Pension will be higher under EPS but will come at a cost: Should you opt?

Be prepared to claw back from EPF to EPS if you go for joint option scheme

After the Employees’ Provident Fund Organisation’s (EPFO’s) recent circular, you may have received an email from your company’s Human Resource Department (HRD) enquiring if you wish to be part of the Joint Option Scheme. Assess the pros and cons carefully before making a decision.

What has happened?

The High Courts of Delhi, Rajasthan and Kerala had passed verdicts striking down the Employees’ Pension (Amendment) Scheme, 2014. In a November 2022 judgment, the Supreme Court (SC), however, upheld the amended scheme. 

“The apex court also extended the cut-off date to exercise the joint option under the EPS by four months for