NOIP Circular No 35

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. 

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

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

Date: 22-11-2023

Cir No 35/2023

To all the members

Re: Positive developments in the banking industry regarding pending pension related issues

You are aware that the pension related issues of ours, pending at DFS/LIC are identical to the similar issues of bank pensioners. The staff rules and pension rules of both LIC & Banks, are almost identical.

Some swift developments (positive) in the banking sector have taken place during the past 4 months. I have been explaining these in the meetings wherever I have attended. But majority of the units are not updated in this matter. Hence, I thought it fit to bring it to the knowledge of our members, through this communique. We are optimistic about the positive outcome of our issues. Certainly, there is a light at the end of the tunnel. Please note the following bullet points carefully.

➢ Second updation of pension for RBI pensioners was given effect from 12-06-2023 as on wage revision date 01-11-2017 (means updation given up to 31-10-2022). Notable feature is that,even family pensioners got the updation with 10% weightage. (they were left out at the time of first updation in 2019, given as on wage revision due 01-11-2012).

➢ On similar lines NABARD pensioners got pension/family pension updation in July 2023, getting 2 cycle updations at once- The effective date for Pension Revision for Pre-01.11.2012 Pensioners will be 01 March 2019. The effective date for Pension Revision for Pensioners who retired between 01.11.2012 and 31 .10.2017 will be 12 June 2023. That means they got arrears from 1-3-2019 till date, for first updation as on 1-11-2012. 

➢ The employees’ union in SBI had moved the Delhi H C demanding 1) uniform pension of 50% to all(they were getting 40% & 50% depending on the basic pay) 2) updation of pension with every wage revision, 3) Uniform rate of family pension & 4) 100% DR (Dearness Relief) neutralisation to pre 11/2002 retirees. The case had reached the crucial stage and the H C directed the DFS to file its report. Finance Minister vide letter dtd.14-06-2023 formed a high-powered committee headed by 

Addl Secretary, DFS (Dept of Financial services), consisting 3 Joint Secretaries, Representatives from IBA & SBI. Petitioner union was also permitted by the H C to attend the committee’s meeting and submit its demand. The committee was mandated to give its report on or before 21-7-2023. It was also mandated to throw light on the industry wide ramification in the PSU banking sector. The committee recommended uniform 50% pension to all and accordingly Delhi H C delivered the verdict. IBA’s request to delink the issues 2 and 4 above, was acceded to by the committee.

➢ FM gave a deadline to IBA to conclude the current wage revision as on 1-11-2022 before 30-11-2023.

Accordingly, IBA sprang into action and within 3-4 sittings signed the minutes granting- 1) 100% DR to pre 11/2002 retirees from October 2023 (In LIC, retirees prior to 8/1997 are getting truncated DR and NOIP discussed this issue with MD, LIC on 2-11-2023), 2) One more pension option to resignees. 

(This is taken up by NOIP since 2010 with LIC/DFS. The VRS optees less than 55 years of age are treated as resignees and denied OMOP in 2019. We again discussed this issue with MD, LIC on 2-11-2023) and 3) Offered 16% rise in wages with 2.5% weightage in basic pay. Regarding pension updation, IBA explained the cost implications of the same and indicated that they are trying to workout some possible solution to improve the pension of all past retirees post 1-1-1986 till 31-10-2022.

It is said that RBI pattern of updation with 10% weightage may not be offered, it may be lesser thanthis. In all probability wage agreement is likely to be signed before 30-11-2023 by IBA which mayinclude updation of pension with a tinkered formula. This would be the biggest break throughregarding pension updation.

➢ These positive trends would reflect on LIC too and we expect the wage revision in LIC due on 1-8-2022, to come through early. NOIP has been consistently pursuing pension updation with LIC/DFS,and along with wage revision itself, pension updation to be clubbed, as opined by the Addl Secretary,DFS, when our delegation met him in November 2021. MD, LIC was positive on this during ourmeeting on 2-11-2023, saying, let us wait for the happening in Banks first.

All these positive developments in the banking sector, indicate the unfolding of the long pendingpension issues, plaguing the entire financial sector. In LIC, we get the newer benefits, only after they aregranted to banking sector, as is the experience in the past.

We assure you that NOIP will not leave any stone unturned, to get proper resolution to all our pending

pension related issues.

NOIP/BMS LONG LIVE.

