Tuesday, November 17, 2020

Letter to Hon'ble Minister of State for Finance by AIBPARC

 Letter to Hon'ble Minister of State for Finance by AIBPARC is reproduced below


 Dated 15.11.2020
Shri Anurag Singh Thakur
Hon'ble Minister of State for Finance
North Block

Respected Shri Anurag Singh Thakur Ji

We recall our meeting with your good self on 25.07.2020 in connection with our humble
contribution of Rs.2.12 crores to PM-CARES FUND. We also requested you to help
resolve our long pending demands. The warmth and a positive tone on your part
reflected empathy and compassion. This in fact proved to be a turning point in the
response of IBA to our issues.
A very favourable interview by the Hon'ble Finance Minister to The Hindu Business
Line followed by the caring concern shown by your Goodself and the Hon'ble Finance
Minister while addressing the 73rd AGM of IBA on 10th November 2020 has been
taken by our Organisation which is a Confederation of Retirees' Associations
representing the largest number of the Bank Pensioners and Retirees as delivery of
justice through your Goodself and Hon'ble Madam. Apprehending the hassles in actual
realisation of our legitimate dreams, we once again request you to consider the
following humble submissions for expeditious settlement.
We wish to express our sincere gratitude to your Goodself for advising the IBA/DFS
and other Officials to resolve our long pending issues which were reiterated in the
address to the 73rd Annual General Meeting of IBA 0n 10.11.2020 by your Goodself
and the Hon’ble Finance Minister. It was heartening to note that the improvements in
the family pension scheme @ 30% of pay drawn by the employee without any ceiling
has been agreed by IBA and the same has been incorporated in the XI Bipartite
Settlement and Joint Note signed between IBA and the Trade Unions as under:
Subject to approval by the Government, it is agreed that the family pension shall
be payable at the uniform rate of 30% of the pay of the deceased employee and
that there shall be no ceiling on family pension. It is agreed that these
provisions, when approved by the Government, shall apply to SBI also.
It is also pertinent to submit that IBA’s recommendation to DFS for improvement
in Family Pension has been under consideration of DFS for about one and half
years and yet again the agreement dated 11.11.2020 makes it subject to approval
by the Government. It is quite intriguing. We therefore request you to get the
family pension improvements implemented along with salary revision including
payment of arrears to the beneficiaries of the improvements in Family pension.

We place it on record our deep sense of Gratitude for the inspiring speech and
direction to IBA and DFS by you and Hon’ble Finance Minister. It was our long
pending Request and emotionally close to our heart as it has a direct impact on the
life and well-being of the spouses of the deceased employees and the beneficiaries
are mostly the Widows who are living in penury.
We take this opportunity to once again thank you for being kind and generous.
Hon'ble Sir, you will appreciate that our demand for the updation of pension which has
been impacting the life of every pensioner including the family pensioners has not
been settled yet. Even at the cost of repetition, we wish to mention that despite several
rulings by the Apex Court that the Salary Revision and Pension Revision are
inseparable; Pension is not a bounty; Pension is a deferred wage etc, our Pension has
not been revised despite Six Salary Revision Settlements after 1987. It has created
such an anomalous and unfair situation that a Top Executive Grade General Manager
who retired after 1.11.1987, draws lesser pension than a senior clerk who retires
currently. We had expected this also to be set right in the Salary Revision Settlement
which was signed by the concerned parties on 11.11.2020 immediately after your
advice to the IBA and DFS. It has left more than 4,00,000 pensioners disappointed. In
this connection we wish to once again submit the following for your kind and
sympathetic consideration:
Our request for updation of pension is not a demand to grant a fresh benefit as it is
already provided in the Pension Settlement of 1993 and incorporated in Bank Pension
Regulations 1995 vide Regulation 35(1) as under:
Basic Pension and Additional Pension, wherever applicable, shall be updated
as per the formulae given in Appendix - I (Government Gazette Notification No.9
dated 1.3.2003)
It is inexplicable and beyond human comprehension as to why the benefit of a
legal and pre-existing provision is being denied in a completely brazen and
arbitrary manner. What has hurt the senior and super senior citizens of the
banking industry more is that despite your unambiguous message, the
procrastination continues on some pretext or the other.
We on our part as a responsible organisation have been writing to Hon'ble FM,
your Goodself, DFS and IBA for several years duly furnishing the detailed
working reiterating that the annual increase in the pension for all the banks
including SBI comes to Rs. 5,322 crores, which does not involve any additional
provision at this juncture as illustrated below:

