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Wednesday, 22 February 2023

FACTS on Pre-1986 Exgratia Retirees:From early years to NOW: R.B.KISHORE


FACTS on Pre-1986 Exgratia Retirees:From early years to NOW:  R.B.KISHORE

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The following is from CHARTER OF DEMANDS Booklet of AIRIEF,24 pages,prepared by R.B.Kishore, presented  in AIRIEF GC Meeting,Ahmedabad in November, 2012& also discussed with top LIC management, COD: Our Expectations:Health,Happiness & Harmony

 A)1)i)Regarding Pre -1986 Exgratis Retirees,AIRIEF demanded Liberal Medical Assistance(MA) per month on the pattern allowed by RBI, which has been constantly increasing this benefit knowing full well that they are the oldest &much above 84 yrs old,then .Now 92 years old

RBI protected them from 1/6/2001 with small Rs300pm,Rs800 wef 1/7/2002,Rs1000/1200from 1/2/2005 for ClassIII,Rs1200/1500/1800 for Class I
Wef 1/4/08,MA pmRs3400-5600 for Class IV--Grade F/ED
How frequently RBI has done the revision speaks high of RBIs concern for all types of pensioners & exgratia retirees.

UCOBank has allowed Rs5000pm for exgratia retirees as also widows same amount.

ii)LIC must  understand that they have saved a lot by denying to legitimate demands all these years & years & so now must be unhesitatingly magnanimous.
Exgratia retirees is a closed cadre, many deaths have taken place, mortality will snatch away many.LIC should not be miserly.The number has dwindled considerably from 5500-----850

In fact, this small relief to exgratia retirees can be done by LIC top management itself.With such a calamitous decline because of so many deaths & such a small number alive & on records, wisdom should dawn & solution found.Spouses numbers stand at 2650app All India

iii)Medical Assistance(MA) per month(MMA) ,ranging from Rs3000--5000pm,.It can be 

              Upto Assts    :Rs3000pm
               HGA/DOs   :Rs3500pm
               AAO/AO     :Rs4000pm
          ADM/DM/SDM :Rs4500pm
               ZM & Above:Rs5000pm   

By now, these Elders,whom we must respect to the core, have already lost the battle.
It was a pittance of Rs 300+DR they are getting, society looks to with scorn, when nowadays Substaff gets such substantial pension.A Substaff gets Basic pension at maximum grade Rs7207,Commutation Rs2402,so Existing BP Rs4805,DR  Rs 6119, in all Rs10,924  
How much all pensioners spend on Health matters for consultation, medicines, special reports,dental treatment throughout the year, everyone knows.
Pre-1986 retirees, so old, will have plenty of ailments& even immobile.Year after year, there will be exits. The outlay for exgratia retirees will be peanuts to LIC & LIC Outlay will, therefore, come down.We shall pursue the matter with the authorities.

iii)CG/State Govt retirees always got with successive Pay Commissions automatically.

2)Exgratia retirees get Rs300 +DR2779+Rs1000 Cash Medical Benefit ie Rs4079pm

Spouses get BP Rs175 +DR1456 +CMB  Rs500 ieRs2131.Later revision  brought impact of DR extra for Spouse,some relief.

From 21stJuly 2014 after  revision Exgratia retirees get Rs350+DR 2912 +CMB Rs 1000=Rs4262pm

   :  19/8/2014

 B)a)Monthly allowance again enhanced was  to be paid to ExGratia retirees  ,as per  CO Circular, commencing from April 2019, Nobody will bother for such Super Seniors getting pittance of Exgratia amount , all pre -1986 Retirees.When RBI improved  exgratia similar situation 3 times in 6 years, LIC ,in spite of reminders,though it was forcefully brought to their notice that the OUTLAY is measly ,as 75 % have left for heavenly abode,did it only once in 4/5 years !

b) App,  SZ ,Total 24, out of which  20 Family Spouse,marked S   & 4 only Regular exgratia .

Regular as well as  Spouse Allowance is doubled,

for Regular Rs 12,000 Yly,payable Mly is now Rs 24,000 Yly ,ie Mly 2,000/

for Spouse exgratia, Yly 6000,payable Mly is doubled now, ie Rs12,000Yly, Mly Rs 1000/

c)  RESPECTIVE DIVISIONAL LISTS of  EXGRATIA, &then ensured Mly Allowance started flowing to them . Please inform other Divisions through  OS,AIRIEF ,VP,JSy of Zones

U recall late  Sri JMatthan,former Chairman belonged to pre 1986 Exgratia Retirees

d)For your information,ZO,SZ,Chennai Exgratia Retirees ,along with regular pension amount  disbursed Monthly, this Revised Allowance was credited thro NEFT to their respective Bank SB A/c.  Small service, but very essential to respect & honour Super Sr Citizens,now aged 92 & more.

C)As per LIC CO Circular dt 4/2/2020,DR payable wef 1/2/2020 is Rs4031.05 to Exgratia Regular ,with exgratia amount Rs350, & to the Spouses,Rs2015.52, alongwith exgratia Rs 175pm for them. SO, Regular exgratia retirees will get in all, Rs350+DR4031 +MMA 2000ie Rs6381, while a Spouse exgratia will get Rs 175+DR2016 +1000 MMA ,ie Rs 3191,pointed out by Sri K.Sreekumar,KZE.

D)Small DR after June CPI rise is released, they may get. Bank retirees also expect upward increase for this neglected  class of Exgratia, as they did not fall under the ambit of Pension scheme.

