B Mirror Desk : A new effort has been launched to overhaul the universal pension system, aiming to enhance its appeal and efficiency. Under this initiative, subscribers will have the option to withdraw 30 percent of their pension as a one-time gratuity upon retirement, resulting in a proportional reduction of their monthly pension. Additionally, if a subscriber faces difficulties in making payments due to health issues or other circumstances, they will be eligible for pension benefits starting at age 40 instead of the usual age of 60.
Furthermore, a distinct plan is being developed to incorporate a significant number of garment workers and expatriates into this initiative. An initiative has been introduced to establish a new program named ‘Prasanti’. The National Pension Authority has already made a policy decision to extend these benefits. These proposals are set to be discussed at today’s Board of Directors meeting of the National Pension Authority, which will take place in the Ministry of Finance’s meeting room, chaired by Financial Advisor Dr. Salehuddin Ahmed. Should the board grant approval, the Pension Authority will proceed with implementation. This information has been obtained from relevant sources.
The initial meeting of the board of directors took place on October 14, where it was resolved to implement necessary modifications aimed at enhancing public engagement in the universal pension program. Concurrently, the National Pension Authority was tasked with drafting a proposal to expand the facilities and benefits by revising existing rules and determining policy decisions that would attract more individuals to the program. To provide insight on this matter, Md. Golam Mostafa, a member of the National Pension Authority, informed the media on Tuesday that to boost the popularity of the universal pension system, additional proposals, including the option to withdraw a specified amount as a one-time gratuity, will be presented at the upcoming board meeting. Should these proposals receive approval, further details will be disclosed later. When asked whether withdrawing the one-time amount would result in a reduction of the monthly pension, he clarified that it would be an optional choice. Individuals opting to withdraw would see a proportional decrease in their monthly pension, while those who choose to withdraw would still receive the full benefits.
The authorities are planning to establish distinct pension schemes for two groups: garment sector workers and expatriate Bangladeshis, aiming to attract one crore subscribers. To support this initiative, additional benefits are being evaluated. For instance, in cases where individuals cannot afford their subscriptions, the pension authority is exploring a model where an insurance company covers the subscription costs.
Furthermore, there is a proposal to allow pension eligibility starting at age 40. The inclusion of health insurance benefits within the universal pension framework is also under consideration. The universal pension program was officially launched on August 17, 2023, featuring four schemes: ‘Pragati’ for private sector employees, ‘Suraksha’ for self-employed individuals, ‘Probasi’ for expatriate Bangladeshis, and ‘Samata’ for low-income groups. However, there have been criticisms regarding the rushed implementation of the program, perceived as an attempt to gain public favor ahead of the last election, without adequate preparation. The subscription structure and pension benefits have faced scrutiny, and while initial registration numbers were promising, they have since seen a decline.
