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Indian trade unions demand sweeping reforms in wages, pensions, and job security

Workers’ futures hang in the balance as unions fight for fairer pensions, inflation-proof wages, and job guarantees. Will the budget deliver?

In the image there is a railing and behind the railing there are many tall buildings and poles.
In the image there is a railing and behind the railing there are many tall buildings and poles.

Indian trade unions demand sweeping reforms in wages, pensions, and job security

Major trade unions in India have put forward a series of demands ahead of the upcoming budget. Representatives from INTUC, AITUC, HMS, and CITU met with government officials to push for changes in social security, wages, and pension schemes. Their proposals aim to improve conditions for workers across organised, unorganised, and agricultural sectors.

The unions called for the scrapping of the New Pension Scheme, insisting on a return to the old defined pension system. They also demanded that the minimum monthly pension under EPFO be raised to Rs 9,000, with adjustments for dearness allowance (DA) and additional medical and educational benefits.

Minimum wages should be set at no less than Rs 26,000 per month, with automatic indexation to inflation, according to the unions. They further urged the government to remove the ceiling on gratuity payments and exempt pensions from taxation.

To strengthen job security, the unions insisted that all existing vacancies in central government departments and public sector undertakings be filled without delay. They also pushed for the regularisation of scheme workers, who currently lack permanent employment status.

Other key demands included raising the income tax rebate ceiling and increasing the contribution limits for EPFO and ESI. The unions proposed a government-sponsored social security fund for unorganised and agricultural workers, ensuring broader coverage. Tax incentives on social security contributions were another major request, aimed at easing financial burdens on employees.

The proposals, if implemented, would significantly alter wage structures, pension benefits, and job security for millions of workers. The government will now review these demands as part of its pre-budget discussions. Any changes could impact both public and private sector employees across the country.

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