• Skip to main content
  • Skip to primary sidebar
  • Home
  • Aicpin
  • Recent Post
  • Pay Matrix
    • Defence Personnel
      • MNS Officers
  • Recent Govt Orders
    • Dopt orders
    • Finmin orders
  • DA From July 2021
  • Holiday list 2020
Govtempdiary

Govtempdiary

Govtempdiary is leading Central government employees news provider

You are here: Home / BANK / IBA – 2nd  Option of Pension for Compulsorily Retired Officers/Employees
This image has an empty alt attribute; its file name is b_new.gif Demanded for payment of Dearness Allowance/Dearness Relief with arrears since 01.01.2020
This image has an empty alt attribute; its file name is b_new.gif AICPIN for the month of January 2021
This image has an empty alt attribute; its file name is b_new.gif LTC cash voucher scheme Calculator
This image has an empty alt attribute; its file name is b_new.gif Expected DA from July 2021 Calculator
This image has an empty alt attribute; its file name is b_new.gif List of Kendriya Vidyalaya Schools 2021

Quick links
Hot newsDopt orders
Recent govt ordersRecent post

IBA – 2nd  Option of Pension for Compulsorily Retired Officers/Employees

May 4, 2020 rajasinghmurugesan

IBA – 2nd  Option of Pension for Compulsorily Retired Officers/Employees

Indian Banks’ Association

HR & INDUSTRIAL RELATIONS

No.HR&IR/CIR/G2/BRK/4684

March 16, 2018

Chief Executives of Member Banks which are parties to the Bipartite Settlement

Dear Sir/Madam,

2nd  Option of Pension for Compulsorily Retired Officers/Employees

The United Forum of Bank Unions (UFBU) representing workmen and officers in Banks were requesting to allow another option to those who were in the service of the Banks prior to 29th September, 1995 in case of Nationalized Banks / 26th March, 1996 in case of Associate Banks of State Bank of India and continued in service on or after that date and did not opt for pension when offered as per the scheme.

2. After holding various rounds of discussions in the matter, consensus was arrived at between the parties and a Bipartite Settlement/Joint Note was signed on 27.4.2010 to extend another option of pension to those Workmen / Officers who : –

(a) were in the service of the Bank prior to 29th September, 1995 in case of the Nationalised Banks/26th March, 1996 in case of Associate Banks of State Bank of India and continue in service of the Bank on the date of signing above mentioned Bipartite Settlement/Joint Note;

(b) exercise an option in writing within 60 days from the date of offer, to become a member of the Pension Fund and

( c) authorise the Trust of the Provident Fund of the Bank to transfer the entire contribution of the Bank along with interest accrued thereon to the credit of the Pension Fund. In addition, the individual employee/officer has to pay @ 2.8 times of the revised pay for the month of November 2007.

(d) were in service of the Bank prior to 29th September 1995 in case of Nationalised Banks/26th March 1996 in case of Associate Banks of State Bank of India and retired after that date and prior to the date of above mentioned Bipartite Settlement/Joint Note i.e. 27.04.2010;

(e ) exercise an option in writing within 60 days from the date of offer to become a member of the pension fund and,

(f) refund within 30 days after expiry of the said period of 60 days, the entire amount of the Bank’s contribution to the Provident Fund and interest accrued thereon received by the employee/officer on retirement together with the payment over and above the said amount at 56% of the amount.

3. Families of above mentioned employees / officers were also made eligible for said option subject to refund of Bank’s contribution to the Provident Fund received by them as mentioned in point (f) above.

4. 2nd option of Pension was, however, not made available to the employees/officers who were compulsorily retired by the Bank. As such, some of these aggrieved employees/officers approached different Hon’ble High Courts seeking relief in the matter. Various Hon’ble High Courts viz Andhra, Madras, Madhya Pradesh, Punjab & Haryana and Patna have ruled in favour of the employees/officers who were compulsorily retired. However Hon’ble Delhi High Court has taken a contrary view on the technical ground.

5. The matter was placed before the Standing Committee on HR of IBA in its meeting held on 07.12.2017. After deliberations, the committee recommended to place the matter before the Managing Committee of IBA. Accordingly, the matter was put up to the Managing Committee of IBA in its meeting held on 29.12.2017. The committee advised to seek legal opinion on the judgements as to whether 2nd option of pension may be allowed to all ex¬officers/ex-employees who were compulsorily retired from Bank’s service between 29.09.1995 to 27.04.2010 or only selectively to those who approached the Bank for the same.

