WAGE REVISION - OFFER DOCUMENT

OUT COME OF TODAYS' WAGE TALKS AT HYDERABAD (03.03.2015)

03.03.2015

• TODAY GIPSA OFFERED Rs.763.88 CR. WAGE RISE i.e 15% OF WAGE BILL AS ON 01.08.2012 i.e. Rs.5092.54 CR.

• GIPSA NOT MENTIONED NEUTRALISATION POINT i.e.MERGER POINT.

• WE DEMAND FOR MERGER OF DA AS ON 01.08.2012 i.e.4708.

• PROMOTION REFORMS COMING SHORTLY..
•  GIPSA ASSURED THEY WILL GET APPROVAL FROM MINISTRY REGARDING ANOTHER OPTION FOR PENSION

• NPS NOTIFICATION SOON

• TMP AS PER CVC

• GIPSA IS COLLECTING FEMALE EMPLOYEES DATA FOR IMPLEMENTING TRANSFER POLICY.

• SEPERATE TALKS WITH CLASS-II

• WORKING ON LTS ENCASHMENT

• GMC POLICY FOR PROBATIONERS

MANAGEMENT AGENDA:

• MOBILITY TO MICRO OFFICES

• BIOMETRIC ATTENDENCE

• MAINTANING 40C

• CODE OF CONDUCT TO UNIONS

• INCLUDING OTHER EARLIER AGENDA 

CIRCULAR FOLLOWS

SUJIT BAGCH

GENERAL SECRETARY

NFGIE

More deductions but no I-T slab change: What Budget 2015 offers salaried class

Finance Minister Arun Jaitley did not really bring in acche din for the salaried class as the income tax slabs remain unchanged but it did offer some respite by doubling monthly transport allowance ( which is tax free) to Rs 1600 as well as offering deductions under section 80 (D)

Firstly, Medical reimbursement/Mediclaim deductions under section 80D have been raised from Rs 15,000 to Rs 25,000; and Rs 30,000 for senior citizens.

Secondly, Disabled and very senior citizens will get higher deductions

Thinkstock Images

"For senior citizen above the age of 80 years, not eligible to take health insurance, deduction is allowed for Rs 30,000 toward medical expenditure. Deduction limit of Rs 60,000 on expenditure on account of specified diseases is enhanced to Rs 80,000 in the case of senior citizens," the government release said.

Additional deduction of Rs 25,000 is allowed for differently-abled persons, increasing the limit from Rs 50,000 to Rs 75,000. It is also proposed to increase the limit of deduction from Rs 1 lakh to Rs 1.25 lakh in case of severe disability.

Thirdly, Additional deductions of Rs 50,000 per annum will be available for contributions to pension schemes.

Fourthly, Tax-free travel allowances raised from Rs 800 pm to Rs 1,600

What this means is that individual taxpayers can effectively have a tax-free income of Rs 4,44,200 if they use all deduction options.

Jaitley also proposed to provide that investment in Sukanya Samriddhi Scheme will be eligible for deduction under section 80C of the income-tax and any payment from the scheme shall not be liable to tax. 

However, there have been no changes in the personal income tax exemption limit. Last year Jaitley had raised the personal Income Tax exemption limit by Rs 50,000 to Rs 2.50 lakh and also raised by same amount the exemption from payment of Income Tax on savings to Rs 1.50 lakh. Jaitley had also raised the tax exemption limit on repayment of housing loans to Rs 2 lakh from Rs 1.5 lakh but hut apart from deductions no other sops for the salaried class have been offered.

Here's the bad news for the super rich though: Wealth tax has been replaced with an additional 2 percent surcharge on the super rich.

"Jaitley proposed to levy a surcharge at the rate of 12% on individuals, HUFs, AOPs, BOIs, artificial juridical persons, firms, cooperative societies and local authorities having income exceeding Rs 1 crore. Surcharge in the case of domestic companies having income exceeding Rs 1 crore and upto Rs 10 crore is proposed to be levied @ 7% and surcharge @ 12% is proposed to be levied on domestic companies having income exceeding Rs 10 crore," said a government released.

