False and baseless’: Centre rubbishes reports of 20% cut in central govt pensions

On Sunday, the government said that reports of a 20% cut in central government pensions are “false and baseless” and that the government has planned no such measure.

A tweet posted by the Ministry of Finance read, “It is being reported that a 20% cut in Central Government Pensions is being planned. This news is FALSE. There will be no cut in pension disbursements. It is clarified that salaries and pensions will not be affected by Government Cash Management”.

The Department of Pension & Pensioners’ Welfare also issued a statement on the same stating that such rumours have “become a source of worry for the pensioners”, news agency PTI reported.

“As clarified earlier, it is being reiterated that there is no such proposal for reduction of pension and no action is contemplated by the government in this respect. Instead, the government is committed for the welfare and well being of the pensioners,” the communique issued by the DoPPW said.

In the wake of the coronavirus pandemic, the government had announced that senior citizens, differently-abled and widows who are drawing central government pension will get three-month advance pension in the first week of April under the National Social Assistance Program (NSAP). There are 65.26 lakh central government pensioners.

The Government of India has taken a slew of measures to aid the economy and benefit citizens in the wake of the coronavirus crisis. Last month, Finance Minister Nirmala Sitharaman announced a relief package worth Rs 1.70 lakh crore in the wake of the Covid-19 outbreak.

The government has also released around Rs 30,000 crore in assistance to various sections of the society.

Under a special provision, the government had announced that individuals could now withdraw three months salary from Employees’ Provident Fund (EPF) account amid the coronavirus crisis. The EPF withdrawals have been exempt from service charge.

The government has also introduced measures to provide financial assistance to various sections of the society under its schemes such as PM-KISAN, Jan Dhan, Pradhan Mantri Garib Kalyan Ann Yojana, Ujjawala scheme and National Social Assistance Programme.

The number of coronavirus cases in the country has crossed the 15,000-mark. On April 14, Prime Minister Narendra Modi announced that the 21-day nationwide Covid-19 lockdown will be extended till May 3.