E) SZ has  only 21 Exgratia  Regular & 195 exgratia Spouse as at latest 30/6/2020 figures.

KZE has 0+13,EKLM 1+23,TDM 0+22, CBE 0+21,ZO 2+20, Chennai 1 , 5+high 51, others negligible

Other Zones also must get the data flow methodically to help hasten correct presentation to Top Mgt to resolve grievances.

All India, it is likely to be only 150 exgratia Regular & Spouse 1500app.   

F)We need not be desperate to compare with  such fate to befall on us, for Family Pension, though low,after dinning & dinning, accepted as 30 % of Basic Pay ,which will be a morale booster for this neglected weaker section,unfortunately.

Bankers are celebrating  that FM cleared for them FP 30 % of BP without Ceiling.,better than RBI. Normally the index for salary, pension etc Ranking is RBI, LIC & then Bankers,No doubt,Babus of GOI will surpass everybody.

R.B.KISHORE

 

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    SUPPLEMENT : AIBEA Letter to Hon FM ,Mrs Nirmala Seetharaman 31/7/2020

                                                   Present position: In 2013, Government advised that these pre-1986 surviving retirees may be paidRs. 350 pm + DA and the surviving spouse of such retirees may be paidRs. 175 pm + DA. This continues now also.As of now, only the 11Public Sectors Banksare coveredby this scheme. State Bank of India is not covered since they have their own separate pension scheme much earlier.

                              There are less than 2500 Pre-1986 Retirees in the entire banking industry who are covered by this Ex-Gratia payment. Similarly, there are less than 2500 surviving spouseof such pre-1986 retirees. The total expenditure/pay-outinvolved atpresent for all the 11Banksput together is only around Rs. 1.75crores per month or about Rs. 20 crores per year.It is less thanRs. 2 crores per year per Bank.

                              These retirees, having retired from the Bank prior to 1986, are very aged and are today in the age group of minimum of94years and above and they have been representing that the Ex-Gratia amount may be revised and enhanced to some extentin view of the present cost of living, inflation, medical expenses, etc.We shall thank you to kindly consider this genuine representation of these very senior citizens favourably.

2)  Grant of Ex-gratia to the living pre-January 01, 1986 retirees of the A Scheme for payment of ex-gratia relief to the living pre-January 01, 1986 retirees of the Bank was introduced vide A.C.No.5 dated November 27, 1998. The amount of ex-gratia relief is Rs.300/- p.m. irrespective of the post held by the ex-employee at the time of his / her retirement. In addition to the ex-gratia relief, Dearness Relief is payable thereon at the rate determined by the Bank from time to time. Dearness Relief is adjusted twice in a year i.e. in the month of February and August. The recipients of ex-gratia are not required to refund any part of the Contributory Provident Fund amount received by them at the time of their retirement from the Bank’s service. The scheme was made effective from November 1, 1997 to the said retirees of the Bank and was not admissible to those who resigned, dismissed from the Bank’s service or were on contract basis.

 Medical Assistance to Pre-January 01, 1986 retirees /their family members

A Scheme of Payment of Medical Assistance on monthly basis to all beneficiaries of Ex-Gratia / Family Ex-Gratia relief was introduced from the month of June 2001. The amount of Rs.300/- was granted as medical assistance to all the recipients of ex.gratia payment. (i.e. ex. employees as well as family members). This amount was revised to Rs.800/- p.m. from July 1, 2002. The rate of medical assistance was further revised considering the class/grade of the ex. employees as under from the date mentioned therein-

 

Class/Grade of ex.employee

February 1, 2005 (Rs)

March 10, 2006(RS)

April 1, 2008

(Rs)

Class IV

1000

1700

3400

Class III

1000

1900

3800

Grade A,B,C

1200

2200

4400

Grade D,E

1500

2500

5000

Grade F & ED

1800

2800

5600

 The gross amount is paid to the pre-1986 ex.employees/their families is worked out as under:-

In August 1992 when first monthly payment was made to family

Ex,gratia                     150.00

+DR @91.79%      138.00   Total                            Rs. 288.00

 In 1997 when first monthly payment was made to ex.employee

Ex,gratia                     300.00

+DR @190.95%    573.00   Total                            Rs. 873.00

 As on date the total amount works out as under:-

Class/Grade of ex.employee

Basic ex.gratia

DR thereon

@832/14%

Medical Assistance(Rs)

Total

(Rs)

Class IV

300

2497

3400

6197

Class III

300

2497

3800

6597

Grade A,B,C

300

2497

4400

7197

Grade D,E

300

2497

5000

7797

Grade F & ED

300

2497

5600

8397

 

Class/Grade of Families of ex.employee

Basic ex.gratia

DR thereon

@832/14%

Medical Assistance

(Rs)

Total

 

(Rs)

Class IV

150

1249

3400

4799

Class III

150

1249

3800

5199

Grade A,B,C

150

1249

4400

5799

Grade D,E

150

1249

5000

6399

Grade F & ED

150

1249

5600

6999

 You may please note that there is no increase in basic ex-gratia since its introduction from August 1992 and Nov. 1997 to family members and retirees respectively. Similarly, there is no increase in Medical Assistance since  April 2008.

 Ex-gratia to Retirees of GOI

The ex gratia to pre 1986 retirees in GOI has been last enhanced from June 2013. Plus concept of 50% DR merge is in vogue in their case alone. Besides, they have protection under constitution for their medical treatment.

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A

RB Kishore,
PATRON,AIRIEF,
ED(Retd),LIC
Life Member,Probus Club
044-2815 5810 & 098 4034 0591.
.

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