Tuesday 28 July 2020

Government working on a plan to revamp India Post; could soon turn into a full fledged bank

Government working on a plan to revamp India Post; could soon turn into a full fledged bank

Loss-making India Post, having a size and workforce hugely disproportionate to its shrinking role, may reinvent itself by becoming a full-fledged bank.

 India Post’s FY20 pay and allowances were estimated to be Rs 17,451 crore or in FY20 or 142% more than revenues of Rs 12,211 crore.

India Post’s FY20 pay and allowances were estimated to be Rs 17,451 crore or in FY20 or 142% more than revenues of Rs 12,211 crore.

Loss-making India Post, having a size and workforce hugely disproportionate to its shrinking role, may reinvent itself by becoming a full-fledged bank. According to a plan being discussed in the government, the 14,000 strong branch network of 45 regional rural banks (RRBs) will be brought under the fold of India Post, which itself runs 1.56 lakh post offices in the country. The Centre will wield control over the proposed bank via a holding company, of which the RRBs, where the Centre already holds 50%, will become subsidiaries. The existing India Post Payments Bank (IPPB)will also be made a subsidiary of the holding company.

The other shareholders in the RRBs, namely public sector banks (35%) and the state governments (15%), will have the option to retain the stakes or monetise the same by selling these to the Centre.

Currently, IPPB, as a payments bank, can’t accept deposits above Rs 1 lakh per customer; also, it can’t lend.

The proposal to make India Post a bank goes with the government’s plan to consolidate PSBs and bring down their number eventually to four or even less. At one point, it may so occur that only the State Bank of India and the proposed India Post Bank will remain in the public sector as two large banks and also be vehicles for assorted government transfers to people. Also, the proposed bank, even while sticking to RBI’s prudential norms, can’t neglect lending to priority sectors like agriculture, MSMEs, education and affordable housing.

Even now, India Post, which runs the ubiquitous post offices in the country and popular savings schemes, performs additional functions like distributing MGNERGS wages.

Explaining the rationale behind the proposal, official sources said RRBs will bring in a readymade deposit and lending portfolio for the proposed India Post Bank to build on. Once the RRBs are brought under a common management, their efficiency will improve and common practices will be implemented across the networks, they added.

RRBs are relatively better off financially compared to India Post, which is estimated to have posted its highest-ever loss of Rs 18,255 crore (also highest by any public-sector entity) in FY20. RRBs posted a loss of Rs 548 crore in FY19 compared with a net profit of Rs 1,501 crore in FY18. Outstanding advances of RRBs stood at Rs 2.8 lakh crore as on March 31, 2019, up 11.3% on year. About 91% of their loans were to priority sectors such as agriculture, MSMEs, education and housing.

The government has taken various initiatives for making the RRBs economically viable and sustainable institutions. With a view to enable RRBs to minimise their overhead expenses, optimise the use of technology, enhance the capital base and area of operation and increase their exposure, the Centre has initiated structural consolidation of RRBs in three phases, thereby reducing the number of RRBs from 196 in 2005 to the present 45. During the period, the Centre and other shareholders have infused more than Rs 6,000-crore equity in the RRBs to maintain the mandatory capital to risk weighted assets ratio (CRAR) of 9%.

“Some RRBs are extending a lot of credit but have very limited capital, others are over-capitalised but not extending much credit. When these are unified under a holding bank there will be tremendous efficiency of pooled capital,” an official said.

Combining RRBs with the distribution network of postal services will provide a good mix as 90% of the postal branches are in rural areas while 80% of RRBs loans are in rural areas, even as they are gradual entering into urban areas. “The two networks will complement each other, multiplying their growth potential,” he added.

India Post’s massive 4.2-lakh workforce and 1.56 lakh-strong post office network will provide a tremendous platform as postmen will be converted banking correspondents while post offices will work as bank branch extensions for deposits and loans.

Like other loss-making public-sector enterprises, India Post’s finances are weighed down by high pay-and-allowance costs, now at over 100% of its annual revenue. India Post’s FY20 pay and allowances were estimated to be Rs 17,451 crore or in FY20 or 142% more than revenues of Rs 12,211 crore. Including pension costs of another Rs 10,271 crore, the employee cost itself was Rs 27,722 crore in the last fiscal, more than double the total receipts.