a) The amount of regular pension and family pension paid during the year 2018-
19 was Rs.17,415.16 crores
b) The interest income and regular annual contribution to the Pension fund
was Rs. 32,023.00 crores
c) Undisbursed/unutilised surplus in the Pension Fund for the year 2018-19
was Rs.14,607.84 crores
d) Additional liability towards pension updation using RBI updation factors
comes to Rs.5,322.87 crores
(The cost of updation has been calculated for all the 4,41,000 pensioners who
have retired upto 31.10.2017 and are eligible for updation of their pension as per
the salary revision settled on 11.11.2020).
From the above details it is clear that even after grant of updation of pension
there will remain an annual surplus of Rs. 9,284.97 crores thereby obviating the
need for any additional immediate provision and thus protecting the balance
sheets of the banks. If any bank has not followed the provisioning norms as per
Pension Regulations or misutilised the Fund, that alone would be required to
provide if their annual actuarial estimate in terms of Regulation 11 so warranted.
It is humbly submitted that the Public Sector Banks are the State within the meaning
of Article 12 of the Constitution and Bank Pension Regulations are made in exercise
of the powers conferred by clause (f) of sub-section (2) of Section 19 of the Banking
Companies (Acquisition and Transfer of Undertakings) Act, 1970 by the Boards of the
Banks in consultation with RBI and with the previous sanction of the Central
Government. Hence it is the statutory obligation on the part of the banks to
implement these regulations including Regulation 35(1) which provides for the
updation of the pension. While the guidelines from the Banking Regulators to
provide for NPAs are followed without blinking, it is beyond common
comprehension as to why statutory provisions are not being implemented
perpetually with impunity.
Hon'ble Sir, your address and reiteration by Hon'ble FM to the 73rd AGM of IBA
have truly raised the hopes and aspirations of the rank and file of our
membership who contributed to the nation building during their active service
and continue to chip in even after retirement whenever the occasions demanded
like PMJDY campaign, Demonetization etc. You are there and our last hope to
help realize our legitimate due.
We humbly request you to settle this long pending issue urgently so that this
hitherto neglected section of the pensioners could get the benefit of revision of
pension alongwith the revision of salary for the serving employees. Meanwhile,
we request for grant of interim relief based on the RBI Pension Updation

We also request you be kind enough to resolve the issue of 100% DA
neutralisation to Pre-November 2002 retirees who continue to be discriminated
unfortunate lot. It may be appreciated that price rise affects all retirees in equal
measure and discriminating against senior retirees who retired before
1.11.2002, is not only not legal but also against the principles of equity and
fairness while being violative of Article 14 of the Constitution.
The pensioners and retirees have been discriminated in the matter of Medical
Insurance Scheme which was introduced in the year 2015 in accordance with
the guidelines issued by DFS to IBA vide letter dated 24.02.2012 to evolve
medical insurance scheme for both the serving employees and retired
employees. While implementing the same IBA advised the banks to bear the
Medical Insurance Premium for serving employees and left the retirees to fend
for themselves if the wished to join the scheme. The introductory premium
which was Rs.7,500 in the first year was successively increased to more than
Rs.90,000/ for Health care domiciliary treatment for the year 2019-20 thus
making it unaffordable out of meagre pension drawn. It has driven many out of
the scheme on the grounds of unaffordability. It will not be out of place to
mention here that the Board Level Retirees - ED/MD/CEO/CMD are provided free
medical facility as they were enjoying during their service. The serving
employees are also provided free medical facility. It therefore becomes very
brazen to discriminate against retirees alone against the spirit of Government
Communication dated 24.02.2012.
In view of the forgoing submissions, we humbly request you to advise DFS &
IBA to settle these issues also forthwith without further loss of time and provide
much awaited relief to those warriors who are in the twilight of their life.
We shall always remain grateful to you for rendering justice to us at this stage
of our life.
With Best Regards,
Yours Sincerely,
K V Acharya      S Sarkar
Presiden         t    General Secretary
Joint Convener -CBPRO




Tuesday, November 3, 2020

CBPRO letter addressed to Finance Minister on Updation of Pension

Copy of CBPRO letter addressed to Finance Minister on Updation of Pension etc is  reproduced below

Dated: 31.10.2020

Ms Nirmala Sitharaman
Hon'ble Finance Minister Government of India
North Block, New Delhi

Respected Madam.

