Notably, the government has acknowledged the demand to hike the minimum pension; however, no decision has been made yet.

EPS Pension Arrears:

Meanwhile, as per reports, the EPFO has finally commenced releasing the long-pending pension arrears under the Employee Pension Scheme (EPS-95).

This comes after the Supreme Court's order regarding higher pensions to eligible employees in November 2022. Following which, EPFO offered options to eligible employees and pensioners, and based on the revised pension amount, the provident fund body has started disbursing arrears to the eligible employees.

The process began this year in a phased manner, with the first installment done in July 2025. As per reports, approximately Rs 2,819 was disbursed in July, which included both arrears and pensions.

Should the Government Hike the Minimum Pension in EPS?

In July 2025, the Labour Ministry said that it has received representations from various stakeholders, including trade unions and public representatives, to increase the minimum pension under the Employees' Pension Scheme (EPS), 1995, from the existing Rs. 1000/- per month.

Currently, the EPS, 1995 is a "Defined Contribution-Defined Benefit" Social Security Scheme. The corpus of the Employees' Pension Fund is made up of (i) contribution by the employer @ 8.33 per cent of wages; and (ii) contribution from Central Government through budgetary support @ 1.16 per cent of wages up to an amount of Rs.15,000/- per month.

Hence, all benefits under the scheme are paid out of such accumulations.

But, Minister of State for Labour and Employment Sushri Shobha Karandlaje also pointed out that the Government is providing a minimum pension of Rs. 1000 per month to the pensioners under the EPS, 1995 by providing budgetary support, which is in addition to the budgetary support of 1.16 per cent of wages provided annually towards EPS to the Employees' Provident Fund Organisation (EPFO).