The Government has accepted the long-standing demand of paramilitary forces to restore old pension scheme to all jawans who have joined the ranks on or after 1st January 2004.
With this decision, personnel serving in CRPF, BSF, CISF, ITBP and SSB would benefit.
The pension scheme, effective from January 1, 2004, marked a shift from the defined benefit regime where the government contributed to the pension fund. Under the new scheme, those who wanted a pension after retirement had to contribute from their salary every month. All government employees, other than the three defence forces, were brought under the scheme.
In 2007, the home ministry proposed that the paramilitary be exempted as they had a high-risk job profile but the finance ministry resisted it. The home ministry argued that the paramilitary forces were covered by the armed forces act, so their benefits should be the same as the defence forces.