NFGIE next Conference at Dehradoon on 24th & 25th ,April, 2015

19^TH FEBRUARY, 2015.

Friends,

You all know that the Structured Meeting – 2015 scheduled on 14.02.2015 leaders of GIC Employees’ Union from various parts of the country attended the said meeting.Taking the opportunity a meeting of the Standing Committee of the Central Secretariat was held to transact the following Agenda:

1.      Self Introduction

2.      MBS Election 2015

3.      Organizational Matter

4.      Fund Position

5.      Conference – NFGIE, Date and Venue

6.      Structured Meeting

7.      Miscellaneous.

Meeting was presided by Mr. T K Sathis Kumar, Working President, NFGIE.  The meeting took stock of the situation after MBS Election 2015.  All the units were praised for their effort in making NFGIE and AIGISCSTEWA for successful in the MBS Election.  Analyzing the result Mr. T K Sathis Kumar read some statistics showing the robust presence of NFGIE in all the southern states and some other parts of the country.  Emphasis was given for strengthening the areas where NFGIE suffered a setback due to the betrayal of some of the leaders.

In the Organizational matters stress was laid for strengthening the Organization in Western Zone specially Mumbai.  Mr. Vasant Khade , General Secretary, GICEU(WZ) was requested to convene a meeting of Western Zone at the earliest.

The Financial Position of the NFGIE was informed and to meet the outstanding liabilities it has been decided to go for pre-mature encashment of Fixed Deposit of Rs. 1.0 lac. 

All of you are aware, that the last Conference of NFGIE was held at 5^th &6^th October, 2012 at Hyderabad and in the meeting it has been decided to hold the next Conference at Dehradoon on 24^th & 25^th ,April, 2015.  GICEU, Dehradoon will be the host Region. All affiliated units are requested  to confirm their attendance at the said meeting and booking tickets.  Delegation Fee per head will be communicated to you later on.

With regards,

Sd/- xx xx xx,

SUJIT BAGCHI

GENERAL SECRETARY

N.F.G.I.

DETAILED CIRCULAR ON STRUCTURED MEETING WITH NW INDIA MANAGEMENT ON 14.02.2015

19.02.2015

Dear friends,

The Structured Meeting of NFGIE with the New India Management was held as Scheduled on 14^th February, 2015 at Head Office.

Apart from the undersigned, M/s. T K Sathish Kumar, Working President, NFGIE, Mr. V. Venkatesh Kumar, Organising Secretary, NFGIE, Mr. T G Gopalkrishna, General Secretary, GICEU(AP & Vizag), Mr. K Badrinarayan, GICEU, (Chennai), Mr. Rajiv Singh, General Secretary, GICEU (Kanpur), Mr. V P Singh, General Secretary, GICEU(Ludhiana), Mr. O P Rajodia, GICEU, (NORTHERN ZONE) attended the meeting.  From the Management side Mr. G. Srinivasan, CMD, Mr. P. Nayak,GM(P), Mr. Sanat Kumar, GM and Mr. Rakesh Kumar, GM and host of other GMs and DGMs. I hope you have already been communicated through E-mail the proceedings of the Structured Meeting just after the meeting.  I like to further add that the agenda that was mailed to you on 30^th January, 2015 was slightly altered as suggested in the Central Secretariat Meeting held on 13.02.2015.

At the outset CMD on behalf of the management welcomed the delegates and provided inputs regarding the changing scenario in General Insurance industry especially after the recent promulgamation of Ordinance on Insurance Laws and asked for the co-operation from all concerned to face the challenge.

