Parliamentary panel recommends increased pension at 65 years

The Parliamentary Standing Committee on Personnel, Public Grievances, Law and Justice has now recommended to the government to "sympathetically" consider Pensioners' Association's demand for 5 per cent additional quantum of pension on attaining the age of 65 years, 10 per cent at 70 years, 15 per cent at 75 years and 20 per cent at 80 years.

With the joint family system "breaking down and giving way to nuclear families" and an increasing share of the population turning 65, the panel has asked the government to consider raising the pension age to 65 years instead of the current 80 years.

At present, Central government pensioners are entitled to receive an additional quantum of pension equivalent to 20 per cent of basic pension on attaining the age of 80 years, 30 per cent at 85 years, 40 per cent at 90 years, 50 per cent at 95 years and 100 per cent on crossing 100 years.  

The panel, chaired by senior BJP MP Sushil Kumar Modi, has asked the Department of Pensions and Pensioners' Welfare (DoPPW) to pursue the issue "vigorously" with the Ministry of Finance and inform the committee of the outcome in its report on "Pensioner's Grievances - Impact of Pension Adalats and Centralised Pensioners' Grievance Redress and Monitoring System."

"The joint family system is disintegrating, and nuclear families are taking its place. The rise of nuclear families as a result of geographical and social mobility has also resulted in an increase in individualism and individualistic thinking, as well as a generation that wants to live free of the constraints of joint families and the patronage of elderly parents or grandparents "According to the report.

According to projections, the proportion of the population over the age of 60 in the country will more than double by 2050. "In light of such societal changes, we need a robust pension system for the elderly that can help them survive in this world without being a burden on anyone," it said.

The DoPPW informed the panel that the provision for additional pension or family pension upon reaching the age of 80 years and above was implemented on January 1, 2006, as part of the implementation of the Sixth Central Pay Commission's recommendations.

According to the report, the Pay Commission believes that older pensioners/family pensioners require a better deal because their needs, particularly those related to health, increase with age.

The existing provision was also examined by the 7th Central Pay Commission, which concluded that the current rates of additional pension and additional family pension are adequate.

However, the Department has assured that this suggestion of the Associations will be conveyed to the Department of Expenditure," according to the report.