Latest Update: The federal government has announced increase in EOBI Pension to Rs. 10,000 per month from Rs. 8,500 per month. We congratulate all pensioners on this good news.
The Employees Old Age Institution (EOBI) pension will be raised in July 2023, the National Assembly was told yesterday. In response to a call-attention notice, Minister of State for Law and Justice Shahadat Awan said that a consultant had been hired to figure out the pension of the EOBI’s beneficiaries while taking into account the institution’s income. Awan said that about 413,000 people were getting pensions from EOBI right now. He said that the pension was between Rs8,500 and Rs21,000 right now.
There is also a recommendation for providing relief to the EOBI pensioners in the upcoming budget. If approved, the EOBI pension may be substantially increased in next two months. Miftah Ismail, the former Finance Minister, has also suggested increase in minimum wages in the upcoming budget. Currently, the minimum wage is Rs. 25,000.
It is important to mention here that the minimum pension for EOBI pensioners is Rs. 8,500 while the pension can be as much as Rs. 21,000 if a worker is eligible for formula pension. The formula pension is sometimes more than the minimum pension because the employers pay a higher contribution rate to EOBI as compared to others. We have discussed the formula pension in a separate article.