Updation of Pension and Other Issues

We are immensely delighted to go through Your highly Inspiring Interview in Business Line dated 29th October 2020 wherein You gave genuine Accolades and Encomiums to the Services rendered by the Banking Community both Past and Present throughout and specially during the present Covid 19 Pandemic. It has also evoked Great Hopes in the minds and hearts of Bank Pensioners and Retirees who have been knocking the doors of the DFS and IBA for the last several years.

We, as the largest Coordination of various National level Bank Pensioners & Retirees Organisations (CBPRO) consisting of Federation of SBI Pensioners Associations, AIBPARC, RBONC, AIRBEA AND FORBE with a membership of over Four Lakhs, profusely Thank Your Good Self for responding so wholesomely with concern and care to the Long Pending

Grievances of the Senior and Super Senior Citizens of the Banking Industry.

Your Good Self has taken initiatives by very positively advising the Secretary, Department of Financial Services, Chairman of SBI and Chairman of IBA to render justice to us mainly on the issues concerning the Bank Pensioners and Retirees. We once again submit the list of our major pending issues hereunder

1. Improvement in Family Pension as available to Government and RBI Pensioners

2. Updation of Pension as per RBI Formula

3. Uniform DA Compensation to All Retirees without Discrimination as available to Government & RBI Pensioners

4. Reckoning of Special Allowances attracting DA for Terminal Benefits.

Respected Madam, we had elaborately explained to Your Good Self, DFS and IBA in our several Letters and Memoranda, the legal angle and Honourable Supreme Court Judgements lending legitimacy to our Requests for Updation of Pension
The Pension Fund of all the Banks is robust. It is important to note that the Pension Updation cost and any other Pension related Improvements like Family Pension and Uniform DA Compensation to All Retirees will be paid out of the Pension Fund of the Banks.

Respected Madam, as You know that the very Old Retirees prior to November 2002 are subjected to Double Jeopardy as their Basic Pension is not only very low due to continuous Non Updation of Pension but they are also discriminated against by denying 100% DA Neutralization. It is appalling to see that this has resulted in, even a General Manager retired in 1990s draws pension as low as Rs.27000/per month including DA which is much less than the Pension drawn by a Clerical Staff Retiring today. So far as the Family Pensioners(Mostly Women Spouses of Deceased Pensioners) are concerned, it is even more pitiable as their Pension including DA is just about Rs 4000 to Rs. 15000/only as the Family Pension suffers from low percentage of 15% Basic Pay as against a uniform rate of 30% in Government and RBI that too with a specified ceiling on the amount of Family Pension.

It is unfortunate that Pension Updation was never done though several periodical Wage Revisions had taken place.

Respected Madam, at this juncture, it is a Great Relief and Solace to us Specially to quite a large number of Super Senior Citizens of Banking Industry that You have so rightly and caringly acknowledged and recognised the Contributions and Services of the Banking Community in Implementing the Policies, Programmes and Economic Packages of our Government which brought about Social, Agricultural, Industrial and Educational Revolutions in the Country. We as Bank Pensioners and Retirees feel Fortunate and Proud to have been a part of this Great Movement. This spirit of service also made many of us to voluntarily rush to help our Brethren in the Banks during the PM's Massive Jan Dhan Programme, Demonetization Exercise and Recovery Campaigns by the Banks The Bank Pensioners and Retirees Organisations also collected the Voluntary Contributions from their Members to PM CARES FUND to the tune of more than Rs. Four Crores and also contributed to PM'S RELIEF and CM's RELIEF FUNDS. We are Happy that we are privileged to have so contributed to help redress the distress of those affected by COVID 19.

We will be highly obliged and remain Grateful to you and Our Government for the Initiatives You have taken to end the Injustices to which we are pushed to and render Justice, restore the Dignity and Enliven the remaining part of our Life with Peace and Pride.

We request You to kindly accept our sincere Thanks and Respectful Regards

With Best Regards,

Yours Sincerely,

(A. Ramesh Babu) (K.V. Acharya) 

Joint Conveners,

Thursday, October 8, 2020

Pension Updation @6352 points

 AIBPARC  has written letters to Chairman, IBA and Convenor UBFU  egarding Pension Updation @6352 points.

Click here to view AIBPARC circular .



