Thursday, October 14, 2010

UFBU to take up pensioners' issues like updation of pension, 100% neutralisation of DA etc

UBFU has decided to take up pensioners' issues , in the meeting held at Mumbai on 07/10/2010. UFBU has issued  a circular in this regard. Relevant paras of the circular are reproduced below.

Pension Scheme: As discussed in the earlier meetings, it was decided to pursue issues like improvements in pension scheme on the lines of Government scheme as amended under the 6th Pay Commission, periodical updation of pension, 100% DA neutralization on pension to all pensioners, improvement in Family pension, Ex Gratia paid to Pre-1986 retirees/their widows, etc. besides taking up the issues of pension benefit to those sections of retirees who are not presently covered by the scheme/settlement.
Interaction with Retirees organizations: Representatives of United Forum of Retirees organisations met UFBU during the meeting and submitted their views and suggestions on the various issues concerning the retired employees. They sought the support of the UFBU in pursuing these issues and UFBU assured them of the same.
Source : AIBOA website


  1. Now IBA has refused to relent and permit the pension option to VRS retirees.AIBOA and AIBOC, can not ask the VRS retirees to go to court, to implement an agreement, signed by themselves. It is time for them to invoke the clause relating to doubt in interpretation of agreed terms and force IBA to see reason and allow the benefit to this hapless section. The Associations, having initiated the case of all retirees, have a duty to take the issue to a logical end. Already one High Court has reportedly given a judgment asking for inclusion of VRS retirees. The Associations have to pursue the matter with all vigour.

    Ananth ShreeVas

  2. Dear sir, Can you kindly advise me if there is any group of Punjab national bank retired employees who are opting for pension. PNB has not issued any guidelines to inform each such employee who opts for pension, as to how much pension he will be getting. This is necessary because before refund of PF amount recd. by the employee on retirement, he should know his pension amount. Because IBA has not clarified definition of RETIREE and the bank may deny his right (if under category of compulsory retired or on some other ground). 2ndly. if the employee does not have any record of his last pay drawn, how pension will be calculated as Punjab national bank has no such data with them, as indicated by the concerned department, nor the relative branches have such data for employees who had retired long back. Pl. advise. with regards.

  3. Refer AIBEA's Banking News Dt.18 October 2010 Octogenarian argues case himself
    MADURAI: Mohamed Imranullah S. Obtains favourable orders after 45 years of his resignation
    “Consider petitioner's plea for pension within four weeks”
    He applied for pension and gratuity in 2003
    S. Sankaran, an 83-year-old former school teacher of Tirunelveli, was the cynosure of all eyes in the Madras High Court Bench here on Thursday as he succeeded in obtaining favourable orders in a petition seeking monthly pension for the service he rendered 45 years ago!
    What's more, the octogenarian argued the case himself in English without the aid of any lawyer.
    Disposing of the writ petition filed by him, Justice R.S. Ramanathan directed the Accountant General (Accounts and Entitlement) to consider the petitioner's plea for pension within four weeks. Otherwise, the officer would be liable to pay interest at the rate of 12 per cent from September 13, 2004, the date on which the pension proposal was received by him, till the date of payment.
    According to the petitioner, he served as a weaving instructor from June 16, 1954 to August 1, 1964 in Hindu Elementary School at Karukuruchi and P.L.W.A. Higher Secondary School at Vickramasinghapuram.
    He resigned the post after serving the schools for 10 years, one month and 18 days. The details were entered in his service register and there was no dispute over them. He applied for pension and gratuity in 2003. However, his plea was rejected by the Accountant General's office on January 11, 2010 on the ground that he was not eligible for pension as per the Tamil Nadu Non Government Teachers Pension Rules, 1958.
    It was also pointed out that the petitioner was governed only by these rules because he had served in non-government aided institutions. Repudiating the reason given by the AG's office, the petitioner contended he was fully qualified for the benefit because he fulfilled the criterion enunciated in Rule 12(a) of the Pension Rules that a teacher should have served for a minimum of 10 years to claim pension.
    He also pointed out that his resignation should be treated only as retirement in view of a judgement passed by the Supreme Court in 1990.
    The apex court in J.K. Cotton Spinning and Weaving Mills's case Vs. State of Uttar Pradesh had held that the meaning of the term „resign' as found in the Oxford Dictionary included retirement.
    “Therefore, when an employee voluntarily tenders resignation it was an act by which he voluntarily gives up his job. We are therefore of the opinion that such a situation would be covered by the expression voluntary retirement,” the judgement read.

