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Sunday, February 14, 2016

CH MAHADEVAN


HOW NOTIONAL UPGRADATON WITH 

WEIGHTAGE IS PROVIDED FOR ALL 

PURPOSES OTHER THAN REAL UPGRADATION 

OF PENSION


As per the standard practice  followed by LIC after every wage revision, administrative instructions  are issued by LIC  (1)for revision of minimum pension,(2) revision  of  basic  pay slabs  for family pension determination and  (3) revision of basic pay slabs  for category determination  under   group mediclaim .

The circular in respect of the first two items are yet to be issued or if issued, yet to come to the knowledge of pensioners. The first two relate only to those who retire after the effective date of the wage revision before the effective date of next wage revision. But item (3) applies to all  the pensioners.

As regards item no (3), the circular issued by CO dt 12/2/2016 already contains revision of salary slabs for category determination as follows:

Before 1/8/2012
From 1/8/2012
Scaled up amount based on DA merger principle
Weightage provided for revision of slabs (%)



(1)
Minimum of Slab
(2)
Maximum of Slab
(3)
Minimum of Slab
(4)
Maximum of Slab
(5)
Minimum of Slab
(6)
Maximum of Slab
(7)
Minimum of Slab
(8)(Col 4/Col 6)x100-100
Maximum of Slab
(9) (Col 5/Col 7)x100-100
Category III

22146
42195
0
36796
14.67
Category II
22147
30749
42196
58689
36797
51089
14.67
14.87
Category I
30750
58690
51091
0
14.87

Even though the circular does not specify that the categories of old retirees will remain the same as before as was the practice earlier, we may expect a clarification to that effect from CO separately.

But what is significantly to be noted is that the old pensioners are treated notionally  as having been provided  upgradation  of pension with a weightage  ranging from 14/67% to 14/87%(  w.r .t  the scales of pay  prevalent just before 1/8/2012 who were in service as at 1/8/2012). This is in recognition of the fact that  that  the old pensioners need to be given  the same  treatment in respect of mediclaim cover  as the present employees and latest retirees/Does this mean that LIC  is magnanimous to provide notional  upgradation of pension with weightage  when it has  no need to pay any monetary benefits  to the retirees on such revision?

This is a point that the case managers will do well to bring to the notice of the Supreme Court Bench  to prove that LIC chooses to adopt the principle of weighted upgradation selectively where it suits the Corporation.

Greetings.
C H Mahadevan