On August 28, 2024, the BJP-led government in Rajasthan made an important announcement regarding employee benefits. The state government decided to raise the maximum gratuity amount for employees from ₹20 lakh to ₹25 lakh. This move aligns with the Central government’s policy, providing a better financial cushion for employees upon their retirement.
However, the State Cabinet did not finalize its decision on the implementation of the Unified Pension Scheme (UPS) introduced by the Central government. This scheme is designed to unify various pension plans under a single framework. Despite discussions, no concrete decision has been made yet. Parliamentary Affairs Minister Jogaram Patel stated that the Cabinet had a detailed discussion on the matter and promised that a decision would be made soon, keeping the best interests of employees in mind.
Political Tensions and Employee Concerns
The proposed UPS has sparked political debates in the state. The BJP government has not addressed the issue of refunding ₹40,000 crore from the National Pension System (NPS) to the Pension Fund Regulatory & Development Authority. This refund relates to the restoration of the Old Pension Scheme (OPS) by the previous Congress government.
State government employees have voiced concerns about the UPS due to the lack of clarity on its implementation. Former Chief Minister Ashok Gehlot has criticized the current government for not taking action on his earlier requests for the return of employees’ NPS contributions. He also called on the State government to clarify whether it plans to continue with the OPS or adopt the UPS.
Other Employee Benefits
In addition to the gratuity increase, the State Cabinet has approved several other measures to benefit employees:
- Family Pension Increase: The family pension, which is given to the spouse of a deceased employee, will be raised by 10%.
- Medical Expenses: The ceiling for outpatient department (OPD) medical expenses for both serving and retired employees will increase from ₹20,000 to ₹30,000 per year.
Additionally, employees of district courts who had been denied promotions and benefits due to having more than two children since 2002 will now receive these benefits. This decision aligns with the similar relaxation given to government employees on March 17, 2023.
Other Key Decisions
The State Cabinet also made several other decisions including:
- Land Allotment for Solar Projects: Allocating land for solar power projects.
- Railway Gauge Conversion: Providing land for railway gauge conversion in Rajsamand district.
- Technology Centre: Allotting 12 hectares of land at Dahmi Kalan in Jaipur district for constructing a technology centre for micro, small, and medium enterprises.
These decisions reflect the state’s ongoing efforts to improve employee welfare and support various developmental projects.