Memorandum to Hon PM by CBPRO regarding pensioners' long pending issues

We reproduce below Memorandum to Hon PM by CBPRO regarding pensioners' long pending issues 
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Dated: 17.12.2018
To
Shri Narendra Modiji
Honourable Prime Minister of India
South Block
New Delhi
Honourable Sir,
Sub: Pending issues of Bank Pensioners and Retirees
We on behalf of CBPRO (Coordination of Bank Pensioners and Retirees
Organisation) and AIBRF (All India Bank Retirees Federation) representing the
entire community of Bank Retirees and Pensioners (100%) have been pursuing
with the Government and Ministry of Finance and IBA for resolving the following
long pending issues of Bank Pensioners and Retirees for which we have written to
your goodself on several occasions and submitted detailed memorandum:
1. Pension Updation (Pension Revision);
2. Revision in Family Pension in line with Government and RBI Pensioners;
3. 100% D.A. Neutralisation to pre-2002 retirees;
4. Pension @ 50% of the last drawn Basic Pay to all SBI employees and
officers;
5. Removal of anomalies in Fixation of Pension in SBI including Commutation
at par with Industry and reckoning Probationary period of service
for Calculation of Pension;
6. Defined Benefit Pension Scheme to those who are recruited after April
2020.
7. Pension to resignees with pensionable service;
8. Full reimbursement of medical insurance premium as extended to serving
employees;
9. Reckoning special allowance component of pay for gratuity and pension;

10. Negotiating rights in regard to pensioners and retirees issues with Indian
Banks Association/Government;
11. Implementation of all Supreme Court Judgements for pensioners and
retirees of all Private and Public Sector Banks; and
12. Enhancement of gratuity to Rs. 20 lakhs w.e.f. 01.01.2018 as in the case of
Central Government employees
Since there has been no resolution in sight of our pending issues, the Bank
Pensioners and Retirees are thoroughly disappointed and agitated. Accordingly
our Organisations have decided to hold Dharnas and Demonstrations at all
important centres including State Capitals throughout the country from
01.12.2018 to 15.01.2019 and many centres like Bangalore, Trivandrum,
Ernakulam and Kolkata have already held dharnas. The demonstration
programme also includes a massive Dharna at Jantar Mantar on 08.01.2019
followed by a march to Parliament in the afternoon on the same day. We also
wish to submit a detailed memorandum to your goodself again on the same day.
We as Senior and Super Senior Citizens having served the country for several
decades shall be grateful if suitable arrangements are made receiving our
memorandum around 02.30 p.m. at Parliament House or at your office.
It is reiterated that all our financial demands are not only legitimate but also can
be met out of the statutory funds created for the respective purposes including
contributions by us by way of surrendering Provident Fund. It is also pertinent to
bring to your kind notice that Pension Funds of all the Banks put together
aggregates to more than Rs. 3 lakh crores and annual disbursements towards
pension and family pension are not even 40% of the annual yield and
contributions to the fund. It is thus clear that resolution of our demands will not
cause any extra burden on the Balance Sheets of the Banks. Unfortunately Indian
Banks Association and other vested interest groups are thoroughly misleading the
Government about cost implications and denying us of our dues in violations of
Pension Regulation 35(1) which clearly provides for Updation of Basic Pension and
Additional Pension. In utter disregard to the National Litigation Policy of the
Government, the Senior Citizens and Super Senior Citizens are being driven to
seek judicial recourse at a heavy cost in terms of time and money in the evening
of their life.
Honourable Sir, we are confident that with your goodself at the helm of affairs of
the Government, the Senior Citizens and Super Senior Citizens who have
wholeheartedly contributed for the economic growth and social upliftment of the
people of the country by implementing all the schemes, programmes and policies
of the Government during last five decades, including Financial Inclusion, PMJDY,
Mudra, Skill India, Start Up India, Make in India, Demonetisation and other
programmes, shall get justice at your hands.
With regards,
Yours faithfully,
(A.Ramesh Babu) (K.V. Acharya)                   (S.C. Jain)
       Joint Conveners, CBPRO                  General Secretary, AIBRF
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Kolkata High Court, Division Bench Judgement on 100 Percent Dearness Allowance- Review Petition

