GS Paper - 2 (Welfare Scheme)

Union Labour and Employment Minister Bhupender Yadav launched the 'Donate-a-Pension' program under Pradhan Mantri Shram. This move is to make the process of creating and contributing to a pension fund for support staff easier.

What

  1. It is an initiative under the (PM-SYM) pension scheme where citizens can donate the premium contribution of their immediate support staff such as domestic workers, drivers, helpers etc.
  2. The Pradhan Mantri Shram Yogi Maan-dhan (PM-SYM) is a 50:50 voluntary and contributory pension scheme in which the beneficiary makes a stipulated age-specific contribution and the Central Government matches it.
  3. For example, if a person joins the system at the age of 29, he must give Rs 100 per month until he reaches the age of 60, at which point the Central Government would contribute an equal amount of Rs 100. The subscriber will get the assured monthly pension of Rs.3000/- with the benefit of family pension, as the case may be.
  4. The PM-SYM will be implemented by Life Insurance Corporation of India and CSC eGovernance Services India Limited (CSC SPV).
  5. The Pension Fund Manager will be LIC, and they will be in charge of paying out the pensions. The money collected under the PM-SYM pension system would be invested according to the Government of India's investment pattern.