NPS Trust, PFRDA ready for separation, awaiting amendment in Act by Parliament

The Pension Fund Regulatory and Development Authority (PFRDA) and the National Pension System Subscribers (NPS) Trust are gearing up for their proposed separation and have discussed their areas of work after the separation. As per a Zee News report, a top official informed that the amendment in the PFRDA Act in the Parliament is awaited for the final decision in this matter. It is expected that a bill to amend the law can be passed in the current monsoon session of Parliament.

PFRDA President Supratim Bandyopadhyay told that an amendment in PFRDA Act is necessary for segregation. He said, "We have given permission to the trust to recruit people till now. They have recruited around 14-15 people and in the next few months, they will recruit five more. In this way. the total number of employees will be 20." 

He added, "We are ready to part ways, and at the same time we have decided what works are to be done specifically by them (NPS Trust) and what are the things of PFRDA will pay attention to."

Earlier, the NPS Trust was located in the PFRDA building, but now it has been shifted to another building. Bandyopadhyay said they got a new CEO a few months ago who is monitoring the work related to the separation. 

Finance Minister Nirmala Sitharaman had announced the separation of NPS Trust from PFRDA keeping in mind the larger interest of the customers. The trust was set up by PFRDA for the maintenance of assets and funds under NPS. The proposal to separate the two is under consideration for the last few years.