Govt approves wage, pension revision for PSU insurers, RBI and Nabard employees

New Delhi: The government has approved wage revision for employees of public sector general insurance companies (PSGICs) and the National Bank for Agriculture & Rural Development (Nabard). It has also given its nod to pension revision for retirees of the RBI and Nabard.

In a statement the government noted that the overall hike in the wage bill for state-run general insurers will be 12.41%, which will be effective from August 2022.

While the family pension has been revised at the uniform rate of 30%, the revision also incorporates an enhancement in NPS contribution from 10% to 14% for employees who joined after April 2010. The total financial implication for this will be around ₹8,170 crore. In all, 46,322 employees, 23,570 pensioners and 23,260 family pensioners will stand to benefit.

“The decision reflects the government’s continued commitment and emphasis on social security and the financial well-being of pensioners, in recognition of their long and dedicated professional service,” it said.

The PSGICs include National Insurance Company Ltd (NICL), New India Assurance Company (NIACL), Oriental Insurance Company (OICL), United India Insurance Company (UIICL), General Insurance Corporation of India (GIC) and Agriculture Insurance Company of India Ltd (AICIL).

In the case of Nabard, the hike in pay and allowances is about 20% for all Group ‘A’, ‘B’ and ‘C’ employees. It will benefit around 3,800 serving and former employees, the statement added.

RBI PENSIONERS

The government has also approved the revision of pension and family pension to the retirees of RBI.

Under the approved revision, pension and family pension will be enhanced by 10% on basic pension plus dearness relief, with effect from November 1, 2022.

This will result in an effective enhancement of the basic pension by a factor of 1.43 for all retirees, leading to a substantial improvement in their monthly pension, it said, noting that the revision will benefit a total of 30,769 beneficiaries, comprising 22,580 pensioners and 8,189 family pensioners.

“The decision has been taken in line with the government’s commitment to ensuring fair, adequate and sustainable retirement benefits for senior citizens and dependants,” the statement said.