♥ 50% PENSION BE PAID
ON LAST DRAWN WAGES
♥ SECOND OPTION FOR
PENSION BE GIVEN
♥ NON TRANSFER OF STAFF BEYOND CITY ON
FALSE PRETEXT OF REDEPLOYMENT
♥ NON INTRODUCTION
OF ANTI-STAFF POLICIES AND PROVISIONS.
CHEATING TO LACS OF BANK
EMPLOYEES ON PENSION REVISION AND PENSION OPTION
of Settlement dated 29th October, 1993 was entered between
the management of 58 Banks as represented by Indian Banks Association and their workmen as represented by All India Bank Employees
Association. The IBA agreed to introduce pension scheme in banks for the employees in lieu of employers’ contribution
to Provident Fund. The Pension Scheme agreed was to be broadly on Central Government/Reserve Bank of India
That the pension will be payable on retirement to the permanent employees who have put in minimum 10 years qualifying
service in the bank at the time of retirement.
The qualifying service of an employee voluntarily retiring on completion of 20 years of service will be entitled
for proportionate pension. An employee retiring after 33 years of service, the amount of basic pension will be 50% of average
monthly emoluments for the last 10 months in service prior to retirement.
The dearness allowance to the pensioners will be granted at such rates as may be determined from time to time
in line with formula in operation in RBI.
in service of Bank as on 21st October, 1993 and who on or before 30th
June, 1994 exercise an option in writing in response to banks notice to this effect to be given not later than 31st
December, 1993 to become members of the pension scheme and to cease to be members of the contributory provident fund scheme
with effect from 1st November, 1993 and irrevocably authorize the Bank or the trustee of the contributory provident
fund to transfer the entire contribution of the bank along with entire interest accrued thereon to the credit of pension fund
to be created for this purpose.
Retired Employees who were in service of the Bank/merged Bank on or after 31st December, 1995 and
retired on or after 1st January, 1986 but before 1st November, 1993 provided that such retired employees
apply for it on their own on the format prescribed by each bank and refund within a period of six months reckoned from 1st
November, 1993, the bank’s entire contribution to the provident fund including interest received with further simple
interest at the rate of 6 percent per annum from the date of withdrawal of the provident fund amount till the date of refund.
who join the services of the bank after 1st November, 1993
the pension shall be available to them as part of service conditions. About one lac employees who retired from 58 Banks between
above period were permitted to opt for pension and the total cost of such employees would be Rs.6000 crores to the Pension
Fund. On the one side the IBA is very liberal for the new employees as well as employees retired between January, 1986 and
before 1st November, 1993 and extended them pension facility-on the other hand we do not understand why the IBA
is harsh and unfair towards the existing employees who are made to suffer by IBA by not granting them SECOND OPTION FOR PENSION.
VIITH BIPARTITE SETTLEMENT WHICH PEGGED THE PENSION CEILING ON VITH BIPARTIE PAY SCALES
Pension regulations are statutory regulations and were made after approval from the RBI and the Govt. Of India.
The basic statutory principle of the Pension is that an employee having served for 33 years would draw 50% of the average
monthly emoluments for the last 10 months in service prior to the retirement. None has the authority to make any alteration
in this basic structure/formula of pension.
shocked to note that in the VIIth Bipartite Settlement you for malafide reasons and in connivance with negotiating Unions
pegged the pension ceiling at VIth Bipartite level pay scales which is illegal, unconstitutional and amounts to unfair labour
practice. Your said action has caused huge loss in the Pension payments to lacs of Bank Employees. It is strange to note that
on the one side the Govt. Of India has revised the pension
of their millions of retired employees on the basis of Vth Pay Commission whereas IBA in connivance with United Forum of Bank
Employees agreed for pension on reduced rates i.e. on the basis of VITH BIPARTITE SETTTLMENT Pay Scales causing loss between
Rs. 2000/- to Rs. 5000/- per month to each employee/office on retirement for the rest of his life. How could it be legally
correct to treat the basic salary of an employee which he drew 10 years back instead of 10 months average basic salary last
drawn by him before retirement for calculating Pension? We tooth and nail oppose the above malafide action and demand that
the pension should be paid on the last drawn basic pay as per rules of pension scheme and Govt. of India pension guidelines.
OPTION FOR PENSION
50% of Bank Employees have not opted for pension due to misleading propaganda carried by the leaders of United Forum of Bank
Employees against Pension. Therefore, the majority of Bank Employees are not covered under the pension scheme. Now the employees
have realized their mistake which they did due to misguidance given by their leaders.
RBI, Railway and various other Organizations have given several options to their employees for opting Pension Scheme, but
only the United Forum is not pressing the said important demand for the reasons best known to IBA. When employees have to
contribute 50% of their provident fund balance for pension then why IBA is hesitating? The Pension is a social insurance and
should not be denied by Public Sector Banks who are instruments of the Govt. /State. On the one side IBA has decided to give
pension compulsorily to all new entrants after 1.11.1993 whereas on the other hand they are denying the pension facility to
their old existing employees without any logical grounds. We demand that IBA MUST GIVE SECOND OPTION FOR PENSION TO ALL EMPLOYEES.
Hon’ble Finance Minister has recently announced in the Parliament that the banks may proceed for Second VRS exercise.
In this connection, we have to advise that unless the Second Option for Pension is given, there would be very poor response
for VRS. In Punjab National Bank, hardly 30% of the total employees have opted for Pension. If you are serious for second
VRS then you must give SECOND OPTION FOR PENSION.
NOTE THAT WE DO NOT WANT WAGE REVISION AT THE COST OF OUR ABOVE FOUR MAJOR DEMANDS. IF THESE DEMANDS ARE NOT FULFILLED, WE
SHALL GO ON ALL SORTS OF AGITATIONS TO ACHIEVE OUR DEMANDS.