Revision in Pension of employees who retired on or after 01/11/ 2017
as per 11th Bipartite Settlement
Indian Banks’ Association
HR & INDUSTRIAL RELATIONS
No.CIR/ HR&IR/2020-2 1/XIBPS/ G2/9813
April 12, 2021
Dear Sir/ Madam,
Revision in Pension of employees who retired on or after 01/11/ 2017 consequent upon the wage revision as per 11th Bipartite Settlement and 9th Joint Note dated 11.11.2020
Please refer to our letters No. C R/HR&IR/XIBPS/9314 dated 12th November, 2020 with regard to wage revision to Award Staff/Officers respectively in terms of Bipartite Settlement/Joint Note dated 11th November,2020.
Consequent upon the above wage revision, the pension, dearness relief, minimum pension, etc., payable in respect of those employees who ceased to be in service on or after 1.11.2017 and are eligible for pension, need to be revised with merger of OR (6352 points). We give below for your guidance, the details In this regard.
The basic pension will be revised on the basis of the revised pay w.e.f. 1.11.2017, minimum pension of employees other than part time employees will be Rs 3985.
(II) FAMILY PENSION
In respect of employees (other than part-time employees) who retire/retired from service on or after 1.11.2017 the ordinary rate of family pension shall be as under:
|Pay per month||Amount of monthly family pension|
|Upto Rs. 15,880||30 percent of the ‘pay’ shall be the basic family pension. The basic family pension shall not be less than Rs. 3,985 per month.|
|Rs. 15,881 to Rs.31,160||20 percent of the ‘pay’ shall be the basic family pension. The basic and additional family pension shall not beless than Rs.4900 per month.|
|Above Rs.31,760||15 percent of the ‘pay’ shall be the basic family pension. The basic and additional family pension shall not be less than Rs.6365 per month and shall not be more than Rs.13,280 per month.|
Note: a) In the case of part time employees, the minimum amount or family pension and the maximum amount of family pension shall be in proportion to the rate of scale wages drawn by the employee.
(III) DEARNESS RELIEF
The dearness relief shall be payable for every rise or be recoverable for every fall, as the case may be,of every 4 points over 6352 points in the monthly average of All India Consumer price index for Industrial Workers in the series 1960= 100 at the rate of 0.07 per cent per slab on the basic pension for pensioners and family pensioners.
(IV) MINIMUM PENSION FOR PART TIME EMPLOYEES
In respect of part-t me employees who retired on or after 01/11/2017, the minimum pension payable shall be rs 1,335 p.m. in respect of part-time employees drawing 1/3 scale wages, rs 2,000 p.m. in respect of part time employees drawing 1/2 scale wages and rs 3,000 p.m. in respect of part-time employees drawing 3/4 scale wages.
Pending amendments to Bank Employees Pension Regulations, 1995, bank may compute pension as above. Before, however, giving effect to the revised pension, a suitable undertaking may be obtained from the pensioners as well as from family members/nominees, to enable the pension fund to make adjustments, if any, at a later date.
Member banks may please be guided as above.
Gopal Murli Bhagat
Deputy Chief Executive