The National Pension System (NPS) was launched for all employees (except armed forces) joining the Central Government workforce on or after 1 January 2004. Many State/UT Governments have also adopted NPS for their new employees. From 1 May 2009, NPS has been opened to all Indian citizens on a voluntary basis. This also includes those in the corporate sector. Atal Pension Yojana (APY) for unorganized sector workers was launched on 1 June 2015. As of 1 June 2024, the total subscribers of NPS and APY have exceeded 7.47 crores. In this, the total assets under management (AUM) has reached 12.14 lakh crores. The number of subscribers in the private sector including corporates has exceeded 56 lakhs, with an AUM of more than 2.27 lakh crores.
To increase awareness about NPS among corporates, PFRDA organized a round table meeting with Chief Human Resource Officers (CHROs) and Chief Finance Officers (CFOs) of 30 reputed corporates in Mumbai on June 7, 2024, supported by knowledge partner Deloitte India. The primary objective of these meetings was to engage with corporates and encourage them to adopt or increase the penetration of NPS by educating them about retirement planning, corporate NPS benefits, including tax incentives for employers and employees, and financial wellness. The initiative aims to take the benefits of the National Pension System to the formal private sector in sync with the Government’s broader objective of establishing a pensioned society by the year 2047.
At present 16,402 corporates have enrolled under NPS which has a total of 20.17 lakh subscribers across the country. In Maharashtra alone, 5,296 corporates have registered which have a total of 3.02 lakh subscribers. Out of these 3,456 corporates are based in Mumbai. Their total subscriber base is 0.71 lakh. The total subscriber base under NPS including individual and corporate in Maharashtra is 9.10 lakh which is about 16% of the total subscribers in the private sector.
The keynote speaker at the event was Shri Deepak Mohanty, Chairman, PFRDA. He emphasised on the important issues related to ageing society and increasing life expectancy. He emphasised that there is a great need for adequate pension coverage. Shri Mohanty further explained that relying on only one social security scheme is insufficient for building a strong retirement corpus. He elaborated on the efficiency, transparency and returns provided by the National Pension System (NPS). He also urged corporates to consider adopting NPS so as to provide a platform to employees to join NPS and also educate and motivate them to increase the rate of NPS in corporates.
Mr. Zubin Sekhri, CFO, Deloitte India also addressed the gathering and emphasized the importance of retirement planning. He encouraged the attendees to learn about the benefits of NPS. Other notable speakers included Mr. Sumit Kumar, Chief General Manager, PFRDA. He made a presentation on retirement benefits planning and the features and benefits of NPS. Ms. Behrooz Kamdin, Partner, Deloitte India, spoke about the tax benefits under NPS for both employers and employees. Mr. Amit Prakash, Head, Corporate Employee Welfare, Tata Consultancy Services Limited, gave important information from a corporate perspective regarding the extent of NPS benefits to employees and its implementation.
The session also had an interactive segment with corporate representatives to discuss the challenges in adopting and implementing NPS.
To increase awareness about NPS among corporates, PFRDA organized a round table meeting with Chief Human Resource Officers (CHROs) and Chief Finance Officers (CFOs) of 30 reputed corporates in Mumbai on June 7, 2024, supported by knowledge partner Deloitte India. The primary objective of these meetings was to engage with corporates and encourage them to adopt or increase the penetration of NPS by educating them about retirement planning, corporate NPS benefits, including tax incentives for employers and employees, and financial wellness. The initiative aims to take the benefits of the National Pension System to the formal private sector in sync with the Government’s broader objective of establishing a pensioned society by the year 2047.
At present 16,402 corporates have enrolled under NPS which has a total of 20.17 lakh subscribers across the country. In Maharashtra alone, 5,296 corporates have registered which have a total of 3.02 lakh subscribers. Out of these 3,456 corporates are based in Mumbai. Their total subscriber base is 0.71 lakh. The total subscriber base under NPS including individual and corporate in Maharashtra is 9.10 lakh which is about 16% of the total subscribers in the private sector.
The keynote speaker at the event was Shri Deepak Mohanty, Chairman, PFRDA. He emphasised on the important issues related to ageing society and increasing life expectancy. He emphasised that there is a great need for adequate pension coverage. Shri Mohanty further explained that relying on only one social security scheme is insufficient for building a strong retirement corpus. He elaborated on the efficiency, transparency and returns provided by the National Pension System (NPS). He also urged corporates to consider adopting NPS so as to provide a platform to employees to join NPS and also educate and motivate them to increase the rate of NPS in corporates.
Mr. Zubin Sekhri, CFO, Deloitte India also addressed the gathering and emphasized the importance of retirement planning. He encouraged the attendees to learn about the benefits of NPS. Other notable speakers included Mr. Sumit Kumar, Chief General Manager, PFRDA. He made a presentation on retirement benefits planning and the features and benefits of NPS. Ms. Behrooz Kamdin, Partner, Deloitte India, spoke about the tax benefits under NPS for both employers and employees. Mr. Amit Prakash, Head, Corporate Employee Welfare, Tata Consultancy Services Limited, gave important information from a corporate perspective regarding the extent of NPS benefits to employees and its implementation.
