SC issues notice to Centre, IBA on pension | india | Hindustan Times
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SC issues notice to Centre, IBA on pension

india Updated: Sep 11, 2008 20:27 IST

The Supreme Court on Thursday issued notices to the Centre, Indian Banks Association and two others on a petition challenging the "discrimination" against public sector bank retirees in the matter relating to pension payment.

The petition filed by a retired bank employee E K Varghese has alleged that there were considerable anomalies in the pension payment made to retired employees of public sector bank and those who retired from other government services.

Besides, it said that even within the retirees of the public sector banks those who retired during the 1987-1997 period had been denied the revised pension scheme, whereas, the same had been granted to the post 1998 retirees.

Such discrimination, the petition submitted was violative of Article 14 (prohibiting discrimination between citizens by State).

According to the petition whenever Central and state governments increase DA to their employees, the same is simultaneously extended to their pensioners.

But in the banking industry, the DA is revised quarterly on the basis of the consumer price index for serving employees, but for pensioners it is revised on a half-yearly basis only.