• Given below is a note provided for the readers, mainly the retirees, and also the other channels harnessed to the task of negotiations with the Bank and the Government to draw necessary benefits out of them. • PENSION UPDATION OF PAST RETIREES . WHAT IS PENSION UPDATION?. AS YOU ARE AWARE THAT U.F.B.U HAS IDENTIFIED THREE MAJOR PENSION RELATED ISSUES FOR RESOLUTION IN THE 10TH BIPARTITE SETTLEMENT.THEY ARE - • (a) UNIFORM D.A TO ALL PENSIONERS • (b) IMPROVEMENT OF FAMILY PENSION ON THE LINES OF R.B.I. • (c) UPDATION OF BASIC PENSION. ON THE BASIS OF COMMUNICATION ISSUED BY U.F.B.U AFTER MEETING AN OVERALL FEEDBACK RECEIVED,I.B.A IS NOW READY TO CONSIDER 100% D.A NEUTRALIZATION TO PRE 2002 RETIREES AND IMPROVEMENT OF FAMILY PENSION ON PRIORITY BASIS AND WILL ALSO EXAMINE DEMAND OF PENSION UPDATION FOR PAST RETIREES KEEPING IN MIND THE COST FACTOR. I GIVE BELOW SOME VITAL POINTS/FACTS RELATED TO PENSION. WHAT IS PENSION UPDATION. THERE ARE THREE COMPONENTS IN PENSION SCHEME APPLICABLE TO BANK RETIREES (a)BASIC PENSION (b)DEARNESS ALLOWANCE (c)ONE-TIME PAYMENT OF COMMUTATION ON OPTIONAL BASIS . UPDATION EXERCISE IS RELATED TO COMPONENT NO (a) I.E BASIC PENSION. IT IS UNIVERSAL PRACTICE THAT WHILE REVIEWING PAY AND ALLOWANCES OF THE EMPLOYEES THE FIRST AND FOREMOST EXCERCISE CARRIED OUT IS RE-SETTING OF THE BASIC PAY ACCORDING TO THE MOVEMENT OF INFLATION IN THE INTERVENING PERIOD,BUSINESS GROWTH OF THE EMPLOYER AND GENERAL ECONOMIC ENVIRONMENT OF THE COUNTRY. THE SIMILAR EXCERCISE NEED TO BE CARRIED OUT PERIODICALLY IN THE CASE OF PENSIONERS TOO AS PENSION IS NOTHING BUT DEFERRED SALARY PAYABLE AFTER THE RETIREMENT. THE BASIC PENSION NEEDS TO BE RE-SET IN TUNE WITH INCREASE GIVEN TO THE EMPLOYEES IN THEIR BASIC PAY IN THE WAGE SETTLEMENT. GOVERNMENT OF INDIA HAS BEEN DOING EXCERCISE OF UPDATION OF BASIC PENSION FOR ITS PAST RETIREES IN EACH PAY COMMISSION SINCE 5TH PAY COMMISSION(W.E.F 1.1.1996) IN VIEW OF THE HISTORICAL DECISION OF THE CONSTITUTIONAL BENCH OF THE SUPREME COURTR IN THE FAMOUS CASE OF NAKARA V/S UNION OF INDIA. SEE: indiankanoon.org/doc/1416283/ THE OTHER IMPORTANT POINT TO BE NOTED IS THAT WHENEVER WE TALK OF PENSION UPDATION IT NECESSARILY RELATES TO THE PAST RETIREES. AS FAR AS EMPLOYEES ARE CONCERNED THEIR BASIC PAY GETS AUTOMATICALLY UPDATED WITH EACH WAGE SETTLEMENT WITH EACH INCREASE ON BASIC PENSION. PENSION UPDATION IS NOTHING BUT REALIGN