DK/36 Circular from Gen.Secy.Sri D.Krishnan. dated 18th aug. 2020

 FEDERATION OF RETIRED LIC CLASS I OFFICERS' ASSOCIATIONS

President :    N.P. Bali 705, Sur, Veena Saaz, Thakur Complex, Kandivali (East), Mumbai - 400 101 Mob : 9820324213 Email Id - npbali@hotmail.com

General Secretary :    D Krishnan No.6/1, Sreshta Riverside Apartments, Wood Creek Road, Nandambakkam, Chennai - 600089 Tel : 9176635967 / 044 42850049. Email Id - dkrishnan1@gmail.com

E circular No.DK/36

18-08-2020

Dear Friends,

Although it is essentially a period of lull, with the Lockdown still in vogue, albeit at more liberal levels, nothing seems to move at the Governmental level or in the Highest Court of the land, where even now the Hearings happen only in the virtual mode. Even in the CO at Mumbai, it is understood that the staff attendance is only at a percentage level and normal working is in slow motion. In Mumbai, with the local Trains still not running, and the Corporation Buses still not plying, the chances of staff attending office on a regular basis becomes a big question mark. But I thought, this may be the time when the big-wigs attending CO might find the time to give some attention to our matters put up to them through letters. 

 So, here are two communications I addressed to the Managing Director of LIC, Sri Mukesh Kumar Gupta, who holds charge of the Personnel area.  The first one relates to the small but unresolved area of Pension being paid on the 1^st of the month. We had earlier to this communication, written to the MD on this very matter, under copy to the Chairman Sri M R Kumar. But this one was not just making out a grievance of it, but making constructive suggestions for making the procedure more stable and predictable. 

FEDERATION OF RETIRED LIC CLASS I OFFICERS' ASSOCIATIONS

11-08-2020

Dear Sri Guptaji,

In continuation of my earlier mail on Pension disbursement on 1^st of the month, I wish to share a few thoughts on what Public Sector Banks are doing on this behalf. The Pension Rule 54 of LIC Pension Rules and the Rule for all the PS Banks are absolutely the same, word for word. But what the Banks, including SBI are doing, is to have read Rule 54 with Rule 55, which again, for both LIC and Banks, are totally similar in the wordings. Rule 55 which is about ‘Power to Issue Instructions’ for both LIC and Banks says—“The Chairman of the Corporation (the CMD of the Bank) may from time to time issue instructions as may be considered necessary or expedient for the implementation of these rules (Regulations)”.

 

Taking off from this, what Banks have done is to have issued administrative instructions to ensure that Pensions are paid out on the last working day of the month, or even earlier, as in SBI, where Pension is paid on the 27^th of the month. Since we in LIC have been stuck on the Rule for payment of Pension, not earlier than the 1^st of the month, we could as well draw a point from the Banks, and issue administrative instructions, to release Pension on the last working day of the month, and thereby avoid the delay in payment of Pension arising out of Holidays on the 1^st and subsequent days. 

 

If we in LIC, do not want to take such initiative, to raise an internal Note to alter the Pension Payment day,  the least that could be done is to change the practice of advising Banks to credit Pension into individual Pensioners’ account, and resort to direct transfer by LIC into the individual Pensioner’s account, through on line Digital transfer such as NEFT, IMPS or similar mechanisms available for Fund Transfer, thereby making sure that the delay in credit into the individual accounts, does not happen at the behest of the intermediary which is the Bank. This would ensure that the Pension amount would instantly get credited into the Pensioners’ accounts enabling withdrawal by the Pensioners on the 1^st of the month irrespective of whether it is a Sunday or Holiday of some other kind.

 

Guptaji, I am suggesting this with the utmost sincerity, to sort out this problem once and for all. Given equal earnestness on the other side, it should be possible for LIC to take  appropriate steps to solve this issue for Pensioners, for all time in future. Kindly do give it a fair thought to get this very small matter out of our way.

Regards,

D.Krishnan.

 

 

The second one again, to Sri Guptaji, the MD, but this time, on the Rule of minimum qualifying service, for Full Pension eligibility. As you might know, it is still,  a minimum of 33 years of Service, for eligibility for full Pension in LIC, whereas it is 20 years in Central Govt., RBI and other Organizations.  As a result of this old Rule holding good even now in LIC, there are many employees, and more particularly the Ex-service men who joined the LIC at later age, with less scope for full term of 33 years of Service being put in, for full Pension eligibility. And these therefore draw Pensions at less than the full levels, and only on pro-rata basis. Our plea is not something of a new principle being expounded by us, first time, but to make the change over to the 20 year minimum Service for full Pension, on par with the Govt. and other institutions which have switched over to this liberalized Rule. The letter is appended below.

FEDERATION OF RETIRED LIC CLASS I OFFICERS' ASSOCIATIONS

17-08-2020

Dear Sri Guptaji,

I am sorry if you feel, I am inundating you with letters. I really can’t help it, because it involves important matters of Pensioners. One major issue, about which I have even written to the Chairman, is that we in the LIC leadership do not think, it is basically our responsibility to apply mind on improvements in matters of Pensioners, especially where such changes have already been made, in similar establishments. 

 

Yes, in two aspects, LIC did take initiative – Family Pension increase and Periodic raise for the 80 plus, where Results are yet to come in. But other than these two matters, you have not thought it fit to take up other important areas for improvement. And every time we bring up some matter before you, it is always, after it has  been made applicable to employees of other similar institutions like Central Govt. or RBI or Banks.

 

I am now bringing up the matter regarding eligibility for Full Pension, on the basis of 20 years of Service put in by the employee. As of now we have the 33 year Rule for full pension eligibility. This Rule has been changed for others quite some time ago (in 2007 for BSNL and 2013 for RBI). I am attaching copies of instructions, on this behalf, in BSNL and the RBI. We would request that in LIC too this change is brought about by taking up with the Central Govt.

 

Kindly do not set it aside, thinking that such requests from the Federation are routine stuff. Unless LIC Management recommends the change, whose principle need not now be newly expounded to the Govt., how will it ever happen? It is our belief, that if you recommend it, quoting the adoption of this rule in other Govt. Organizations, the change over to the 20 year eligibility Rule for Full Pension, should follow without fundamental questions being raised. I would most earnestly request that this be done without further ado.

 

Thanking you and with Regards

D. Krishnan  

 It was Sri Panda, Jt. Secretary , Odisha, who wrote to me on this matter, and as a sequel, I have taken it up with the CO.

With Greetings to all

D.Krishnan

General Secretary