There exists a huge mismatch between product costs and pricing of India Post; also the availability of cheaper/faster substitution to traditional mail services have dented its revenues. On the revenue front, India Post is largely defendant on remuneration for the National Savings Schemes and Saving Certificates, which contributed 65% of its revenue in FY20, while postage services generated only 27% of revenues.

In July 2013, the postal department applied for a universal banking licence as RBI invited applications for a new round of bank licences. However, it didn’t got approval at that time since the central bank was averse to creating another public-sector bank. In 2015, India Post got the payments bank licence.

The expenditure finance committee, headed by the expenditure secretary, had told the postal department last year that it has to be self-sufficient by levying adequate user charges as the Centre’s Budget could not absorb such recurring annual losses.

Source :  https://www.financialexpress.com

Government employees retiring during COVID pandemic will be receiving “provisional" pension till their regular Pension Payment Order is issued: Dr. Jitendra Singh

Government employees retiring during COVID pandemic will be receiving “provisional" pension till their regular Pension Payment Order is issued

Ministry of Personnel, Public Grievances & Pensions

Government employees retiring during COVID pandemic will be receiving “provisional" pension till their regular Pension Payment Order is issued: Dr. Jitendra Singh

Posted On: 27 JUL 2020 6:35PM by PIB Delhi 
Government employees retiring during COVID pandemic will be receiving “provisional" pension till their regular Pension Payment Order (PPO) is issued and other official formalities completed. 

Union Minister of State (Independent Charge) Development of North Eastern Region (DoNER), MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh said that after the Modi Government took over, the Department of Pensions had upgraded and equipped itself to deliver the PPO to the concerned employee without delay on the day of his or her superannuation. Besides this, in the last few years, taking cue from Prime Minister Narendra Modi’s emphasis on digitalization, the Department of Pension also created a Portal, which could be accessed by any government employee approaching superannuation to find out the status of his or her pension papers, he said. 

However, because of the disruption in the official work due to COVID pandemic and lockdown, Dr Jitendra Singh said, some of the employees who had retired during this period may not have been provided with PPO. But, as an evidence of the present government's sensitivity towards the pensioners and the senior citizens, a decision was taken that in order to avoid a delay in the start of regular pension covered under CCS (Pension Rules) 1972, the rules may be relaxed to enable seamless payment of “Provisional Pension” and “Provisional Gratuity” till the regular PPO is issued. 

As per the OM (Office Memorandum) issued by Department of Pensions, affiliated to the Ministry of Personnel, the payment of “Provisional Pension” will initially continue for a period of six months from the date of retirement and the period of “Provisional Pension” may be further extended up to one year in exceptional cases. These instructions shall also be applicable in cases where a government servant retires otherwise than on superannuation i.e. voluntary retirement, retirement under FR 56, etc. 

Dr Jitendra Singh said, this decision has been taken considering that because of the constraints of pandemic and lockdown, a government servant may find difficulty in submitting his Pension Forms to the Head of Office or may not be able to forward the Claim Form in hard copy along with Service Book to the concerned Pay & Accounts Office in time, particularly when both the offices are located in different cities. This is very pertinent to Central Armed Police Forces (CAPFs) who are constantly on the move and whose Heads of Offices are located in cities different from where the Pay & Accounts Office is located.

Vide another circular, Department of Pension & Pensioners' Welfare (DOPPW) has directed all offices maintaining GPF (General Provident Fund) Accounts to complete all credit entries including accruing interest to the employees two years before retirement and then one year before retirement so that Provident Fund is also paid accurately in time.





Grant of Permission for treatment of COVID-19 infected Centra Govt. Employees in all Hospitals.

SUNDAY, JULY 26, 2020

Ref: CONFD/CGHS/2020-21                                                            Dated: 25.07.2020


The Cabinet Secretary,
Government of India,
Rashtrapati Bhawan
New Delhi

Sub: -   Grant of Permission for treatment of COVID-19 infected Centra Govt. Employees in all Hospitals.

You must be aware that the health care system in west Bengal has broken down completely to face the spread of pandemic due to COVID 19 virus. Along with common people Central Government employees too are dying for unavailability of proper treatment in time.

Most unfortunately, most of the CGHS empanelled hospitals are refusing admission under CGHS coverage, employees were forced to borrow lakhs of rupees to get themselves and their family members treated as the hospitals are charging exorbitant rates for such treatment which is quite unexpected.

