Some Points For Bank Retirees

AIBOA's Points: Any Comments, most welcome. ( following is copy of Mr.Mohan Badi has expressed on Facebook 
https://www.facebook.com/groups/163256753875986/permalink/165024263699235/

Grievances of the Retirees: Brought to the notice of MOF on 6 th Aug. 2013.

We gladly recall our meeting with you on 19-2-2008 when we submitted to you about the need to extend another option to the bank employees to join the pension scheme. At your intervention, not only the two days strike on 25/26 February, 2008 was averted but through mutual discussions with the IBA, a Settlement could also be arrived at by which the remaining employees have been extended another opportunity to join the pension scheme. We are thankful to you for the same.

However, there have been quite a few grievances of the bank retirees that are still pending consideration by the IBA and the Government.

a) Pre- 1986 Retirees: Those who retired from the Banks prior to 1986 are being paid an Ex-Gratia of Rs. 300 per month and the spouse of such retirees when they die are paid a lumpsum of Rs. 1000 per month. These amounts were fixed 15 years ago and hence there has been a very genuine expectation to revise this ex-gratia amount paid to them. The total number of pre-1986 retirees is very less in the entire banking sector and hence the revision in their Ex-gratia would hardly cost anything substantial to the Banks. We request you to consider this most genuine representation sympathetically.

b) Revision in Family Pension: The rates of Family Pension fixed in the Banks’ Pension Regulations in 1995 at 15% to 30% with applicable ceilings has been found to be inadequate in view of the high cost of living and a suitable revision in the rate of Family Pension is a dire necessity.

c) Periodical updation/revision of pension: In the case of Government employees pension scheme, the pension gets updated and revised on occasions of every wage revision but even though the Bank pension Scheme is on the lines of the Government pension scheme, our pension does not undergo any revision than what is fixed at the time of retirement. There is a case of periodical updation of pension for the retirees in the banking sector also.

d) Uniform DA on Pension: In the banking sector, earlier Dearness Allowance was paid on a tapering basis and hence the Pension also attracted DA on the same basis. However, from November, 2002, the DA is being paid to all the employees/officers with 100% neutralization against inflation as in the case of the Government employees. While the post-Nov. 2002 retirees are paid DA on pension at 100% neutralization, the pre-Nov.2002 retirees are being denied the same. There is a need to make the DA rate on pension uniform for all retirees.

e) Staff Welfare Schemes : As per the government guidelines, 3% of the published net profits of the Banks are earmarked for extending some welfare schemes for the employees including the retirees. While the guidelines mentions that a portion of the allocated amount be utilised for extending some benefits like medical scheme, etc, for the retirees, a need is being felt to give a uniform guidelines for apportionment from the fund towards retirees’ schemes. A suitable guidelines may be issued to the Banks in this regard to adopt a uniform percentage of the funds to be allocated for the welfare schemes pertaining to the retirees.