6. The legal opinion from Shri S.D. Kelkar, Senior Partner, Kelkar & Associates whose services have been engaged in IBA as retainer, was obtained in the matter. His opinion is as under:

“Having considered the decisions rendered by the Hon ‘ble High Courts of Andhra Pradesh, Madras, Madhya Pradesh, Punjab & Haryana, Patna which have ruled in favour of the employees/officers who were compulsorily retired by way of punishment on the ground that they are covered by the Joint Note as well as decision of the Hon’ble Delhi High Court which has taken a contrary view on the technical ground and the fact that SLPs preferred against the judgments of the High Courts which had ruled in favour of the employees were dismissed, though such dismissal cannot be considered as law laid down by the SC, we are of the considered view that the banks are bound to give 2nd option to all the employees/ officers who were compulsorily retired and who fall within the ambit of the Joint Note to exercise 2nd option for the following reasons:-

  • The Joint Note does not distinguish between voluntary retirement, superannuation, premature retirement, compulsory retirement.
  • A- Even the employees/ officers who are compulsorily retired by way of punishment are eligible for pension under the pension regulations.
  • Banks being “State” within the ambit of Article 12 of the Constitution of India should act in a fair and reasonable manner and should not restrict it only those who demand it. Such stand, if any, adopted by the banks may invite strictures from the Courts.”

7. The views of the Legal Retainer of IBA were placed before the Managing Committee of IBA in its meeting held on 25.01.2018. The committee after deliberation concurred with the legal opinion placed before it and advised to inform all PSBs accordingly. The exact modus operandi of the extension of 2nd option to compulsorily retired employees/officers was to be worked out in discussions with GMs (HR) of PSBs to decide on a uniform methodology which will stand scrutiny of court.

8. To work out the methodology in this regard, a meeting of the GMs (HR) was convened on 28.02.2018 at IBA. After detailed discussions, a consensus has been arrived at to extend the option of pension to compulsorily retired employees/officers on same terms & conditions as are mentioned in Bipartite Settlement/Joint Note dated 27.04.2010. As per the agreed terms & conditions of said Bipartite Settlement/Joint Note, Pension/Family Pension shall be payable with effect from 27th November, 2009, provided that employees/officers who are compulsorily retired after that date shall get pension from the respective dates of such retirement. Court cases, if any, in the matter may be withdrawn forthwith.

9. Please do the needful accordingly.

Yours faithfully,
S/d,
B Raj Kumar
Deputy Chief Executive

Signed Copy

Related posts:

  1. Lok Sabha Q&A – Pension Benefits to Bank Employees
  2. Continuation of Medical Expenses Reimbursement Insurance Scheme for employees/officers who have retired after 1.10.2015.
  3. Payment of Commutation Value of additional amount of pension in respect of employees who retired on/after 1.1.2006 but before 2.9.2008 and expired before exercising option for commutation of additional amount of pension – Regarding
  4. Clarification on simplification of procedure for payment of pension and other benefits to AIS officers retiring from Govt of India/State Govt: exercise of option regarding.
  5. 7th CPC : Fixation of Pension of medical officers retired during 1.1.2016 to 30.6.2017
  6. Pension to retired employees covered under PF scheme
  7. Procedure for empanelment and appointment of retired officers as the Inquiry Officers for conducting Departmental Inquiries- reg
  8. Revision of pay and pension of bank employees
  9. Exercise of Split Option under Saving Clause of FR-22(I)(a)(1) by officers of all grades of CSS cadre
  10. Interim stay on pension settlement
  11. 7th CPC – Revision of Pension of Pre-2016 Retired Medical Officers
  12. Procedure for empanelment of retired officers as the Inquiry Officers for conducting Departmental Inquiries
  13. Delay in commencement of pension in favour of retired Railway employees.
  14. Salary/Pension to Retired Employees
  15. Revision of pension of pre-1996 pensioners — inclusion of Non-Practicing Allowance (NPA) for revision of pension of retired medical officers w.e.f. 1.1.1996.
  16. Grant of Ex-gratia to those pre-1986 Contributory Provident Fund (CPF) employees who retired otherwise than on superannuation after 20 years of service — regarding.
  17. Exit guidelines under National Pension System – Option for Complete withdrawal of accumulated pension wealth by subscriber
  18. “Compulsorily Retirement” who are inactive or have charges of corruption – Loksabha
  19. Pay bonanza for bank employees
  20. 7th CPC- revision of Pension of Pre-2016 retired medical officers

