The unfulfilled promise of canceling the Contributory Pension Scheme (CPS) and the introduction of the Guaranteed Pension Scheme (GPS) by the state government has led to dissatisfaction among CPS employees in Andhra Pradesh.
Jagan Reddy‘s promise to cancel CPS within a week if he came to power garnered significant support, with an estimated 3 lakh people voting for the YSRCP in the 2019 elections. However, even after four years in power, the promise has not been fulfilled. Instead, the approval of the GPS has put the cancellation of CPS on hold, leading to anger and frustration among CPS employees.
They have been waiting for the restoration of the old pension system and feel cheated by the introduction of GPS. Employees are questioning how the CPS can be abolished without stopping employee contributions and expressing doubts about the implementation of GPS.
They point out that five states across the country have canceled CPS and reverted to the old pension system, highlighting the possibility of doing the same in Andhra Pradesh. The dissatisfaction among CPS employees is likely to have political repercussions for the government. This was evident in the recently concluded graduate MLC elections, where employees expressed their dissent.
The belief that the state government is unable to pay salaries on time further fuels their discontent. While leaders of employee unions may be willing to accept the GPS policy, common employees are finding it difficult to digest, and this could have a significant impact on the 2024 general elections.