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Aadhaar now mandatory for EPF pension scheme (Relevant for GS Prelims and GS Mains Paper II and III)

The Centre has made obtaining an Aadhaar number mandatory for 2.5 crore members of the Employees’ Pension Scheme of 1995, one of the benefits available to Employees’ Provident Fund subscribers.

The Union Labour and Employment Ministry Labour Ministry’s  notification :
The Union Labour and Employment Ministry Labour Ministry said in a notification that those without an Aadhaar number will have to make an application to get enrolled by January 31, 2017.
The subsidy, equivalent to 1.16 per cent of the employee’s salary upto Rs. 6,500, paid by the Centre towards the EPS, will no longer be credited till the Aadhaar number is shared with the authorities.

Minimum pension:
At present, the minimum pension under EPS is Rs. 1,000 per month and an employee can receive pension only after a minimum 10 years of service.
The Centre contributes 1.16 per cent of the employee’s salary towards the scheme along with employer contribution of 8.33 per cent of the salary.

Government after conferring legal status to Aadhar is making it mnadatory for various schemes. Already, Aadhar is manadatory for availing LPG subsidy.

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