On behalf of NFGIE, it was stated that after a long time New India Management called NFGIE for Structured Meeting.  Though management intended to call NFGIE for Structured Meeting in the year 2013, since it was not feasible for NFGIE to participate in the said meeting due to pre-occupation of the NFGIE leaders with PF election.  Demand had been placed to convene Structured Meeting once in a year to have a better exchange of views on employees’ grievances and sharing of them with management.  It was also reminded that the NFGIE is the oldest Union of the Industry having significant presence in all classes of employees and officers covering from Class-I to Class IV.  The members of NFGIE working across the whole country are instrumental for the robust performance of the company during the last few years.  Considering this factors management should allow a larger number of delegates from NFGIE.  It is unfair to equate them with other unions not having the membership pan India or membership is limited to a particular class only.  It was explained that Agenda contents points pertains to various anomalies relating members concerned.   Hence, it has been brought to the attention of the Top Management for redressal of grievances. 

Long pending issue of inclusion in Pension Scheme – 1995 of FTS who have been upgraded from PTS was elaborately explained and the pathetic and hapless position of the existing FTS was also narrated.  Management expressed willingness to consider the case positively. 

NFGIE raised the issue for the improvement of connectivity of CWISS to provide better service to the customer all over the country.  Management requested us for written submission on the same.

Management has agreed to examine the feasibility of deduction of union subscription through salary.

Management expressed positive response on the issues like Domiciliary Lumpsum Payment to both the employees (Husband & wife) employed in the company or other PSGI  where one is in the Class-I cadre and the other is in class-III, Completion of  Promotional Exercise of Class-III & IV within the month of June every year, inclusion of Crones’ Disease & Spinal Surgery in the list of major disease for the purpose of TMP. 

On our demand for recruitment of class-II and also one more option for conversion from class-III to class-II Management informed that a committee has been formed to frame the modus operandi for further induction in the class-II cadre.

Regarding training of all employees Management informed that the exercise is already in process but we urged the HO to oversee the implementation of programme in all ROs. 

Management showed positive response regarding Special Promotion in the cadre of Substaff / RC to Assistant who are Graduate .

The problems faced by the employees whilst deputed in General Election Duty by was raised.  In this context Special Leave for those who have suffered any injury during such period and payment of uncovered medical expenses was discussed. To provide the necessary relief Management agreed to examine each case on merit basis. Even the anomaly on payment of Honorarium on election duty between New India and LIC was pointed out and request was made for the removal of the anomalies.

The need to modify the LTS Circular was stressed and the Management agreed to take care of the same.

On our demand for  increase in amount of advance against natural calamities Management has stated to decide on merit of each case.

On Compassionate Appointments  for cases before November, 2014 the Management expressed their inability to all such cases. However,  Management was asked to find out some ways and means for giving appointment.

Implementation of Ministry’s Circular on posting of Female Employees on appointment,  promotion and transfer,  Management is still taking up the issue with the Ministry to frame Policy in this regard.  Our request was to expedite the process.

Regarding allowing Incentives to all the employees the Management will be taking up the matter appropriately and some measures will be adopted by them.

On our demand  for own TPA, Management informed that it is expected that own TPA will be floated within 4-5 months.

Management agreed to consider our Proposal for inclusion of physically and mentally retarded  children of employees aged more than 25 years in Staff Group Mediclaim

Demand was placed for inclusion of left out retirees/family members of the deceased employee and for another option for change of Sum Insured under   Staff Group Mediclaim,  Management has agreed to review .

On the demand   for another Option for Pension Scheme-1995 for all left out employees in the industry Management stated that they are pursuing with the  Ministry and hopeful of getting  positive response.

 Management has agreed to consider our views on PF matters such as upward revision of quantum of PF loan on medical grounds, increase  in the number of  Non-refundable PF Loan on medical grounds from three to four times in the service period, adjustment of existing balance of Refundable PF loan.  

Our demand for formation of Women Forum at HO/RO level, Renovation of Staff Quarters, Retirement training to all have evoked positive response from Management’s end.

We have demanded proper infrastructure to all Micro Offices all over the country. We have pointed out that in some of the Micro Offices there is lack of basic amenities like toilet.  Management has stated that if the Micro Office has problem with the toilets such offices should be shifted. 