Wednesday, August 26, 2020

CBPRO letter to CEO of IBA, on need for updation of pension

Text of CBPRO letter to CEO of IBA, on need for updation of pension is reproduced below for information

 Dated: 24.08.2020

Shri Sunil Mehta
Chief Executive
Indian Banks’ Association

Respected Sir

Updation of Pension/Revision

We as a Coordination Body (CBPRO) of Five Major Organisation of Pensioners consisting of  Federation of SBI Pensioners Associations, AIBPARC, RBONC, AIRBEA and FORBE have  been pursuing the matter relating to the Updation of Pension for Bank Pensioners.

 We are  happy to learn that the matter is on the negotiating table with UFBU.

 In this connection, we  wish to submit the following for the kind and sympathetic consideration of all the parties to the Negotiation:

1) Salary Revision and Pension Revision are inseparable as pension is a deferred wage and not a Bounty as held by the Hon'ble Supreme Court of India.
2) But there had been no updation in the case of Bank Pensioners despite several Salary Revisions. Pension being a Deferred Wage its Updation/Revision is a natural corollary to wage revision.

3) The Pension Scheme in the Banks is akin to that of Government Pension Scheme and Regulations provide that in case of any doubt, a reference be made to Central Civil Pension and Commutation Rules 1972.

4) The Pension Updation is religiously undertaken for the Central Government Pensioners simultaneously with Central Pay Commissions. It is intriguing as to why the Bank Pensioners are subjected to discrimination.

5) Bank Pensioners were happy and hopeful of their Pension Updation last year when the benefit of Updation was extended to all the Pensioners of RBI w.e.f.1.4.2019. But we were again ignored.

6) It is again heartening to learn that NABARD vide its Cir. No. 733/2020 dated 20 August
2020 has decided to affect the Revision of Pension pending approval of Government of India. NABARD Has decided to grant Interim Relief @ 60% of the total amount of the notional pension based on the multiplication factors which are broadly on the lines allowed for RBI Pensioners and DA Relief thereon to those pensioners who have retired upto 31.10.2012.

The revised pension is to be paid using the following factors:
Pensioners retired between Factors
Pre-November 1992           12.34
1.11.1992-31.10.1997.         5.85
1.11.1997-31.10.2002          3.63
1.11.2002-31.10.2007          2.44
1.11.2007-31.10.2012          1.76

Since our Salary Revision due from 1.11.2017 is already settled vide MoU Dated 22.7.2020, our Pension Revision for those who retired between 1.11.2012 and 31.10.2017 is also due  and the Updation Factor for them, based on the above factors would be 1.62.

Covid 19 has taken a heavy toll of the people of this Country and also elsewhere across the world. Bank staff are at great risk in their place of work due to their nature of work. Many serving Staff are also becoming victims to the Pandemic. There is growing anxiety among
the Bank Retirees who are in the most vulnerable age group apart from various other age-related serious ailments. In the light of this also, we hope IBA will look into the Grievances and expectations of The Senior Citizens of Banking Industry from a highly Humanitarian perspective.

We, therefore request you to help resolve this long pending issue of Updation of Pension before signing the Final Settlement (11th BPS) and render justice to Bank Pensioners who have made enormous contributions to the Growth of Banking in India during their active service. Even after their Retirement, they voluntarily extended assistance to Bank Staff during the unprecedented work pressure on Bank Staff due to JanDhan Account Mobilisation Campaign, Demonetization Exercise and the other developmental activities of the Banks which they had served.

With Regards,

Yours faithfully

(Ramesh Babu) (K.V. Acharya)
 Joint Conveners, CBPRO

Saturday, August 1, 2020

D.A. payable to bankpensioners w.e.f. Aug 2020 to Jan 2020 Increase by 16 slabs

                                                                                                                           16 SLABS INCREASE

D.A.PAYABLE TO BANK PENSIONERS.w.e.f.1st AUG'2020 to 31st JAN'2021


On Or After




over 600

Upto 1250



Above 2130









upto 31.3.98


over 1148

Upto 2400



Above 4100








1.11.98 upto



over 1684

Upto 3550



Above 6010



















over 2836



RETIRED ON OR AFTER                           1.11.2012





over 4440

D.A calculator is available for calculating revised D.A. and difference. For calculating D.A , enter basic ( original basic without reducing commutation amount) and click on the calculate button. Revised D.A , Present D.A. and difference will be displayed on the calculator. Select appropriate retirement date range according to the date of retirement.
Click on the following link for  D A Calculator. 

