Old Pension Scheme: If you are a railway employee then this news can be very special for you. Union Railway Minister Shri Ashwini Vaishnav answered the questions asked in the Lok Sabha on the implementation of Old Pension Scheme for railway employees and privatization.
Questions were asked by Shri Raja A and Mrs. Harsimrat Kaur in the Lok Sabha, which were answered by the Railway Minister under question number 1478.
These questions were asked to the government in the Lok Sabha
At the same time, the government told about the movement being carried out by the railway trade unions for privatization of railways and re-implementation of Old Pension Scheme for its employees, whether the government has converted the Old Pension Scheme into New Pension Scheme. If yes, then what can be its advantages and disadvantages.
Railway Minister gave this answer
At the same time, the Railway Minister clearly said that no proposal for privatization has been given by the Railways. This statement was given to address the concerns of the railway unions who are agitating against privatization. After this, the Railway Minister said that the Ministry of Railways follows the policies of the Pension and Pension Welfare Department in lieu of Old Pension Scheme and New Pension Scheme. Pension Welfare Department has been made a nodal ministry for pension.
Know the advantages and disadvantages of Old Pension Scheme and New Pension Scheme
Advantages of Old Pension Scheme
The Old Pension Scheme provides a fixed pension to the employees after retirement which is decided on the basis of their salary. Apart from this, the amount of pension in the Old Pension Scheme is increased according to DA. It does not have any effect of rising inflation on the pension holders.
Disadvantages of Old Pension Scheme
The Old Pension Scheme puts a heavy financial burden on the government. This affects the financial condition of the government. Apart from this, there is no transparency in investment in Old Pension Scheme. It is controlled by the government.
