Press Esc to close
Saturday 25 October 2014
News updated at 1:18 AM IST
Weather
Max: 0°C
Min : 0°C
In Bangalore
Sunny day

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
College students walk in drizzle in Srinagar…

College students walk in drizzle in Srinagar…

People wait as three wild elephants cross…

People wait as three wild elephants cross…

Army soldiers display arms and ammunition recovered…

Army soldiers display arms and ammunition recovered…

Army Personnel inspecting their damaged vehicle…

Army Personnel inspecting their damaged vehicle…

Army personnel take positions during an encounter…

Army personnel take positions during an encounter…

Union Home Minister Rajnath Singh inspecting…

Union Home Minister Rajnath Singh inspecting…

Residents look for their belongings after a fire…

Residents look for their belongings after a fire…

Rush at Moradabad Railway Station on the eve of Bhai Dooj…

Rush at Moradabad Railway Station on the eve of Bhai Dooj…

Devotees collecting Puja Pasadam during Govardhan Puja…

Devotees collecting Puja Pasadam during Govardhan Puja…

Sikh religious warriors display their skills as they ride…

Sikh religious warriors display their skills as they ride…

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