Since when is the pension system in India? Know how much pension was received during the rule of the British
The pension system in India was started during the British Raj. Before that people worked as long as their bodies could support them. The king's courtiers did not benefit from any pension scheme. Then let's know how old is the history of pension in India. What was the situation during British rule?
The Union Government has recently approved the Unified Pension Scheme (UPS). According to the information, the new pension system will be implemented from 1 April 2025. Government employees who have completed 25 years of service under UPS will now be entitled to 50 percent of the basic pay received as pension in the last 12 months before retirement. Employees can choose either NPS or UPS plan. Then let's know how old is the history of pension in India. What was the situation during British rule?
The pension system in India was started during the British Raj. Before that people worked as long as their body could support them. The king's courtiers did not benefit from any pension scheme. According to the report, for the first time in 1881, government employees got the benefit of pension. This pension was awarded by the Royal Commission on Civil Establishment.
When and how pension system started?
The pension system in the United Kingdom dates back to the late 1600s. According to the UK Civil Servant website, the first civil service pension was granted in 1684. This system also started in other areas. It flourished in the 1760s and 70s. In 1847 there were 200 senior captains who were not seaworthy. So all of them were promoted to rear admirals and kept on half pay as pension. Thus in course of time the report of Royal Commission came and norms like age, years of service were fixed for getting pension.
How much was the pension during the time of the British?
In 1881, for the first time, the Royal Commission talked about giving pensions. Further provisions were then made in the Government of India Acts of 1919 and 1935. The amount of pension received by employees during the British Raj can be estimated from the Royal Commission Report of 1924.
The report said that the new provisions in pension are being made at the request of Indian officials. Indian officials complain that their pensions are not enough. The pension should be changed keeping in mind the cost of children's education and rising inflation. In its report, the Royal Commission paid special attention to the members of the council and the governors of the provinces.
The report recommended that council members' pensions should be increased by 50 euros/year and provincial governors' pensions by 100 euros/year. Thus their total pension came to 1,250 Euros and 1,500 Euros respectively. High Court judges who have completed 11.5 years of service were given a pension of 1,200 euros.