On Thursday, the Maharashtra cabinet approved a proposal providing state government employees who entered service after November 2005 with the choice to opt for the Old Pension Scheme (OPS).
The move follows recent strikes by government, semi-government employees, and officials advocating for the reinstatement of the Old Pension Scheme (OPS). The cabinet has now approved the proposal, allowing state employees who entered service after November 2005 the choice to opt for OPS, as confirmed by the Chief Minister's Office (CMO).
Talking to PTI, Vishwas Katkar, general secretary of the Maharashtra state employees' confederation, said, "The cabinet's decision will benefit some 26,000 state government employees who were selected before November 2005 but received joining letters later. This decision will benefit only these 26,000 state employees.
There are as many as 9.5 lakh state employees who joined the service before November 2005 and they already enjoy the benefits of the OPS. Under the OPS, a government employee gets a monthly pension equivalent to 50 per cent his/her last drawn salary. There was no need for contribution by employees. The OPS was discontinued in the state in 2005.
In the New Pension Scheme (NPS), a state government employee is required to contribute 10 percent of their basic salary along with dearness allowance, while the state matches this contribution. These funds are subsequently invested in one of the Pension Fund Regulatory and Development Authority (PFRDA)-approved pension funds, with returns linked to the market.
Additionally, the state cabinet approved a proposal to impose a toll of Rs 250 for car usage on the Mumbai Trans Harbour Link (MTHL), the nation's longest sea bridge connecting Sewri in Mumbai to Nhava Sheva in the neighboring Raigad district.