The central government has approved salary and pension increases for employees and pensioners of Public Sector General Insurance Companies (PSGICs), NABARD, and the Reserve Bank of India (RBI). This move is aimed at boosting employee morale and ensuring social security for pensioners…

There is news of relief for many employees and pensioners working under the Central Government. The government has approved the increase in salaries and pensions of employees and pensioners associated with Public Sector General Insurance Companies (PSGICs), NABARD and Reserve Bank of India (RBI). Thousands of current and former employees will directly benefit from this decision. According to the Finance Ministry, the aim of this move is to boost the morale of employees and strengthen the social security of pensioners in the financial sector. In total, about 46,322 employees, 23,570 pensioners and 23,260 family pensioners will benefit from this decision.

PSGIC employees’ salary hike
The government has approved a wage revision for public sector general insurance companies, effective August 1, 2022. This will result in a total wage increase of 12.41 percent. This includes an increase of approximately 14 percent in basic pay and dearness allowance. This decision will benefit 43,247 PSGIC employees. Additionally, the government’s contribution to the NPS for employees appointed after April 1, 2010, has been increased from 10 percent to 14 percent, further strengthening their future security. Family pensions have also been revised at a uniform rate of 30 percent, benefiting 14,615 family pensioners.

The total government expenditure on this entire amendment is estimated at approximately ₹8,170 crore. This includes salary arrears, NPS contributions, and family pension expenses. PSGIC comprises companies such as NICL, NIACL, OICL, UIICL, GIC, and AICIL.

Relief to NABARD employees too
The salaries and pensions of National Bank for Agriculture and Rural Development (NABARD) employees and pensioners have also been revised. This change will come into effect from November 1, 2022. Under this, the salaries and allowances of Group A, B, and C employees will increase by approximately 20 percent. This decision will benefit approximately 3,800 retired and former employees. The salary revision will result in an additional expenditure of approximately ₹170 crore in the annual salary bill, while the arrears will be approximately ₹510 crore. Due to the pension revision, pensioners and family pensioners will also receive an increased monthly pension.

Big benefit to RBI pensioners
An increase in pension and family pension has also been approved for retired employees of the Reserve Bank of India. The basic pension and dearness allowance will be increased by 10 percent, effective November 1, 2022. This will increase the basic pension to approximately 1.43 times. A total of 30,769 people will benefit from this change, including 22,580 pensioners and 8,189 family pensioners. The government’s estimated expenditure on the RBI pension revision will be approximately ₹2,697 crore, including arrears payments and annual expenses.

PC:Punjab Kesari