D.A. Calculator

Sunday, July 26, 2020

Letter by BANK EMPLOYEES FEDERATION OF INDIA to IBA Chief Executive regarding Improvement of Family Pension and Updation/Revision of Pension

 Cirular by BEFI is reproduced below

Circular  No.45/2020

  Dear  Comrade,

 25th  July  2020

 Improvement  of  Family  Pension  and  Updation/Revision  of  Pension

We  have  written  a  letter  to  the  IBA  Chief  Executive  today  on  the  captioned subject. 

 Text  of  the  letter  is  appended  below  which  is  self  explanatory. With  greetings,
Yours  comradely, .
  (Debasish  Basu  Chaudhury) General  Secretary


A  Minute  has  been  signed  on  22nd  July  2020  between  IBA  representing Management  of  banks  which  are  parties  to  the  11th  Bipartite  Settlement  and Workmen  Unions  and  Officers'  Associations  on  wage  revision.    We  like  to  draw your  attention  on  the  following  issues.

Improvement  of  family  pension

We  came  across  a  Tweet  posted  on  behalf  of  Chief  Executive,  IBA  on  22.07.2020 (assuming  that  the  referred  Twitter  handle  is  not  a  fake  one)  where  it  was written  inter  alia,  “Today  IBA  &  UFBU  have  signed  an  MoU  for  15% increase  in  pay  slip  component  of  Bank  Employees,  in  Principal agreement  to  remove  cap  &  offer  30%  of  Basic  Pay  as  family Pension,….”.  (Emphasis  made  by  us)
 We  may  recall  that  on  22nd  July  2020,  the  Chairman  of  Indian  Banks'  Association appeared  in  the  discussion  and  stated  that  IBA  agreed  in  principle  to  enhance the  Family  Pension  to  30%  without  ceiling.   

IBA  Chairman  also  said  that  IBA  is pursuing  the  matter  in  right  earnest  with  the  Govt.  of  India  to  get  the  same approved.    We  suggested  incorporation  of  version  of  IBA  stating  in  principle
agreement  to  enhance  family  pension  to  30%  without  ceiling  subject  to  Govt approval  in  the  MOU.    But  that  was  not  done.             Now,  we  are  observing  some  reports  claimed  to  have  been  issued  on  the contents  of  the  discussion;  where  it  was  mentioned  that  increase  of  family pension  to  30%  has  been  agreed  on  22nd  July  2020.    Some  communications/ circulars  are  also  available  where  it  has  been  claimed  that,  Govt.  has  agreed  to increase  family  pension  from  15%  to  30%  without  ceiling. We  understand  that  the  status  narrated  by  the  IBA  Chairman  on  22nd  July  2020 is  factual  which  means  approval  of  Govt.  of  India  towards  proposed  increase  will be  obtained  in  due  course.    Further,  during  the  meeting  of  the  Negotiation Committee  held  on  29th  February  2020  the  IBA  informed  that  the recommendation  for  improvement  of  family  pension  had  been  sent  to  the  Govt. for  necessary  approval. Now,  the  language  of  the  above  mentioned  Tweet  tagging  ‘in  principle agreement’  with  the  MoU  signed  on  22nd  July  2020  and  the  reports  as  well  as  the communications/circulars  issued  that  the  Govt.  has  already  agreed  are  creating impression  amongst  the  bank  employees  and  retirees  that  all  formalities  for improvement  of  family  pension  has  been  completed. Had  such  been  the  situation,  we  feel  that,  it  certainly  would  have  found  a  place in  the  Minutes  signed  on  22nd  July  2020.

   Now,  the  Indian  Banks'  Association should  come  out  with  a  statement  narrating  prevailing  situation  regarding improvement  of  family  pension.   Moreover,  with  such  communications, expectations  have  developed  within  the  minds  of  the  hapless  family  pensioners, many  of  whom  are  living  in  financially  distressed  condition. 
  We  strongly  urge upon  you  to  take  all  necessary  initiatives  to  obtain  the  approval  from  the  Govt. of  India  at  the  earliest;  before  the  finalisation  of  11th  Bipartite  Settlement.