Filed Under: BANK, Dopt orders | Department of Personnel & Training, Superannuation May 4, 2020 1 Comment

LTC cash voucher scheme 2020
LTC cash voucher scheme 2020

AICPIN for the month of January 2021 – DA Calculator updated

February 26, 2021 By rajasinghmurugesan Leave a Comment

Consumer Price Index for Industrial Workers (2016=100) –January, 2021 depicts downward trend Gangwar says, fall in inflation will improve purchasing power of the working class All-India Consumer Price Index for Industrial Workers (2016=100) for January, 2021 decreased to 118.2 points compared to 118.8 points for December, 2020. In percentage terms, it went down by 0.51% […]

PCDA Circular : Implementation of recommendation of 7th CPC – Grant of Non-Functional Up gradation (NFU)

February 23, 2021 By selva Leave a Comment

PCDA Circular : Implementation of recommendation of 7th CPC – Grant of Non-Functional Up gradation (NFU) IMPORTANT CIRCULAR (Through PCDA (WC) Website) No. AN/III/1874/NFU Dated: – 17.02.2021 To, 1.All Sub Offices and IFAs (under PCDA (WC) Chd.) 2. All Sections (Main Office, PCDA (WC) Chd.) Subject: Implementation of recommendation of 7th CPC- Para 11.12.140- Grant […]

Kolkata (Phase -III) Housing Scheme

February 21, 2021 By selva Leave a Comment

Kolkata (Phase -III) Housing Scheme CENTRAL GOVERNMENT EMPLOYEES WELFARE HOUSING ORGANISATION(An Autonomous body of Govt. of India, under the aegis of M/o Housing & Urban Affairs)6th floor, `A’ Wing, Janpath Bhawan, Janpath, New Delhi-110001Ph: 011-23717249, 23739722, 23355408 Fax: 011-23717250 AnnouncesKOLKATA (PHASE – III) HOUSING SCHEME(WBHIRA No. HIRA/P/SOU/2021/001183) ABOUT THE ORGANISATION: Central Government Employees Welfare Housing […]

CGHS : Empanelment of AYUSH Hospital/Centers under CGHS/CS (MA) Rules

February 21, 2021 By selva Leave a Comment

Empanelment of AYUSH Hospital/Centers under CGHS/CS (MA) Rules F.No.S. 110011/90/2016-CGHS (HEC)/AYUSH/Pt.II Government of India Ministry of Health& Family Welfare Directorate General of Central Government Health Scheme Nirman Bhavan , New Delhi Date: 12 February, 2021 OFFICE MEMORANDUM Subject:- Empanelment of AYUSH Hospital/Centers under CGHS/CS (MA) Rules. With reference to the above mentioned subject attention is […]

Finmin Order : Clarification on Cash Management Guidelines – Regarding

February 20, 2021 By selva Leave a Comment

Finmin Order : Clarification on Cash Management Guidelines – regarding F.No.12(13)-B(W&M)/2020 Ministry of FinanceDepartment of Economic Affairs(Budget Division) New Delhi,17th February, 2021. OFFICE MEMORANDUM Subject: Clarification on Cash Management Guidelines – regarding. Clarifications have been sought regarding expenditure ceiling during last quarter and last month of 2020-21. It is clarified that the reference to this […]

CPAO : Documents to be submitted by family pensioner alongwith the formats

February 19, 2021 By selva Leave a Comment

CPAO : Documents to be submitted by family pensioner alongwith the formats CPAO/Tech/Bank Performance/37 Vol-III(A)/2020-21/81 Dated: 12.022021 To, The Head of CPPC/GBD _______________________ ________________________ ________________________ Subject:- Documents to be submitted by family pensioner alongwith the formats. Sir/Madam, Your kind attention is invited to CCS Pension (Rules) 1981, Para 24 of the “Scheme for Payment of […]

CGEGIS : Central Government Employees Group Insurance Scheme-1980 – Tables of Benefits for the savings fund for the period from 01.01.2021 to 31.03.2021.

