Exit norms relaxed for Swavalamban pension scheme

Finance Minister Pranab Mukherjee today said that a subscriber of 'Swavalamban', the pension scheme for workers in unorganised sector, will now be allowed to exit at the age of 50 years, instead of 60 years.

"A subscriber under Swavalamban Scheme will now be allowed to exit at the age of 50 years instead of 60 years, or a minimum tenure of 20 years, whichever is later," Mukherjee said in his Budget speech.

Swavalamban is a co-contributory pension scheme for workers in unorganised sector.

The finance minister also proposed to extend the benefit of government contribution from three to five years for all subscribers of Swavalamban who enroll during this year and in the year 2011-12. An estimated 20 lakh beneficiaries will join the scheme by March 2012.

Mukherjee said that this scheme has been welcomed by the workers in the unorganised sector. Over 4 lakh applications have already been received and the relaxation in exit norms is being made on the basis of the feedback received during the year.