Circular issued by AIBRF on the above subject is reproduced below
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Ref:2018/606                                            Date:12.12.2018
The Office Bearers/Central Committee Members/ State Body
Chiefs
Dear Comrades,Re: Kolkata High Court, Division Bench Judgement on 100 Percent Dearness Allowance- Review Petition

We request you to refer our circular No. 2018/601 dated
08.12.2018 advising that our affiliate and petitioner in the case, United Bank of India Retirees’ Welfare Association had moved review petition in the division bench with the request it to make some corrections/typographical errors in the judgement delivered on 26th September, 2018 in the matter of 100 percent Dearness Allowance to pre-November,2002 retirees. As advised earlier the judgement was in favour of the retirees.
2. Now we are pleased to inform you that the corrections sought by the petitioner(us) have been accepted by the bench and passed the necessary order in this regard on 05.12.2018. With these modifications, the judgement on the subject has become free from any ambiguity and strengthen hands of the retirees in its implementation. Copy of the order passed by the court on 05.12.2018 is enclosed for your ready reference.
3. Your attention is drawn on the following modifications
(a) In Para 3 of the judgement, the word Pension Regulations has been replaced with the clause 6th of the Bipartite Settlement dated 29th October, 2018. It means that clause 6 where in it is written that DA formula for pensioners will be at par with RBI formula should be implemented and DA should be paid accordingly to those retired before November 2002 irrespective of whatever written in Pension Regulations. This is very important and welcome modification.
(b) In paragraph No18, new sentence has been added giving
specific direction to the bank to comply with Regulation No
37 and pay DA to pre-2002 retirees at par with those enjoyed by the post 2002 retirees.
4. We hope now IBA/ Bank managements will take the judgement in proper sprit and implement it without any further
delay. We are taking up the matter with IBA/ Government for
Its immediate implementation.
5. We hope Unions will also take up the issue with IBA/
Government for implementation of the judgement. We seek their support in this regard. This has been the demand of UFBU and its constituents. We hope Unions will show unity and solidarity with the retirees by writing suitable letter to IBA/ Govt. in this regard.
6. We shall also raise the issue in the forthcoming meeting with RLC.
7. We congratulate Comrade Debesh Bhattacharya, General
Secretary, United Bank of India Retirees’ Welfare Association and  his team for this successful fight.
With Warm Greetings
Yours Sincerely,
( S.C.JAIN )
GENERAL SECRETARY.
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Click here to view original judgement by Kolkata HC
Click here to view modified order by Kolkata HC

 

Serious concern of Bank Pensioners and Retirees over the provisions of FRDI Bill 2018