            Further, we have demanded increase in cost of shoes, Umbrella and stitching Charges , increase in allowances for TSS, declaration of Region-wise Restricted Holidays , all offices including Micro offices should be properly furnished with AC. Management agreed to  give due weightage on points raised and  further  agreed to  increase  incentives to employees posted in Micro Offices and also agreed to post one additional manpower if the premium crosses Rs. 50.0 lacs.  We have demanded not to post any female employee in the micro offices and the management assured not to post of any female employees forcefully.  We have again demanded for representations of all the checked off unions in the running of the HO Sports Club.

Our demand on MBS points for increasing number of Trustees, management expressed their willingness to review in the next term. We have also demanded upward revision of benefits of MBS.  We have also demanded that as a Public Sector Undertaking our Bankers should be Public Sector Banks.

 We have also demanded sanctioning of Vehicle loan to newly upgraded FTS as they have already  completed  five years of service.

Friends, we assure you that NFGIE will painstakingly pursue with the NIA Management to make effective the issue discussed in the Structured Meeting and let you know in due course.

YOURS SINCERELY

Sd/- xx xx xx

SUJIT BAGCHI

GENERAL SECRETARY

NFGIE

BRIEF SUMMARY OF THE STRUCTURED MEETING HELD ON 14TH FEB.15 AT HEAD OFFICE MUMBAI. BETWEEN NFGIE AND NIA MANAGEMENT

1.       Pension Scheme – 1995 be applicable to newly upgraded FTS from PTS

Management HAS  agreed to consider

2.       Deduction of Union Subscription through Salary.

Mgt.has agreed to examine the feasibility

3.       Connectivity in CWISS

Matter will addressed suitably  and Mgt. appreciated our concern and listened to our  suggestions for improvements.

4.       Modification of  recent circular  in Leave Travel Subsidy 

Apprehension expressed by NFGIE in the recent amendments in LTS will be taken care.

5.        Payment of Domiciliary Medical expenses to both class-III and his or her spouse working as Class – I

Management accepted our views and necessary instructions will be passed.

6.       Officer in New India Retired employees  be allowed to act as Defence  Assistant

Management  expressed  reluctancy

7.       Election Duty.

Examine the matter  issue wise

8.       Promotional Exercise for Class III & IV has to be completed each year by June and no identification of vacancies.

Management has  agreed to consider our views and all possible measures will be taken to complete the exercise in time.

9.       Sanction of Advance in case of Natural calamities.

Inspect and decide as per merit of each case

10.   Inclusion of Crone’s disease and spinal surgery in the list of major disease  for the purpose of TMP. 

Agreed

PPF Account: Lock-In Period May Be Hiked

New Delhi: The Finance Ministry is considering a proposal to raise the minimum lock-in period for withdrawal from the Public Provident Fund (PPF) account from six to eight years to attract longer-term funds for infrastructure development.

"Infrastructure funding is the focus area for Budget. PPF is long-term investment and the idea of increasing the PPF lock-in is to have more scope to channelise funds into infrastructure," a source said.

The NDA government would present its Budget for 2015-16 on February 28.

"There are two proposals on the table. Increasing the lock-in period by at least two years to eight years. And also hiking the time limit for maturity of investment from 15 years," the source added.

Currently, investment of up to Rs 1.50 lakh in PPF is exempt from income tax under Section 80C. This was hiked from Rs 1 lakh in the Budget for 2014-15.

The interest rate on PPF account is revised at the beginning of financial year in April and currently stands at 8.7 per cent. The minimum annual investment is Rs 500 and maximum is Rs 1.5 lakh.

Under the current norms, an individual can withdraw money from his/her PPF Account only at the end of sixth year. The maximum amount of withdrawal from PPF account is 50 per cent of the amount retained in the account at the end of fourth year.

This amount can be used for any emergency purpose or for higher studies.

After the completion of 15 years, the investor has the option of withdrawing the fund or extending the lock-in period by five more years.

India targets to double its investments in infrastructure to $1 trillion during the 11th Five Year Plan that began in April 2012.

Provident Fund Rules Likely to Be Changed: 10 Facts

The government is likely to introduce a Bill to amend the Provident Funds and Miscellaneous Provisions Act in the Budget session of Parliament, with the objective of bringing more workers under the social security benefit, said Rajesh Bansal, additional central provident fund commissioner.

