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Thursday, June 02, 2016

NOIP MEETS ED (PERSONNEL)

1-6-2016
To all the members,

1) NOIP delegation meets EDP- Delegation consisting S/Shri. Ashok Joshi, Dilip Mapara and Shyam Jawalkar met the EDP Shri.Srivastavaji (who took charge recently) today and discussed the issues detailed in the attached letter. The details are given here below. 

The meeting started at 2-20 pm and lasted up to 3 pm today. We discussed point wise our letter addressed to EDP. In addition to the EDP Shri.Sharad Srivastavaji, Smt.Hindoyar T.S, Chief (Per) and Shri.Cahturvediji, Secretary (Per) were also present during the discussions. EDP was highly receptive in listening to our submissions but little came out by way of positive response to the issues. We protested the truncated payment of 40% IR by LIC and vehemently told that LIC has to face the contempt of SC through the detailed affidavits being filed by the petitioners (pensioners’ associations) in the Delhi HC. We also protested for the delay in issue of instructions for revision in pension and commutation amount. Regarding item No.3 we spent about 10 minutes in bringing home the gravity of anomaly which has been badly affecting thousands of pensioners in every wage revision. We presented detailed calculation in respect of Mr.V.D.Sudame who retired in SDM’s cadre on 30-09-2012. His net loss in pension as on 01-10-2012 is around Rs.5800-00 per month and even as on 01-08-2015 (after 36 months of wage revision), his loss in pension is about Rs.4700-00 pm. We expressed our resentment about this grave anomaly and whatever LIC did in giving relief in such cases is almost no relief. When LIC follows CCS (Pension) Rules 1972 and CCS (Commutation of Pension) Rules, 1981, we expressed our dismay as to what prevents LIC to follow the amendment made in VI pay Commission report, wherein 50% of last basic pay drawn by the employee is taken as basic pension. After much insistence form us, EDP said that they may see to it during next wage revision. NOIP continues its rigorous follow-up to undo this anomaly, since we have been continuously following up with LIC for the last six years.

Regarding item nos 4, 5, 8,9,11 EDP gave no assurance whatsoever.

Regarding item no.6, he categorically told that they have referred the matter to the Finance Ministry and that LICI are ready to consider one more option for pension and asked us to make efforts at Ministry level, since approval by the Ministry is required.

Item no. 7, M.C Jain’s case, he averred that they follow the guide lines of Legal Dept, CO, who are not in favour of extending the benefit to the similarly placed pensioners.

Item no.10, all the aspects of mediclaim were discussed threadbare by us. Regarding 43% rise in premium, EDP concurred that it may be due to claims experience of New India Assurance Ltd. Then we pleaded that the basic SA be raised substantially to ease the burden of higher premium and also in view of increasing inflation year after year. Though no worthwhile response came from EDP, we successfully pleaded the need to increase basic SA. We feel continuous follow up by all the pensioners’ associations would put necessary pressure on the LIC in this pursuit and we may be able to get remedy by way of enhanced basic SA.NOIP vows to continuously follow up the unresolved issues both at the management’s level and with the Finance Ministry as well.

2) The delegation also met Secretary (P&GS), Shri.Lamtureji, in CO to press for introduction of GTIS (Group Term Insc Scheme) for pensioners. He assured to immediately put up to ED/Chairman and on his advice we again mailed him our representation in this regard, today.

With greetings,
(General Secretary)


CLICK BELOW TO READ LETTER ADDRESSED TO ED(P)

                                                                                                                                  Date:    01-06-2016
                To

                The Executive Director (Per),
                LIC of India, CO, Yogakshema,
                MUMBAI
                Dear Sir,
                Re: Issues of Pensioners

               At the outset we welcome you as the Head of Personnel Dept and fervently hope that under your able stewardship, long pending issues of pensioners would get the desired solution. We would like to draw your kind attention to the following and hope to get redressal of the same.

