Employees' Pension Scheme has been amended by the government

Current Context: The Employees' Pension Scheme (EPS) was amended by the Indian government to benefit employees with shorter tenures.

• Here's a summary of the changes:
• Withdrawal Benefit for Less Than 6 Months Service: Previously, EPS members with less than 6 months of contribution received no withdrawal benefit. Now, they will get a proportionate benefit based on their contribution period.
• Proportionate Benefit Calculation: The government modified Table D to ensure every completed month is considered for calculating the withdrawal amount. This amount depends on the employee's wages and months of service.
• It's estimated that this amendment will benefit over 7 lakh EPS members annually who leave the scheme before completing the 10-year requirement for a pension.

Question:

1 What is the minimum service requirement for an EPS member to receive a pension under the scheme?

• A) 5 years
• B) 6 months
• C) 10 years
• D) 1 year

Answer: C) It's estimated that this amendment will benefit over 7 lakh EPS members annually who leave the scheme before completing the 10-year requirement for a pension.