Pension Revision on OROP basis and related issues of Pensioners of LIC.

 NATIONAL ORGANISATION OF INSURANCE PENSIONERS

Regn No.PN 4769 (Regd under Indian T U Act, 1926)

(Affiliated to Bharateeya Mazdoor Sangh)

BMS Office, Vishwakarma Bhavan, 185, Shaniwar Peth, Pune 411030. Tel.: 020-24454040

 President: T.C. Guneshkumar Working President: Vilas V. Purkar General Secretary: Ashok J. Joshi

 Mob No: 9880683639 Mob No: 9922166599 Mob No: 9561084182 & 9945104570 

Date: 24-09-2022

Smt.Nirmala Sitharaman ji,

Honourable Minister for Finance,

Govt of India, North Block,

New Delhi

Respected Madam,

Sub: Pension Revision on OROP basis and related issues of Pensioners of LIC.

This has reference to our earlier letters dtd.15-6-2019, 02-01-2020, 19-07-2020, 7-10-2020, 17-4-2021, 

08-06-2021, 1-10-2021, 20-10-2021 & 23-11-2021 regarding the captioned subject. We are sorry to note 

that there is no response from your Ministry. Since the said matters are pending for satisfactory 

resolution for decades, we request your personal intervention in the matter. We iterate the issues here 

below in short for your ready reference.

1) Pension Revision and Pension related issues

A) Revision of pension with every wage revision of in-service employees- Pension has not 

been revised right from 1-8-1987 creating a huge difference in the gross pension of 

those retired soon after 1987 and those retiring now. Hence there is a dire need to 

revise the pension on OROP (One Rank One Pension) basis.

B) Revision of Family Pension- Same is the predicament of family pensioners. Request for 

revising the family pension at 30% of the last pay drawn by the retiring employee, 

without any ceiling.

C) Computation of Basic pension- To obviate the faulty and anomalous method of 

computing the pension, we request for the amendment “50% of last 10 months’ average 

pay or 50% of latest revised pay at the time of retirement, whichever is favourable to 

the retiring employee.

D) Enhanced pension to super senior pensioners- Increased pension of 20%,…..100% to 

those who are 80 years and above.

E) OMOP (One More Pension Option)- Less than 100 PF Optees (Direct recruit 

Superintending Engineers and ex-servicemen, appointed in 1995-1997) have been

denied one more option of pension in 2019. We request for approval to offer pension 

option to these hapless retirees, too.

(F) Full pension for service of 20 years or more- Full pension to be given to all those who

complete the service of 20 years or more, analogous to RBI pensioners.

(G) OMOP (One More Pension Option) to those retirees of less than 55 years of age- Due

to a funny provision in LIC of India (Staff Regulations) 1960, a very few retirees were not

given OMOP option though they had completed 20-36 years of service, simply because

they took voluntary retirement before the completion of 55 years of age. When LIC

Employees’ Pension Rules provide pension to all those who complete 20 years’ service,

equitability demands that these left-over retirees deserve a fair treatment and they

also, may please be offered OMOP.

(H) Increased Family pension in case pensioner dies before 67 age- In the event of an

unfortunate death of an employee or pensioner before the age of 65 yrs, the relevant

rule should be amended as “Double the normal family pension or 50% of the last pay

drawn, whichever is less, payable for 7 years or till the employee or pensioner would

have attained the age of 67 instead of 65 years”. This age limit was fixed when the

retirement age was 58 years. Hence it requires to be increased to age 67 years

immediately. Your intervention in the matter is requested.

We reliably learn that B, C, D & E above have already been recommended to you 3 years

back for your kind approval.

Hence, we implore upon you to give your accord to all the above pending issues at A to H,

since all of them are inter related to pension anomalies; so that further anomalies should

not crop up. If all the eight issues are approved as a package and accordingly if LIC Pension

Rules are amended to that effect, the LIC pensioners would remember you forever for your

said kind gesture.

 With thanks and regards,

Yours Sincerely,

General Secretary