Winning Bizness Desk
Mumbai.Millions of workers in India’s unorganised sector earn their livelihood through daily wage jobs but lack formal benefits like provident fund or retirement support. To provide them financial stability in old age, the central government has launched the Pradhan Mantri Shram Yogi Mandhan Yojana (PM-SYM). This scheme ensures a steady monthly pension for workers after the age of 60.
Monthly pension of Rs 3,000 under the scheme
The PM-SYM scheme offers a pension of Rs 3,000 per month to eligible workers. It covers those engaged in unorganised work such as street vendors, rickshaw pullers, construction labourers, domestic helpers, tailors, plumbers, drivers, waste pickers, bidi makers, handloom and leather workers, and mid-day meal staff. Anyone working in such informal sectors and without any pension plan can enrol for this benefit.
Eligibility criteria and income limit
The scheme is meant for unorganised workers with a monthly income not exceeding Rs 15,000. Applicants must have a savings or Jan Dhan bank account linked with Aadhaar. The eligible age group is between 18 and 40 years. Individuals already receiving benefits under other government pension schemes are not eligible for PM-SYM.
Terms and contribution details
Subscribers must contribute a small monthly amount, matched equally by the government. If a member fails to pay their contribution, they can resume participation by paying pending dues with government-determined interest. Members withdrawing from the scheme within 10 years of joining will receive only their contribution with savings bank interest. Those exiting after 10 years but before 60 years will get their contribution plus earned interest. In the event of the subscriber’s death, their spouse can continue the scheme by making regular payments. After the death of the pensioner at 60, the nominee receives 50% of the pension amount.
Contribution based on age group
For those aged 18 to 28, the contribution starts as low as Rs 55 per month at age 18, gradually increasing to Rs 95 by age 28. Between 29 and 40 years, the contribution ranges from Rs 100 to Rs 200 per month. For example, a 30-year-old contributes Rs 105 monthly, while a 40-year-old pays Rs 200. The government contributes an equal amount to each worker’s account, doubling the savings impact.
How to register and avail the benefit
To join the PM-SYM scheme, workers can visit the nearest Common Service Centre (CSC) with their Aadhaar card and bank details. They can also nominate a family member at the time of registration. Once details are entered into the system, the monthly contribution is automatically calculated. After submitting the first payment, the worker receives a Shram Yogi Card confirming enrollment. Additional information about the scheme is available on the government’s toll-free number 1800 267 6888.
Summary pointers
1. Central government’s pension scheme for unorganised workers.
2. Rs 3,000 monthly pension after 60 years of age.
3. Contribution starts from Rs 55 per month at age 18.
4. Equal contribution by the government to the subscriber’s account.
5. Workers with income below Rs 15,000 eligible.
6. Spouse and nominee benefits included after death.
7. Registration available through Common Service Centres across India.
