BANK PENSIONER GRIEVANCE OPEN LETTER BY MR. CN VENUGOPALAN FORMER DIRECTOR SBT & EX MAMAGER OF UNION BANK FW ERI BOI
C N Venugopalan (Former Director, State Bank of Travancore and Ex-Manager, Union Bank of India)
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"Nandanam", Kesari Junction, North Paravoor, Kerala -683 513 Phone: 0484 2447994 Mob: 9447747994
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No.151014 (2) 14th October, 2015
Dr. Jitendra Singh,
MOS for Public Grievance and Pension,
Government of India,
4, Kushak Road, New Delhi-110011 / 169 /3 Trikuta Nagar, Jammu. – 180 012
Most Venerable Dr. Jitendra Singh,
It should be a matter of concern to you as the Minister of State for Public grievance and Pension that the retired bank employees are not given pension properly and with up-dation in defiance of the Pension Regulations sanctioned by the Legislature and there had been apparent violations.
It is evidently the denial of the sanctions of the Legislature and defiance to the statutes like Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980 enacted by the Indian Parliament and also defiance of the magnificent Constitution of India. The Directive Principles enshrined in the Constitution are flouted and the oath of office taken by the Ministers gets breached in the process. This is what had been done by the earlier governments and the present government can correct the wrong-doing and mischief easily just by applying the grey matter.
Payment of pension with up-dation in no way affects the working results of Banks as pension is paid out of specific funds available with banks which are abounding in resources. Banks can pay three to four times the present pension to all retirees without any pinch on their profits and without the government having had to make any budgetary allocation for it. It thus becomes a stupendous stupidity of an astounding nature that banks under the aegis of India Banks' Association deny the benefit in total defiance of the Pension Regulations and the other statutes bringing shame to the Legislature of India. The position of pension funds of public sector banks with special reference to Union Bank of India by way of an illustration is as below;
Pension Fund Details of Public Sector banks
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Amount in Rs. Crores
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All Public Sector Banks
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Union Bank of India
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31.03.2014
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31.03.2014
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31.03.2015
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Closing balance
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1,58,782.61
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6,249.75
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7,732.57
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Contributions received during the year
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7,789.27
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1,107.56
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1,366.55
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Income from investments
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11,919.89
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446.57
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576.79
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Actuarial gains
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7,624.79
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Total Accretions during he year
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27,333.95
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1,554.13
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1,943.34
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Pay out of benefits
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9,998.06
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380.68
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451.91
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Percentage of Pay out
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36.57%
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24.49%
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23.25%
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Pension Funds are deferred wages of the employees as they are built up with the EPF contribution which banks were to pay as statutory wages pursuant to EPF Act, 1952 and the money held in trust is mismanaged by banks in the process of denying due pension with updation.
It is my request that you may kindly go through the data and to take up the matter appropriately. I have sent an e-mail today to you, attaching therewith copy of a letter addressed to Hon'ble Minister routed through S/Shri. N K Premachandran, Member of Parliament for your kind information.
You will appreciate to note that denial of sanctioned statutory benefits by banks has no justification and it puts in place bonded labour which a progressive government has to do away with.
I shall be glad to have a line in reply. In case I am wrong on any score, I may kindly be informed.
Yours sincerely,
C N VENUGOPALN.
Regards, E.R.Iyer
