News Desk

07 January 2026, 03:25 PM IST

EPFO is planning a major EPS-95 pension overhaul, potentially raising the minimum pension from ₹1,000 to ₹5,000, benefiting millions of retired private-sector employees.

EPFORepresentational Images

The Employees Provident Fund Organisation (EPFO) is reportedly planning a major overhaul of the Employees Pension Scheme (EPS-95), which could deliver a substantial financial boost to millions of retired private-sector employees. Emerging reports suggest that the minimum monthly pension may be increased from ₹1,000 to ₹5,000, addressing rising inflation, soaring living costs, and the growing financial struggles faced by pensioners.

Who will benefit from the EPS-95 pension revision?

The minimum pension is provided under EPS-95, a part of the EPFO framework, which offers post-retirement financial support to eligible private sector employees. Currently, the pension amount has remained unchanged for years, despite increasing living costs across the country.

Under EPS rules, pension benefits apply to:

Employees who have completed at least 10 years of service
Individuals who begin receiving pension after turning 58 years
Existing pensioners currently receiving the minimum monthly pension

If implemented, the proposed enhancement is expected to improve financial security, reduce dependency, and help retirees manage daily expenses more effectively. Experts note that such a revision would mark a crucial welfare step for India’s retired workforce.

What members should know?

For now, the existing pension structure remains unchanged. EPFO members have been advised to rely only on official notifications and regularly update service records to avoid future benefit delays.

Retirees welcome proposed EPFO pension boost

Employee unions and pensioners’ associations have strongly welcomed the proposal, calling it a crucial social security reform. However, the revision will require approval from the Central Government, with an official confirmation likely only after policy deliberations or possibly during the upcoming Union Budget announcement. 

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