EPS Pension news: Can EPFO increase minimum pension from ₹1,000 on November 19?

The Employees' Provident Fund Organisation (EPFO) is likely to consider the long-pending demand for increasing the minimum monthly pension under the Employees' Pension Scheme (EPS) at its next Central Board of Trustees (CBT) meeting.

Media reports say the 240th CBT meeting is scheduled for November 19, 2026, in Gir, Gujarat. The proposal to increase the minimum pension may come up for discussion.

The Employees' Pension Scheme (EPS), 2026, is a social security scheme under EPFO that provides lifelong pension support to employees in the organised sector after retirement. Under the scheme, employers contribute 8.33% of employees' basic pay or Rs 2,083, whichever is lower, every month towards the EPS fund.

The current minimum monthly pension under EPS is Rs 1,000. If an employee's calculated pension is lower, the government contributes the amount required to make it Rs 1,000. There is no fixed maximum pension limit. It depends on pensionable salary, subject to the current wage ceiling of Rs 25,000, and pensionable service.

The pension calculation formula remains unchanged under EPS 2026. Monthly EPS pension = (Pensionable salary × Pensionable service) ÷ 70. Pensionable salary is the average monthly salary drawn during the last 60 months before exiting the pension fund.

Even if an employee's basic pay and DA total Rs 50,000, the employer's EPS contribution is calculated on a maximum wage ceiling of Rs 25,000, resulting in a maximum monthly contribution of Rs 2,083.

The government notified EPS 2026 under the Code on Social Security, 2020, replacing the Employees' Pension Scheme, 1995, and Employees' Family Pension Scheme, 1971, from July 2026.

● Pension claim settlement: Claims to be settled within 20 days.
● Delayed claims: 12% interest on delayed pension claims.
● Higher pension: Higher pension provisions incorporated into the scheme.
● Employer compliance: Digital compliance requirements introduced.