Saturday, 11 June 2011

ALL INDIA INSURANCE EMPLOYEES ASSOCIATION

 ALL INDIA INSURANCE EMPLOYEES’ ASSOCIATION
LIC BUILDING SECRETARIAT ROAD HYDERABAD
500063
                                                                               
Cir. No.07/2011                                                                                      19th May 2011

To all the Zonal/Divisional/State/Regional Units:

Dear Comrades,

AIIEA SECRETARIAT DECIDES TO CONTINUE THE CAMPAIGN FOR PROTECTION OF PUBLIC SECTOR INSURANCE INDUSTRY

CALLS UPON THE UNITS TO BE IN READINESS TO PREPARE THE TEMPORARY EMPLOYEES FOR THE PROCESS OF RECRUITMENT

DEMANDS THE MANAGEMENTS OF LIC AND PUBLIC SECTOR GENERAL INSURANCE COMPANIES TO RESOLVE THE PENDING ISSUES INCLUDING ONE MORE OPTION FOR PENSION

CALLS UPON THE UNITS TO CELEBRATE THE DIAMOND JUBILEE OF AIIEA ON 1ST JULY 2011

The Secretariat of AIIEA met at Hyderabad on the 15th and 16th May 2011 as scheduled.

The Secretariat reviewed the decisions of the AIIEA Conference on the Campaign to protect the Public Sector insurance industry and congratulated the units for the consistent campaign programmes taken up during 1st December 2010 to 13th May 2011. The intense campaign of our General Sector Units from South and East came in for appreciation during the meeting. Secretariat took notice of the UPA Government’s steadfast adherence to the neoliberal policies and their commitment to further the financial sector reforms as reflected in the introduction of the PFRDA Bill 2011 and the Banking Regulations (Amendment) Bill in the last session of the Parliament.  The Secretariat also noted that BJP helped the UPA in pushing through the introduction of PFRDA Bill. It is in this context that the campaign on the two Insurance Bills pending before the Parliament should continue.  This time the campaign should be focused among the People’s Representatives and the leaders of the political parties.  In this context it was also decided that on the first day of the monsoon session of the Parliament all our units should hold lunch hour rallies demanding the government to control price rise, stop public sector disinvestment, generate employment, stop the reforms in the financial sector, and withdraw the two insurance bills.

The Secretariat also took note that the government may be emboldened to push its reforms agenda further in the background of the electoral set back to the Left in the recent Assembly elections.  But the Secretariat came to a firm conclusion after discussion that the relevance of the Left in this country would be very much valid as long as exploitation continues in the society and the people rise up to fight this exploitation.

During the recent Assembly elections, the two states where Left led governments were in power had been mostly in the focus of the media.  It was for two reasons. One was because of the continued resistance of Left to the policies of liberalization. The other was because the Left Front government in Bengal had won a record seven consecutive elections, and dethroning Left in Bengal would be a booster for the forces of liberalization.

In Bengal in spite of the electoral reverses the Left still garnered 41.2% of the votes but ended up with little more than 21% of seats.  Of course, this is what happens when the principle is first-past-the post. This 41.2% vote share
(1 crore 96 lakhs of votes) of the Left should be seen in the background where in  states like Bihar, Andhra Pradesh, and Maharashtra the ruling parties/coalitions have been in power with around 40% of the vote share. In Assam too, where Congress retained power with larger number of seats, the  vote share of Congress was around 41%. In Kerala, where incumbent governments have been replaced by voters every five years for nearly thirty five years, the vote was extremely close and the Left Democratic Front almost made it back to power. In Tamil Nadu the Left parties contested 22 seats and won 19 out of these seats.

While the ruling classes are crying from roof tops that the Left has become irrelevant, a dispassionate observer would be worried about the loss of moderating power of the Left in preventing a rightward path in economic policies.

