PAY COMMISSION: New PSU bank staff to get NPS (New Pension Scheme)

Wednesday, November 11, 2009

New PSU bank staff to get NPS (New Pension Scheme)

All persons who join public sector banks on or after April 1, 2010 would come under the government’s new pension system (NPS).

Public sector banks are set to hire 30,000-40,000 employees in the next two years, with about 35 per cent of the total staff set to retire by 2011.

“All new recruits would come under the NPS, the move would also give a push to the new system,” a senior finance ministry official said on the condition of anonymity.

Despite several incentives that were announced by Finance Minister Pranab Mukherjee in the Union Budget, there have been few takers for the NPS.

Trade unions have opposed the move to bring new employees under the NPS. “We are trying to find a solution,” CH Venkatachalam, general secretary, All India Bank Employees’ Association, told Hindustan Times. “We are holding talks with the government and the bank managements… to ensure that their rights are fully protected.”

The Pension Fund Regulatory and Development Authority Bill needs to be reintroduced in Parliament, as it had lapsed with the dissolution of the Lok Sabha before the general elections.

The government had made it mandatory for all central government employees who joined on or after January 1, 2004 to be brought under the NPS. Several public sector undertakings have also switched to the NPS for their employees.

Government officials say the bill is likely to be taken up in the forthcoming Parliament session, and that even though financial sector reforms are critical,the government would go ahead with them only when there is consensus among all coalition partners.

Source:Hindustan Times

3 comments:

SHANKAR said...: LEAVING ALL THE DIFFERENCES BETWEEN IBA AND UFBU, LET ALL THE EMPLOYEES EXPECT AND HOPE THAT THE PRESENT FINANCE MINISTRY/ CONGRESS I GOVERNMENT WILL ENSURE SIGNING OF BANK WAGE SETTLEMENT/ ONE MORE PENSION OPTION BETWEEN IBA AND UFBU AT LEAST BY 19.11.2009, AS A BIRTH DAY GESTURE IN THE NAME OF LATE MRS INDIRA GANDHI WHO WAS BORN ON 19 TH NOVEMBER 1917. HOPE ALL WILL WORK OUT REMEMBERING THE ABOVE DATE; November 11, 2009 9:07 PM
BALAN said...: WHATEVER THE GOVERNMENT WANTS TO IMPLEMENT LET THEM DO IT IN THE FUTURE. LET THEM MAKE THE EXISTING BANK EMPLOYEES AND PF OPTEES, PENSIONERS WITH FULL BENEFITS LIKE CENTRAL GOVERNMENT EMPLOYEES BY GIVING FULL NEUTRALISATION AND PENSION UPDATION ETC WITHOUT ANYDISCRIMINATION . LET THEM FIRST HAVE A FEELING THAT BANK EMPLOYEES HAVE NOW BECOME LAUGHUNG STOCK IN THE SOCIETY. WE CAME TO THE CONCLUSION THAT UFBU IS USELESS AND CAN NOT DO ANYTHING POSITIVELY TO UPLIFT THE BANK EMPLOYEES STATUS TO THE LEVEL THEY ARE ENTITLED. WE ARE AT THE MERCY OF MINISTRY OF FINANCE/ IBA/ . SO PLEASE HELP THE EMPLOYEES TO GET PENSION AND LIBERAL WAGE REVISION.

K BALASUBRAMANIAN; November 12, 2009 5:29 AM
sudhakar said...: UFBU should settle second option for pension besides updation taking into the steep increase in CPI for IW which is expected to go up in the years steeply. Please bury all your differences among UFBU members and work for the members welfare at least now without any loss of time; November 13, 2009 9:29 AM