Moreover, regularly our members are getting infected while in transit to and from office in public vehicles. Hence, no. of COVID 19 patients amongst Central Government employees are increasing on a regular basis. Some of our leaders from associated organizations have already died and some are struggling to find out treatment in proper hospitals.

In this circumstances we would like to request you to kindly to cause instructions to Ministry of Health and family welfare to issue instructions to all private hospitals throughout the country authorised by the state Government for COVID treatment including the isolation centres, makeshift hospitals etc. build by the sponsorship of State Governments,  municipal authorities or development authorities to allow Central Government employees and their families for treatment under Central Government Health Scheme, in addition to this a binding instruction should be given to all CGHS empanelled hospitals not to refuse a single case of admission of Central Government employees.

we fervently request you to kindly help us by giving instruction to Ministry of Health and family welfare to issue circular to the above narrated effect and oblige.

With regards,

Yours sincerely,

(R. N. Parashar)
Secretary General


Tuesday, July 28, 2020

         DOPT F.No.14029/8/2019-Estt.(L) (Pt.-2)

Tuesday 21 July 2020

Saturday 18 July 2020

Odisha Postal Circle lost one COVID-19 Warrior

Com. Girija Prasad Dash, 48, P A, Parlakhemundi HO expired on 18.07.2020 in COVID-19 Hospital, Berhampur.

He is survived by his wife and two college going sons. As reported to us, the wife of Com. Dash has also been admitted in the same Hospital.

Deeply shocked we, on behalf of entirity of postal employees and workers of Odisha Circle convey our deep condolences to the bereaved family members. Let Lord Jagannath give them courage to bear with this irreparable loss.

Let the divine soul rest in eternal peace.

This is the first COVID-19 death case in Odisha Postal Circle.

Tuesday 14 July 2020


Com.M.S.Raja, Ex. Secretary General, All India Audit and Accounts Association and Working President, Confederation of CGE&W, Expired today on 14th July 2020 due to Heart attack in hospital at his native place at Kerala.
Com. Raja was a very dynamic leader having clear vision about working class.

He lead Audit and Accounts Association for a long time.
He was Member of Standing Committee of National Council J.C.M.

We have lost A very fine Comrade, a very good friend and very good person.

We on behalf of AIPEUPOSTMEN and MTS Odisha Circle , Convey its heartfelt condolences to his bereaved family members. May they get strength to bear this shock.

We dip our banner in respect of him.



              COM.RAJA AMAR RAHE.

Saturday 11 July 2020

Saturday, July 11, 2020




INDIA                                                          60th Anniversary of the Glorious 5 Days Strike of CG Employees in 1960.