Here is your 10-point cheat-sheet:

1) At present, firms with 20 or more employees come under the purview of Employees' Provident Fund Organisation (EPFO), which administers the contributory provident fund scheme. The Bill may propose to halve this threshold limit to 10.

2) The Budget session of Parliament begins from February 23.(Read:PPF Maturity, Withdrawal Rules May Be Changed)

3) The Provident Fund Amendment Bill may also propose to reduce or waive the mandatory provident fund contributions by employees in certain cases based on the financial position of the sector.

4) EPFO has a base of over 5 crore subscribers and receives over Rs 70,000 crore as incremental deposits every year. The retirement fund body manages a corpus of nearly Rs 6.5 lakh crore.

5) Last year, Finance Minister Arun Jaitley in the Budget had announced that an employee earning up to Rs 15,000 per month will have to mandatorily maintain an provident fund account. Earlier, if the employee earned above Rs 6,500 per month, it was voluntary to have a provident fund account. This is expected to bring nearly 50 lakh additional formal sector workers under the ambit of the social security schemes of the retirement fund body.

6) The government had also fixed the minimum pension for EPFO subscribers at Rs 1,000 as well as increased the maximum insurance limit for provident fund subscribers to Rs 3.6 lakh, from Rs 1.56 lakh. This hike will benefit over 30 lakh pensioners.

7) Every month, 12 per cent of an employee's basic salary goes into the provident fund account and the employer matches the contribution. Out of the employer's contribution, 8.33 per cent goes into the Employees' Pension Scheme.

8) Housing Scheme: In a recent note, the Prime Minister's Office had asked the retirement fund body to promote affordable housing for its subscribers and use its funds for the purpose. According to the note, deployment of 15 per cent of EPFO funds as loan for low-cost housing would generate a credit flow of Rs 70,000 crore and can create 3.5 lakh additional low-cost homes.

9) The Labour Ministry is keen on a scheme under which EPFO subscribers could withdraw their PF deposits to make part-payment of the total cost of the house, reports said. At present, EPFO subscribers can withdraw money from their PF accounts for buying houses only after contributing for a period of five years.

10) Inoperative Accounts: Nearly Rs 27,000 crore of money is lying 'inoperative' with the retirement fund body for lack of accurate details of workers. A special facility has been launched on EPFO's website to enable members to identify and trace out their old accounts marked as inoperative. PF accounts that are inactive for 3 years stop earning interest.

(With inputs from PTI)

PREJUDICIAL INSTRUCTIONS TO T.P.A. ON MEDICLAIM

09.02.2015

To

The General Manager (P),

The New India Assurance Co. Ltd.,

87, Mahatma Gandhi Road,

Mumbai – 400001.

Dear Sir,

We have come across an information that the Corporate HRM:EWS has advised  TPAs involving settlement of claims under current Staff Group Mediclaim Policy issued by United India restricting payment through cheque made by the insured Mr. L R Ringshia, Ex-AGM, New India directly to surgeons and not forming part of the Hospital Bill. The direction/guideline issued by your Corporate HRM stipulates that the quantum of Surgeon fee and Anaesthetist Fee shall be the maximum of 25 percent of the Sum Insured and fees paid in cash up to Rs. 10,000/- will be reimbursed provided the numbered bill issued by the concerned doctor is submitted. 

We have perused the said policy but there is no such restrictive provision.  Moreover when the policy has been issued by the United India Insurance Co Ltd how the New India Corporate HRM arbitrarily could issue instruction to the TPAs altering the terms and conditions unilaterally keeping all concerned in the dark.  Further any mid-term alteration of terms and conditions of the policy will be strongly opposed by us as it amounts to breach of the policy.

In view of the above we would request you to   intervene into the matter and direct the officials concerned to withdraw this prejudicial instruction so that the insureds are not   deprived of their entitlement with respect to quantum of claim amount.

