That’s why the latest push from India’s labour unions feels different. It’s bold, it’s direct, and honestly, it reflects what millions of workers have been quietly thinking.
This week, representatives from 10 major central trade unions sat across the table from senior Finance Ministry officials — and they didn’t mince words. Their message? If India wants real growth, it must protect the people who keep its economy running.
Raise Income Tax Relief for Salaried Workers
Think about it. Salaried employees form the backbone of the tax-paying population, yet their real savings shrink each year.
The unions have demanded:
- A higher income tax exemption limit for salaries
- Increased limits for EPFO and ESI contributions
- A higher eligibility ceiling for salaried workers
- Removal of the gratuity cap
- And most importantly: pension income should NOT be taxed
It’s a simple idea — let people keep more of what they earn.
From my experience, nothing hits morale harder than watching a chunk of your pension or savings vanish into taxes.
The Demand That Hit Everyone’s Nerves: Raise EPS-95 Minimum Pension to ₹9,000
Right now, many EPS-95 pensioners are surviving on just ₹1,000 a month. You can’t even buy basic medicines with that today.
Labour unions want the minimum pension increased to:
₹9,000 per month + DA
And yes, they want this backed by budgetary support, not empty promises.
A Strong Pitch for Inheritance Tax — But Only for the Super-Wealthy
This is where things get interesting.
Unions argued that even a 1% inheritance tax on ultra-high-net-worth individuals could generate massive revenue for:
- Education
- Healthcare
- Social security
- Worker welfare
Their point is simple:
Why should ordinary people pay GST on basic food and medicines when billionaire families can pass on hundreds of crores tax-free?
A Central Social Security Fund for the Forgotten Workforce
The unions also proposed a centrally funded system covering unorganised and agricultural workers — the people who often get left behind.
This fund would ensure:
- A universal minimum pension of ₹9,000
- Health and education benefits
- Proper long-term safety nets
It’s like finally giving India’s invisible workforce the dignity they deserve.
The Old Pension Scheme Debate Returns — Loud and Clear
The unions didn’t hold back. They want:
- The New Pension Scheme was scrapped
- The Old Pension Scheme was restored
- Regular employment instead of fixed-term contracts
- All government and PSU vacancies are filled immediately
Their stance is clear — long-term job security is not a luxury; it’s a necessity.
8th Pay Commission & Minimum Wage of ₹26,000
Yes, they went there.
Labour unions demanded:
- Immediate formation of the 8th Pay Commission
- Pensioners must be included
- Minimum wage should not be less than ₹26,000 per month, as already recommended by the Indian Labour Conference
Considering inflation, anything less feels disconnected from reality.
The Push to Stop Privatisation
Lastly, unions urged the government to:
- Halt PSU privatisation
- Scrap the National Monetisation Pipeline
To them, public assets shouldn’t be treated as disposable.
Frequently Asked Questions
1. Why are labour unions demanding a ₹9,000 EPS-95 minimum pension?
Because ₹1,000 per month is no longer viable for basic living. The unions argue that ₹9,000 + DA provides a realistic, dignified amount for senior citizens who contributed their entire working life to the system.
2. What is the logic behind imposing an inheritance tax?
A small inheritance tax on ultra-wealthy families can generate large revenues without affecting the middle class. These funds can strengthen social sectors like healthcare, education, and worker welfare.
3. Why do unions want the New Pension Scheme scrapped?
Unions claim NPS offers uncertain returns and lacks lifetime security. They want the guaranteed, defined-benefit Old Pension Scheme restored for long-term stability.






