Recently Government has clarified that those officers who had taken VRS under bank-level OSR provisions may be extended pension option and accordingly IBA has issued instructions to the member banks. In the last UFBU meeting, it was decided to take up the cases of employees and officers who had resigned from the Banks during period. The text of UFBU's letter addressed to the IBA in this regard is reproduced below
UFBU’s LETTER TO IBA
Reg.: Extending the benefit of joining the Pension Scheme as per Settlement / Joint Note dt. 27.04.2010 to employees / officers who had resigned from bank service
In terms of the Settlement / Joint Note dated 27.04.2010 between IBA and the Workmen Unions / Officers Associations, one more option was given to the following employees / officers to join the pension scheme.
a) Those who continued in service on date of settlement.
b) Family of those who had died during the period.
c) Those who had retired from service during the period.
d) Those who had relinquished their job under the special VRS in 2001.
All these eligible employees / officers were extended the option and most of them have already given their option and are now covered by the Pension Scheme.
There was a set of officers in some of the banks who do not fall under the above categories but nonetheless had retired from the service of the banks under their bank-level Voluntary Retirement Schemes. Since for all practical purposes, these cases are at par with regular retirements, the Government has already clarified that such officers who had retired under these Bank Specific Regulations be also covered by the settlement and hence to be extended the option. Vide our letter dated 18th September, 2012, we had requested the IBA to advise the banks to implement these Government clarifications. We once again request you to expedite the instructions.
Further, there are some employees and officers who had relinquished their jobs through resignations. Recently a few judgements have come stating that resignation is one type of retirement and hence be extended option to such employees who had resigned their jobs.
Since according to the judgement and legal interpretation, resignation and retirements are treated alike, we urge upon the IBA to consider and extend another option to join the Pension Scheme to these employees and officers who had ceased to be in service on account of resignation.
Click here to view AIBEA circular