“Our attention has been drawn to the instructions given by IBA to the member Banks dated
4-3-2010 wherein the Banks have been advised to seek approval of their Board for:
1) Implementing the New Pension Scheme and
2) Incorporating a clause in the appointment orders of the new recruits / appointees from 1-4-2010 intimating them that they would be governed by a New Pension Scheme.
You will appreciate that the MOU dated 27-11-2009 is yet to be formalized into a full-fledged Settlement where after only the Boards of the respective Banks can adopt the New pension Scheme. When the Settlement has not been signed, it is pre-mature for the Banks to adopt any decision for introduction of the New Pension Scheme. Hence we do not agree that the Banks may now adopt any decision for introduction of the NPS before signing of the Settlement between IBA and unions.
However, since the new recruits from 1-4-2010 would not be covered by PF and existing pension scheme and would be covered by the NPS as agreed in the MOU, it would be sufficient and adequate if the Banks are advised to incorporate a clause in the appointment letters of those being appointed from 1-4-2010 to the effect that they would be governed by a New Pension Scheme being introduced in the Banks w.e.f. 1-4-2010."
We request you to send revised instructions to the Banks as above.