SBI approves revision in pension schemes

The Central Board of SBI has accorded approval for revision of family pension and minimum pension with retrospective effect from November 1, 2007.

A decision to this effect was taken at a meeting of the board held last week, according to banking sources.

BASIC PENSION

For those in the scale of pay up to Rs 7,090, 30 per cent of the pay shall constitute the basic family pension. Thirty per cent of allowances which are counted for making contributions to Provident Fund but not for dearness allowance shall be the additional family pension.

The aggregate of basic and additional family pension shall not be less than Rs1,779 a month.

For those in the Rs 7,091- 14,180 scale, 20 per cent of pay shall be the basic family pension. Twenty per cent of allowances which are counted for making contributions to Provident Fund but not for dearness allowance shall be the additional family pension.

The aggregate of basic and additional family pension shall not be less than Rs 2,186 a month.

For those with a pay of Rs 14,181 and above, 15 per cent of the pay shall be the basic family pension.

Fifteen per cent of allowance which are counted for making contributions to Provident Fund but not for dearness allowance shall be the additional family pension.

The aggregate of basic and additional family pension shall not be less than Rs 2,841 a month and more than Rs 5,930 a month.

In the case of part-time employees, the minimum amount of family pension and the maximum amount of family pension shall be in proportion to the rate of scale wages drawn by the employee.

In respect of employees other than part-time employees who retired on or after November 1, 2007, the amount of minimum pension shall be Rs 1,779 a month.

In respect of part-time employees who retired on or after that date, the minimum pension payable shall be Rs 595 a month in respect of part-time employees drawing 1/3rd scale wages; Rs 892 a month in respect of part-time employees drawing 1/2 scale wages; and Rs 1,330 a month in respect of part-time employees drawing 3/4th scale wages.