Tamil Nadu Announces Assured Pension Scheme (TAPS) for State Government Employees
The Tamil Nadu government has introduced the Tamil Nadu Assured Pension Scheme (TAPS) for its employees, replacing the Contributory Pension Scheme. Under TAPS, employees will receive an assured pension equal to 50% of their last-drawn basic pay. Employees contribute 10% of their basic pay, while the state government covers the additional funds required to ensure the 50% payout. The scheme also includes dearness allowance hikes twice a year and a family pension of 60% in case of a pensioner's death. This move aims to address long-standing demands for the restoration of the Old Pension Scheme (OPS).
Key Points
- TAPS provides an assured pension of 50% of the last-drawn basic pay for state government employees.
- Employees contribute 10% of their basic pay, with the state government funding the remainder required for the assured amount.
- The scheme includes a family pension of 60% of the pensioner's amount for nominees upon the death of the pensioner.
- Pensioners will receive dearness allowance (DA) hikes twice a year, on par with serving government employees.
- A gratuity of up to ₹25 lakh will be provided based on the tenure of service upon retirement or death.
Exam Facts
- The scheme was recommended by a three-member Pension Selection Committee headed by Gagandeep Singh Bedi.
- The state government will incur an additional expenditure of ₹13,000 crore towards pension funds.
- The state will contribute approximately ₹11,000 crore annually to the scheme.
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