Registration in the EPF (Employees' Provident Fund) system is mandatory for those earning less than ₹15,000 per month. However, it is not mandatory for those earning more than ₹15,000. The official said, "We need to consider this..."

Financial Services Department Secretary M Nagaraju on Tuesday said there is a need to reconsider the Rs 15,000 per month salary limit for mandatory pension to provide social security to people. Nagaraju said here that it is very bad that some people, especially those working in the private sector, who earn more than Rs 15,000 per month, do not have any pension cover and become dependent on their children as they grow older.

Nagaraju explained that registration in the EPF (Employees Provident Fund) system is mandatory for those earning less than ₹15,000 per month. However, it is not mandatory for those earning more than ₹15,000. The official said, "We need to consider this... how can we secure the future of those who earn a little more so that they have a secure future and are not dependent on their children in their old age."

APY beneficiaries exceed 8 crore

Speaking at the CII Finance Summit here, Nagaraju described this as an anomaly. It contradicts the government's goal of bringing maximum people under pension schemes. Nagaraju said the number of beneficiaries of the government-backed Atal Pension Yojana has reached 83 million, and 48 percent of them are women. He said the government's efforts to bring more people, including those in the unorganized sector, under social security measures will continue in the future.

The biggest challenge facing Gen Z

Speaking at the same event, Swaminathan S. Iyer, Member (Life Insurance) at insurance regulator IRDA, said that amid rising consumer demand, ensuring that the younger generation has sufficient funds when they retire in 30 years is a challenge. He said, "With rising consumerism, what can we do today to ensure that they (Gen Z) have sufficient funds when they retire in 30 years? That is the challenge facing all of us."

Iyer stated that more than two-thirds of Indians do not have life insurance. He added that the purpose of opening the insurance sector to the private sector 25 years ago was to make the sector more prosperous. He lamented that more than 85 percent of insurance companies' business comes from urban areas, and coverage in remote areas is inadequate.