With greetings,

 General Secretary

NOIP Circular No 34

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. 

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

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

Date: 10-11-2023

Shri. Sat Pal Bhanoo ji,

Managing Director,

L I C of India, Central Office,

Yogakshema, MUMBAI

Dear Sir,

Re: OMOP (One more pension option) to those, whose VRS was treated as resignation

You may please recall our meeting with you on 02-11-2023. We thank you profusely for having listened 

with patience, all our submissions regarding the pending issues of pensioners. 

One of the long pending issues was also discussed- regarding granting of one more pension option to 

those who took VRS, but due to the outdated, inequitable rule 19 of (Staff) Rules, 1960, their VRS was 

treated technically, as resignation and they were not offered OMOP in 2019. Most of these retirees have 

even put in more than 30 years of service at the time of retirement on resignation. It is paradoxical to 

note that employees’ pension rules provide pension for a minimum service of 20 years, whereas these 

hapless, less fortunate resignees, who have put in more than 20 years of service, have been denied the 

OMOP. Majority of them are ladies who took VRS due to family commitments or health issues. They 

have not gone to green pasture.

In the wage negotiations held by IBA on 9-11-2023, Minutes were signed between IBA and UFBU, 

agreeing to offer OMOP to their resigned employees.

As such, we once again implore upon you to offer OMOP to these retirees who had resigned for family 

needs and on health issues. Their number is very less and would not entail much burden financially, on 

the Corporation. 

Hoping for a positive response,

With thanks and regards,

Yours Sincerely, 

 General Secretary

 

NOIP Circular No 33

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.

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

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

Date: 02-11-2023

Cir No 33/2023

To all the members

Re: Visit to CO and meeting with MDs

The NOIP delegation led by the undersigned and accompanied by S/Shri. Phadke, VP, Mapara, Org Secr,

Hadas, Asst Treasurer & Edlabadkar, Spl Invitee to the Secretariat visited Central Office and met the top

officials.

1) The team met Shri. M. Jagannath ji, MD and greeted him with a bouquet on his elevation as MD.

He was so humble to say that he does not feel it proper to be honoured by seniors like us and

thanked the undersigned for all the support/guidance rendered when he reported at Dharwad

as a direct recruit officer. He wholeheartedly assured that he would give his helping hand in

serving the cause of pensioners.

2) Then we met Shri. R. Doraiswamy ji, MD and greeted him with a bouquet on his elevation as

MD. We gave a letter requesting grant of GIS (Group Insurance Scheme) to all the pensioners

who are less than age 75, irrespective of date of retirement. We also told that our Vice President

Shri.U.C.Mohanty had met the Chairperson at Bhubaneshwar for the same issue and got the

assurance of reviewing the matter by the latter. Shri. Doraiswamy was considerate and assured

to look into the matter after our emphasizing the fact that the entire premium is borne by the

members of the scheme.

3) Then we moved to the chamber of Smt. Manju Bagga, ED (P&GS), honoured her with a bouquet

on her elevation as ED. We gave the copy of letter addressed to MD, Shri. R.Doraiswamy

regarding GIS to all and narrated our discussion held with the latter. And requested her to put

up the matter with positive note without taking the alibi that the average premium may go up, if

all retirees are offered the cover.

4) Lastly, we went to the chamber of MD, Shri. Sat Pal Bhanoo ji at the appointed time of 2 PM. We

greeted him with the bouquet on his elevation as MD and sat for discussing the issues.

• OMOP to the left-over Ex-Servicemen and directly recruited superintending engineers- We

quoted NOIP’s Bhubaneshwar unit’s meeting with the Chairperson at Bhubaneshwar where

this issue was raised. We requested the MD to re-refer to the DFS so that we can follow up

at DFS.

• OROP with every wage revision- We referred to the conciliation proceedings signed by

NOIP Bhubaneshwar unit with LIC in the presence of Dy Central Labour Commissioner,

Bhubaneshwar and enquired whether LIC has forwarded our charter of demands to DFS,

and if not, requested the MD to send the same to DFS. We also referred to the developments in the banking sector indicating that IBA is inclined to discuss with UFBU

(United Forum of Bank Unions) the issue of updation of pension, in view of high-level

committee formed by the finance minister. On our pointed query whether LIC has referred

updation issue to DFS, he said no, but quipped to say that let LIC wait for what happens in

banking sector, so that LIC also can take steps in this regard.

