Mohinder Verma
JAMMU, Sept 11: Much to the disappointment of the employees, the State Government has failed to release matching share under New Pension System during the past several months and due to this, the DDOs/Treasury Officers are unable to remit the employees’ share to the Central Recordkeeping Agency.
As per the New Pension System, which was launched in Jammu and Kashmir with effect from January, 2010, the State Government is required to provide a matching share (10% at present) to the deductions from the salary of NPS subscriber, which is then remitted into a twelve digit unique account number of each subscriber.
The NPS is regulated by Central Recordkeeping Agency (CRA) of the National Securities Depository Limited (NSDL) with its headquarters located at Mumbai. Each and every employee which falls under the New Pension System is given Permanent Retirement Account Number (PRAN) from which the employees can get full information about the amount deposited through their and Government share.
During the past several months, the State Government has failed to deposit its matching share in Head No.2071 (Pension and Retirement Benefits) as a result of which the DDOs/Treasury Officers have been finding it difficult to remit the entire 20% amount (10% of the employees share and 10% of Government share) to the CRA, official sources told EXCELSIOR.
“Though DDOs/Treasury Officers are deducting 10% share from the employees’ salary bill but they are unable to deposit the same in the PRAN maintained by NDSL in the absence of Government share”, they said. “As per the agreement entered between J&K Government and the CRA of NSDL the DDOs/Treasury Officers are required to remit complete 20% and there is no provision of remitting the employees and Government share in parts”, sources added.
Attributing delay in making adequate funds available in Head No.2071 for enabling the DDOs/Treasury Officers to deduct Government share to the financial constraints, sources said, “the delay on the part of Government in depositing its matching share has created resentment among the employees under NPS, who are compelled to approach DDOs/Treasury Officers after regular intervals to ascertain the status vis-à-vis releasing of matching share by the Government”.
“A number of employees who were planning to increase their savings by extending deductions from their salary have been left disappointed due to delay on the part of Government is releasing its share”, sources said. “What to talk of making available its own share the Government has even not agreed to proposals from certain quarters vis-à-vis making some internal financial arrangements in consultation with the employees under NPS”, sources added.
They said, “it is unfortunate that Government has no constraints of funds for unproductive expenditure particularly for the comforts of the Ministers and MLAs but when it comes to releasing matching share under NPS financial crisis ties its hand”.
“Since such a situation has arisen a number of times since January 1, 2010 when the NPS was launched in the State, the Government must find a permanent solution to this crisis in order to ensure release of matching share without any interruption”, sources added.
Despite repeated attempts, senior officers of the Finance Department including Director General Accounts and Treasuries could not be contacted to ascertain the difficulties in releasing matching share of the Government.
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