THE BASIC PENSION OF THE PAST RETIREES WITH THE BASIC PENSION OF FUTURE RETIREES. IT SHOULD NOT HAPPEN THAT TWO MEMBERS OF PENSION FUNDS HOLDING SIMILAR POSITIONS IN THE ORGANIZATION ARE DISCRIMINATED IN FIXATION OF BASIC PENSION ON THE BASIS OF THEIR DATE OF BIRTH AND DATE OF RETIREMENT. FOR THE LAST 28 YEARS SINCE 1986 DESPITE THE FACT THAT IT IS QUITE LONG TIME PERIOD.CONSUMER PRICE INDEX REPRESENTING INFLATION HAS INCREASED 10 TIMES,SALARIES OF THE EMPLOYEES HAS BEEN REVISED 5 TIMES,BANKS NET PROFIT HAVE GONE 10 TIMES,COUNTRY’S G.D.P HAS GONE UP 8 TIMES.THEREFORE THERE IS A VERY STRONG CASE FOR UPDATION OF PENSION OFPAST RETIREES. THE ABOVE NOTED SITUATION HAS CARRIED HUGE BACKLOG IN RESPECT OF PENSION UPDATION FOR THE PAST RETIREES IN THE BANKING INDUSTRY AS CAN BE SEEN FROM THE FOLLOWING DATA. 1987-1992(5TH BIPARTITE W.E.F 1.11.1987 CPI MERGED PRESENT DIFFER 600 POINTS CPI 5570 4970 TO 31.10.1992) 1992-1998 (6TH BIPARTITE) 1148 POINTS 5570 4422 1998-2002(7TH BIPARTITE) 1148 POINTS* 5570 4422 * FOR S.B.I RETIREES BUT FOR OTHER BANKS 1684 POINTS 2002-2007(8TH BIPARTITE) 2288 POINTS 5570 32 82 2007-2012(9TH BIPARTITE) 2836 POINTS 5570 2734 2012-2017(10TH BIPARTITE) 4040 POINTS 5570 1530 FROM THE ABOVE DATA IT IS VERY MUCH CLEAR THAT BASIC PENSION TO 10TH BIPARTITE RETIREES WILL BE 6 TIMES OF THE RETIREES OF 5TH BIPARTITE RETIREES DUE TO NON UPDATION OF PENSION ON EACH BIPARTITE THE OVERALL ENVIRONMENT TOWARDS PENSION UPDATION FOR PAST RETIREES IS FAVOURABLE AND POSITIVE IN VIEW OF THE FOLLOWING FACTS. 1.) MORE THAN 98 PERCENT RETIREES ARE PENSIONERS AND NOW AGENDA FOR ALL CONCERNED IMPROVEMENT OF PENSION INCLUDING PENSION UPDATION OF PAST RETIREES. 2.) .ALL RETIREES ORGANIZATIONS AS WELL AS ALL UNIONS HAVE BEEN DEMANDING PENSION UPDATION. IT SHOULD BE DISCUSSED WITH ALL SERIOUSNESSLY WITH I.B.A AND NEGOTTINUNIONS UNION /RETIREEES UNIONS 3.) )R.B.I RETIREES FEDERATION WITH FULL SUPPORT OF THE UNIONS ARE AGITATING FOR PENSION UPDATION.I UNDERSTAND THAT R.B.I GOVERNOR HAS GIVEN ASSURANCE TO CARRY OUT PENSION UPDATION EXCERCISE IN NEAR FUTURE. 4.) L.I.C AND G.I.C RETIREES ARE ALSO DEMANDING PENSION BUPDATION INN THEIR ORGANIZATIONS ANDV ARE AGITATING FOR IT.L.I.C COMRADES ARE FIGHTING LEGAL BATTLE FOR PENSION UPDATION.. 5.) THESE BENEFITS ARE ALREADY BEING EXTENDED TO THE RETIREES IN THE GOVERNMENT SECTOR FROM THE YEAR 200
Posted on: Sat, 24 Jan 2015 04:34:40 +0000