Demands of Bank Retirees such as periodical Updating of Pension, increase in Family Pension, 100% DA neutralisation has been deprived ever since the Pension Regulation was introduced in the year 1995. Even welfare measures are not implemented as per GOI guidelines. 

Welfare Fund & Premium of Mediclaim/Health Insurance policy of Pensioners:

GOI vide its letter dated 24.02.2012 allowed limit for staff welfare fund, the Ministry of Finance also stipulated the following conditions:

1. No cash payments shall be made to employees except for Medical & Educational purpises.

2. Banks may consider the option of Group Insurance policies for both Serving and Retired Employees instead if direct payment of benefit from the Fund.

Each year the Banks may devise a Scheme for apportionment of funds with the prior approval of their Board of Directors, as per specific needs of the Bank.

It is requested that IBA may take appropriate steps to inform all concerned Banks accordingly.

It is crystal clear that the Circular of PS Banks demanding payment of Insurance Premium from the Retirees is contrary to the guidelines/Directives issued from the Givernment.  The Bank's have to pay the Insurance Premium in respect of the Retirees also out of the the Staff Welfare Fund in the same manner in which they are paying for the existing serving Employees as per the policy guidelines. Hope the Associations will take up the matter with respective Banks & demand for refund of Premiums already paid by the Retirees at the earliest.