We reproduce below the circular issued by AIBPARC on the above subject
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Ref. No. AIBPARC/FRDI/2018                           11.12.2018.
 To,
The Director, (CB-I & JCS),
Lok Sabha Secretariat,
Room No. 339, 3rd Floor,
Parliament House Annexe,
New Delhi-110001.Dear Sir,
Sub : Serious concern of Bank Pensioners and Retirees over the provisions of FRDI Bill 2018
Our attention has been drawn to the notification forming Joint Parliamentary Committee with Sri Bhupender Yadav, Member of the Parliament, as its head. In the said notification, views and suggestions of various stake holders and public at large have been sought for. In pursuance of the same, we are submitting our views in duplicate (as desired) to you for handing over the same to the Head of the Committee. Our
views on the subject are noted hereunder :
1) In banks, the pension which is fixed on the date of retirement remains frozen and the same is not revised with signing of Bipartite settlement which makes revision of wages/salary of the serving people. The pensioners and retirees are raising the voice in different forum to impress upon the need to update pension periodically. It may appear to you that how the subject is relevant to the provisions of FRDI Bill, 2018 and we request you to read the undernoted paragraph which will make it relevant to the context.
2) As pension is not upwardly revised, the retirees have to depend on the interest income of deposits kept by them mostly in those banks from where they have retired. This deposited amount is mostly his savings and superannuation benefits which he managed to save through a lot of difficulty to take care of his needs in the advanced years of life. The most pathetic part of the whole story is that the rate of interest on bank’s term deposits is dwindling day by day and the real income of a pensioner is reduced by every  ownward
revision of interest. When a pensioner expires, he leaves an insignificant amount for his spouse or his successors.
3) In the context of the above 2 positions, the FRDI Bill, 2018 came as a rude shock. The pensioners and retirees are suffering from terrific anxiety and anguish to think that his hard earned money which is kept as a bank deposit may evaporate by certain decisions of the government and he might stand penniless on the street. It is an established fact that the serving employees and the retired personnel are in no way responsible for the huge burden of NPA and resultant provision to take care of such NPAs. If a look is given to the topmost defaulters of loan of any bank, it would be evident who exactly are these persons and by whom they are actually favoured. The burden of so called bad-health of the bank can never be shifted on the shoulder of present and former employees. The real cause of worry lies in the “Bail-in” Clause of the failing financial institutions. It provides the use of depositors fund to shore up the financial condition of a failing institution. This clause also includes a provision of cancelling the liability owed by a specified service provider and also modifying or changing the form of liability owed by a specific service provider. Bank deposits are a form of liability on which bank has to pay interest. This change of form of liability might adversely affect the safety and security of funds kept by a pensioner or a retiree in the form of bank deposit. The bail in clause matters us because it formalizes the risk associated with depositing of money with the banks. It will completely shake the confidence of the common man on the entire banking and very adversely affect the interest of pensioners and retirees.
For us, it is a question of life and death.
We call upon all the members of JPC to please see that the proposed bill is not passed in the Parliament.
JPC will please consider the terrific latent danger which lies in the provision of bail-in. We thoroughly oppose the bill in general and the bail-in clause in particular. Our demand is that the balance lying in the S/B Account should continue to be payable on demand and the amount lying in term deposit should be made payable as per terms and conditions of the account and under no circumstances, a portion of it or full of it should be converted into share, debenture etc.
This is for kind consideration.
Yours faithfully,
( SUPRITA SARKAR )
ACTING GENERAL SECRETARY
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Filing of Case with Deputy Chief Labour Commissioner(Central), Mumbai 0n 05.12.2018 as industrial dispute in 100 percent DA matter, by AIBRF

Copy of cir Ref: 2018/601 dated:08.12.2018 issued by All India Bank Retirees Federation (AIBRF) to its  Office Bearers/ Central Committee Members/ State Body Chiefs on 100% DA issue, is reproduced here under for information:
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Dear Comrade,
                                                      Re: Filing of Case with Deputy Chief Labour Commissioner(Central), Mumbai 0n 05.12.2018   as industrial dispute in 100  percent DA matter                                                   We wish to advise you that as per the decision taken in Nagpur Central Committee Meeting, We have since filed the case as industrial dispute in the matter of 100 percent Dearness Allowance with the Deputy Labour Commissioner (Central) Mumbai on 05.12.2018. The notices have been served to the Indian Bank Association and unions who are parties to the settlement.

 2. As per the advice of the advocate handling the matter, broadly the following points have been raised in our petition

(a)Dearness Allowance formula was improved for employees with effect from 01.05.2005 under the wage settlement(8th settlement) signed, However, there is no specific provision in the settlement for improved DA allowance payable to pensioners. While issuing instructions to member banks, IBA took decision at the administrative level to exclude those retired prior to November 2002 from the benefit of improved formula. Whether such administrative instruction of IBA in the absence of specific provision in the settlement is legally tenable.

 (b) Depriving the pensioners who retired prior to November 2002 from the improved formula of DA that too without any specific provision in the settlement is discriminative and violative to the provisions of the constitution. We hope CLC will convene the meeting for conciliation proceedings in the matter shortly. We shall keep you informed the developments in the matter from time to time.

United Bank case In 100 percent Dearness Allowance decided by Division Bench of Kolkata High Court.
 We may also inform you that in coordination with AIBRF , United Bank of India Retired employees Welfare Association has since filed caveat in the Supreme Court with the prayer to hear retiree stand before admitting any SLP filed by the bank management. Further as per the legal advice received , the United Bank of India Retired employees; welfare association had filed review petition in the Division bench of Kolkata High Court for making some correction in the judgement which inadvertently crept in with the prayer to make the required modification to remove any ambiguity in the judgement. We understand the review petition was argued two days back and closed and the decision is expected shortly.
We are keeping close watch in the matter and shall take further appropriate action required to protect interest of the retirees in coordination with the affiliate and as per the legal advice received.
Yours Sincerely,
 ( S.C.JAIN )
GENERAL SECRETARY

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Source:AIBRF website 

 

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Long pending issues of Bank Pensioners and Retirees.

