Press Esc to close
Sunday 05 July 2015
News updated at 12:18 AM IST
Weather
Max: 33°C
Min : 21°C
In Bengaluru
Rain lightly

New pension scheme for govt staff

Last updated: 21 January, 2010
Bangalore, Jan 20, DHNS

It will be applicable to employees who joined the service on or after April 1, 2006

The State government, on Wednesday, launched the employees’ contribution-based pension scheme for the State government employees, who joined the service on or after April 1, 2006.

Finance Secretary M R Sreenivasa Murthy exchanging papers of MoU with NPS Trust CEO N R Rayalu in Bangalore on Wednesday. Chief Minister B S Yeddyurappa and Chief Secretary S V Ranganath look on. dh photo

Finance Secretary M R Sreenivasa Murthy exchanging papers of MoU with NPS Trust CEO N R Rayalu in Bangalore on Wednesday. Chief Minister B S Yeddyurappa and Chief Secretary S V Ranganath look on. dh photoThe Government signed memorandum of understandings (MoUs) with New Pension System Trust and National Securities Depository Ltd regarding the new scheme. Finance Secretary M R Sreenivasa Murthy and N R Rayalu, Managing Trustee and Chief Executive Officer of NPS Trust signed the agreement in Chief Minister Yeddyurappa’s presence.

Those joined the service before April 1, 2006 were getting monthly pension after retirement. The State government, while implementing recommendations of the fifth pay commission, decided to introduce the new pension system.

As per the new project the monthly contribution from employees will be 10 per cent of basic pay and dearness allowance. The government will contribute the equal amount to the employees’ account. The contributions will be deposited with the pension fund. On superannuation the employees will have to purchase an annuity investing about 40 per cent of their total pension sum. Based on the annuity, employees and their dependents get pension.

The new scheme would be operational from February this year. Rayalu said each employee would be free to invest his savings in the market.  Yeddyurappa said the similar scheme had been in effect for employees of the Union government since April 1, 2004.  

The Pension Fund Regulatory and Development Authority of the Centre had appointed SBI Pension Fund, UTI Retirement Solutions and LIC Pension Fund - the three pension fund managers for the scheme. National Securities Depository Limited is the central record keeping agency in the scheme. Visit - www.pfrda.org.in and www.npscra.nsdl.co.in


Go to Top

Photo Gallery
Kalari Academy of performing Arts students presenting Kalaripayattu...

Kalari Academy of performing Arts students presenting Kalaripayattu...

Actor Prakash Rai at a photography exibition on Tigers in Bengaluru on Saturday...

Actor Prakash Rai at a photography exibition on Tigers in Bengaluru on Saturday...

Sky Diving Demo in Chennai...

Sky Diving Demo in Chennai...

Cadets of officers Training Academy performing free fall para jumping from AN 32 Aircraft...

Cadets of officers Training Academy performing free fall para jumping from AN 32 Aircraft...

Villagers cross Rambi Ara River...

Villagers cross Rambi Ara River...

British Grand Prix 2015...

British Grand Prix 2015...

Derailed coaches of a goods train after collision with a truck in Purulia district in West Bengal...

Derailed coaches of a goods train after collision with a truck in Purulia district in West Bengal...

Stray cows jumped the barricade to eat the grass in front of Vidhana Soudha in Bengaluru...

Stray cows jumped the barricade to eat the grass in front of Vidhana Soudha in Bengaluru...

Labourers extract sand from the Jhelum River in Srinagar on Saturday....

Labourers extract sand from the Jhelum River in Srinagar on Saturday....

Bollywood actor Salman Khan with singer Mika Singh during the launch of an Eid song...

Bollywood actor Salman Khan with singer Mika Singh during the launch of an Eid song...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523