The Union Budget 2025-26 has increased the allocation for the PM Shram
Yogi Maandhan Yojana (PM-SYM) by 37% compared to the previous year,
reflecting the government’s commitment to social security for unorganized
workers.
About PM-SYM
- PM-SYM is a Central Sector Scheme designed to provide old-age
protection and social security to unorganized workers. - It is administered by the Ministry of Labour and Employment and
implemented through the Life Insurance Corporation of India
(LIC) and CSC eGovernance Services India Limited (CSC SPV). - LIC serves as the Pension Fund Manager, responsible for pension payouts.
- Funds collected under the scheme are invested as per the Government of
India’s investment guidelines.
Eligibility Criteria
- To enroll in PM-SYM, a beneficiary must:
- Be an Indian citizen.
- Belong to the unorganized sector (e.g., street vendors, agricultural workers, construction workers, rag pickers, carpenters,
fishermen, etc.). - Be aged between 18 and 40 years.
- Have a monthly income below ₹15,000.
- Not be a member of EPFO, ESIC, or NPS (government-funded schemes).
Key Features of PM-SYM
Voluntary and Contributory Scheme:
- Workers can voluntarily join the scheme and contribute regularly.
Minimum Assured Pension:
- Subscribers receive a minimum pension of ₹3,000 per month after reaching the age of 60.
Contribution Mechanism:
- Contributions are made through auto-debit from the subscriber’s savings bank account or Jan Dhan account.
- Subscribers must contribute from the age of joining until they turn 60.
Government Matching Contribution:
- The Central Government matches the subscriber’s contribution on a 50:50 basis.
Family Pension
- If a subscriber dies while receiving the pension, their spouse is entitled to 50% of the pension as a family pension.
- If a subscriber dies before turning 60, their spouse can either continue the scheme by paying contributions or exit and receive
the accumulated funds.
Exit Options
Exit Before 10 Years:
- Subscribers can opt out of the scheme and receive their contribution along with accrued interest.
Exit After 10 Years but Before 60:
- Subscribers receive their contribution and accumulated interest.
Significance of PM-SYM
- The scheme provides financial security to unorganized workers in their old age.
- It encourages long-term savings and ensures a stable income post-retirement.
- The increased budget allocation underscores the government’s focus on social welfare and inclusive growth.