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EPFO's pension mirage

Dec 13 2013, 09:21 IST
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SummaryEmployee Pension Scheme is slowly defaulting on its promises and should be scrapped.

all existing members and after that money is transferred, it should be liquidated.

Otherwise the government will have two bad choices: use taxes to fill a hole larger than UTI to pay unappreciated pensions for a small minority of the labour force or force EPFO to continuously reduce benefits by subtly defaulting on its obligations to employees and the Supreme Court. Neither option is fair or desirable to the very people that EPFO is pretending to benefit. Better to scrap EPS and revert to the what EPFO was before this silly adventure began.

Amit Gopal & Manish Sabharwal

Manish Sabharwal is with Teamlease Services and Amit Gopal represents India Life Capital

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