Ready for middle path between OPS & NPS: Deputy chief minister Devendra Fadnavis

MUMBAI: After saying that the state government was not "entirely negative" about the Old Pension Scheme (OPS) but any decision on it would have to be taken keeping in mind the state's finances, deputy chief minister Devendra Fadnavis on Friday said that the government was willing to look at something between the OPS and New Pension Scheme (NPS), if such a feasible alternative could be found.
Fadnavis said the OPS was not an ego issue for the state government but pointed out that the matter had to be thought about with legal, financial and technical aspects and not just emotions. Fadnavis said he would soon meet all employee organisations and if they offered a viable alternative, then the government would be willing to accept it.
Fadnavis urged state government employees to call back their planned strike from Tuesday. "We can start OPS as a popular decision, but we have to think about the future. We are willing to understand the views of the employees' organisations. I am willing to listen to any alternatives they propose and if their alternatives are feasible, then we will accept it. This is not an ego issue at all. We need a big discussion on this. I will sit for four days if needed and sit with all unions. They must not get emotional, but they must give a technical, financial solution. If they do so, we will accept it," he said.
He said people wanted fixed annuity and guaranteed returns, and an alternative could be thought of. "The opposition must not make this an ego issue and nor should the employee organisations," he said.
Fadnavis again quoted economist Montek Singh Ahluwalia, saying going back to the OPS would be disastrous for states. He said it was true that some states had started the OPS. "Even if we start OPS, this government will not be affected as its real liability would come in 2030. It is important to think about the long-term impact of OPS and not just the next election," he said.
Fadnavis said there was a research paper on states that started OPS and cit compared their liabilities to revenue. "For Himachal Pradesh committed liability is 450%, Chattisgarh is 207%, Rajasthan is 190% ... even for Gujarat it is 138%. We can take a decision today and take back money from the Centre, but it only sustains till 2030, after that it will go out of hand," he said.
Fadnavis said that for the state the committed liability compared to income was 56%. "Even if we don't make a single new recruitment now, still this committed expenditure in the budget will go to 83%. This is just salaries, pension and interest payment," he said, adding that a decision on the OPS can't be taken in a hurry.