We do state in this context that The United India Insurance Co. being the insurer in the instant case,  in all fairness we should be guided squarely by terms and conditions of the policy issued by U.I.I. without any variation whatsoever.

A line in confirmation in this regard shall be appreciated.

Thanking you,

Yours faithfully,
Sd/- xx xx xx
SUJIT BAGCHI
GENERAL SECRETARY,
N.F.G.I.E.

Principal Office bearers of Check Off qualified Unions & Associations of Class I / II / III & IV Employees of GIPSA Member Companies

To

Principal Office bearers of Check Off qualified Unions & Associations of Class I / II / III & IV Employees of GIPSA Member Companies

Dear Sir,

We propose to hold the 3rd round of discussion on Wage Revision discussions on 27.02.2015 at Hyderabad and accordingly invite you to attend the joint meeting on 27.02.2015 at 2 PM onwards.

The said meeting will be preceded by lunch.

We now request you to nominate your 02 representative who will participate in the meeting.

The exact details of venue of the meeting will be communicated to you shortly.

Regards

R.S.RAWAT
V.P, GIPSA
Ground Floor, Jeevan Tara
Parliament Street
New-Delhi -110 001

Inclusion of Left Out persons in Staff Group Mediclaim Polic

5th February, 2015.

The Chairman,

G I P S A

New Delhi.

Re: One time option for left-out persons to join the Revised 

       Staff Group Mediclaim Policy for the year 2015.

Dear Sir,

You are aware that Revised Group Mediclaim Policy was introduced last year w.e.f. 1^st February, 2014.  At that time due to repeated postponements for introduction of the Revised Group Mediclaim Policy proper communication to the beneficiaries, as the authority had directed, in respect of introduction of this policy did not reach the retired employees and family members of the deceased employees all over the country.  Even the newspaper insertion in this respect was so insignificant that the same could not draw attention of the concerned beneficiaries.  Also the insertion was not well publicized across the country.  As a result, there are instances, some of the eligible persons could not enroll/cover themselves in the said policy.  Now it is decided that the policy in question has been extended for two months i.e. for the month of February and March, 2015 and thereafter policy will cover for the period from 1.4.2015 to 31.03.2016. 

It is our fervent request to you to allow one more option for the left-out persons to join in the said Group Mediclaim Policy and instruct all the PSGI Companies accordingly.  By your said act of extending the option, a number of ex-employees and their family who were unable to avail the opportunity for no fault of them, would be greatly benefited.

Hope this request of mine will receive your due sympathy and approval as well.  A line in confirmation without any delay will be highly appreciated.

Thanking you,

Yours faithfully,

Sd/- xx xx xx,

SUJIT BAGCHI

GENERAL SECRETARY

N.F.G.I.E.

LETTER TO NEW INDIA MANAGEMENT ON L.T.S.

February  05, 2015

To

The General Manager,Personnel.

The New India Assurance Co Ltd,

87 Mahatma Gandhi Road  Fort,

Mumbai- 400023

Dear Sir

               Re: Leave Travel Subsidy (LTS)

Please refer to our various  correspondence  demanding revision/modification  of Corporate Circular ref, CORP.HRM.CLIII/IV CELL/2014  dated 26.5.2014 with regard to the captioned subject.

We once again enclose herewith  our demand  for revision/modification  of the above Circular  in the light of a fresh modified circular issued by LIC on the similar subject matter.  We request your early action  in the matter.

Thanking you

Yours faithfully,

 SD/- XX XX XX, 

SUJIT BAGCHI 

GENERAL SECRETARY

Encl: As stated  

REVISED CIRCULAR ON L.T.S. BY L.I.C. OF INDIA

COMPASSIONATE APPOINTMENTS IN P.S.G.I.COMPANIES

5^th  February, 2015.

The Chairman,

G I P S A

New Delhi.

