Ministry of Labour and Employment notifies the method of computation of pension in accordance to the Employees’ Pension Scheme 1995
In continuation to what we had reported earlier ( please refer to the mail below), Ministry of Labour and Employment (“MOL&E”) has notified that the method of computation of pension will be in accordance with the provisions of the Employees’ Pension Scheme (“EPS”) 1995.
The following are the key takeaways:
- 1. Cases found eligible for pension on higher wages where date of commencement of pension is prior to “09.2014”– Pension will be calculated based on the average monthly pay during contributory period of service in the span of ”12 months” preceding the date of exit from the from the membership of the pension fund.
2.Cases found eligible for pension on higher wages where date of commencement of pension is post to “01.09.2014”– Pension will be calculated based on average monthly pay drawn during contributory period of service in the span of “60 months” preceding the date of exit from the membership of the pension fund.
For a detailed read, please refer to the appended document.
Source: Ministry of Labour and Employment
