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Coal Pension Hike: CMPFO Rules Out Immediate Increase, Fund Sustainability Under Review

Reported by Indianpsu
Oct 28, 2026· 2 min read
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Key Takeaways
  • • The Coal Mines Provident Fund Organisation (CMPFO) has ruled out any immediate enhancement of pensions for retired coal employees, citing an actuarial evaluation of the Coal Mines Pension Fund.
  • • The sustainability of the Coal Mines Pension Fund is under examination by a high-level committee constituted by the Ministry of Coal, with no timeline specified for its completion.
  • • The minimum monthly pension under the Coal Mines Pension Scheme (CMPS), 1998 stands at ₹1,000, while the average monthly pension exceeds ₹10,000, according to the CMPFO letter.
  • • CMPFO stated that the demand for improved medical facilities for retired coal employees falls outside its mandate.
Summary
The Coal Mines Provident Fund Organisation (CMPFO) has ruled out any immediate increase in pensions for retired coal employees, stating that an actuarial evaluation of the Coal Mines Pension Fund does not permit an enhancement at present. The position was set out in a letter dated October 27, 2026, issued by Madhuresh Kumar Singh, Assistant Commissioner, CMPFO, in response to a representation submitted by D R Ramchander Rao, president of the Singareni Retired Employees Welfare Association, Hyderabad. The representation sought higher pensions and improved medical facilities for retired coal workers.

According to the letter, the organisation has examined the question of pension enhancement from time to time, but the actuarial assessment has not supported an increase. The sustainability of the pension fund is now being reviewed by a high-level committee constituted by the Ministry of Coal. Any further action on enhancement will depend on the outcome of that examination and the decision of the competent authority. The letter does not specify when the committee is expected to conclude its work or whether a revised pension structure will be considered afterwards.

The CMPFO cited Gazette Notification No. G.S.R. 165(E), dated March 8, 2024, and G.S.R. 370(E), dated May 15, 2026, in relation to the minimum pension. The letter states that the minimum monthly pension under the CMPS, 1998 currently stands at ₹1,000, while the average monthly pension under the scheme is above ₹10,000. The organisation also noted that the scheme prescribes no maximum pension limit, with pensions determined by pensionable salary and qualifying service under the scheme's provisions.

On the demand for better medical facilities, the CMPFO said the matter does not fall within its mandate and should be pursued through the appropriate authorities. The response offers no immediate relief to pensioners seeking higher monthly payments, and their prospects will depend on the findings of the high-level committee.

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Sources

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Indianpsu Coal Pension Hike: CMPFO Rules Out Immediate Increase, Fund Sustainability Under Review