Comprehensive One Time Settlement Package in lieu of Employees Pension Scheme of the bank implemented in compliance of orders dated 29.11.2013 passed by Hon’ble Punjab & Haryana High Court
Case I :Quantum of package for the retirees to settle the issue once for all by introducing one time settlement scheme.
a) Package for 599 retirees who have already received pension more than the Employer’s Share.
599 retirees have already received the Pension more than the Employer’s Share belonging to them. RPFC has issued a Show Cause notice u/s 7A for the recovery of amount pertaining to the Employees Pension Scheme 1995. The recovery under section 7A is being assessed by the RPFC separately. The above retirees will be paid pension by the RPFC for which they will have to deposit the amount equal to the demand raised by the RPFC for the contribution required under the Employees’ Pension Scheme, 1995 vide the said notice dated 17.8.2012. However no recovery of excess amount already paid to them will be made by the bank.
b) Package for 261 retirees who have received Pension less than their Employer’s Share and to the retirees to whom PPO numbers are yet to be allotted
261 retirees have received Pension less than the Employer’s Share belonging to them.The balance payable to these retirees comes to Rs 14.77 crores which has been paid to them. The total liability of Rs 14.77 crores have been deposited in the bank account of retirees after adjusting the contribution required under the Employees’ Pension scheme, 1995.The above retirees will be paid pension by the RPFC under the Employees’ Pension Scheme, 1995 .
c) Package for 268 Death cases where families are in receipt of family pension
Total amount of Rs 2.68 crores ( Rs 1.00 lac in respect of each family) has been released .
Case 2: To recoup the shortfall of the existing employees
The bank will recoup the present shortfall of around Rs 112 crores Appx. pertaining to existing employees (Employer’s Share) in a phased manner in 10 equal annual installments. The portion of Employees’ Pension scheme 1995 i.e contribution @3.67% subject to maximum of RS 541 p.m out of the above will be transferred to the Regional Provident Fund Commissioner.