• Increased pension to 80+ pensioners, double the family pension up to 67 age, 50% of last

pay as pension- We said, presumably all these issues are referred to DFS by LIC and

requested for follow up by LIC. Regarding 50% of last pay as pension, we discussed in detail

about this anomaly and he noted the same. He did not negate any of these demands and

was positive.

• Full pension for 20 years’ service- We discussed in detail how this is affecting those

recruited as Dev Officers/SC/ST/OBC employees at higher age, ex-servicemen, directly

recruited SEs etc, who cannot complete 33 years of service and getting proportionately very

less pension. The benefit of full pension for 20 years’ service, has been given to RBI

pensioners in 2013 itself taking cue from the Central Pay Commission. We insisted the MD

to refer this to DFS, if not referred already. He did not commit anything but did not deny

too.

• One more pension option to those who have resigned- He was against giving any benefits

to the resigned employees saying, they could have supported the LIC by continuing. When

we pointed out that IBA in their latest round of wage revision talks, have agreed to consider

a similar demand by bank unions, he did not agree to commit anything on this issue.

However, we continue to follow up this issue. Regarding our demand of one more

Mediclaim option to VRS optees, he emphatically said no.

• 100% DR neutralization to pre 8/1997 retirees- We submitted the chart prepared by Shri. C

T Joshi ji, showing a huge loss of more than Rs.15000 per month at ED level who are almost

85+ now. We pointed out that IBA already signed the agreement with UFBU for those who

retired prior to 11/2002, despite many court cases pending. Even the DR arrears were paid

by all the Banks with October pension. We requested the MD to follow the suit in LIC in

respect of pre 8/97 retirees, without taking the alibi of the matter being sub-judice. Though

he was convinced about the issue, he did not commit anything.

• GIS (Group Insurance Scheme) to all- We insisted to grant GIS to all those less than 75

years of age irrespective of date of retirement, since the entire premium is borne by the

pensioner. Chairperson in Bhubaneshwar has indicated to our delegation about the review

of the same. MD has noted our demand.

• ADOs’ training period- We insisted to count ADO’s period of development officers for the

calculation of gratuity and pension, saying that for the direct recruit AAOs of batch Nos 6 to

14, apprentice period of AAOs was considered for gratuity. And also in one case of a

different establishment, the Karnataka H C has given a verdict, saying, if an apprentice is

absorbed in regular service, without break in service after the apprentice period is over; ,

apprentice period is to be counted for all terminal benefits. MD was, however non￾committal. We have to further follow up and take recourse to other remedies.

Cut off dates while giving benefits to retirees- We fight for the benefits to retirees and in

some cases LIC granted the benefits, but from prospective date or with a cutoff date; thus,

denying the benefit to the existing retirees, for whom we fought. This is the travesty of

justice. We also gave him the copy of our earlier letter dtd 19-02-2023 written to the

Chairperson and requested to note this sensitive matter in granting any future benefits to

the retirees.

• Disciplinary Matters- We expressed our concern regarding the increasing number of cases

of disciplinary actions after retirement. We quoted some cases where the chargesheet was

issued on the date of retirement. We requested the MD to avoid issue of chargesheet on the

last day of service since the retiree gets depressed. Another case we quoted where

chargesheet was issued after 4 years of the cause of action in violation of Pension Rule 48(1)

last proviso. He assured that this point would be kept in mind. We also requested a lenient

view in respect of disciplinary actions. He concurred and said that they try to keep the

punishment to the minimum, except in cases of intentional frauds of serious nature.

• Pension credit on due date- This was discussed in all details and we repeated our demand

of crediting the pension on the day salary is credited to the in-service employees or on bank

pattern. He assured that all the efforts would be made to credit the pension on the first date

of next month irrespective it being a holiday/Saturday/Sunday.

Shri. Bhanoo ji, MD, throughout the half an hour discussion, gave a patient listening in a cordial

and congenial atmosphere, keeping us feel comfortable all through. He candidly admitted that

LIC has grown because of the hard work done by the retirees. He requested/wished us to

maintain a good health in the service of pensioners, saying he too would join the fraternity in a

near future.

We assure that, we would continuously follow up the pending issues till a logical conclusion is

reached.

With greetings,

General Secretary