Old pension scheme: Rajasthan CM Gehlot threatens to move Supreme Court

Jaipur: Amid the Adani crisis, Rajasthan Chief Minister Ashok Gehlot Thursday asked the centre to return the money deposited by the state in the new pension scheme (NPS). 

He said that his government cannot risk the future of its employees as the situation in the stock market is volatile and threatened to move Supreme Court if the centre does not release the funds to implement the old pension scheme (OPS)

"NPS is subjected to market risk"

“Our money is deposited in NPS from where it has been pumped into the share markets. As NPS is subjected to market risk, we urge the government to restore the OPS. But if it doesn’t, we will go to the Supreme Court,” said Gehlot while replying to the Governor’s address in the state assembly.

He further said, “We cannot risk employees-employers’ contribution to share market fluctuations anymore. The Central government should release the fund for the employees and employers under the OPS at the earliest.”

Learn the lesson from Himachal Pradesh assembly poll results

Gehlot advised the BJP to learn the lesson from the Himachal Pradesh assembly poll results where it lost to the Congress over the issue of OPS and said that they should review its decision on NPS.

There are around eight lakh government employees and half of them were recruited after January 1st, 2004, the date of implementation of NPS.

The OPS was restored in Rajasthan on April 1, 2022. In the same month, the Rajasthan Government sent a letter to the Pension Fund Regulatory and Development Authority informing it that no contribution had been deducted from the salaries of employees in March and April and requested to release the funds, estimated to be of Rs 39000 crores, which have already accrued both in form of the government contribution and employees' contribution along with accruals.

Responding to the letter of the Rajasthan government, PFRDA dismissed the request and informed that no provision is available through which the funds can be refunded.