Up against UPS, Haryana staff plan stir on July 9

Employees are up in arms against the decision of the Nayab Singh Saini-led government in Haryana to implement the Unified Pension Scheme (UPS) from August 1. They are planning a strike on July 9 against the decision.

Coming down heavily against the decision, Subhash Lamba, president of the All-India State Government Employees Federation, alleged that the state government had decided to implement the UPS unilaterally without talking to the stakeholders (employees) due to which there was a lot of resentment among the employees. “The decision will be opposed tooth and nail by various democratic means, including a strike on July 9,” Lamba said.

He claimed that the government had decided to give the employees the option to choose between the New Pension Scheme (NPS) and the Old Pension Scheme (OPS), which were to be implemented from January 2006. However, the government seemed to have backtracked on its promise. If the government was really employee-friendly, it should give the employees the option to choose between the OPS, the NPS and the UPS, he said.

He said central trade unions and federations of central and state government employees’ associations had declared a strike on July 9. The restoration of the old pension by repealing the PFRDA Act was their main demand.

He said against the unilateral implementation of the UPS, all employee organisations of the state, including the Pension Restoration Struggle Committee, would give a befitting reply to the government by making the July 9 strike a success in the state with unity.

Lamba said in the OPS, there was no deduction from the salary of the employee for pension, only the amount of the GPF was deducted and the government could spend this amount for the development of the country.

However, in the UPS, 10 per cent would be deducted from the salary of the employee and 18.5 per cent would be given by the government. The government could not spend this amount. It would have to be invested in the private sector.

He said the OPS had a retirement gratuity of up to Rs 20 lakh. In the UPS, only one-tenth of the salary every six months per year of service on retirement would be paid.

Apart from this, in the OPS, pensioners and their dependants got the medical facility while UPS pensioners won’t get this facility. He said it was clear that the NPS and the UPS were for the benefit of corporate houses.

OPS versus UPS

In the OPS, there is no deduction from the salary of the employee for pension, only the GPF is deducted.

This amount can be spent by the government for the development of the country.

In the UPS, 10 per cent will be deducted from the salary of the employee and 18.5 per cent will be given by the government.

The government cannot spend this amount. It will have to be invested in the private sector.

The amount of gratuity, which is up to Rs 20 lakh in the OPS, is much lower in the UPS.