MASS CASUAL LEAVE ON 19TH
NOVEMBER 2015
(Reproduced
below is the text of a circular issued by Shri C M Paulsil, Gen. Secretary, All
India Reserve Bank Officers' Association, on 19 November 2015 on the success of
Mass Casual Leave Programme.)
“On the call of the
United Forum of Reserve Bank Officers and Employees (UFRBOE) on the issues of
'Save RBI – Save Nation' and pension related issues of Updation of Pension and Opening
of Pension Option, the entirety of RBI, serving and retired employees enthusiastically
and with fervour participated in all the programmes in the last six weeks,
culminating into a Mass Casual Leave on 19th November, 2015, in the present
phase of the struggle.
With a high level of
morale and motivation, and with the determination to make the Mass Casual Leave
a grand success, so as to clinch our issues, in all centres, all the
constituents ensured the success by total p a r t i c i p a t i o n , a c t i v
e mobilisation and vigilance. On the impact of the Mass Casual Leave on the RTGS
operations, money market functions for 4 hours, the top m a n a g e m e n t representatives
CGM-in-C and CGM of HRMD came and personally met the leaders of the UFRBOE,
while they were in the thick of the struggle, conveying that the holding up of
the RTGS operations for such a considerable
time, had a very serious impact on the financial system and expressed the
desire to have a dialogue to resolve issues. The representatives of the UFRBOE
conveyed to the Bank that since the Bank had shown their readiness despite the
late hour, the representatives wanted a time-frame on resolution of issues,
like Opening of Pension Option by the end of December 2015, or else the UFRBOE
would have no other option but to further intensify the struggle. On the issue
of Updation of Pension, the representatives desired that till the issue is
resolved, the pensioners should be given adequate and substantial financial
interim relief. T h e B a n k m a n a g e m e n t expressed their sincere
desire to resolve these issues without any further loss of time and a l s o e x
p r e s s e d t h e Governor's keenness and sensitivity in resolving the issues.
The role of the press
in highlighting our issues, was a welcome change during this struggle, it also
aroused serious concern of the role of the RBI and the attempts to emasculate
it through the proposals of the Indian Financial Code, which is a singular
achievement of the this phase of the struggle. Our joint and united struggle
will ensure our collective success, dear friends. We must save the Bank, a patriotic
task and we must achieve our long standing and legitimate pension related
demands of Updation and Opening of Option and we must be prepared for a long drawn
struggle, if need be.”
YOU ARE BEAUTIFUL PEOPLE!!
We had given a call to
our retirees to participate in gate meeting at NCOB on 18th November 2015 in
preparation of Mass Casual Leave on 19th November 2015. It was a massive
response by the rank and file of the Forum. The forum leaders and the entire
cadre of 4 constituents of the forum all over India galvanized RBI community to
fight against the tyranny of GOI, to fight against their evil designs to clip
wings of RBI and to fight against grave injustice done to RBI retirees in the
matter of pension.
19th November 2015 proved
to be a historic day as RBI community across the board has proved its mettle at
all centres. Mass Casual Leave Programme was cent per cent successful!
It was way back in
February 2002, the Forum came into being at Kolkata meeting of the four representative
bodies in the Bank. Sensing the downsizing agenda of the Bank, or so called
deadly programme in the name of 'Lean and Trim Bank', much before formation day
of the Forum, all decks were cleared to protect the great edifice of RBI. The
undersigned, as GS of AIRBOA, had privilege to play his due role in the
formation of the Forum. Now our community deserves to be called 'BEAUTIFUL
PEOPLE'. Beautiful people to protect the Central Bank of the nation and senior
citizens. Their name would be written in golden letters in the history of Trade
Union movement for your noble struggle.
Our veteran leaders may
like to seek the help of Members of the Parliament to resolve our issues. We
assure all help from our side
and give our best
wishes for this great struggle.
- L R Parab, GS, RBREA,
Mumbai
RBI AND RELEVANCE OF
SEVENTH PAY COMMISSION REPORT
Recently the Seventh
Pay Commission has submitted its report. It would be worthwhile to consider its
impact on officers and employees of Reserve Bank of India since the Seventh Pay
Commission has enunciated certain guidelines based on wellestablished norms to
meet the key expectation of employees at
all levels as regards
their pay, pension and improvement in other facilities. In this regard, one of
the major unanimous recommendations of the Seventh Pay Commission was the issue
of parity in pensions between the present and future retirees from the
viewpoint of inter-temporal equity and Commission examined it deeply. The
Commission noted that a significant change in the paradigm for treatment of
pensioners, past and future, emerged from the judicial pronouncement in “D.S.
