This document summarizes the Indian government's response to concerns regarding pension coverage expansion, particularly in the context of an aging population and the goal of achieving developed economy status. The government acknowledges the projected increase in the old-age dependency ratio by 2050. The Pradhan Mantri Shram Yogi Maandhan (PMSYM) scheme, launched in February 2019, addresses old age protection for unorganized sector workers. It's a voluntary, contributory pension scheme providing a monthly assured pension of Rs. 3000 after age 60.
Eligibility criteria include: workers aged 18-40 with monthly income of Rs. 15000 or less, who are not members of EPFO/ESIC/NPS (Govt. funded) or income tax payers. Monthly contributions range from Rs. 55 to Rs. 200, matched equally by the Central Government. Enrollment is facilitated through Common Service Centres (CSCs) and the online portal www.maandhan.in.
The government has implemented several measures to promote the scheme, including review meetings with States/UTs, meetings with CSC heads, introduction of features like voluntary exit and revival modules, extension of dormant account revival periods, integration with e-Shram portal, SMS campaigns, and direct engagement with Chief Secretaries of States. Currently, there is no proposal to revise the minimum eligibility limit of the scheme. The document also notes that State/UT governments administer various other pension schemes.
Key Entities Referenced
Ministry of Labour and Employment: A ministry of the Government of India responsible for labour and employment policies.
Lok Sabha: The lower house of the Parliament of India.
SMT. D K ARUNA: A member of parliament who raised a question regarding pension coverage.
SUSHRI SHOBHA KARANDLAJE: Minister of State for Labour and Employment.
Pradhan Mantri Shram Yogi Maandhan (PMSYM): A voluntary and contributory pension scheme launched in February 2019 to provide old age protection to unorganised sector workers.
Employees' Provident Fund Organisation (EPFO): An organisation managing mandatory provident fund schemes in India.
Employees' State Insurance Corporation (ESIC): A self-financing social security and health insurance scheme for Indian workers.
National Pension System (NPS): A defined contribution pension system in India.
GOVERNMENT OF INDIA
MINISTRY OF LABOUR AND EMPLOYMENT
LOK SABHA
UNSTARRED QUESTION NO. 4047
TO BE ANSWERED ON 18.08.2025
EXPANSION OF PENSION COVERAGE
4047. SMT. D K ARUNA:
Will the Minister of LABOUR AND EMPLOYMENT be pleased to
state:
(a)whether it is a fact that notably by 2050, old-age dependency ratio
of the country will increase to 30 per cent and consequently path
to achieve developed economy status of the country by 2047 will
depend in no small measure on our efforts to secure the future
against oldage poverty and if so, the details thereof;
(b)whether the current expansion of pension coverage is hindered by
the issues that are linked to scalability, sensitisation and
sustainability and the primary reason for the exclusion of informal
workers from the pension framework is the fragmented nature of
pension schemes; and
(c)if so, the details thereof along with corrective steps being taken
by the Government for the same?
ANSWER
MINISTER OF STATE FOR LABOUR AND EMPLOYMENT
(SUSHRI SHOBHA KARANDLAJE)
(a) to (c): The Pradhan Mantri Shram Yogi Maan-dhan (PM-SYM)
scheme was launched in February, 2019 in order to provide old age
protection to the workers of unorganised sector. This is a voluntary
and contributory pension scheme. Under the scheme, a monthly
assured pension of Rs. 3000/- is provided to the unorganised workers
after attaining the age of 60 years. The workers in the age group of
18-40 years whose monthly income is Rs. 15000/- or less and who are
not a member of EPFO/ESIC/NPS (Govt. funded) or not an income tax
payer are eligible to join the scheme. The monthly contribution by the
Contd..2/-::2::
beneficiary ranges from Rs. 55/- to Rs. 200/- depending upon the entry
age of the beneficiary. Under the scheme, equal matching
contribution is paid by the Central Government. Enrolment in the
Scheme is done through the Common Service Centres, with its
network of about 4 lakh Centres across the country. Eligible
unorganised workers can also self-enroll through visiting the portal
www.maandhan.in.
The following steps have been taken by the Government
to spread awareness among the workers to popularize this scheme:
(i) Holding periodic review meetings with States/ UTs.
(ii) Meeting with State Common Service Centre (CSC) heads.
(iii) Launch of new features: Voluntary exit, Revival Module, Claim
Status, and Account Statement.
(iv) Extension of revival of dormant accounts from 1 year to 3 years.
(v) Two-way integration of PM-SYM and eShram.
(vi) SMS campaign to create awareness.
(vii) Addressing Chief Secretaries of States regarding enrolment
under PM-SYM scheme. At present there is no such proposal to revise
the minimum eligibility limit of the scheme.
Further, State/UT governments run various pension
schemes such as: Old Age Pension, Widow Pension, Disability
Pension, Pension for Destitute Women, Pension for Transgender
persons, Freedom Fighters’ Pension etc.
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