Fresh enrolments below the voluntary, central-sector Pradhan Mantri Shram Yogi Maandhan (PMSYM) scheme that guarantees a month-to-month pension of Rs 3,000 from the age of 60 years for domestic workers, rickshaw pullers and other low earners have been dipping rapidly and may possibly quickly be down to zilch (see chart). The seeming unravelling of the scheme, launched on February 15, 2019 with a declared aim to provide the cover to 10 crore such workers in 5 years, can be attributed to the revenue loss suffered by these unorganised-sector workers due to the pandemic and a lack of vigour with which the government implements it.
In the two years and 4 months due to the fact PMSYM was launched, just a tiny more than 45 lakh men and women secured the pension cover. And even amongst these registered, there is an escalating price of default, when it to comes to generating the periodical contributions.
A worker involving 18-40 years of age and earning significantly less than Rs 15,000 a month can join the scheme, in which the Centre tends to make a matching contribution as that of the beneficiary. A worker joining the pension scheme at 18 years requires to contribute as tiny as Rs 55 per month to assure a month-to-month pension of Rs 3,000 soon after attaining the age of 60 years.
The steep fall in enrollment below the scheme could also be due to the fact men and women do not really feel incentivised to continue with the periodical payments, analysts stated.
While presenting the interim Budget for 2019-20, then finance minister Piyush Goyal had stated that at least 10 crore labourers and workers in the unorganised sector would avail themselves of the advantage of the scheme inside 5 years.
A related scheme, Pradhan Mantri Laghu Vyapari Maan-dhan Yojana,has also seen just 43,986 enrolments due to the fact it came into impact from July 22, 2019. Under this voluntary and contributory pension scheme, tiny traders, retail traders, shopkeepers and self-employed persons, with an annual turnover not exceeding Rs 1.5 crore can join in inside the 18-40 years age bracket.