Nakara vs Union of India in 1982” (AIR 1983SC 130), based on which, for the
first time, improvements in pensionary benefits were extended to pensioners who
had retired prior to the date from which improvements became effective. After examining
various legal pronouncements by the Apex Court, the Commission came to the
conclusion that classification between the pensioners should be founded on a
rational basis while distinguishing one class from other and the same should not
be discriminatory or violative of Article 14 of the Constitution. The
Commission made a sharp distinction between the retirees under Pension Scheme
and PF Scheme and held that under the Pension Scheme, the government's
obligation does not begin until the employee retires but it begins on his/her
retirement and then continues till the death of the employee whereas, on the retirement
of an employee, government's legal obligation ends under the PF Scheme while it
begins under the Pension Scheme. The rules governing the PF and its
contribution are entirely different from the rules governing pension. As the
pre-2006 retirees were placed at a disadvantageous position as compared to not
only the post-2006 retirees of the same post but even of lower posts due to
bunching of number of prerevised pay scales into a particular pay band, the
Commission has evolved a methodology for complete parity between the present
and future retirees. It has given following options to the past retirees:
Ø
Either
to opt for revised pension by Multiplying the existing basic pension by a
factor of 2.57 (Option 1); OR
Ø By giving an option to retirees to opt for
fixation of their pension on the basis of the pay drawn in the revised pay
scale (pay to be fixed on stage to stage basis having regard to no. Of increments
earned by him while in service @3% p.a.) (Option 2).
Since the computation
of pension on the basis of OPTION 2 was likely to take some time, The
Commission has recommended that as an interim measure payment to retirees may
be made as per OPTION 1 and the difference, if any, in computation of pension
as per OPTION 1 or OPTION 2 whichever is beneficial may be paid subsequently.
The pay scales have
been evolved on the basis of anticipated increase of DA of 6% aggregating to
125% as on January 1, 2016 and absorbing the entire DA in the basic pay.
This grant of OPTION 1
and 2 is of immeasurable value to the retirees. The Commission has provided an
example of an official who retired at the level of Under Secretary at basic pay
of Rs.4,000 on 31 January, 1989 under the IV CPC (Central Pay Commission)
regime, having drawn 9 increments in the pay scale of Rs.
3000-100-3500-125-4500. His pension which was fixed at 1940 in 1989 was revised
upwardly to 12543 w.e.f. January 1, 2006 as per Sixth Pay Commission. Now as
per OPTION 1, using a multiplier of 2.57, his pension would stand at Rs. 32,236
but as per OPTION 2, his pay first would be fixed at the minimum of the revised
scale of the Under Secretary Rs. 67700-208700 and his pay fixed on stage to
stage basis at Rs. 88,400 making him eligible for pension @50% of the basic pay
at Rs. 88,400 i.e. Rs. 44,200. He would be eligible to draw pension of Rs.
44,200 under OPTION 2.
Keeping the above
recommendations of the Seventh Pay Commission in mind "In order to give
complete parity between the present and future retirees as enunciated by Apex
Court, the Seventh Pay Commission has evolved a methodology which may be
extended to all retirees of RBI who had retired long back in 90s.Therefore, RBI
may devise a strategy for pension updation
on the lines of what
has been recommended by Seventh Pay Commission i.e. all past retirees to be
fixed at the minimum of the revised pay scale of the post last held by them and
then by adding the number of increments he/she had earned in that level while
in service. Fifty percent of the total amount so arrived at shall be the revised
pension."
In order to ensure that
no stagnation takes place, the Commission has evolved open ended pay scales
whose span has been kept at 40 years at the junior level to cater to persons who
may enter a particular level at any stage and may have resided in the level for a fair length of
time. However, the span at senior levels has been progressively and gradually
reduced to ensure capping of maximum pay at the level of Higher Administrative
Grade below Apex level of Secretary.
The Seventh Pay Commission
has recognized the need of periodical revision of pay scales and has
recommended that the pay matrix (which is essentially a pay chart for all the
level of employees) may be reviewed periodically without waiting for the long
period of ten years. It can be reviewed and revised on the
basis of the Aykroyd
formula which takes into consideration the changing prices of the commodities
that constitute a common man's basket, which the Labour Bureau at Shimla
reviews periodically. This is significantly in line with periodic revision in
pay scales in banking sector every five years (emphasis mine).
What needs to be
emphasized by RBI is that the entire pay and pensionary increase by the Pay
Commission is unfunded and no assets have been set aside to meet this liability
except monetizing the same or increasing the quantum of borrowings whereas the
RBI employees are exclusively paid from prefunded Superannuation Fund (emphasis
mine).
The Seventh Central Pay
Commission has quoted various judgments in favour of old pensioners as to why
complete equality is required. It is very specific and generous to pensioners for
complete parity with existing / future pensioners; no discrimination of any
sort/no excuses to be made. Our pension Regulation 5 also empowers RBI to have
regards to happening in pension matters of employees of Central Government. As
such recommendations of Seventh Central Pay Commission, in pension matter, has
immense relevance to RBI pensioners.
Sitendra
Kumar, Retd. GM,
Faridabad
(Note: All queries in the matter of the
Seventh CPC may please be directed to Shri Sitendra Kumar on his mail address -
sitendra.kumar@yahoo.com)
