RAIPUR: Chhattisgarh chief minister Bhupesh Baghel on Friday wrote to Prime Minister Narendra Modi, requesting him to direct the Pension Fund Regulatory and Development Authority (PFRDA) to return the Rs 17,240 crore deposited with NSDL under the New Pension Scheme to the state. Chhattisgarh has reverted to the old pension scheme for its employees.
In his letter, Baghel says: "There is no such specific provision in the agreement made by the state government with NPS Trust and NSDL, which stops the state government from restoring the Old Pension Scheme. In the federal structure, it is the sovereign decision of the state government. It will be inappropriate to stop implementation of a decision, which was announced in the state budget and later approved in the cabinet aiming to secure the future of employees and their families."
Quoting state government data, he says that Rs 11,850 crore (employer and employee contribution) was transferred to NSDL from November 1, 2004, to March 31, 2022. According to information received from NSDL, at present the market value of this deposit is about Rs 17,240 crore.
He said the state government had written to PFRDA in May this year to return this deposit to Chhattisgarh but it replied that there is no such provision in the Pension Fund Regulatory and Development Authority Act, 2013, read with the PFRDA (Exits and Withdrawal under National Pension Scheme) Regulation, 2015.
The officials and employees of the state government play an important role in the implementation of welfare schemes of the government. The state government has decided to restore the old pension scheme on the long pending demand of officers and employees of the state government. With effect from April 1, 2022, the monthly deduction and contribution from the salary of state government employees to the NSDL as a part of New Pension Scheme has been abolished. However, a minimum of 12% salary will be deducted as per the General Provident Fund (GPF) Rules, he said. He added that it has also been decided by the state government that the total amount deposited by the employees and the state with NSDL till March 31, 2022, should be returned to the state government. The total amount deposited as contribution of the state government employees should be transferred to their respective GPF accounts and the total amount of contribution of the state government should be kept in a separate public account.
He said the amount can be withdrawn from this fund, if necessary, for payment of pensionary obligations in future. Simultaneously, for further promotion of this fund, the deposited amount will be safely invested in the securities of the Government of India, state governments and an amount equal to 4% of the pension payment of the previous year will be invested.