We reproduce below the full text of the letter of CBPRO dated 30.11.2018 addressed to CEO of IBA

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To
The Chief Executive Officer,
Indian Banks’ Association,
World Trade Centre 6th Floor,
Centre 1 Building,
World Trade Centre Complex,
Cuff Parade, Mumbai 400005
Respected Sir,
Sub: Long Pending Issues of Bank Pensioners and Retirees
We understand that the Managing Committee of IBA in its meeting held on 29.7.2018 to consider the issues pertaining to Retirees resolved that in the absence of specific mandate from Member Banks to IBA to discuss the issues on their behalf betreated as withdrawn. The absence of mandate from the Member Banks to discuss these issues was cited as reason for nottaking any further action on those issues.
In this connection we would like to invite your kind attention to Charter of Demands submitted to IBA by the organisations of  serving officers and employees in October 2012 contain a separate chapter on Superannuation Benefits including Pension. You will appreciate that IBA had then forwarded a copy of the said Charter of Demands to all the Member Banks and sought requisite mandate to discuss the Charter of Demands. Accordingly all the Member Banks had given mandate to IBA authorising it to discuss Charter of Demands including Superannuation Benefits. Under such circumstances the reason given by IBA for not taking any further action is unfounded and factually incorrect. We request you to examine the issue in right perspective.It is also pertinent to mention that the Pension issues of Bank Employees and Officers are governed by Bank Employees Pension Regulations 1995. A perusal of Pension Regulations would reveal that there is no provision to secure mandate from Bank Managements as a pre condition to consider any improvement. Even on this count, the ground for not taking any further action by IBA is violative of Pension Regulations.
The very fact that IBA had signed a Record Note at the time of signing Xth Bipartite/Joint Note on 25.05.2019 on all the pending issues of Retirees including improvement in Family Pension, 100% DA neutralisation to pre 2002 Retirees and updation of Pension etc stands a mute testimony to the legitimate demands of Retirees in this regard. The said record note need to be
respected by IBA by settling the issues contained therein at the earliest. 

 The very fact that IBA has collected from Member Banks the data relating to (i) 100% DA for pre 2002 Retirees (ii) Improvement in Family Pension (iii) Pension Updation and (iv) One more Pension option to leftover Retirees/Resignees vindicates the desirability of a positive consideration of our demands.
It is also reiterated that at the time of signing of Record Note IBA has given a solemn assurance about resolving the issues amicably. It is disheartening that despite such a commitment, IBA has been changing its stance to avoid a meaningful discussion to resolve the issues giving lame excuses irrelevantly. We have been repeatedly requesting you to hold negotiations with the Coordination of Bank Pensioners’ and Retirees Organisations (CBPRO) which comprehensively represent the Bank
Pensioners and Retirees. We once again request you to honour the commitment by initiating meaningful discussion for resolving the issues relating to Bank Pensioners and Retirees.
As regards the contention of IBA that Pension Scheme of Banks is a Funded Scheme and additional liability if any towards pension is to be allocated from the profits of the Banks is misleading. We wish to invite to your kind attention to Pension Regulation 5(3) which provides that the Banks shall be a contributor to the fund and shall ensure that the sufficient sums are placed in it to enable the trustees to make due payments to beneficiaries under these Regulations. Regulation 11 further provides that Bank shall cause an investigation to be made by an actuary into the financial condition of the fund every financial year on the 31st day of March and make such additional contributions to the fund as may be required to secure payment of the benefits under these Regulations. It is thus clear that the Pension Regulations do not provide for allocation ofadditional funds from the profits of the Banks. Hence inadequacy or otherwise of profit cannot be cited as a ground for declining the legitimate demands of Bank Pensioners and Retirees. Various Judicial pronouncements including by Hon’ble
Supreme Court also substantiate our contentions. It is reiterated that the Pension is considered as deferred wages and hence the Bank Pension Scheme being a DEFINED BENEFIT PENSION SCHEME cannot by any stretch of imagination be sought to be distorted by the Managing Committee of IBA.
It is also clarified that the contributions to the Pension Funds are covered under Pension Regulations which are subordinate legislations and hence it is mandatory on the part of Banks to adequately provide for Pension Fund. It is a paradox that the Regulatory Provisions dictated by RBI for Non Performing Assets (NPA) are made by the Banks without any application of mind irrespective of profitability of the Banks. It is submitted that Regulatory Provisions of RBI cannot be treated superior to Legislative Provisions. You are therefore requested to consider the issues relating to Bank Pensioners and Retirees holistically in this perspective.
We once again reiterated that the Pension Regulation 35(1) provides that Basic Pension and additional Pension, wherever  applicable shall be updated. You will appreciate that this provision providing for Pension updation was implemented in true spirit at the time of introduction of Pension Scheme in the Banks by effecting updation in respect of those employees who superannuated between 1.1.1986 and 31.10.1987. The present demand is relating to updation of Basic Pension and hence is to restore the practice of updation.
In view of the foregoing facts we request you to hold talks with us on all the pending issues concerning the Bank Pensioners and Retirees and resolve the same immediately.
Thanking you,
A.Ramesh Babu       K.V.Acharya
            Joint Conveners

