PMSYM SCHEME

PMSYM SCHEME

Subject : Governance

Context : PMSYM pension scheme for low-wage earners loses steam.

Concept :

Pradhan MantriShram Yogi Maan-dhan (PM-SYM)

• M-SYM is a Central Sector Scheme administered by the Ministry of Labour and Employment and implemented through Life Insurance Corporation of India and Community Service Centers (CSCs).
• LIC will be the Pension Fund Manager and responsible for Pension pay out.
• This scheme seeks to benefit around 42 crore workers from the unorganized sector of the country.

Eligibility

• The unorganised workers (home based workers, street vendors, mid-day meal workers, head loaders, landless labourers and similar other occupations) whose monthly income is Rs 15,000/ per month or less.
• The Subscriber should belong to the entry age group of 18-40 years.
• The subscriber will be required to have a mobile phone, savings bank account and Aadhaar number.
• They should not be covered under New Pension Scheme (NPS), Employees’ State Insurance Corporation (ESIC) scheme or Employees’ Provident Fund Organisation (EPFO).
• He/She should not be an income tax payer.

Salient Features

• Minimum Assured Pension: Each subscriber shall receive minimum assured pension of Rs 3000/- per month after attaining the age of 60 years.
• Family Pension: During the receipt of pension, if the subscriber dies, the spouse of the beneficiary shall be entitled to receive 50% of the pension received by the beneficiary as family pension. Family pension is applicable only to spouse.
• If a beneficiary has given regular contribution and died due to any cause (before age of 60 years), his/her spouse will be entitled to join and continue the scheme subsequently by payment of regular contribution or exit the scheme as per provisions of exit and withdrawal.
• Contribution: The subscriber’s contributions shall be made through ‘auto-debit’ facility from his/ her savings bank account/ Jan- Dhan account.
• PM-SYM functions on a 50:50 basis where prescribed age-specific contribution shall be made by the beneficiary and the matching contribution by the Central Government.