Good news for the employees of the private sector, now it will get so much pension after retirement

Good news for the employees of the private sector, now it will get so much pension after retirement

New Delhi, JNN The Supreme Court has cleared the way for more pension for private sector employees. The Supreme Court has dismissed the special appeal of the EPFO registered against the Kerala High Court's verdict. In this case, private sector employees will get more pension.

The Kerala High Court had asked the PF in one of its orders that retired employees should get a pension on the basis of their last salary. So far, EPFO pays employees a fixed limit. Against this order of the court, the EPFO appealed to the Supreme Court. Explain that till date the EPFO paid pension only up to a maximum of 15,000 thousand rupees based on the basis.

Good news for the employees of the private sector, now it will get so much pension after retirement

According to the news, the calculation of pension (the total year spent in the work done by the employee +2) / 70x will be based on final salary. In this way, if the salary of an employee is 50 thousand rupees, then after every new rule, about 25 thousand rupees will be available in the form of pension. However, under the old rule, this pension was only about 5000.

It is worth mentioning that after revision of the EPFO in the year 2014, the pension of private sector workers was calculated on the basis of counting of 6400 instead of 15000. However, this screw was also frozen in that the calculation of pension would be based on the average salary of the employee for the last five years. Earlier this calculation was done on a one-year basis before retirement. After this, the matter reached the Kerala High Court.

Here the Kerala High Court has made a one-year advance before the retirement of the basis of the calculation of pension calculation by amending its decision and the five-year obligation was abolished. After this, the matter reached the Supreme Court, wherein 2016 the court ordered to pay the pension on a full salary basis. Some time ago, the EPFO approached the Supreme Court against the Kerala High Court verdict. While rejecting the EPFO's plea on Monday, the private sector has cleared the way for getting a multi-fold pension.