Dear Sir,

Reg:- COMPASSIONATE APPOINTMENT

We have no word to express our sincere thanks for your benevolent act of restoration of compassionate appointment vide your Circular effective from 01.11.2014 for the employees working in the PSGI Companies. Needless to add, this restoration of compassionate appointment has provided the much needed security to the employees of the industry whereby in the event of an unfortunate happening the affected family members will not be left in the lurch.  The void and darkness caused out of sudden demise of an employee will be partly off-set to some extent by at least with the appointment of one bread earner of the deceased family.  It has rekindled the hope in the minds of the many widows and children of the deceased family members .Really for this noble act everyone is praising the management and especially your stewardship.

To carry on this ray of hope in the areas of darkness I am taking the liberty to request you to consider relaxation of the cut-off date of the above scheme i.e. the stipulated date of 01.11.2014 may further be relaxed for a reasonable period and especially that too only for those who are in severe hardship due to penury.  There are some cases who died in harness before the cut-off date of the scheme and languishing in destitute.  Only your act of benevolence and pity can provide some solace to them.

We fervently look forward for your esteemed personality and benevolence as well at the earliest opportunity.

Thanking you,

Yours faithfully,

 SD/-XX XX XX  

(SUJIT BAGCHI)

GENERAL SECRETARY

OUT COME OF WAGE NEGOTIATIONS ON 24.01.2015 WITH UNIONS IN L.I.C.

INFORMATION SHARING BY L.I.C. MANAGEMENT

As scheduled, the Information Sharing Session was held with the Unions on 24th January 2015 at World Trade Centre, Mumbai. The management was represented by the Chairman Shri S K Roy, all the Managing Directors ; the officials of CO Personnel ; IT departments. There were no individual discussions on this day. The individual sessions will be held on 11th & 12th of February 2015.

The Managing Directors spoke first. Shri S B Mainak, MD expressed concern over the slackness of market. Smt Usha Sangwan expressed concern over the negative growth in number of policies. She also informed that we were doing well in the areas of Claim settlement ; CC activities. She also said, 'Our biggest strength is people with commitment & integrity.' She assured to be sensitive to the needs of the officers & employees.

Thereafter a presentation on Biometric authentication for data security (not for attendance) was given by Shri Venugopal, ED(IT).  He said that the fingerprints of all the 10 fingers would be taken ; stored in the system. Any one finger can be matched; given access. The standards have been prescribed by the Government.  

Thereafter, the Chairman submitted his views.

The important points of his speech were:-

* Indian economy is a leading one; the most attractive destination for investment worldwide.
* Appealed to keep the office poster free keeping in the sentiment of "Swachch Bharat" campaign.
* Space for notice boards will be provided to all unions.
* Rise in FDI has given opportunity to develop.
* Will work shoulder to shoulder with unions in fulfilling the expectations of customers.
* Extension of cash hours.
* Code of conduct for unions.
* FPI achievement is only 54%; MDRT figures reduced to 50% of last year.
* Products services to be realigned.
* Transfer & mobility policy for Workforce will be circulated ; suggestions invited from unions.

He then offered a wage-rise of 12.5% (revising the earlier offer of 10.5%); appealed the unions not to reject it. He said that improvement was still possible.

............
EDITOR

Bank Unions meet Jayant Sinha to press for early wage revision

NEWS ON BANK EMPLOYEES WAGE REVISION:
21.01.2015
NEW DELHI: 
A section of public sector bank employees unions today met Minister of State for Finance Jayant Sinha to press for early wage revision.
A meeting comes two day after the unions deferred their four-day strike that was to begin today as Indian Banks' Association (IBA) assured that wage issue will be resolved by the first week of February. 
National Organisation of Bank Workers and National Organisation of Bank Officers, under the leadership of Bhartiya Mazdoor Sangh (BMS), met Sinha and submitted the memorandum on the demands of the bank employees, said a statement by the unions.
In a representation to Sinha, it said honest negotiations which could break any stalemate. There was a rise of 17.5 per cent (Rs 4,816.00 crore) on total establishment expenses during the last 9th Bi-partite settlement.
"We request you to kindly intervene and advise IBA to keep above at least the level of last wage revision. If our demand of 19.5 per cent on pay slip component is considered, it may cost (Rs 6,143 crore). So far IBA has offered only Rs 3,937 crore and gap is Rs 2,206 crore," it said. 
Banking Service Recruitment Board (BSRB) should be reconstituted and all the recruitments in banks must be channelised through BSRB and state or region wise. Working of the IBPS is neither satisfactory nor transparent, it suggested. 
Besides, minimum qulification for the post of clerk should be 12th pass instead of graduation. This will bring down the rate of exodus and after 5-6 years of service and banks can get trained and loyal officers, it recommended.