1)      We note with dismay and discontentment the manner in which 40% IR was paid by the LIC in deference to the SC order dtd.31-03-2016 in respect of Civil Appeals. The SC had clearly instructed that “Keeping in view the totality of facts and circumstances of the case, it is hereby directed that the Corporation shall pay 40% as per Para 3(A) of the Appendix to each of the employees within six weeks and shall file an         affidavit before the High Court of Delhi to the said effect……….”.
But the LIC, while computing the arrears did not give weightage to the Basic Pay as on 01-08-1997 consequent upon wage revision. This has resulted in short payment of a huge amount in each case. We strongly protest the action of LIC and urge to make correct payment as per the intent and purport of the SC’s said interim order.
2)      Arrears of commutation and pension- At last the LIC issued instructions vide their circular dtd.23-05-2016 for the pensioners who have retired from 01-08-2012 to 31-12-2015, for payment of arrears of commutation amount and revised pension. The amount runs into lacs of rupees per pensioner and LIC does not even pay interest on delayed payment. Hence such a delay has resulted in huge loss by way of interest.
3)      Computation of Basic Pension- VI Pay Commission has recommended computation of pension as average of last 10 months’ basic pay or 50% of last drawn basic whichever is beneficial to the retiree. This ensures non anomalous situation if one retires in the intervening period of new wage revision. We request same rule to be applied to LIC pensioners as thousands of pensioners are affected in LIC due to the faulty method of computation of pension, being followed in LIC in such cases. Even in the present wage revision the anomaly persists and hence this amendment is essential. Kindly refer to the 3 case studies enclosed here with to make the issue crystal clear. This was brought to the kind notice of erstwhile EDP and Chief (P). In this regard the amendments made vide circular dtd 23-05-2016 do not render justice to those who retired from 08/2012 to 04/2013. It is only a minuscule relief, as good as no relief given to retirees who retired in 8/2012 and 9/2012. We fail to understand as to why the recommendations of VI Pay Commission are not followed by LIC to do away this greatest anomaly. Section 56 of Pension Rules, 1995 clearly gives the power to the LIC Chairman to issue instructions in such cases simply following CCS (Pension) Rules,1972 or CCS (Commutation of Pension) Rules, 1981 applicable to Central Govt Employees. As such we urge you to initiate action to further amend the said provision taking 50% of latest Basic Pay as Basic Pension and accordingly calculating the commutation value and oblige.
4)     Family Pension- VI Pay Commission has also recommended 30% of last pay drawn as family pension and full pension if one completes 20 years of service. For RBI pensioners, the Govt issued gazette notification dtd 12- 18 Jan, 2013, granting flat 30% of last pay drawn as family pension and full pension if 20 years service is completed. We request the same to be adopted for LIC pensioners.
5)      Increased pension to pensioners of age 80 and above- VI Pay Commission has recommended increased pension to very senior citizens of age 80 and above. The same may please be granted to LIC Pensioners too.
6)      One more pension option- We have been demanding one more option for pension to those who did not opt earlier. The said facility was given to Bank Pensioners during the 2010 wage revision. But LIC employees /pensioners were deprived of this offer. Hence we request you to grant one more option to opt for pension as there are hardly 15% who have been left out of the pension net. Option may please be given to those who took VRS/resigned to take care of family/had normal retirement. It is pertinent here to note that when NOIP delegation met Shri.Jayant Sinhaji, Honourable Minister of State for Finance in Delhi on 11-06-2015, he emphatically told us that this matter is not pending with him. In a way he hinted that the matter is not referred to him.
7)    Implementation of the Order dtd.17-12-2012 in DBSA 1492/2002 passed by the HC of Rajasthan at Jaipur - M.C.Jain’s case
We learn that LIC’s SLP (Civil) No.16713/2014 and Petitions for SLP to Appeal-CC No.8094/2014 arising out of the impugned order captioned above, have been dismissed by the Honorable Supreme Court vide its order dtd 02-07-2014. We request you to immediately arrange to initiate the implementation of the captioned order to similarly placed Cl I officers who retired after 01-08-1992 and up to 31-03-1993.
8)      Up gradation of basic pension with every wage revision-
Provision for up grading the basic pension with every wage revision in consonance with the revision to existing employees; be also included in the amendments.
9)      Anomaly of Dearness Relief- 50% reduction in rates of DR prior to 01-08-1997 and tapered DR slabs to those retired prior to 01-08-1997 have to be done away with. (Granting 100% DR neutralization).
10)     Mediclaim related issues-We are thankful to you for having finalized the floater scheme and MOU signed with New India Assurance Co Ltd. But many aspects contained therein simply remain on paper without seeing the light of implementation. (a) Even after lapse of 2 years hapless pensioners are yet to be issued ID cards either by LIC or by TPAs or by NIA for cashless hospitalization. (Except in SZ)  Though substantial efforts are done by P & IR Dept, CO, they have failed to produce the desired results. (b) Though time limit of maximum 30 days is prescribed for reimbursement, even now ground reality remains the same- TPAs are taking more time to settle the claims after all queries are submitted. We request you to remedy the situation by your kind intervention. In some of the Divisions even pensioners’ data is not up dated resulting in delay in reimbursements. Steep hike of 43% in mediclaim premium is too high for the FY 2016-17 and hence it is requested to enhance the eligible basic SA substantially for all the cadres.
11)    Cash medical allowance- NOIP has been demanding cash medical allowance in line with in-service employees to mitigate the outpatient medical expenses that run in thousands every month. RBI’s recent circular dtd.11-03-2015 in this regard is worth appreciating, as they have granted Rs.3900-6500 to their pensioners as medical allowance per year. Your benevolent gesture to LIC pensioners is requested in granting the allowance immediately.
 We appeal to you to take necessary immediate action in resolving the above mentioned issues and ensure that the revised pension rules to be issued consequent upon the wage revision include the above amendments and oblige.

Thanking you in anticipation of a positive response,                                                                                                     
                                                                                                                      (General Secretary)