July 11th, 2020 is the 60th anniversary of the start of the Historic Five Days Strike of the Central Government employees in 1960.
The strike was for acceptance of Need Based Minimum Wage per the 15th Indian Labour Conference approved formula as also for grant of automatic DA whenever the cost of living index is increased, as demanded by the unions. It was also against the retrograde recommendations of the II Central Pay Commission which only denied the justified demands of the workers and the unsympathetic stance of the central government.
Under the Joint Council of Action of the Central Government Employees Federations (AIRF, AIDEF, Confederation and NFPTE), the biggest Indefinite Strike in independent India started on the night of 11/12th July 1960, the anniversary of the 1946 P and T Strike. The government refused to negotiate despite continued efforts of the JCA, as also many Members of Parliament including Shri Feroze Gandhi, M.P.( Husband of Smt.Indira Gandhi). The government was adamant. Prime Minister Pandit Jawaharlal Nehru called the strike as ‘Civil Rebellion’ and utilised the entire government machinery to crush it. Essential Service Maintenance Ordinance (ESMO) was promulgated and thousands of workers were arrested, convicted, dismissed, suspended, terminated and charge sheeted. All India leaders were arrested and put in Tihar Jail. NFPTE Secretary General Com. P.S.R.Anjaneyulu was paraded through the streets of Delhi while sending to Tihar Jail. Never before India has seen such brutal attack on any strike in the country, not even in 1946 Postal Strike, when the British were the rulers.
It is to the credit of the workers and their loyalty to their organisation that the strike continued for long five days, despite severe repression and manhunt. The entire Railways, Postal and Telecom services- all were all badly affected. Unable to continue against the brutal attack of the government and victimisation, the strike was called off on the fifth day.
5 Railways workers in Dohad were killed by police firing. They are Coms. Ranjit Singh, Sakharam, Sitaram, Kripa Shankar and another comrade whose name is not known. Two comrades in Kerala, Com.Ekambaram from Telephones Palakkad and another Comrade from Trichur Postal Division, whose name is not known, committed suicide unable to face the victimisation and termination from service. Many workers were punished with rigorous imprisonment. Public, trade union leaders and outsiders were arrested for supporting the strike. Recognition of the federations/unions were withdrawn.
The workers faced these attacks with full confidence in their organisation and leaders. They knew that there is no other way to defend their rights and achieve justified demands. They saw the most cruel face of the so called ‘Socialist Pattern Government’.
PTTI and many other foreign trade unions as also the trade unions in the country supported the strike and demanded the government to vacate victimisation.   In the Parliament, Nehru government was put on the dock by eminent Members of Parliament like Comrades A.K.Gopalan, S.M.Banerjee, Nath Pai and many others, who demanded justice to the workers and vacation of all victimisation.
It took more than three years for the vacation of victimisation and re-recognition of the unions and federations. But the scars remained for a long time.
Though crushed, the 1960 strike was not in vain. For that matter, no struggle is in vain. The government was compelled to act against the price rise, appoint two Committees one after another to consider the demand of DA and has to start discussion with the unions on the constitution of negotiating machinery, the Joint Consultative Machinery(JCM).
As a participant of the historic strike, I have my own experiences, which I may narrate some time  later.
The 1960 strike has many lessons for the working class. The determination, dedication and sacrifice of the leaders and workers who were part  of the great struggle will ever be remembered.
The Central Govt. employees are once again on the struggle path. The working class are on struggle against the curtailment of trade union and labour rights, imposition of more working hours, privatisation of Public Sector Units etc. etc. Utilising the Covid situation, Mody Government wants to steam roller its anti – people policies.
On this 60th anniversary of the epic strike of 1960, Red Salute to all the participants of the strike and especially to those who sacrificed their lives in the struggle! 1960 Strike has given the message that the workers will never surrender to the anti-worker policy of the government.
Credits to the original uploader

Thursday 9 July 2020


Ref: Confdn/Transport Allowance                                              Dated – 08.07.2020


The Cabinet Secretary
Government of India
Rashtrapati Bhawan
New Delhi- 110 001

Sub: - Payment/Settlement of Transport Allowance to the Employees of National Library, Kolkata.


On the recommendations of the V CPC, Transport Allowance was introduced subsuming CCA W.e.f 1st January, 1997. After two revisions at par recommendation of VI and VII CPC, at present, admissibility of Transport Allowance under different conditions viz. Leave, Deputation, Tour and Suspension etc. is regulated under G.O.I, Min. of Finance, Dept. of Expenditure OM No. 21/5/2017E.II (B) dated 07.07.2017, as par Para 3(a) the Allowance will not be admissible for the calendar month(s) wholly covered by leave.

Incidentally it may kindly be noted that Govt. of India, Min. of Finance, Dept. of Expenditure has not yet clarification of “leave” as in the OM dated 17.07.2017 in the context of changed situation. Under normal dispensation Dept. of Expenditure is the competent authority to clarify/interpret or modify and provision relation to Transport Allowance.

On scrutiny of various OMs issued on different dates by MHA containing Guidelines, Advisories and Standard Operation Procedure as part of measures for containment of COVID-19, it is revealed that Offices of the Govt. of India, its Subordinate Offices other than exempted category are to function with 100% attendance of Deputy Secretary and levels above that. Remaining officers and staff are to attend up to 33%. Moreover, above guideline is subject to strict adherence to restrictions applicable to RED ZONE/CONTAINMENT ZONE. As per instructions, employees residing in such Zones can attend office only when allowed by the local authorities of concerned State Govt. etc. or restriction is relaxed. As per the above OMs the public transports including suburban train services were under total suspension till first 4 phases of lockdown. Further, as per Standard Operation Procedure of Min. of Health & Family Welfare, the period of work from home shall not be treated as leave.