February 19, 2021 By selva Leave a Comment

Central Government Employees Group Insurance Scheme-1980 – Tables of Benefits for the savings fund for the period from 01.01.2021 to 31.03.2021. No. 7(2)/EV/2016 Government of IndiaMinistry of FinanceDepartment of Expenditure New Delhi, the 15th February, 2021 OFFICE MEMORANDUM Sub: Central Government Employees Group Insurance Scheme-1980 – Tables of Benefits for the savings fund for the […]

Finmin Order : Clarification regarding queries being received in respect of Special Cash Package equivalent in lieu of Leave Travel Concession Fare for Central Government Employees during the block 2018-21.

February 18, 2021 By selva Leave a Comment

Finmin Order : Clarification regarding queries being received in respect of Special Cash Package equivalent in lieu of Leave Travel Concession Fare for Central Government Employees during the block 2018-21. No.12(2)/2020/E-II.A Government of India Ministry of Finance Department of Expenditure North Block New Delhi Dated 16th February, 2020 OFFICE MEMORANDUM Subject: Clarification regarding queries being […]

Rajya Sabha Q&A : Methodology for Fixation of Basic Pay 

February 10, 2021 By selva Leave a Comment

Rajya Sabha Q&A : Methodology for Fixation of Basic Pay GOVERNMENT OF INDIA MINISTRY OF PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS (DEPARTMENT OF PERSONNEL AND TRAINING) RAJYA SABHA UNSTARRED QUESTION NO. 427 (TO BE ANSWERED ON 04.02.2021) METHODOLOGY FOR FIXATION OF BASIC PAY 427 SHRI NEERAJ SHEKHAR: Will the PRIME MINISTER be pleased to state: (a) […]

More Posts from this Category

List of Holidays during the year 2021 for central government offices in Tripura

Regarding list of public and restricted holidays during the year 2021 for central government offices located in Tripura

Holiday list in the State of Haryana during the Calendar year 2021

Holiday list both public holidays and restricted holidays in the State of Haryana during the Calendar year 2021, dated December 3, 2020

Recent comments

  • shiva on Guidelines for Admission in KVS 2020-2021
  • Nagaraja on 7th Pay Commission Pay Matrix table
  • Suraj on Posting/transfer of defence civilian employees on compassionate grounds or on mutual basis
  • Suraj on Posting/transfer of defence civilian employees on compassionate grounds or on mutual basis
  • Suraj on Posting/transfer of defence civilian employees on compassionate grounds or on mutual basis
  • S.Jayaraman on Pension seva SBI (state bank of India)
  • kalaiselviprabakaran on Guidelines for Admission in KVS 2020-2021
  • Kamlesh Yadav on LTC Leave Enhancement Calculator For Block Year 2018-2021
  • tejal on LTC Leave Enhancement Calculator For Block Year 2018-2021
  • Meghna Thapa on Kendriya Vidyalaya Bengdubi Admission, Results, Fee structure, Address, Contacts

Reader Interactions

Comments

  1. Anjanappa says

    April 22, 2018 at 7:28 pm

    Sir
    I am a compulsory retired employee from canara bank,at present I am getting 2/3 pension not full pension and also pl encashment not given to me.Wether i am eligible for full pension or not, please clarify.

    Reply

Leave a Reply Cancel reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Primary Sidebar

Search

calcuators

  • Expected DA from July 2021- Calculator
  • HRA calculator 2020 (DA>25%)
  • Tax benefit calculator 2020
  • Expected DA For Bank Employees From November 2020
  • 7th pay commission calculator [updated]
  • Promotion/MACP Option form Calculator
  • 7th Pay Commission Pension Calculator
  • Bonus Calculator 2020
  • LTC Leave Enhancement Calculator For Block Year 2018-2021
  • LTC cash voucher scheme Ready reckoner

Pay Matrix table

  • Defence Personnel
  • MNS Officers
  • Tamil nadu
  • Rajasthan
  • Odisha
  • Gujarat
  • Haryana
  • Jharkhand
  • Madhya Pradesh
  • Nagaland
  • Tripura
  • Uttrakhand
  • Assam
  • Bihar

CSD Price list

  • CSD Car Price List 2021
  • Maruti Suzuki CSD Car Price List 2021

KVS Schools list

  • List of Kendriya Vidyalaya Schools
Copyright© 2010–2021

Central Government Employees News - Govtempdiary