ALL INDIA UNION BANK EMPLOYEES ASSOCIATION
Cir No.GS 3/102/ 15 12th January, 2015
To All Units,
Dear Comrades,
Sub : Out come of our Discussions on Certain Vital Issues..
All are aware that we took up the issue of 1) Improvements in Staff Housing Loan scheme 2) Formation of new Compassionate Appointment Scheme and submitted our suggestions and held discussions with the Bank Management in IRM Meetings. Our suggestions were already circulated among our units. We also had discussions in a smaller forum where in detailed discussions took place on our suggestions on Staff Housing Loan Scheme.
Besides, we also raised the issue of Improvement in Reimbursement Cost of News Paper to Award Staff in our IR Meeting and explained the rationale behind the demand to which the Bank agreed to do the needful.
Now Bank has formulated a new staff housing loan scheme and comprehensive Compassionate Scheme. We furnish here below the salient features of the schemes:
Staff Housing Loan scheme:
The quantum of Staff Housing Loan & Repairing Loan stands increased as under:
Category of Staff Existing Housing Loan Revised Housing Loan Revised Repairing Loan
Sub-Staff Rs 8lacs Rs 20 Lacs Rs 5 Lacs
Clerks Rs 12 Lacs Rs 30 Lacs Rs 7 Lacs
Officers upto scale IV Rs 20lacs Rs 40 lacs Rs 10lac
Officers Above Scale
IV Rs 20 lacs Rs 60 Lacs As above.
Margin 10% for Hosing Loan & 25 % for Repairing Loan
Interest Rate: 8% per/ annum- Simple interest
Repayment Schedule: 1) For Housing Loan - 30years with 270 months for recovery of Principle and 90 months for recovery of interest. 2) For Repairing Loan -240 Installments with 180 installments for recovery of Principle & 60 Installments for interest recovery. All loans to be recovered during the service period.
Other Features:
1) All confirmed employees are eligible to avail Housing loan and the net salary after absorbing all deductions including housing loan installment should be 40% of gross salary.
2) Repairing loan will be allowed only after the period of 7 years of availmemt of housing loan.
3) The revised enhanced Housing Loan will be extended for:
a) Conversion of commercial Housing Loan availed by the employees besides regular staff housing loan for purchase/ construction of house.
b) For purchase of new house under change of security by disposing of the existing house against which staff Housing Loan is outstanding.
c) For extension / Enlargement of existing house.
Compassionate Appointment Scheme:
In line with the government & IBA guidelines and as discussed with us Bank has formulated a new comprehensive compassionate scheme and the same had been duly approved by the Bank’s Board. The important features are as below:
a) The Scheme will be effective from 5th August 2014 and accordingly the family of employees who died on or after 5th August can claim appointment under the scheme.
b) The appointment shall also be offered to dependent member of the employee who seeks retirement on medical grounds due to incapacitation before reaching the age of 55 years The incapacitation to be certified by duly appointed medical board in a government medical college etc.
c) Besides in lieu of appointment the scheme also extends lump sum ex-gratia at the rates as applicable vide old scheme in vogue.
d) The appointment can be given to the dependent spouse, son/ daughter including one adopted legally and dependent Brother / sister in case of unmarried employee who are fulfilling the requirements of the scheme.
e) The family has to be indigent and the factors to decide the same include the retirement benefits payable, Settlement of Insurance, Pension receivable, liabilities of the family, number of family members etc.
f) The upper age can be relaxed depending upon the case but in no case lower age can be below 18 years.
g) The appointment can be made in clerical/ Sub-Staff cadres. 5% of vacancies falling under direct recruitment quota of both the categories can be earmarked for compassionate appointments.
h) All the cases prior to 5th August 2014 will be dealt & disposed off by the old scheme.
Reimbursement Cost of News Paper to Award Staffs:
Bank while agreeing to do the needful on our demand has now decided to increase the cost from present Rs 130 to Rs 175/ per month. Looking to the cost impact, the Bank is proposing to implement the revised rates w.e.f 1st April 2015. However we have insisted to implement the same without any delay.
We request our units to circulate and explain the developments to employees. Bank’s circulars on all the above will be issued shortly. Regarding compassionate Appointments, our units should collect all those cases which are to be dealt under new scheme and guide the family of deceased employees to enable them to claim appointment under the new scheme. This task has to be undertaken on priority.
N.Shankar, General Secretary