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EPF Beneficiaries in the Country 

As on 31.03.2012, total number of beneficiaries under Employees’ Pension Scheme 1995 are 41.03 lakhs and the amount of pension paid to these pensioners by the Employees’ Provident Fund Organisation (EPFO) is Rs. 4475.45 crores. 

A proposal of the Pension Implementation Committee (PIC), a sub-Committee of the Central Board of Trustees, Employees’ Provident Fund (EPF) to enhance the minimum pension under Employees’ Pension Scheme, 1995 to Rs. 1000 is under consideration of the Government. 

The Minister of State for Labour & Employment Shri K. Suresh gave this information in reply to a written question in the Rajya Sabha today about the the total number of Employees Provident Fund's pension beneficiaries in the country and amount of pension being paid to them from exchequer; and whether Government will abide by its old promise to enhance their pension amount and if so, by when it is likely to be materialised. 

  • Decision on one rank one pension scheme
    This information was stated by the Minister of State in the Ministry of Defence Shri.Jitendra Singh in written reply to a question by Shri.Prakash Keshav Javadkar in the Rajya Sabha on 5.12.2012.

    Government has always been sensitive to the demand of One Rank One Pension. Keeping in view the spirit of the demand, several Commissions / Committees were appointed. Though the demand was not accepted, their recommendations resulted in improving the pension of past pensioners.

    A Committee was set up under the Chairmanship of the Cabinet Secretary in June, 2009. The Committee went into the demand and other related issues. It made seven recommendations aimed at narrowing the gap between earlier and current pensions. This has benefited about 12 lakh retired PBORs / Officers at an annual cost of Rs.2200/- crores approximately.

    Government constituted another Committee in July, 2012, headed by Cabinet Secretary for looking into the pay and pension related issues of relevance to Defence service personnel and Ex-servicemen. The Committee submitted its report. Its recommendations have been accepted by the Government and are in the process of implementation.

    Substantial improvements have been made in the pensions of Armed Forces Personnel after 01.01.2006. However, improvement of pensionary benefits is an ongoing process.

    Pensionary and GPF benefits to the employees of Non-Statutory Departmental Canteens Employees

    No.12/4/97-Dir (C) (Vol.II) 
    Government of India 
    Ministry of Personnel, Public Grievances and Pensions 
    Department of Personnel and Training

    3rd Floor, Lok Nayak Bhawan, 
    Khan Market, North Block, New Delhi, 
    dated the 26.11.2012


    Subject: Implementation of the Order dated 30.4.12 passed by the Hon’ble Delhi High Court in W.P. (Civil) No.5695/2000 – Pensionary benefits to the employees of Non-Statutory Departmental Canteens – Regarding.

    The undersigned is directed to refer to this Department’s Office Memoranda Nos.12/3/92-Dir (C), dated 16.11.92 and 16.12.93 (copies enclosed) which provided for Pensionary and GPF benefits admissible to the Non-Statutory Departmental Canteen employees. These provisions had been against by a section of canteen employees. The Hon’ble CAT, Principal Bench, New Delhi in two such petitions bearing Nos.572/96 and 2136/98 have ordered on 3.12.99 and 13.1.2000 respectively as under :-

    i) "……….The respondents are, therefore directed to grant the benefits of the entire past service prior to the Applicants having been declared as Government Servants for counting towards pensionary benefits"

    ii) "………Respondents are directed to take a decision in terms of the decision given by the Tribunal in O.A. No.572/96 take into account the entire past service of the applicants for purpose of  counting towards pensionary benefits".

    2. However, Government decided to file an appeal against the said orders of the CAT before Hon’ble High Court. Accordingly, an appeal was filed vide W.P. No.5695/2000 against of the CAT. Pending disposal of W.P.No.5695/2000 in the Delhi High Court, it was decided to implement the CAT’s Order dated 3.12.99 vide OM No.12/9/2000-Dir (C), dated 8.11.2000. Now, W.P. (C) No.5695/2000 has been dismissed by the Hon’ble High Court vide their order dated 30.04.2012 for devoid of merits.

    3. The matter has been accordingly considered by the Government and it has been decided that the entire past service rendered on regular basis by the non-statutory canteen employees will be reckoned as "Qualifying Service" for the purpose of calculation of pension in accordance with the relevant provisions contained in CCS (Pension) Rules, 1972 and related orders. This admissibility will be subject to the refund of the entire amount received as employers’ contribution to the EPF, if any, including interest received by them alongwith interest at the rate applicable to GPF accumulation from time to time as prescribed in Department of Pension and Pensioners Welfare’s OM No.38/34/2001-p&PW (F), dated 29/4/2002 (copy enclosed). The interest will be calculated for the period from the date of receipt of employers’ share of EPF contribution by the employee to the date of refund to the Government.

    4. In view of the above, the provisions contained in this Department’s Office Memoranda bearing No.12/3/92-Dir (C), dated 16/11/92, 16/12/93 and 8/11/2000 shall stand modified to the extent of the provisions specified herein above.

    5. The Ministries/Departments are requested to issue instructions to their attached/subordinate offices to take immediate necessary action to settle the cases of the employees afresh who retired/died in harness on or after 1/10/91.

