AIBPARC TO HON.FM
MOHAN P
ALL INDIA BANK PENSIONERS AND RETIREES CONFEDERATION
AIBPARC/Hon'ble Union FM/Pending Issues/Email/2025
Date: August 27, 2025
Smt.Nirmala Sitharamanji,
Hon'ble Union Finance Minister,
Government of India,
North Block, New Delhi.
Respected Madam,
Sub: Long unresolved issues of the Pensioners & the Retirees of the Banking Industry.
We beg to be excused for encroaching upon your valuable time over the aforesaid subject. As you are having micro level knowledge of all the issues of the Pensioners & the Retirees, we shall not go for any elaboration and just mention in short which you will please appreciate and consider.
1. Updation of Pension:
Although there is a spelt out provision in Regulation No. 35(1) Appendix 1 with its amendment done in the year 2003 which is duly notified in Government gazette, the updation is being wrongfully denied to the senior citizens since 1992. The Pension Regulations of Banks are framed on the patterns of the Pensioners of Central Government and RBI employees and although the updation is being regularly extended to such senior citizens of Government and RBI employment, it is being wrongfully denied to the Bank Pensioners despite clear mention in the Pension Regulation 35.1. IBA which is supposed to handle the issue in the normal course of business has taken a position that a case is pending before the Supreme Court and it is difficult for them to discuss the issue. The logic is futile since there is no restrictive onder of any Court of India and hence the compliance of the Statutory Regulations is the responsibility of the Banks.
We have approached the officials of DFS on a number of occasions and explained before them that it is a question of implementation of a Regulation framed and notified by the Government itself and it cannot be allowed to be questioned by anybody or IBA. Unfortunately, the voice of the senior citizens has gone into wilderness. The Pensioners & the Family Pensioners are dying every day in some parts of the country or the other and they are being deprived of their legitimate rights. This is a mater of grave concern.
2. Special allowance not being computed for the purpose of calculation of Pension & Gratuity for a section of Pensioners:
From 01.11.2012 onwards, there have been three successive Bipartite Settlements where a new component of salary known as special allowance has come into existence. It attracts DA for the serving employees and officers but when they retire from service, this special allowance is not computed for the purpose of calculation of Pension & Gratuity. As per prayer of IBA, nearly 14 numbers of Court cases which had been pending before several State High Courts have been transferred to Delhi High Court and no one knows when it would come up for hearing. There is a decided verdict of the Supreme Court on this specific subject to which we have drawn repeated attention of DFS and IBA in terms of which an allowance which is universally paid, necessarily paid and ordinarily paid is tantamount to the character of being treated as a part of basic pay and need to be considered for superannuation benefits. As there is no restrictive order from any Court of India, the issue can be bilaterally settled. Each issue is ultimately being dragged to the Court of Law as the ultimate resort for an Indian and the natural result is that time will take its own toll and many beneficiaries will be leaving the world before getting justice. It is an area of serious concern.
3. Denial of consultative forum at periodic levels at IBA level for sorting out different issue affecting the interest of the Pensioners & the Retirees
On a number of occasions, we have sent representation to different authorities to show how the attitude of IBA is highly anomalous in this regard.
As per instruction of GOI, IBA advised all member Banks to form a grievance redressal forum at corporate level whereas IBA has reluctance to discuss several issues with the apex level Retiree organizations at its own level. Had there been any such opportunity to have formal dialogue at periodic intervals, we could have discussed issues like discrimination in the payment of DR to Retirees depending on their date of retirement, the denial of one stagnation increment to a section of retired Assistant General Managers, removal of deprivations to the Resignees in denying to them the benefit of commutation and ex-gratia in certain cases and several other issues not mentioned in the letter specifically. Our repeated efforts did not yield any fruitful result.
4. The case of Left Outs:
There have been a very few unfortunate Retirees in the Banking Industry who for various and unavoidable reasons could not exercise their option to pension. It may please be noted that similar such instances occurred in RBI and in General Insurance Companies. In all such cases, the respective employers have accommodated the very few unfortunate persons by allowing them an opportunity to opt for pension. On a very compassionate ground, one more opportunity may please be given. The Banking Industry may please not be an exception in denying such opportunity which has been allowed by the other organizations like RBI.
5. Respected Madam, you are aware of the fact that the senior citizens have already exploited the known means of persuasion and follow up - writing letters to all the decision making authorities, try to meet them on a number of occasions and handover representations being backed with papers. When nothing transpired, the senior citizens chose the way of displaying their agony and aspiration by way of peaceful demonstration in at least 23 cities (mostly capitals of states) at the call of CBPRO/AIBPARC. The senior citizens most voluntarily have gone for a day long fast (hunger strike) wherever there was no specific prohibition from authorities. The information has definitely reached the corridors of power because the offices of the concerned Government Agencies were in regular touch with the leadership to know the details of the programmes and the issues.
Our only appeal is that the struggle and sacrifice of the senior and the super senior citizens should not go waste. This is high time to hear them with patience and to act upon the issues without any loss of time so that a reasonable conclusion can be arrived at. Even at the cost of sounding monotonous, we are worried to inform that the existing numbers of pensioners of the industry who are covered by the Bank Employees Pension Regulations are decreasing day by day as an outcome of natural wastage and the surviving ones require speedy Award of justice. We sincerely believe that you would be kind enough to take such steps as to fi
nd out a long awaited resolution of the issues mentioned above.
Respected Madam, You will kindly agree with us that we the Bank Pensioners and Retirees who had worked and served the Banking Industry with distinction in fulfilling our Government's Nation Building Aspirations remain under the control of the Ministry of Finance, headed by your good self. We are hopeful that you will not allow us to be subjected to deprivations and injustice, any longer, that too at this stage of our life.
Yours faithfully,
K V Acharya. Supriya Sarkar
President General Secretary