The Government of India has granted a long-awaited raise in the minimum monthly pension under the Employees’ Pension Scheme (EPS-95) which is a major relief for over 6 million retired employees. Eligible pensioners will get a minimum of ₹7,000 per month from January 2025, assuming the previous amount of ₹1,000. This step is a solution for the retirees to have an income above the poverty line which is a demand of the retirees for decades.
What Is EPS-95?
EPS-95 is a pension scheme operated by the Employees’ Provident Fund Organization (EPFO) that aims to provide a monthly income to the retired workers from the organized sector. It also extends to the workers who made contributions to the EPF before their retirement and provides various benefits in case of circumstances like retiring, disability or death.
Key Changes in 2025
The pension elevation was the result of the lengthy struggle of the EPS-95 National Agitation Committee that consisted of protests and petitions. In October 2025, EPFO confirmed that the new minimum pension of ₹7,000 will start from January 1, 2025. Besides, the government has still not come up with a conclusive decision on full Dearness Allowance (DA) restoration and medical facilities for pensioners but it is considering the demands.
EPS-95 Pension Update Summary
| Feature | Old Rule | New Rule (2025) |
|---|---|---|
| Minimum Monthly Pension | ₹1,000 | ₹7,000 |
| DA Restoration | Not applicable | Under review |
| Medical Benefits | Not included | Proposed, pending approval |
| Effective Date | — | January 1, 2025 |
| Beneficiaries | ~6 million retirees | All EPS-95 pensioners |
Final Thoughts
The 2025 EPS-95 pension hike is of huge significance in providing financial dignity to India’s retired labor force. Even though the ₹7,000 hike is nice, retirees have not stopped their demands for further benefits like DA and health care support. It is advisable for pensioners to keep their EPFO records updated and remain alert for further notifications to be sure they get the new amount.
Also Read/ EPFO Pension New Rules 2025: ₹7,500 Minimum Boosts 78 Lakh Pensioners, 7 Crore Members