    6. This issues with the approval of Ministry of Finance, Department of Expenditure U.O. Note No.1(17)/E.V/2000, dated 7/11/2012 and Ministry of Home Affairs, Home (Finance) Dy. No.CF 147351/AFA (F-1), dated 8/11/2012.

    7. Hindi version of this will follow.

    (Pratima Tyagi) 
    Director (Canteens)

    New Format Cheques will be valid from 1.1.2013

    New Format Cheques CTS-2010 Standards will be implemented from 1st January, 2013

    CTS- 2010 Standards implementation : Standardisation and Enhancement of Security Features in Cheque Forms, the introduction and implementation of additional security features on cheque forms will commence from 1.1.2013, this Guidance Note will be called CTS-2010.

    Important things on new cheque leaf as follows...

    A) Water Mark (to be incorporated at the paper manufacturing stage)

    B) Void Pantograph ( at printing stage)

    C)Ultra-violet logo of Bank(at printing stage)

    D) Standardized field placements of a cheque

    E) Cheque printing colours and background.

    F) Microlettering.

    G) New Rupee Symbol at CAR (Courtesy Amount Recognition) amount in figure field.

    H) Printer Name along with CTS – 2010

    What would be benefit of cheque truncation to customers of banks?
    Before we answer this question, we have to understand the present system of cheque clearance. The cheques presented by customers, today, are sent to the clearing house at the drawee centres by the beneficiaries' bank. The cheques at the bigger cities, in view of the large volume of paper instruments, are subjected encoding and then to mechanical sorting and thereafter reach the drawee branches. 

    As per the existing banking practice, these instruments received at the counters of the drawee branches are paid or returned by them. The returned instruments are passed on to the presenting customers through the process of a return clearing. Only after the return clearing process gets over, banks release the credit to the customers. The beneficiaries' account gets credited on the same day on which the drawees' account gets debited; however, the beneficiary is permitted to use the proceeds only after the return clearing process. 

    With the introduction of the imaging and truncation, the physical movement of instruments would be stopped and the electronic movement of images of cheques would speed up the process of settlements and ultimately alter the clearing cycles. The clearing cycle could be shortened and it would be possible for customers to realize the proceeds of cheques early. Thus cheque truncation would reduce effectively the time of float, i.e. time from the point of issue of cheque to the point of time the actual debit takes place. In case such clearing is introduced across the cities, it would ensure the realisation of inter-city instruments faster thus ensuring early availability of funds to beneficiaries.

    Thus the benefits could be summarized as:
    a) Faster clearing cycle;
    b) Better reconciliation/verification process
    c) Better Customer Service ñ Enhanced Customer Window
    d) T+0 for Local Clearing and T + 1 for inter-city clearing.
    e) Elimination of Float - Incentive to shift to Credit Push payments.
    f) The jurisdiction of Clearing House can be extended to the entire country - No Geographical Dependence
    g) Operational Efficiency will benefit the bottom lines of banks - Local Clearing activity is a high cost no revenue activity.
    h) Minimises Transaction Costs.
    i) Reduces operational risk by securing the transmission route


    Ex-servicemen to get timely pensions

    | Dec 6, 2012, 05.29 AM IST

    NEW DELHI: The defence ministry on Wednesday took several decisions to ensure ex-servicemen get their pensions in time, stung by criticism over the huge delay in former NSG commando Surender Singh getting all his dues. Anti-graft crusader Arvind Kejriwal had raised the case of Singh, who was injured in the 26/11 terror attacks, last month, forcing the government to admit there had been a considerable delay since the soldier's retirement "paperwork'' had not been completed in time.

    At a meeting chaired by defence minister A K Antony, it was decided that 50% of the pension of soldiers who are "invalidated out" or are "war casualties" should be disbursed immediately, pending the completion of retirement/medical board formalities. It was also decided the Army and Navy should follow the IAF's example of the which has established " e-tracking process" to ensure pensions are disbursed in time.

    Antony also directed that orders for the recently announced Rs 2,300 crore pension package for ex-servicemen should be issued by this month-end. ``The minister said the disbursement of the enhanced pensions should begun by March 31,'' said an official.

    Minister of state for defence Jitendra Singh will also hold a meeting with different banks this month to bring "uniformity'' in the disbursement of pensions. Antony also asked his officers to ensure "faster disposal'' of decisions taken by the 
    Armed Forces Tribunal.

    Ex-servicemen, however, still remain unhappy over the non-implementation of their long-standing demand for one rank, one pension mechanism, which has been promised by most political parties over the years but has never been implemented.

    The defence community of 14 lakh serving and 23 lakh retired military personnel, after all, swells into a sizable - albeit diffused - votebank of around 1.5 crore people if family members are also taken into account.

    Breaking IV CPC Rank Pay Case Update

    UOI have filed application seeking extension of time limit by another 12 weeks in the Supreme Court giving ref of its order of 04/9/12. Main reasons given are:

    1. Calculation of arrears spread over three pay commissions (IV/V/6 CPC). Work load heavy which has to be done for every officer.

    2. In respect of pre 1986 officers no data exists which has to be created all over again.

    3. Final financial implication can only be known once all calculations are complete in respect of every officer for which budgetary allocation is being done.

    More will follow.

    Secy RDOA



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