Bank Union AIBEA writes letter to IBA to pay Ex-gratia for pensioners

The All India Bank Employees’ Association (AIBEA) has recently written a letter to the Indian Banks’ Association (IBA) urging them to pay ex-gratia to pensioners. The letter highlights the need to revise and enhance the ex-gratia amount for retirees who left the bank prior to 1986. These retirees, many of whom are in their 90s, have expressed concerns about the rising cost of living, inflation, and medical expenses. The AIBEA has requested the IBA to consider their representation favorably and make the necessary revisions to provide adequate support to these senior citizens.

What AIBEA said?

Ex-gratia payable to pre-1986 retirees of private Banks: We refer to our letter No. 1142 dt. 4-8-2023 regarding extending payment of Ex Gratia to pre-1986 retirees in private Banks. You are aware that in February, 2023 IBA decided and accordingly advised PSBs that pre-1986 retirees/their surviving spouses be paid ex-gratia amount of Rs. 10,000 per month to ensure that total amount payable to them per month is Rs.10,000 including the Ex-gratia payable under DFS guidelines of 17-12-2013. This has been a very welcome gesture on the part of IBA to extend financial relief to these senior citizens who are above the age of 90/95. But the private banks who are already implementing the DFS guidelines of 2013 are not implementing the IBA guidelines of 7-2-2023 since the Advisory is addressed to PSBs. We request you to use your good offices for extending this benefit in the private banks also.

Ex-gratia for pensioners: Similarly, in the current negotiations for wage revision, in the MoU signed with the Unions on 7-12-2023, it has been agreed that ex-gratia amount will be paid to all the past pensioners of PSBs depending upon the different Settlement periods. You will appreciate that pensioners of private sector Banks also need to be covered by the Scheme. Since Pension Settlements dated 29-10-1993 and 27-4-2010 cover PSBs and Private Sector Banks, excluding them from the proposed ex-gratia payment would be unfair. We shall thank you to take up the matter with the managements of private sector Banks for their consent and inclusion in the scheme.