Pradhan Mantri Shram Yogi Maandhan (PM-SYM)

Context:

Step fall in enrolments can be attributed to the income and job loss suffered by unorganized sector workers due to pandemic

Enrollment under PMSYM declined to 150 per day (2021-22) from 4361 per day (2019-20)

About Pradhan Mantri Shram Yogi Maandhan Scheme:

• Pradhan Mantri Shram Yogi Maandhan is a social welfare scheme launched by the Ministry of Labour and Employment of the Government of India
• The scheme launched in February 2019 
• The scheme is for poor labourers in the unorganized sector from minimum 18 years of age to maximum 40 years.

Unorganized sector workers

The unorganized workers mostly engaged as home based workers, street vendors, mid-day meal workers, head loaders, brick kiln workers, cobblers, rag pickers, domestic workers, washer men, rickshaw pullers, landless labourers, own account workers, agricultural workers, construction workers, beedi workers, handloom workers, leather workers, audio- visual workers and similar other occupations whose monthly income is Rs 15,000/ per month or less and belong to the entry age group of 18-40 years. They should not be covered under New Pension Scheme (NPS), Employees’ State Insurance Corporation (ESIC) scheme or Employees’ Provident Fund Organisation (EPFO). Further, he/she should not be an income tax payer.

Features of PM-SYM

It is a voluntary and contributory pension scheme, under which the subscriber would receive the following benefits :
(i)    Minimum Assured Pension: Each subscriber under the PM-SYM, shall receive minimum assured pension of Rs 3000/- per month after attaining the age of 60 years.
(ii)   Family Pension: During the receipt of pension, if the subscriber dies, the spouse of the beneficiary shall be entitled to receive 50% of the pension received by the beneficiary as family pension. Family pension is applicable only to spouse.
(iii)   If a beneficiary has given regular contribution and died due to any cause (before age of 60 years), his/her spouse will be entitled to join and continue the scheme subsequently by payment of regular contribution or exit the scheme as per provisions of exit and withdrawal.

Eligibility Criteria

• Should be an unorganised worker (UW)
• To view the list of professions covered
• Entry age between 18 and 40 years
• Monthly Income Rs 15000 or below

Should not be

• engaged in Organized Sector (membership of EPF/NPS/ESIC)
• an income tax payer

He/ She should possess

• Aadhar card
• Savings Bank Account / Jan Dhan account number with IFSC

Exit and Withdrawal

Considering the hardships and erratic nature of employability of Unorganized Workers (UW), the exit provisions of scheme have been kept flexible.

• If he/ she exits the scheme within a period of less than 10 years, the beneficiary’s share of contribution only will be returned to him with savings bank interest rate.
• If subscriber exits after a period of 10 years or more but before 60 years of age, the beneficiary’s share of contribution along with accumulated interest as actually earned by fund or at the savings bank interest rate whichever is higher.
• If a beneficiary has given regular contributions and died due to any cause, his/ her spouse will be entitled to continue the scheme subsequently by payment of regular contribution or exit by receiving the beneficiary’s contribution along with accumulated interest as actually earned by fund or at the savings bank interest rate whichever is higher.
• If a beneficiary has given regular contributions and become permanently disabled due to any cause before 60 years, and unable to continue under the scheme, his/ her spouse will be entitled to continue the scheme subsequently by payment of regular contribution or exit the scheme by receiving the beneficiary’s contribution with interest as actually earned by fund or at the savings bank interest rate whichever is higher.
• After the death of subscriber as well as his/her spouse, the entire corpus will be credited back to the fund.

Source: Ministry of Labour