In a significant move toward enhancing social security, the government has rolled out the ‘Prottoy’ pension scheme, a component of the Universal Pension Scheme (UPS), catering to newly appointed personnel within autonomous, state-owned, statutory, and their affiliated bodies.
Effective from July 1, 2024, as announced by the Ministry of Finance, this initiative aims to provide robust financial security to employees entering service on or after the aforementioned date, underlined by a dedicated monthly pension during retirement.
Outlined through SRO (No-47-Law/2024) issued on March 13, 2024, the ‘Prottoy’ scheme extends to officers and employees joining from July 1, 2024, onward. Existing employees’ pension and gratuity benefits remain unaffected, with an option for those with a minimum of 10 years of service left to opt into the new scheme.
Traditionally, employees in such entities relied solely on gratuity and the Contributory Provident Fund (CPF), lacking the assurance of a monthly pension post-retirement. With ‘Prottoy,’ a portion of the employee’s basic salary, not exceeding 10% or Tk5000, whichever is lesser, will be allocated to the scheme, matched by an equivalent contribution from the employing institution.
Managed by the National Pension Authority, these contributions accumulate over an employee’s tenure, ensuring a substantial pension payout upon retirement. For instance, after 30 years of contributions, an employee may receive a monthly pension of Tk62,330, backed by a total combined contribution of Tk18 lakh from both the employee and the employer.
Additionally, the scheme offers extensive benefits, with the potential for beneficiaries to receive over Tk1.12 crore in pension by the age of 75, emphasizing the scheme’s capacity to provide robust financial support in post-retirement life.
The introduction of the ‘Prottoy’ scheme marks a significant stride toward fostering financial security and social stability for employees within autonomous and statutory bodies, aligning with the government’s commitment to welfare enhancement initiatives.
