Typically, employers contribute to an employee’s EPS account based on a wage ceiling of Rs 15,000. However, in many cases, employees can actually contribute according to their real basic salary to get a higher Employees’ Pension Scheme (EPS) pension when they retire or exit the scheme.
This option for a higher pension became available after the Supreme Court ruled on November 4, 2022, permitting eligible employees who contributed based on their real basic salaries exceeding the wage ceiling to opt for a higher EPS pension.
After the order, a lot of employees jumped at the chance to apply for the higher EPS pension option. While most got the pension payment order (PPO) for a higher pension, there are still numerous cases from the Employees’ Pension Scheme (EPS-95) that are awaiting resolution.
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The issue of these pending cases of higher EPS pension came up for a discussion in Lok Sabha on Monday (August 10, 2026) when MK Raghavan, member of Parliament, asked Shobha Karandlaje, Minister of State for Labour and Employment, about the number of pending claims under the higher EPS pension option of the Employees' Provident Fund Organisation (EPFO).
Raghavan also wanted to know the specifics regarding the number of higher EPS pension applications received, processed, approved and pending along with the reasons for the delay.
Replying to the query, Karandlaje said that as on August 5, 2026, as many as 15.24 lakh applications were received for higher EPS pension, with the highest coming from Hyderabad, Telangana (1,65,331), Mumbai 1, Bandra (1,26,444), Maharashtra, excluding Mumbai (1,26,311), and Bengaluru (1,09,307).
Karandlaje also said that the total number of pending cases as of August 5, 2026, were 11,595, with the highest being in Punjab & Himachal Pradesh (3,004), followed by Delhi, Uttarakhand & Jammu (1,389), Maharashtra (excluding Mumbai, 1380), Orissa, Bhubaneswar (1,341) and Kerala & Lakshadweep (1,251).
Government’s direction on pending higher EPS pension cases
Raghavan also asked whether the government has issued any directions to regional EPFO offices and employers for faster verification and processing of the pending higher EPS pension applications.
He also asked if the government has proposed introducing a time-bound mechanism for the disposal of the pending higher EPS pension cases and the release of pension arrears.
Karandlaje said that the EPFO has taken action to implement the directions contained in the Supreme Court’s judgment dated November 4, 2022, in a time-bound manner.
“An online facility was provided and applications for the validation of joint options processed in accordance with the applicable provisions,” the minister explained.
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Karandlaje also mentioned that following the Supreme Court’s 2022 ruling on higher EPS pension, the government has periodically directed the regional EPFO offices to promptly process the higher EPS pension applications.
“Regular VCs were also held with all zonal and regional EPFO offices,” Karandlaje says.
What is the Employees' Pension Scheme?
The Employees' Pension Scheme provides pensionary benefits to eligible employees of establishments covered under the Act. The scheme ensures a monthly pension to its members on superannuation, early retirement, permanent disability, and also offers family pension in case of the EPS member’s demise.
Employers contribute 8.33% of the basic pay of an employee, while the central government contributes 1.16% (subject to wage ceiling) towards the EPS pension fund of an employee.
Members with a minimum service of 10 years are entitled to get EPS pension after retiring at the age of 58. Members with a service period of less than 10 years may opt to withdraw the EPS benefits.
What is a higher EPS-95 pension?
The higher EPS pension scheme is an option offered by the EPFO to EPS subscribers. This scheme is not restricted to the standard wage cap of Rs 15,000 for EPS contributions and allows eligible employees to contribute 8.33% of their actual basic salary and dearness allowance toward their pension.
By contributing more based on the actual basic salary, an EPS subscriber can qualify for a larger pension amount since pension calculations take into account the average pensionable salary of the last 60 months.
Any higher contribution can result in a significantly higher monthly payout to EPS subscribers after retirement.
Higher EPS pension cases (application received and pending cases)
| Zonal Office | Total applications received | Pending cases |
| Punjab & Himachal Pradesh | 44,946 | 3,004 |
| Delhi, Uttarakhand & Jammu | 95,419 | 1,389 |
| Maharashtra (excluding Mumbai) | 1,26,311 | 1,380 |
| Orissa (Bhubaneswar) | 49,234 | 1,341 |
| Kerala & Lakshadweep | 81,665 | 1,251 |
| Chennai & Puducherry | 72,044 | 631 |
| Telangana (Hyderabad) | 1,65,331 | 501 |
| Mumbai-1 (Bandra) | 1,26,444 | 406 |
| Madhya Pradesh & Chhattisgarh | 67,605 | 392 |
| West Bengal, Andaman & Nicobar Islands & Sikkim | 57,906 | 327 |
| Karnataka (other than Bengaluru) & Goa | 91,699 | 237 |
| Uttar Pradesh | 65,208 | 236 |
| Mumbai-2 (Thane) | 28,987 | 148 |
| Bihar & Jharkhand | 29,944 | 134 |
| Andhra Pradesh (Vijayawada) | 56,799 | 115 |
| Gujarat (Ahmedabad) | 96,889 | 45 |
| Rajasthan | 38,788 | 25 |
| North-Eastern Region (Guwahati) | 10,954 | 16 |
| Bengaluru (Bengaluru) | 1,09,307 | 9 |
| Haryana | 31,738 | 4 |
| Tamil Nadu (excluding Chennai) | 77,147 | 4 |
| Grand Total | 15,24,365 | 11,595 |