The Secretariat felt that while it would be for the Left political parties to review these results, and make conclusions, the capacity of the Left has not diminished to carry on the struggles on the people’s issues including the issues of insurance employees. The struggles on class issues which are to be fought with the people’s participation would continue as long as the people suffer from the rulers’ policies. When the Planning Commission can submit before the Supreme Court that those with monthly income of more than Rs.578 are above poverty line, one can imagine what sort of cuts are going to be there in the subsidies.  On the other hand when Indian industrialists want to go Global, government is helping them with all concessions. One need not wonder why the income foregone on taxes is more than Rs.5 lakh crores, apart from the direct concessions given to the tune of Rs.85,000 crores.   Immediately after the election results were announced the Petrol prices were hiked by Rs.5 per litre.  This hike is apart from the taxes levied by various state governments. It is this policy of the government which would create further problems for the people. Insurance employees would remain an integral part of the movement on all these issues of the people.

The Secretariat of AIIEA also discussed the communication of the UFBU inviting AIIEA for a National Convention at New Delhi on the issues confronting the banking industry and decided that AIIEA will attend the convention. Secretariat also decided that solidarity action will be taken up on the day when the Bank employees go on strike to protest against the policies of the liberalisation of banking sector.




Supreme Court Judgment on temporary employees:

The Secretariat appreciated the efforts of AIIEA in clinching a solution to the long pending problem of temporary employees who had been working for very long durations.  While the Secretariat was in session, information came that the Central Office of LIC is likely to come out with instructions for implementation of the judgment in the next few days.  The Secretariat meeting urged all the units of AIIEA in the Life Sector to provide necessary support to these eligible temporary employees right from filing the applications to train them to prepare for the simple test in the regional language.  As we write this circular we are informed that the Central Office would come out with advertisements in news papers on 20th May 2011 and also that the offices of LIC would be receiving the instructions immediately thereafter.  The test is likely to take place on the last Sunday of June 2011. 

Secretariat also decided to press for solution of the demand for one more option for pension, if necessary through a programme of action. Secretariat also noted that the other demands on modification of PL encashment rules, fixation in the stagnation stage, improvements in LTC and encashment and other issues relating to employees shall be followed up with the LIC management.

Issues relating to Housing Loans:

The Secretariat noted that some of the issues like clarification on the rate of interest, purchase of private plots, take over of loans sanctioned by LIC where the title is not as per the LIC HFL norms, bifurcation of loan where the employee and the spouse are employees of LIC etc. were resolved through the circulars issued by LIC HFL.  But the major issue relating to calculation of EMI as per the MoU and the calculation of net EMI less the subsidy from LIC are to be implemented in a proper way.  The Secretariat of AIIEA decided that Coms. V. Ramesh, H.I. Bhat and K. Swaminathan will be part of the team to take up the issues relating to LIC HFL on a regular basis till the process stabilizes. 

Insurance Worker

As per the decision of the 22nd Conference of AIIEA, the publication of Insurance Worker is being shifted to Bengaluru effective from the July 2011 issue.  Com. Amanulla Khan will be the Editor and Com.N.K. Vedraj will be the Publisher. The Conference felt that the name of Manager may be finalized in consultation with the Bengaluru comrades.  The comrades of Bengaluru units of AIIEA suggested the name of Com.M. Chandan (former General Secretary of Bangalore I Divisional Unit) as Manager of Insurance Worker.  Secretariat meeting approved this suggestion of the Bengaluru comrades.

Secretariat Meeting placed on record the total appreciation of the Organisation to all the comrades who were responsible for bringing out the Insurance Worker for all these years from Chennai uninterruptedly.


 Organisation:

Secretariat noted that as per the decision of the 22nd Conference of AIIEA, Trade Union Classes/work-shops/Shibirs are being organized by the units across the country to equip our cadres and members with the necessary information for the conduct of the activities. This activity shall continue till the comrades at the Branch level are covered under this process.

The Secretariat noted that there was a healthy response to the call for levy on the wage revision arrears from all the 110 divisional units (General Sector Units sent the levy share of AIIEA to the Standing Committee at Chennai). Secretariat congratulated all the units and members for their response reflecting the faith and commitment in the Organisation.

AIIEA will complete 60 years of its successful existence on 1st July 2011.  The day shall be observed with flag hoisting in all the units across the country.  Programmes involving the employees and their families shall be conducted culminating in a valedictory function in the first week of July 2011. Efforts may be made to involve Agents, Development Officers, and Officers in this activity.