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Extension for joining - IBA mediclaim scheme for the retirees for the year 2018-17

One more opportunity is being offered to the following categories of the retirees to join the IBA Mediclaim Retirees scheme.

1. Bank employees who have retired in 2019-16. (Between 1st Oct 2019-30th Sep 2018) and were covered under expiring employee's policy.
2. Retiree's who were covered under expiring retirees policy, but could not renew by remitting the premium in time.

The insurance premium and period will be with the following modalities as below:
1. Retirees would be covered from 16th Dec 2018 to 31st Oct 2018. Retiree has to pay the FULL premium as mentioned below

Premium for joining the scheme is as under

Option I: Normal Renewal on As Is Basis (Without Domiciliary cover)

For Retired Officers (Sum Insured of Rs. 4,00,000)       : Rs. 13,935 Plus Service Tax @15% = Rs. 16,025/-
For Retired Award Staff (Sum Insured of Rs. 3,00,000) :  Rs. 10,452 Plus Service Tax @15% = Rs. 12,020/-

Option II: With Domiciliary Expenses Benefits Option ( 59 diseases as per Employees Policy).

For Retired Officers - Domiciliary Cover of Rs. 40,000 with overall Sum Insured of Rs. 4,00,000.
For Retired Award staff - Domiciliary Cover of Rs. 30,000 with overall Sum Insured of Rs. 3,00,000.
For Retired Officers         : Rs. 17,400 Plus Service Tax @15% = Rs. 20,010/-
For Retired Award Staff   :  Rs. 13,000 Plus Service Tax @15% = Rs. 14,950/-

Dena Bank and Bank of India has already issued circular in this regard.

Awaiting Supreme Court Judgement on 100 per cent DA

Circular by AIBRF on the above subject is reproduced below
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 Ref:2018/127                                              Date:02.12.2018

    The Office Bearers/ Central Committee Members/ State Body Chiefs

    A.I.B.R.F.

    Dear Comrades,

                     Re: AIBRF INTERVENTION APPLICATION IN SUPREME

                       COURT IN THE MATTER OF 100 DEARNESS ALLOWANCE

                    Re: Awaiting Supreme Court judgement.

We request you to refer our last  circular no 2018/93 dated 31.08.2018 issued  on the above subject.

3.We may inform the membership that Supreme Court judgement in the above intervention application of AIBRF and SLP of United Bank is still awaited. More than 3 months have passed since the matter was last argued on 01-08-2018, 02-08-2018 and 23-08-2018 and submission of written by AIBRF on 31.08.2018. In view of the delay of 3 months in delivering the judgement and time being taken is more than expected, members’ anxiety is on increase on passing of each day. We appreciate the anxiety and eagerness of the membership in this important matter.

4. We wish to inform that we are in regular touch with our advocates and are monitoring the matter closely. We have been advised by our advocates  that some time because of work pressure and the complicated issues involved in the case, time taken in delivering the judgement is  longer than expected. In our this case, as you know, many unusual developments liking recalling earlier dismissed SLPs, two contradictory judgments of high courts have taken place. Therefore time being taken for delivering the judgement is more than normal.

5. We request the membership to keep pertinence and pray for favourable decision. We shall advise the date of the judgement as soon announced by Supreme Court Registry and informed to our advocates.       

                                        

                        With Warm Regards,      

                                                                         Yours Sincerely,

                                                     

                                                                   

                                                                       ( S.C.JAIN)

                                                                GENERAL SECRETARY

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