EPS pension: These pensioners will automatically get their pension benefits under EPS 2026, minister clarifies in Parliament

The government has notified the EPS pension 2026 scheme, which replaced the Employees' Family Pension Scheme, 1971 (EFPS 1971) and the Employees' Pension Scheme 1995 (EPS 1995). But many EPS pensioners are still unsure if the benefits of these two old schemes will continue under the EPS 2026 scheme.

On May 27, 2026, Shobha Karandlaje, minister of state for labour and employment, addressed a question in Lok Sabha , providing insights into the EPS 2026 scheme. She confirmed that the beneficiaries of EFPS 1971 and EPS 1995 will continue to receive benefits even under the new EPS 2026 scheme.

Will EFPS 1971 and EPS 1995 benefits continue in EPS 2026?


Replying to a query by Sudheer Gupta, member of Parliament, Karandlaje said that the EPS 2026 scheme continues the existing pension fund, protects accrued benefits under the EFPS 1971 and EPS1995 and provides for electronic and digital modes of pension disbursement through approved disbursing agencies.

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The central government notified the EPS 2026 scheme under the Code on Social Security, 2020, in supersession of the earlier EFPS, 1971 and EPS, 1995, schemes.

The scheme came into force w.e.f. June 29, 2026. The EPS 2026 continues the existing pension rights of members while aligning the scheme with the Code on Social Security, 2020, the minister said.

Gupta also asked whether the government has launched a special drive for the fast disposal of long-pending labour cases and if so, the details thereof as also the number of pending labour cases identified and disposed of under the initiative.

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Karandlaje answered that the office of the Chief Labour Commissioner (Central) has launched a three-month special drive from June 1, 2026, to August 31, 2026, for the expeditious disposal of pending industrial dispute cases and claim cases relating to wages, gratuity, maternity benefits and other statutory claims.

"As on June 1, 2026, a total of 16,033 cases were pending before the field offices. During the first month of the special drive, 2,769 cases have been disposed of," she said.

EPS 2026 scheme features

Under the new 2026 EPS pension scheme, some provisions like pension formula, employee and employer contributions, and minimum pension remain unchanged.

However, changes have been made in areas like pension processing, how the pension fund is invested and a new rule that offers 12% interest if a claim is delayed by the EPFO without a valid reason.

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According to the notification of the EPS 2026 scheme, anyone who joins it, or the provident fund of the establishment on or after June 29, 2026, and whose wages on that date are at or below the wage ceiling notified by the central government, is eligible for the scheme’s membership.

There is also no change in the method of pension calculation. Monthly pension will continue to be calculated using the formula-

Monthly pension = (Pensionable salary × pensionable service) ÷ 70

Pensionable salary will continue to be the average monthly salary drawn during the last 60 months before exiting the pension fund.