8th Pay Commission Pension: Big news for pensioners. There is a significant amount of conversation happening nationwide regarding the 8th Pay Commission. Central government employees and pensioners are eagerly anticipating an increase in their salaries and pensions. In the meantime, a significant update has emerged for retired employees of public sector banks (PSBs).
Bank pensioners have been advocating for a revision of their basic pension for quite a while now. Additionally, another pressing question has come to light: will the basic pension for retired employees of public sector banks (PSBs) see an increase as well? This matter was recently brought up in Parliament, where the government has provided clarification on its stance.
Why was the bank pension issue raised in Parliament?
Millions of pensioners from public sector banks argue that while the pensions of government employees are adjusted with each pay commission, the basic pension for bank pensioners has not been updated in almost thirty years. In relation to this concern, MP Konda Vishweshwar Reddy posed a question in the Lok Sabha, asking, “While pensions have been raised in certain financial institutions, is the government contemplating a similar increase for the basic pension of retired employees from public sector banks?” Minister of State for Finance Pankaj Chaudhary provided a response.
RBI and NABARD pensioners have benefited
The government informed Parliament that pension revisions have been sanctioned in some financial institutions. For instance, the basic pension and dearness relief for all RBI pensioners who retired before November 1, 2022, have been raised by 10%. Similarly, NABARD has also revised pensions in phases. The pensions for employees who retired before November 1, 2012, were adjusted starting March 1, 2019. For those who retired before November 1, 2017, their pensions were revised from June 12, 2023. However, the government also mentioned that there is currently no new proposal for pension revision for NABARD employees who retired before November 1, 2022.
What is the government’s response to PSB retired employees?
The news is a little different for public sector bank pensioners. The government clarified in Parliament that pensions in public sector banks are paid under specific rules. The government clarified that pensions in SBI and the other 11 nationalized banks are paid under the Pension Regulation Act. These current rules do not contain any provision for revising the basic pension. The government clearly stated that there is currently no provision for revising the basic pension for retired bank employees.
