W.e.f. 1.5.2005 pension to officers retired during the period 1st April 1998 to 31.10.2002 will be refixed on pay definition in terms of Joint Note dated 14.12.1999 – No arrears / commutation in respect of this will be paid
Similarly officers who retired in service during 1.11.2002 to 30.4.2005, Pension will be refixed pay as per Joint Note dated 2.6.2005. No arrears or commutation will be payable.
Source - AIBOA website
Above referred refixation is already done in case of existing pensioners in 2005 itself . As such there is nothing for the pensioners in this settlement.
Can anybody explain what it means for existing pensioners ?
ReplyDeleteExisting pensioners mean those who have already opted for pension and enjoying pension as on date.
ReplyDeleteTHOSE EMPLOYEES WHO HAD OPTED PENSION UNDER PENSION REGULATIONS 1995 AND RETIRED SUBSEQUENTLY ON SUPERANNUATION OR OPTED FOR VOLUNTARY RETIREMENT UNDER THE SAID PENSION REGULATIONS ARE TERMED AS EXISTING PENSIONERS.THOSE WHO HAD OPTED PENSION AND ARE STILL IN SERVICE ARE TERMED AS PENSION OPTEE.
ReplyDeleteIN THE CASE OF EXISTING PENSIONERS THERE ARE TWO DIFFERENT CATEGORIES.THOSE WHO GOT RETIREMENT BEFORE 01.11.2002 ARE NOT ELIGIBLE FOR CENT PECENT NEUTRALISATION IN DA.THE OTHERS WHO RETIRED ON OR AFTER 01.11.2002 ARE ELIGIBLE FOR CENT PERCENT DA NEUTRLISATION.
AS PER THE AGREEMENT REACHED BY AND BETWEEN UFBU AND IBA FOR THE PERIOD FROM 01.04.1998 TO 30.04.2005 THE EXISTING PENSIONERS ARE NOT ALLOWED ANY ARREARS ON PENSION AND COMMUTATION DUE TO WAGE REVISION THAT TOOK PLACE DURING THAT TIME.HOWEVER ONLY ARREARS ON PENSION WAS ALLOWED FOR THOSE WHO RETIRED DURING THE PERIOD 1.11.2002 TO 30.04.2005 WITH EFFFECT FROM 01.05.2005.FOR THOSE WHO RETIRED AFTER 01.05.2005 COMMUTATION WAS ALLOWED ON REVISED PAY AS PER 8TH BPS.IT WAS STATED THAT THE DENIAL OF ARREARS ON PENSION AND COMMUTATION WAS IN VIEW OF CURTAILMENT OF EXPENDITURE.R JAYARAM
Dear Friends, there have been many questions on effective date of commutation in case of already retired employees, definition of existing employee and retired employee to decide on 2.8 times/156% etc., By virtue of my friendship, I could get connected to Sri CHV and got his following answer. I hope this will set all the doubts in theminds of our friends:-
ReplyDelete- existing employee means all who are in service on 27 4 2010
- retired employee means anyone who had retired prior to 27-4-2010.
- existing employee will pay at 2.8 times of Pay as of Nov. 2007
- retirees will pay Bank PF + 56 % less commutation
- commutation factor will be based on the date of application for commuttaion.
- commutation is payable from that date.
- till then full pension will be payable.
- those retired prior to 27 11 2009, arrears of pension will be payable from 27 11 09 (full pension) upto date of commutation and commuted pension from that day till it is sanctioned and paid.
t- hose who retired after 27 11 09 , arrears of pension is payable from the date of his retirement.
1 11 07 has no connection with this pension settlement.
1 4 2008 was attempted and agreed by ib and government.
hence date of settlement i.e. 27 4 2010 is the cut off date.
for existing employyes, earlier ufbu tried for a differential formula of sharing. due to legal implications this was not agreed by iba.
then we suggested equal sharing at 1.6 times by both pf optees and poension optees. iba was initially agreeable but later deue to court cases, legal opinions, etc. they did not want to take risk and hence 2.8 has come.
there are sentiments and feelings why all cannot share as originally suggested. knowing legal complications iba did not want to take risk. Unions had the choice either to accept 2.8 or leave the pension option issue. unions opted for the 2.8 formula because getting option was the foremost objective.
onething must not be forgotten. While they pay 2.8 times of pay to get this option, the Banks ae paying Rs. 4200 to the fund for the option cost.
This amount will not benefit existing pension optees. There are equal sentiments that but for pension option, this 4200 crores would have been available for wage revision and would have benefitted all with more than 17.5% wage revision, whereas now this 4200 crores is going only for the benefit of pf optees.
hence we cannot go by all these.
The main achievement is pension option . this is the greatest achievement of ufbu.