  4. Why UFBU and its members are silent on recent amendment to gratuity act which has deprived retirees prior to 23.05.2010 of higher gratuity benefit?

  5. The Unions, as signatories have raised a doubt. If they are serious to help the VRS retirees, they can call for a meeting with National Labour Commission and pressurise IBA to see reason and implement the original terms of including this category for pension option.

  6. An appeal to Mr Pradeepkumar, Supreme Court Advocate from a VRS Retiree

    Respected Mr Pradeepkumar,

    Cases of VRS retirees - Second option for pension


    1.As a retiree under Bank's VRS , I thank you for your interest in the issue of pension option to us.

    I observe that the suit filed by you in Supreme Court, coming for decision on 31st Jan 2011 is for equating Resignees with Retirees and is not helpful to VRS retirees - perhaps you thought that the settlement covers VRS cases as well for pension option.

    2.Now that the aggrieved VRS Retirees have filed WPs in various High Courts, which have been admitted and vakalats filed by the Defendants, I have a suggestion for you.

    As an eminent lawyer of Supreme Court and Ex-Officer of BOI, can you take up our (VRS) case and file a writ in Supreme Court ? You may please issue a suggestion in the relevant sites, asking the willing Retirees of ALL the Banks throughout the country to come forward and make necessary payment and request you to file the case in Supreme Court.Since the issue involves ALL Banks and entire country, this may be necessary.

    In case filing of WP is not possible, can you please take up with Supreme Court, to issue directives (suo motu) to the various High Courts hearing the issue (VRS Retirees) to transfer the cases to Supreme Court for disposal ?

    This I am requesting because, when all WPs are disposed in the various HCs, (obviously in favor of VRS Optees),the Banks/IBA will certainly prefer appeal in Supreme Court, with a view to delay justice further.With considerable time spent in HCs already, most of the retirees (in their 70s to 80s then) will not even live to enjoy the fruits of justice.That is precisely the intention of IBA.

    At least to thwart such a nefarious attitude of IBA, you may come forward and fight our case.

    Can you please do it ?

    Thanking you and with regards,

    Ananth ShreeVas.
    15th Decemeber 2010.

  7. 100% DA neutralization on pension to all pensioners specially those retired prior to 31-10-2002 is being discussed in many forums for quite some time. Is there any progress in the Talks with IBA or Finance Ministry? UFBU leadership should look into this issue on priority as these retirees (pre 31-10-2002)are deprived of 100 % neutralization.

  8. The much awaited year-end has come and gone, but prayers of retired employees seem to have gone unanswered. One of the important question for the retired after 1.11.2007, as to Why our UFBU leaders are silent and are not aggressively taking up with the IBA for a separate agreement for payment of enhanced gratuity 01.11.2007 still remains unanswered. Are they not convinced about the demand of the retired persons?. There is no relief in the New Wage Settlement on this issue. Because of this the employees retired after01.11.2007, were put to monetary loss. Bank employees retired after 1.11.2007 may calculate the Gratuity loss to know the position when compared with the new revised ceiling of Rs.10 lacs from 24.05.2010.

  9. AIBOC CIRCULAR No.2 of 8th January, 2011,TO ALL AFFILIATES/MEMBER informs about their MEETING WITH THE CHAIRMAN, IBA on 06.01.2011 at Mumbai, in a delegation led by its President along with, General Secretary,.. etc. The pending issues discussed with the IBA/Govt. for favourable disposal, do not include Change of Gratuity effective date.

  10. I retired with 36 years service on 31st Jan 2010 with a basic Rs.36,200+( Rs.1080(FPP)+ RS.1030(PGP). Received Gratuity of Rs.7,02,355. Another colleague who was one scale below retired in July 2010 received Gratuity of Rs.10,00,000/. I received Rs. 2,97,645 less even though I am senior. I will not be able to get compensated for this money during rest of my retired life. I paid Income Tax also whereas my colleague got Tax concession. Thanks to the much awaited Amendment to Gratuity Act ceiling effective date 24.05.2010. How about others?. Any soul to rescue us during 2011;


  11. As per press reports “Following discovery of Rs 1,731.57 crore in suspense account, the CBT raised rate of interest on provident fund deposits to 9.5 per cent for its 4.71 crore subscribers from 8.5 per cent which is being paid by EPFO since 2005-06″. This is one more reason why for people retired between 1.1.2006 to 23.05.2010 higher Gratuity Ceiling should be made applicable. People retired during the above period received lower interest rates on their long term savings while facing the silent killer “inflation”. UFBU may take up this as one of the retirees issue.

  12. Day to day updates of the cases may please be uploaded on the web site of All India banking solutions