A good number of employees who commute from considerable distant places could not attend the office during the months making own arrangement, although, they were inclined to attend their duties being physically present in the offices premises. Further, according to the guidelines of Min. of Health & Family Welfare as well as Ministry of Home Affairs is “to stay at home”, “work from home” to the extent possible, so as to curb the spread /outbreak of the COVID-19. During this period the entire surroundings of the National Library was under Containment Zone as per Govt. of West Bengal notification. In the Ministry of Home Affairs Order dated 15.04.2020 it was also clearly stated, “In these containment zones, the activities allowed under these guidelines will not be permitted…..that there is no unchecked inward/outward movement of population from these zones…..The guidelines issued in this regard…… will be strictly implemented….” Therefore some employee, though willing, could not come, even they have tried their best to join their duties.

This being an unprecedented situation, the condition of one-day attendance in a month, for payment of Transport Allowance, needs to be dispensed with and Transport Allowance for the month of April & May 2020 should not be disallowed.

Your immediate intervention in this matter is highly solicited with a request to issue revised direction to the administration of the National Library and Central Reference Library for payment/settlement of Transport Allowance for the month of April 2020, etc.

With regards,

Yours sincerely,

(R. N. Parashar)
Secretary General

MONDAY, JULY 6, 2020

Ref: Confdn/Covid-19/2020-21                                                                                                                      Dated – 06.07.2020


The Secretary, (Personnel)
Department of Personnel & Training
North Block,
New Delhi. 110 001

Dear Sir,

Sub: -    Covid 19 related problems –need for resolution.

                We invite your kind attention to the various instructions issued by the Department of Personnel & Training to ensure a modicum of functioning of the Government offices during the lock- down period. Some of these instructions require extension of its originally stipulated period and others require certain  amendments in the changed  scenario.  We are certain that you will appreciate the pandemic situation has worsened over the months despite best efforts to combat the spread of the disease. Though at the national level lock down has been eased, some parts of the country are either declared as containment zone, red zones, or the authorities have clamped down triple lock down in certain other areas. In the absence of general instructions the local authorities in various departments take decisions which normally vary from one to other and even at times they are contradictory too.  This apart, the local authorities often refuse to listen to the genuine grievances of the employees and their directions become incapable of adherence creating in the process mental disturbance. On the basis of what is reported to us we make the following suggestions for your kind consideration and issuance of appropriate clarificatory orders. 

(1)    The order dated 20th March, 2020 empowering the local authorities to sanction commuted leave without production of medical certificate for those who are beyond the age of 50 expired on 4.04.2020. Since this situation has worsened in certain parts of the country thereafter, this order requires to be extended at-least upto 31.12.2020.

(2)    The lock down declaration was, as you are aware, sudden and came into effect immediately making it impossible for the people to move from one place to another.  Some of the employees had left for their native villages even prior to the declaration of the lock down.   Some of them were already on leave.  They could not rejoin duty during the lock down period.  They were stranded.   Their absence has to be regulated by grant of special casual leave.  Instructions may be issued to grant such special casual leave for those who could not report for duty either after the expiry of the leave, if they were on leave, or out of station just prior to holidays.  The concerned individual may be asked to explain the circumstances under which he could not be present at the office when he was due to be present. 
(3)    The stipulation that a percentage of the employees must be present in the office ought to have been made applicable for those who were staying say within 1-2 kms ambit of the office premises. Or else, arrangements for their transportation ought to have been made by the authorities.  It has been reported to us that in some of the offices, the local authorities has issued orders directing certain employees to be present on certain days and the others on other days.  This again is an order, which was incapable of obeying during the lock down period .Even today in certain areas where the covid-19 affected patients were on rise, the said areas have been locked down.  Instructions may, therefore, kindly be caused to be issued whereby the employees residing far away from the place where the office is located are exempted  from attending office, if no public transport system is  in operation. 
(4)   In order to ensure that the citizens do not encounter any difficulties when they visit Government offices, the front office system has been introduced in almost all field formations of the subordinate offices.  Since they are perforce to come in contact with large number of persons visiting the concerned offices, we suggest that instructions may kindly be issued that only employees/officials, beyond the age of 50 are posted to man those front offices.

(5)   The instruction to the effect that officials who have children of less than 5 years of age might work from home, appears to have been withdrawn.  This may be restored as children are prone to virus infection much more faster than elderly persons. 

We request comprehensive instructions covering the above suggestions my please be caused to be issued as early as possible.

Thanking you,

Yours faithfully,

R. N. Parasar
Secretary General