Updation/Revision  of  pension

 You  may  recall  that  during  the  negotiation,  continuing  for  more  than  3  years now,  the  IBA  negotiating  team  had  been  informing  the  Unions/Associations  that updation/revision  of  pension  require  huge  amount  of  fund. During  the  course  of  negotiation,  the  Unions/Associations,  time  and  again, requested  for  sharing  relevant  data  for  necessary  actuarial  calculation.
   It  was also  suggested  that  there  may  be  joint  actuarial  exercise  similar  to  that  done during  another  option  for  pension.    On  5th  Dec.  2019,  the  IBA  agreed  to  share
 data  with  the  actuary  recommended  by  UFBU. 

 But  no  data  was  shared  with  the UFBU  by  IBA  till  date,  as  assured. On  29th  Feb.  2020,  IBA  agreed  that  some  improvement  in  the  Pension  would  be worked  out  for  the  retirees  of  earlier  settlements  period  by  working  out  the  cost. 

 It  was  also stated  that  revision,  in  some  form,  would  be  implemented  in  phases. In  subsequent  period,  this  agenda  wasn’t  dealt  for  further  progress. 

 In  the  last round  of  negotiation  on  22nd  July  2020,  IBA  negotiating  team  formally  discussed only  on  the  load  factor  keeping  all  other  issues  aside. You’ll  certainly  appreciate  that  since  revision  of  pension  took  place  in  Reserve Bank  of  India,  the  pensioners  have  become  elated  expecting  extension  of  similar benefits  in  IBA  member  banks  also.

In  the  mean  time,  the  retirees  Associations,  besides  approaching  all  concerned for  revision  of  pension,  collected  bank-wise  data  from  different  sources  including through  Right  to  Information  (RTI)  Act  2005. 
  We  are  informed  that  one  such Retiree  Federation  collected  data  from  different  member  banks  (except  a  very few  who  did  not  respond  to  the  notice  served,  for  reasons  best  known  to  them) as  on  31.03.2017  and  31.03.2018  under  RTI  Act,  2005  and  forwarded  to  you last  year  for  having  actuarial  exercise  to  ascertain  the  cost  involvement  for revision  of  pension  as  per  formula  adopted  in  RBI.
It  is  fact  that,  despite  assurances  given  to  the  Unions/Associations  during  the course  of  negotiation,  the  IBA  did  not  share  any  data  for  actuarial  calculation.   We  are  already  having  experience  of  difference  between  hypothetical  data  and actuarial  data  during  the  exercise  on  another  option  for  pension  in  2009. We  believe  that  pension  is  a  social  security.    We  also feel  that  revision  of  pension should  not  be  considered  in  terms  of  financial  liability.    The  sanctity  of  bilateral negotiation  is  of  utmost  importance  to  us.

    With  this  understanding,  we  strongly demand  to  initiate  joint  actuarial  exercise  immediately  to  ascertain  cost involvement  for  updation/revision  of  pension  as  per  formula  of  RBI,  so  that discussion  on  this  subject  can  be  taken  forward  before  finalisation  of  11th Bipartite  Settlement. Awaiting  your  early  response  on  the  subject  matter.


Thursday, July 23, 2020

11th Bipartite Settlement Signing of MOU.

 AIBRF circular on the above subject is reproduced below
The office Bearers/ Central committee members/ State committee Chiefs.
Dear Comrades
Re; 11th Bipartite Settlement .
Re: Signing of MOU.
We are happy to inform you IBA and UFBU has signed MOU on 11th Wage Settlement in Mumbai on 22.07.2020. According to this MOU, wage increase of 15 percent has been agreed. Copy of the MOU giving complete details is enclosed for your ready reference.
(1) IMPROVEMENT IN FAMILY PENSION: We are very pleased to inform you that as per the information received, Government/ IBA have accorded approval for improvement in Family pension from present to 30 per cent of last pay drawn without any ceiling. It will provide significant increase in monthly pension of about 72000 family pensioners. This approval of 30 per cent increase without celling is better than family pension of RBI. As you know, 95 per cent of family pensioners are females who will be benefited. It is step towards woman empowerment too. Full details in this regard are awaited.
As you know, AIBRF has been raising demand of improvement in family pension for last several years and to achieve it launched several action programs from time to time, details of which are known to all of you. It is big success coming out of sustained and continuous organisational efforts. We congratulate and complement our membership and cadre for this achievement.
We convey our sincere thanks and gratitude to the Government, Indian Bank association and leadership of UFBU for accepting this demand of retirees and taking steps for final sanction.

