Tuesday, May 26, 2015

Make soup, by cutting the tail of dog, and give it to dog itself!

 IBA/UFBU’s New suggestion for avoiding reduction in Pension!
 Following is the provision added in 10th B.P.S. document:

“Employees in service of the Banks as on 1st November 2012 and who have
Retired thereafter but before 25th May 2015 and who had opted for
Commutation of pension will have an option not to claim incremental
Commutation on revised basic pension.”

What is the effect?

* When we expect a +plus in our pension, settlement gives us -negative pension
*To make the difference 0 instead of -negative, unions suggest that
  Employee should loose Rs.350217 (Commutation arrears for sample case) and make the difference 0.
* i.e Bank will not give even extra Rs.1, but we have to make it correct with our own money
* to save a pension of Rs.2298 p.m loose Rs.350217. i.e for 152 months (12.66 Years) value
    ( If interest factor is taken into account it will be much longer )

* Unions have no suggestion for how to make -negative to +positive
*After all these corrections a retired comrade gets Rs.677 extra in pension
  (on November 2015) which is 3.36%
This will be the position of comrades who are going to retire hereafter also.
(Their pension amount will not be –negative, but they will be paid lesser amount at the time of disbursement itself. That will be the difference)
* For this only Negotiations take 30 months?
* My greetings to that intelligent comrade who suggested this solution!
* I know junior employees will find it hard to understand this article, but the seniors will    definitely understand the seriousness of the subject.



Pramod Jain said...

Special allowance is with DA ,So it should be included in pension benefits, It is a always a practice.
Then why uninon agreed for exclude it for superannuation
Benifits,We should fight for this, because, sooner or later every employee will be a pensioner & will get less pensionj

kamal basha said...

Dear Com.Kumar, at least at this stage UFBU should have suggested that pensioners shall be allowed to draw pension as per 10th BPS and an adjustment allowance shall be paid to compensate the loss (such that IX BPS pension = X BPS pension + adj.allow) till such time the negative factor is nullified. Let them come forward and correct this anomaly.

Anonymous said...

Dear Comrade,
Our negotiating committee does not possess any body capable of analyzing what is presented to them. In fact they have as usual signed on the dotted line. If we use the word 'fools' it may not evoke any response as they are beyond that. IBA has done a great job to the GOVT. Each one is to be elevated for their excellent work. But, taking in to consideration UFBU foolishness, IBA may have offered to the bankers something as they are serving for years and have shown appreciable performance with at most integrity.

Anonymous said...

You asked for horse. They gave the donkey. But now Insurance sector in settlement preparing to ask for tiger. They will give LION. Because their leaders are Lion.

Anonymous said...

Hallo Kumarji. Either you be in union side or employees side. No use of preaching philosophy like Lord Krishna that I will be with union when war is between IBA and union......... Finally IBA had won in settlement and with support of unions slaughtered retirees current and past retirees. When the supreme court pronounced that pension is not charity or exgratia but deffered wages but unions failed to argue this concept and wholeheartedly accepted the IBA argument that settlement is for serving employees only. Workers unity zindabad unions zindabad. Thei levy also zindabad we are not here what IBA content our demand but are here how advocate I.e unions. Levy ma kush raho.

Anonymous said...

But if u calculate the effect on pension as of May,2015, the same is positive by Rd 800 even after claiming arrears of commutation. I think people should be advised to claim arrears of commutation as the same is tax free. The amount can be kept in bank deposit earning 10% and can be withdrawn whenever needed unlike surrendering the same.
Shall b thankful for your considered advise.

Anonymous said...

It seems that I.B.A is not inteterested to give commutation and gratuity due to increase of Basic Pay so that they have introduced special allowance with D.A but not eligible for super annuation benefits leading to reduction of pension.UFBU might have demanded to atleastto add the special allowance for calculation of pension not for commutation so that the pension is not reduced to the retired employees

Venkatraman S said...

If the interest earned on commutation arrears is added to the revised pension,the negative factor will not arise.It is suggeatable to claim incremental arrears of commutation.Further there is no tax on commutation arrears

Anonymous said...

What are the facilities given to visually handicapped regarding leave