*Brief History of Bipartite Settlements and Pension:*
Dear Retirees friends,
In 7th BPS for the period 01.11.1997 to 31.10.2002,
(a) the DA upto 1664 points was merged with the Basic Pay
(b) But for the purpose of payment of pension, merger upto 1616 point was
considered,which resulted in lower basic for the purpose of pension calculation.
The pension of the employees retired from 01.11.1997 till the date of settlement
(11.03.1999) was reduced from 50% to 41% due to above illegal settlement.
All the employees who retired during 01.11.1997 till the date of settlement
were paid the revised pension from the date of settlement. ie year 2000
They were denied the arrears of revised pension. They were forced to give
undertaking that revised pension will be paid if they agree not to claim the
arrears of pension and revised commutation.
(This issue has been rectified now due to Court Judgement. Pension revised and arrears paid )
The 8th BPS for the period 01.11.2002 to 31.10.2007
was signed in 02.06.2005.
The employees retired during 01.11. 2002 til the date of signing of
settlement ( i.e. upto July 2005) were denied the arrears of pension and
commutation as happened in 7th BPS.
7th 8th & 9th BPS:
UFBU agreed to share the incremental cost of pension since
7th BPS total 16.5% ( 8.25% from employees + 8.25% from Management)
8th BPS Total 18.5% ( 9.25% from employees + 9.25% from Management )
9th BPS Total 26% ( 13% from employees + 13% From Management )
Do you know that this incremental cost was recovered from BPS load.
Same amount from Management has not been deposited in Pension fund.
Some Bank managements stopped depositing 10% of basic pay
each month in the pension fund as per pension regulation.
manipulating the Actuarial valuation report and accordingly depositing there
share (lower amount) on quarterly/ half yearly/ yearly basis.
It is the responsibility of the Unions to ensure that the incremental cost of
pension, so agreed, has been deposited in the pension fund.
The Banks are not depositing 10% statutory contribution every month as on 31.03.2010 as per annual report from the website.
In fact Bank withdrew Rs 57 cr from pension fund to boost the profit to 3058 crore in March 2010.
The bank has deposited employer contribution to pension
Rs 472 crore during 2008-09
Rs 365 crore during 2007-08
Rs NIL during 2009-10
How the employer contribution can be Nil during 2009-10.?
The list of PSB not deposited the statutory share in pension fund is very long which includes SBI + Groups and PSB, United Bank, UCO Bank, Central Bank Union Bank. etc.................
It is diversion / loot of employees retirement funds to boost the profits.
RBI allow amortization of pension cost/fund to boost the banks profit and used 19611.57 coroe from the banks pension fund and returned in 5 Installments.
Why the banks have not deposited this 19611.57 cr in one installment.
Is it not a loss to the pension fund?
The interest loss to the Pension Funds for retirees due to the amortisation of Pension cost of banks over 5 years in the IXth BPS, high loss of interest to pension fund.
10th settlement signed with IBA, UFBU has agreed that DA upto 4440 index
point i.e.60.15% will be merged and Basic plus 60.15% plus 2% amouting Rs
597 cr will be used to construct the scale, meaning thereby 102% of Basic + 60.15% DA will be new basic.
The remaining 13% they utilized as grade pay / spl.pay.
The grade pay /spl.pay ie near about 13% not counted for Pension.
Great loss of 13% to pensioners who retired on are after 01.11.2012.
Dear Friends as you know that neither the bank Managements represented by the IBA nor the unions represented by UFBU have been serious to resolve our burning issues despite our hue and cry through various forums.
In fact, they both have gone to the extent of saying that – we the retires cease to have any relationship with the employers and have no contractual obligations whatsoever and refused to have any dialogue with the organisations representing us for the redress of our legitimate grievances stated supra, vide their “Record Note” dated 25th May, 2015, which reminds us of the historical “Magnacarta” signed by themselves , to leave our fates to destiny forever.
All above are facts based on past experience, so be careful and watchful.
We think and feel that we are required to give a BIG BIG serious thought .
All above are for your information and knowledge.