₹7,500 EPS-95 Pension Hike: Govt Explains the Long Wait in Parliament
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The Reality Check: Why the ₹1,000 Minimum Isn’t Moving Yet
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Actuarial Deficit: The Financial Wall Blocking Higher Payouts
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Pension Fixation: 99% of Supreme Court Related Claims Processed
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No DA for You: Why Inflation-Linked Hikes Were Found “Not Feasible”
Millions of private-sector retirees are still waiting for a raise. The thing is, the government just confirmed in the Lok Sabha that the minimum EPS-95 pension will stay at ₹1,000 for now.
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Actually, pensioners have been fighting to get this bumped up to ₹7,500. Specifically, they want dearness allowance (DA) and free medical care to go with it.
As a result, nearly 78 lakh elderly citizens are stuck with a payout fixed way back in 2014. Consequently, their purchasing power has been completely crushed by rising prices (let’s be real, ₹1,000 is barely pocket money today).
And here’s the kicker. The government says its hands are tied. In fact, the Labour Ministry pointed to a massive “actuarial deficit” in the pension fund.
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Basically, the fund isn’t growing fast enough to cover such a huge jump in payouts. Instead of a hike, the Centre says it is already providing extra “budgetary support” just to keep the ₹1,000 floor alive.
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Actuarial Deficit: The 2019 valuation showed the fund is under heavy pressure.
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DA Linkage: A high-level committee ruled that inflation-linked hikes are “not feasible.”
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Higher Pension Progress: 99% of Supreme Court-mandated claims have finally been processed by November 2025.
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Current Funding: Employers give 8.33% and the government adds 1.16%—it’s just not enough for a 7x hike.
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Moreover, there was some talk about the Supreme Court’s 2022 direction on pension fixation. Specifically, the EPFO has processed 15.24 lakh applications from employers so far.
Actually, almost all of these cases were cleared by late November 2025. As a result, those who opted for higher contributions are seeing some movement. Consequently, the “minimum” pensioners are feeling left behind (those too).
The thing is, the government hasn’t offered a single date for a future increase. In fact, the reply was a bit of a “hard truth” session for the National Agitation Committee.
Basically, the scheme is designed as a “defined contribution” model. Instead of a tidy solution, the wait for a livable pension continues for millions of Indian seniors.
Protests are expected to pick up again across the country. Consequently, the gap between “survival” and the current ₹1,000 reality remains wide open…
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