Employee Pension Scheme 2023 : Supreme Court’s Big Decision, 15k Salary Limit Expired, Know What Is The Case

The Supreme Court has given relief to the employees by giving a big decision on Friday. Now the Supreme Court has given relief to the employees who were entitled to pension under the Employees Pension Scheme but were not getting this right. Let’s know what happens in the whole case and how the Supreme Court has given their relief.

Employee Pension Scheme
Employee Pension Scheme 2023 : Supreme Court's Big Decision, 15k Salary Limit Expired, Know What Is The Case

what is the matter

In fact, in 2014, the government had launched an employee pension scheme, under which the maximum pensionable salary was capped at Rs 15,000. This means that irrespective of the monthly income of the employee, he will be paid pension as per salary calculation of Rs 15,000 per month. After that, a court case was going on to remove this limit.

Where did the dispute start?

You can also understand this case in a way that when an employee gets a job, his EPFO ​​account is opened. After this, the employee deposits 12 percent of his gross monthly salary into the EPF account. He is also paid the same salary by the company. But basically it is only 8.33 percent. In such a situation, if the limit in the employee pension scheme is removed, the basic pay of the employee will be Rs 20,000 and the pension amount will also increase. Hence, the controversy has been going on since then. Due to the controversy, even the employees who were supposed to get the benefit of this scheme could not avail it.

Proceedings in court

Petitions were filed in the High Courts of Kerala, Rajasthan and Delhi regarding the pension limit. Since then, the case has been going on in court. Following the High Courts decision, the Employees Provident Fund Organization i.e. EPFO ​​and the Center jointly challenged the High Courts decision. Since then, the case is pending in the Supreme Court.

In 2019, the Supreme Court first dismissed the petitions filed by the Employees’ Provident Fund Organization (EPFO) against the verdict of the High Courts. But decided to reconsider in 2021. And the hearing started again. The Supreme Court has recently given a verdict in this matter.

Supreme Court decision

The Supreme Court on Friday delivered its verdict on the long-running Employee Pension Scheme hearing. Due to the decision given by the Supreme Court, the employees will get relief. Yes, the Chief Justice of the Supreme Court of the U.K. you Lalit, a bench of Justices Anuruddha Bose and Sudhanshu Dhulia while delivering the verdict in the case said that the employees who have not yet been able to apply for pension under the Employee Pension Scheme or have not availed it till date, have delivered the verdict in this case. They have been given an opportunity of another 6 months. If they want to join, they can do so within 6 months.

The Supreme Court also says that the decisions given by the High Courts in this matter are not clear. Therefore, in the Employee Pension Scheme launched in 2014, the Supreme Court had laid down that if the salary of the employees is more than Rs 15,000, they will have to pay an additional contribution of 1.16 percent. It has been invalidated. And this condition of the scheme has also been suspended for the next 6 months.

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