Friday, March 9, 2012

SBM asked to cough up Rs. 13 lakh to ex-employees

The high court on Thursday directed the State Bank of Mysore (SBM) to pay Rs.10,000 each to 129 petitioners and former employees who had filed an appeal to quash circulars that attempted to deprive them of five years in service. The appeals challenged the judgment pronounced on March 8, 2011, concerning the claim of employees of various banks who had opted voluntary retirement scheme (VRS). Each employee had completed 20 years in service. The employees opted for retirement under the scheme and had been given benefits except those under Section 29(5) of pension regulations, 1995, which deals with the addition of five years of service by an employee. The banks’ permanent employees, who have put in 15 years of service or completed 40 years of age on the date the scheme came into being, are eligible for VRS. An employee whose application for VRS is accepted will be paid an amount equal to 60 days of salary for each completed year of service. As per the regulations, the employees had sought to add five more years while calculating the length of their service. The HC directed that since pension regulations, 1995, have not been amended by SBM, it has to pay `10,000 to each petitioner
Source - DNA Bangalore 

6 comments:

  1. In the wake of the speaking judgment pronounced by the Division Bench headed by the Chief Justice of Hon'ble High Court of Judicature, Karnataka, I have my own strong apprehensions that the affected Bankers would certainly knock the doors of The Supreme Court for an appeal as a matter of strategy for prolonging further. In which event, it is better to file a caviet to set at naught their move at SLP level itself.

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  2. It is true that the bank may approach Supreme Court as was done in respect of several cases earlier. It is doubtful whether obtaining caviet will be successful

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  3. Nice Judgement. Now AIBRF vide their recent resolution demanding payment of enhanced Gratuity of Rs.10 lakhs to retired bankers from 01.11.2007,nearly two years after
    statutory amendment by GOVT in May 2010. Will AIBEA/AIBOC include this at least in 10th BPS demands?.

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  4. I have become member of rbewa google group in feb 2012 by paying Rs.10,000/- whether I have to do anyother thing when judgement will come.

    Satish Vaze
    sat_vaze@rediffmail.com

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  5. Finance Minister wants retrospective amendment of I.T Act to increase Tax collections. But when it comes to increase of Gratuity Limit he preferred to make it prospective from 24.05.2010.Why retired members and Unions were not able to act like Mamata during the Current Budget Session.

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  6. Giving is not in the history of finance ministers particularly to bank employees. I have been seeing Finance Ministers since I joined bank in 1977 and from that day to till date bank employees are always getting step motherly treatment.Our bank unions also instead of deciding a matter once for all, are dragging for years together and finally agree to pea nuts settlements at the end.Of course, we are not aware of hidden facts if any.

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