What s PFRDA?
PFRDA was established by Government of India on 23rd August, 2003. The Government has, through an executive order dated 10th October 2003, mandated PFRDA to act as a regulator for the pension sector. The mandate of PFRDA is development and regulation of pension sector in India.
Features of New Pension System
The new pension system would be based on defined contributions. It will use the existing network of bank branches and post offices etc. to collect contributions. There will be seamless transfer of accumulations in case of change of employment and/or location. The new pension system will be voluntary.
Why NPS Should be Scrapped ?
Pension Fund and Regulatory & Development Authority (PFRDA) Bill will have an adverse impact on the pension and retirement benefits of the Government Employee. Moreover Contributory Pension Scheme will be drain on exchequer. The guiding principle adopted in determining the pay package