(2) PENSION UPDATION: we understand that pension updation issue is also being addressed while working details of the settlement in next 90 days. We hope this issue will also move forward in this settlement.
(3) OTHER ISSUES: Other pending issues like improvement in ex-gratia payment to pre- 1986 retirees and their spouses , reduction in premium rates for group insurance policy are receiving attention of IBA/ UFBU and hope solution on them will come in near future.
On this occasion, We appeal to membership to show confidence in the organisation and organisational efforts .We are sure our journey to provide more and more respect and dignity to bank retirees will continue and our struggle to achieve other pending demands will continue.
With Revolutionary Greetings,
Yours Sincerely,

Sunday, July 5, 2020

Letter written by AIBPARC to Hon’ble minister of State for Finance, Government of India

We are reproducing hereunder the letter written  by AIBPARC to Hon’ble minister of State for Finance, Government of India dated – 29/06/20 ,
Shri. Anurag Singh Thakur
 Honorable Minister of State for Finance,
 Govt of India,
 New Delhi 

Respected Sir, 

                                      Pending Issues of Bank Pensioners & Retirees We wish to profusely thank you for giving us an opportunity to hand you over our humble contribution of Rs. 2.12 Crores by a bank draft in favour of PM-CARES FUND to demonstrate our resolve to strengthen the efforts of our Hon'ble Prime Minister Shri Narender Modi ji in nation's fight against Covid 19 - a global pandemic. Sir, it was heartening to note that your good self not only lent an ear to listen to our grievances but also evinced keen interest by seeking certain details and clarifications about the issues which need early resolution. We are confident that your intervention into the matter will prove to be a boon to the Senior and Super Senior Citizens of the Banking industry who have been the important vehicles for transforming the economy of the country and also the social upliftment of the poor sections of the society who were hitherto neglected. The success of PMJDY and Mudra Loans are only to mention a few. As explained to your goodself during our meeting on 24.06.2020 at your office, we have many pending issues to be resolved by the Government & Indian Banks’ Association some of which are under consideration at different stages. Out of all the pending issues, the following long pending issues deserve immediate and favourable consideration more so because our members are a vanishing tribe and many have already left the world without their legitimate dreams having been realized. It is with this compassion; we earnestly request your goodself to resolve at least the 
  following issues to provide succour to our members who are senior & super senior citizens in the their twilight years: 

1. Improvements in family pension at par with Government & RBI pensioners Even though the Banks’ Pension Scheme was drawn on the lines of Government & RBI Pension Schemes, the family pension in Banks is quite inferior as it provides for a tapering slab rate ranging from 30% to 15% where higher basic pay above a specified threshold attracts only 15% of last drawn basic pay that too with a ceiling/cap as against 30% uniform rate without any ceiling or cap in case of Government & RBI family pension. Consequent to our taking up the issue with IBA & DFS, IBA was kind enough to agree to our request and accordingly have sent their recommendations to DFS for revising the family pension in Banks to 30% at par with Government & RBI family pension about a year ago. Sir you will appreciate that most of the family pensioners are elderly widows and hence deserve utmost compassion and sympathy. We, therefore request you to get the same approved by the Government at the earliest. 

2. 100% DA Neutralisation to Pre November 2002-Retirees: The Officer retirees in the Banks were getting tapered DA on their Basis pension. This anomaly was rectified at the time of salary revision settlement in May 2005. However, while implementing 100% DA Neutralisation, the benefit was not given to those who had retired before November 2002. Sir, you will appreciate that price rise affects all pensioners in equal measures and hence an artificial classification on the basis of the date of retirement violates Article 14 of the constitution. The arbitrary denial of the benefit of 100% DA Neutralisation to the oldest of the pensioners is therefore unreasonable and unfair more so when the benefit of 100% DA Neutralisation has been extended to Government and RBI Pensioners. We therefore request your intervention in advising IBA & DFS to remove the anomaly and oblige. 

3. Pension Updation/Revision Pension scheme in the banks was introduced in 1995 with effect from 1.1.1986. Pension Regulation 35(1) provided that Basic pension and additional pension shall be updated in respect of those who retired between 1.1.1986 & 31.10.1987 as per the formula given in Appendix-I. Accordingly the updation was implemented. With a view to facilitating updation alongwith future salary revisions, Pension Regulation 35(1) was amended vide Gazette Notification No.9 Dated 1st March 2003 as follows: “Basic Pension & Additional Pension, wherever applicable, shall be updated as per the formula given in Appendix I” This amendment to Pension Regulations made the provision for updation an open ended one. However, it remains unimplemented. Sir, you will appreciate that even the Honourable Supreme Court has held that wage revision and pension revision are inseparable. The Govt of India has already implemented Pension updation/revision in Reserve Bank of India with effect from 1.4.2019 on the intervention of the Court by adopting the updation factors of 1.76, 2.44 & 3 3.63 for those who retired between the period 2007-2012, 2002-2007 & 1997-2002 respectively. 