Delegation was represented by Pawan Kumar, Virender Kumar from BMS, Ashwani Rana and Manmohan Gupta from NOBW, S U Deshpandey and Bhale Rao from NOBO. 

...................

Four ways - the Policy Holders will be benefited from Insurance Bill

NEWS & VIEWS ON INSURANCE BILL:
The Cabinet, headed by Prime Minister Narendra Modi, has approved incorporation of amendments suggested by a Parliamentary select panel in the Insurance Laws (Amendment) Bill, 2008 that proposes to raise the foreign investment cap in insurance companies from 26% to 49%. The Rajya Sabha is likely to take up the Bill for consideration and passage next week. Though the increase is composite, meaning, the 49% would be inclusive of all forms of foreign direct investment and foreign portfolio investments, insurers are eager that the long-awaited amendment is one step closer of getting passed and that they'll be able to get fresh investment for the sector.
"The industry was not expecting a composite hike and the foreigner partner were expecting that they will be able to increase their stake up to 49%. So, that's a slight dampener. But we are happy that the long-standing demand is finally being met, in some form," says Sanjay Tripathy, Sr. VP and Head Marketing, Product, Digital; E-Commerce, HDFC Life.
"It is almost certain that all the existing players will need to infuse substantial capital in order to grow and penetrate into uncovered areas more so health insurance players. This will also be helpful to the country where more players will come into operation thereby increasing the competition and better service," added V. Jagannathan, Chairman-cum-Managing Director, Star Health and Allied Insurance.

Apart from the increase in foreign investment cap, there are 110 clauses more in the Insurance Laws (Amendment) Bill, 2008.

Here are some amendments that benefit you as a policyholder:

1. No Claims to be rejected after 3 years: To protect the interest of the policyholders better, the period during which a policy can be repudiated on any ground, including misstatement of facts, has been confined to three years from the commencement of the policy or renewal/ revival or date of rider, whichever is later. So, no policy can be called in question on ground of misstatement after three years.
The original Bill had proposed a timeframe of five years, from the existing two year period. "As an insurer, this means, the policy acceptance stage would be even more critical for us now. Since post three years no claims can be rejected, we will have to put a few more checks and balances and stringent analytics to control fraud at the policy issuance stage," says Tripathy of HDFC Life.

2. Steep penalties to curb mis-selling: Under a new section introduced in the amendments, insurers will now be responsible for all acts and omissions of its agents, including for any violation of code of conduct and are liable to a heavy penalty of up to Rs 1 crore. The amendments also propose a fine of Rs 5 lakh has been in case agents offer kickbacks to the buyer of the policy, a common industry practice.

3. Insurers to maintain electronic records: To increase transparency, the amendments propose that the insurance company maintains a record of policies and claims in electronic mode and display the same on its website.

4. Bigger Agent force to increase penetration: Currently, the licensing of agents is done by IRDA. But going forward, appointment of agents is proposed to be done by insurance companies subject to the agents meeting the qualifications, passing of examinations etc. as specified by the authority. However, IRDA will still be empowered to take action against agents under Section 42(4) of the Insurance Act, 1938 and protect the policy-holders interests.
This provision is basically to ease the process of hiring agents and expand their network—an attempt to increase insurance penetration in the country. "Though this will help us recruit faster, because of the steep penalties we also have to ensure we recruit the right people," says Tripathy.
The definition of 'health insurance business' has also been revised to stipulate that health insurance policies would cover sickness benefits on account of domestic as well as international travel. However, it is still not clear whether this would mean all health indemnity plans will now have to cover claims on account of internationals travels or would this risk be covered separately under a different plan.