The Employees’ Provident Fund Organisation (EPFO) has made significant progress in processing applications for higher pensions under the Employees’ Pension Scheme (EPS) 1995. As per recent updates shared in Parliament, approximately 22,000 EPFO members have successfully received higher pensions, while 1.65 lakh eligible individuals have been asked to contribute additional amounts to qualify for enhanced benefits.
This article provides a detailed overview of the latest developments regarding EPFO’s higher pension scheme, the application process, and the Supreme Court’s influence on pension eligibility.
Overview of EPFO’s Higher Pension Scheme
The Employees’ Pension Scheme (EPS) 1995, administered by the EPFO, allows members to receive a pension upon retirement. However, for those seeking a higher pension, a provision exists to contribute a larger portion of their salary to the pension fund. The Supreme Court’s landmark ruling on November 4, 2022, has played a crucial role in shaping the ongoing implementation of higher pension requests.
Key Developments: Recent Updates from EPFO
- Pension Payment Orders (PPO) Issued – A total of 21,885 members have received their pension under the revised scheme.
- Additional Contribution Requests – 1,65,621 members have been notified to deposit additional funds to become eligible for the higher pension.
- Total Applications Received – The EPFO has received a staggering 17,48,768 applications from employees and pensioners requesting a higher pension under this scheme.
- Ongoing Review Process – The government is actively monitoring pending applications and has directed EPFO field offices to expedite the clearance process.
Application Process for Higher Pension
1. Submission of Online Applications
To facilitate a smooth process, EPFO developed an online portal allowing eligible employees and pensioners to submit their requests digitally. The validation/joint option filing system was launched on February 26, 2023, making it easier for applicants to confirm their eligibility.
2. Deadline Extensions for Applicants and Employers
To ensure maximum participation, the government extended the deadlines multiple times:
| Action | Extended Deadline |
|---|---|
| Initial Online Application Deadline | July 11, 2023 |
| Employers’ Submission of Joint Applications | September 30, 2023 |
| Further Employer Submission Extension | May 31, 2024 |
| Final Opportunity for Employers | January 31, 2025 |
Employers were given multiple chances to forward applications, ensuring that more employees could benefit from the scheme.
Supreme Court’s Role in Higher Pension Implementation
The Supreme Court’s judgment on November 4, 2022, set the foundation for the new higher pension regulations. The ruling allowed eligible EPFO members to opt for higher pensions by making additional contributions based on their actual salaries instead of the capped threshold.
In compliance with the court’s directive, EPFO implemented changes to its policies, ensuring that pensioners who were previously excluded due to salary caps could now contribute extra funds and receive higher benefits post-retirement.
Government’s Efforts to Expedite Processing
To accelerate the processing of applications:
- The EPFO has issued demand notices to over 1.65 lakh applicants, informing them of the balance amount required for pension eligibility.
- The Ministry of Labour & Employment has directed field offices to prioritize pending cases and speed up approvals.
- The EPFO’s digital infrastructure has been strengthened to handle a large volume of applications more efficiently.
The government aims to ensure that all eligible pensioners receive their rightful benefits without unnecessary delays.
Challenges Faced in Implementation
Despite significant progress, the rollout of the higher pension scheme has encountered several challenges:
- Complex Verification Process – Reviewing and approving millions of applications require extensive scrutiny to prevent fraudulent claims.
- Delays in Employer Submissions – Some employers have been slow in forwarding employees’ joint applications, leading to delays in processing.
- Financial Strain on Members – Members required to contribute additional amounts for higher pension eligibility may find it financially challenging to make the extra payments.
- Administrative Bottlenecks – Field offices often require additional clarifications and policy guidance to ensure proper implementation.
Future Prospects: What Lies Ahead?
With the final deadline for employer submissions set for January 31, 2025, the focus remains on:
- Ensuring faster processing of remaining applications.
- Providing greater transparency in eligibility criteria and fund contribution calculations.
- Enhancing digital infrastructure to minimize delays and improve communication with applicants.
The successful execution of this scheme will provide retirement security to thousands of pensioners, ensuring that they receive the benefits they are entitled to.
Frequently Asked Questions
1. Who is eligible for the higher pension under EPFO?
Employees who were part of the Employees’ Pension Scheme (EPS) 1995 and had contributed to the EPF on their full salary (above the capped limit) are eligible. They must also be willing to make additional contributions if required.
2. What is the last date to apply for a higher pension?
The last opportunity for employers to forward applications for higher pension contributions is January 31, 2025. Employees should ensure their applications are submitted before this date.
3. How can I check my higher pension application status?
You can check your application status by logging into the EPFO portal and navigating to the Pension Status section using your Universal Account Number (UAN).
4. Will I have to contribute extra for a higher pension?
Yes, members opting for a higher pension may be required to pay additional contributions, as EPFO calculates pension based on total earnings rather than the standard wage cap.
5. How will I receive my pension if my application is approved?
Once approved, the Pension Payment Order (PPO) will be issued, and the revised pension amount will be credited to your registered bank account.
The EPFO’s higher pension scheme has opened new opportunities for employees to secure a better financial future post-retirement. While the process involves additional contributions and procedural hurdles, the government’s commitment to streamlining approvals ensures that eligible pensioners receive their rightful benefits. With the January 31, 2025 deadline fast approaching, members and employers should take prompt action to complete their applications and secure their pensions for the future.
Click here to know more.
Kishan is a knowledgeable writer specializing in agriculture and the latest government job recruitments, delivering clear and insightful content to inform and empower readers.