A month after the Pension Fund Regulatory and Growth Authority rejected Chhattisgarh’s demand to return funds deposited for the Nationwide Pension System, the state mentioned on Friday that it’ll give its staff the choice of selecting between the brand new pension scheme (NPS) and the extra beneficiant previous pension scheme (OPS)
The choice was taken on Friday throughout a cupboard assembly chaired by chief minister Bhupesh Baghel, a public relations division official mentioned.
“ Through the cupboard assembly, it was determined to introduce OPS by giving choice to the staff who had been appointed after November 1, 2004 and earlier than April 2022,” the official mentioned.
“For this, staff must submit an affidavit. If such an worker opts for OPS, she or he must deposit the federal government’s contribution and dividend within the NPS account since they had been appointed (after November 1, 2004) until March 31 this yr to the state authorities’s new Common Provident Fund (GPF) below OPS,” the official defined.
ALSO READ: Solely 76 of over 1.10 lakh govt staff go for new pension scheme in Jharkhand
It means staff choosing OPS must withdraw their fund deposited within the NPS account after which redeposit it within the new GPF (Common Provident Fund) account of the state authorities, the official additional mentioned.
OPS assured inflation and pay fee listed pension payouts with none contribution from the worker. The brand new pension scheme (NPS), alternatively, is constructed by worker and employer contribution and the returns are market-based.
Quite a few states, equivalent to Punjab, Rajasthan, Jharkhand and Himachal Pradesh, have moved to return to OPS in latest months.
Chhattisgarh goes to the polls subsequent yr.
The cupboard additionally determined to start out a particular scheme for the renovation of college buildings and accepted the Chhattisgarh Playing (Prohibition) Invoice 2022.
Earlier this month, the Union authorities advised the Lok Sabha there was no proposal being thought-about to revive to OPS and clarified that there have been no provisions to refund contribution in NPS, together with accruals, again to state governments.
ALSO READ: Himachal writes to Centre to refund cash deposited in direction of NPS
In a written reply, minister of state for finance Bhagwat Kisanrao Karad mentioned the governments of Rajasthan, Chhattisgarh, and Jharkhand knowledgeable the central authorities and PFRDA about their resolution to restart OPS for his or her state authorities staff. The ministry additionally underlined that PFRDA, India’s pension regulator, has knowledgeable the respective state governments “that there isn’t any provision below Pension Fund Regulatory and Growth Authority Act, 2013 learn together with PFRDA (Exits and Withdrawals below the Nationwide Pension System) Laws, 2015, and different related rules that the funds, that are already deposited each within the type of authorities contribution and staff’’ contribution in direction of NPS, together with accruals, could be refunded and deposited again to the state authorities.”
WITH PTI INPUTS