Sir, you will appreciate that unlike RBI, our Pension Regulations, which are Subordinate Legislation, provide for an updation formula which obtains in the Central Government, but we are agreeable to accept the updation factors which have been granted to RBI Pensioners. It is also pertinent to submit that Pension Funds in Banks including State Bank are quite strong and have a balance close to Rs.3.00 lakhs crores as on 31.3.2020. For a ready reference the pension payments in all the banks including SBI for the year 2018-19 were Rs.17,415.16 crores as against the Interest income and annual contribution by the banks amounting to Rs.32,023.00 crores. It is thus clear that there is fairly healthy corpus to absorb the additional cost of pension updation using the same factors as allowed in case of RBI. In as much as our pension scheme is akin to Government Pension Scheme & RBI pension scheme and Banks Pension Regulation 56 provides that in case of doubt, a reference may be made to Central Civil Services Rules and Commutation of Pension Rules, we request you to consider the pending pension updation issue favourably and oblige. 
4. Medical Insurance Scheme for Bank Retirees The Department of Financial Services advised IBA & the Banks vide its letter dt. 24.2.2012 to evolve a medical insurance scheme - both for serving & retired employees. 
Accordingly, a new medical scheme was introduced at the behest of IBA in the year 2015-16. While introducing the New medical insurance scheme, the premium was borne by the banks for serving employees and the retired employees who deserved the benefit of medical insurance scheme the most, were given the option to join the scheme only on payment of premium by individual retirees. Since the communication from DFS did not stipulate the payment of premium by the beneficiaries, the implementation was a distortion which adversely affected the pensioners. We have been demanding for the premium to be borne by the banks in respect of retirees too. Alternatively, we should be covered under a scheme on the lines of CGHS for which one-time fixed contribution may be collected from the retirees at the time of retirement from the service. It is pertinent to mention here that the medical insurance premium for the retirees was Rs 7500/- with OPD facility at the time of introduction of the scheme in 2015-16 but it has now been successively enhanced to more than Rs 95000/- with OPD facilities during the year 2019-20. With the meagre fixed pension, the pensioners & family pensioners are finding it difficult to make both the ends meet and hence many have been driven out of the scheme on the grounds of unaffordability. The hefty premium charged to Banks’ pensioners and retirees is evidently unaffordable. A levy of 18% GST on the premium and also on hospitalization bills comes as a bolt from the blue. We request your urgent help in this regard as the due date for payment of renewal premium would be in the month of October 2020. 
5. Reckoning of Special Allowance for Superannuation benefits In the last salary revision (wef 1.11.2012), a special allowance as a specified percentage of basic pay and also attracting DA was introduced. However, it was not reckoned for superannuation benefits viz. pension & gratuity. Such exclusion is ultravires and ex-facie illegal. Honourable Supreme Court has held that there cannot be two pays- one for monthly salary & other for computation of pension. In another case, it was held by the Honourable Supreme Court that any allowance which is attracting DA and is of permanent nature, not assigned to performance of any specific duties and also paid during the period when the employee is on leave is to be treated as 
  a part of basic pay. The banks are reckoning this allowance for the purpose of encashment of leave also. The special allowance paid by the bank fulfils the criteria laid down by the Honourable Supreme Court. We therefore request that the said special allowance may please be reckoned for computation of pension & gratuity in respect of those pensioners who have retired after 1.11.2012. 

We once again take this opportunity to profusely thank you for the opportunity given. 

With Regards,
 Yours faithfully,
 K.V.Acharya                      S.Sarkar 
PRESIDENT AIBPARC    General Secretary


Wednesday, May 20, 2020

Curative Petition filed by United Bank of India Welfare Association in Supreme Court In the matter of 100% DA.

 Curative Petition filed by United Bank of India Welfare Association in Supreme Court In the matter of 100% DA  India came for hearing on 18.05.2020 before    bench of 4 judges.Oral hearing was not permitted.After going through the relevant documents,
curative petition was dismissed by the bench.