Old Pension Scheme in Jharkhand Latest News: The old pension scheme, abolished in 2004, is again in force. The Jharkhand government has announced that it will reinstate the old government employee pension scheme.
According to a report by PTI, the old pension scheme will come into effect in Jharkhand from October 1st. The State Cabinet has already approved the Standard Operating Procedure (SOP) for the implementation of the old pension scheme.
The Cabinet had decided on July 15 that the old pension scheme would be reinstated. With this, the new contributory pension scheme will be abolished.
“In this regard, it has been decided that an SOP will be developed for the implementation of the program, which was approved by the cabinet today. The program will be considered effective from September 1,” Cabinet Secretary Vandana Dadel said Thursday.
The old pension scheme was abolished on April 1, 2004. It was replaced by the National Pension System (NPS). Under the old pension scheme, the full amount of the pension was paid by the government. In the NPS, employees contribute 10% of their salary upon retirement, while the state government contributes 14%.
Notably, the implementation of the old pension scheme was one of the main poll promises made by Hemant Soren ahead of the Assembly elections in 2019. “Another promise kept,” Chief Minister Hemant said. Soren in a Tweet.
The implementation of the old pension scheme would benefit around 1.5 lakh of Jharkhand government employees.