Conference of AIIPA to be held at New Delhi in October 2011

The Secretariat discussed about the issues of the Pensioners in the insurance industry.  It also noted that the 5th Conference of the All India Insurance Pensioners’ Association is going to be held at New Delhi during 16-19 October 2011. President and the General Secretary of NZIEA informed the Secretariat that all possible help and cooperation will be extended to the AIIPA in conduct of the Conference at New Delhi.

After the conclusion of the Secretariat meeting, an employees’ meeting was held before the Hyderabad Zonal Office where large number of employees attended.  The decisions of the Secretariat were informed to the employees through this meeting and the employees responded enthusiastically to the decisions and calls of the Secretariat.
Comradely yours,
Sd..K.Venugopal
General Secretary.

3 comments:

  1. Sub:- Discrimination to GIC PENSIONERS
    The Central Govt. has notified the General insurance pension scheme 1995 vide Extra ordinary gazette part II section 3 sub section II dated: 28/04/1995. As per this scheme the qualifying service for full pension of 50% of last drawn basic is 33 years and rate commutation of pension is 33%. This scheme was prepared by taking the relevant portion of the central civil service (pension) rules 1972 which was modified up to that date. This is evident from the residuary provision contained in Para 55 of our scheme which states that “Matters relating to pension and other benefits in respect of which no express provision has been made in this scheme shall be governed by the corresponding provision contained in CCS (pension) rules 1972 or CCS (communication of pension) rules 1981, applicable to central employees”.

    Hence it is logically concluded that CCS (pension) rules 1972 & General insurance pension scheme 1995 are corollary to each other. In other words CCS (pension) rules 1972 is the basic structure of General insurance pension scheme 1995.

    Whereas this is the relation between each other, the CCS (pension) rules 1972 have been modified twice with the implementation of 5th and 6th CPC report. The latest being 6th CPC implementation office memorandum F No 38/37/08-P&PW (A) Gov. of India dated 02/09/2008. According to Para 5.2 of this memorandum the linkage of full pension with 33 years of qualifying service shall be dispensed with. Once a government servant has rendered the minimum qualifying service of twenty years, pension shall be paid at5 50% of the average emolument for last 10 months. Another important modification effected to CCS (communication) rules 1981 is by the Para 9.1 of the above memorandum which states that “A Govt. servant shall continue to commute a lump sum payment of maximum 40% of his pension. (We are still following 33 years of qualifying service for full pension and rate of commutation 33%)

    Those amendments to, CCS (pension) rule, 1972 which are favorable to GIC pensioners have not been implemented in GIC pension scheme 1995 and those which are unfavorable to GIC Pensioners have been implemented with retrospective effect. One of such example is that New contributory pension scheme has been introduced to CCS pensioners w.e.f. 01/01/2004 amending CCS (pension) rules 1972 along with the 6th CPC implementation. Same amendment has been made to, GIC pension scheme implementing new contributory pension scheme with retrospective effect to all GIC pensioners w.e.f. 01/01/2004. This is discriminatory in nature and against the spirit of article 226 of our constitution.

    Since nothing is mentioned in our GIC pension scheme 1995 regarding modification of improvements, we have to depend on the CCS (pension) rules 1972 and CCS (commutation) rules 1981 as per the Para 55 of GIC pension scheme 1995. (Which is the only remedy mentioned in our scheme)

    Hence it is requested to modify the GIC pension scheme 1995 chapter vi & chapter viii for delinking 33 years of qualifying service with full pension and to increase the rate of commutation from one third to 40% as per the above CCS pension and commutation modification rules contained in Para 5.2 & Para 9.1 of government of India ministry of personnel, public grievances & pensions, department of pension & pensioners’ welfare office memorandum F.NO.38/37/08-P&PW (Dated 02/09/2008
    ENCL: F.NO.38/37/08-P&PW (A) dated 02/09/2008, GIC Pension Scheme 1995.

    ReplyDelete
    Replies
    1. I have retired from New India -- Can you provide me copy the enclosers of your note i.e. F.NO.38/37/08-P&PW (A) dated 02/09/2008, GIC Pension Scheme 1995.please reply to pvvithalani@yahoo.com - Regards
      -- Vithlani

      Delete
  2. It is the Success of AIIEA and AIIEA ALONE in getting justice for the Temporary Employees

    ReplyDelete