Post-Retirement Benefit Scheme

POST-RETIREMENT
BENEFIT SCHEMES
The salient features of the OMs from MoS

and DPE are .
CPSE would be allowed 30%

superannuation
benefits,
Contributory Provident Fund
and
Post-Superannuation
executives and non-unionized
after 01.01.2007.
of Basic Pay plus DA as

which
may
include
(CPF), Gratuity, Pension
Medical
Benefits
to
supervisors retiring on or
Individual CPSEs may create a Corpus by contributing

not more than 1.5% of PBT, in order to take care of
medical and any other emergency needs of those
retired employees prior to 01.01.2007, who are not
covered by the Pension Scheme and/or post
superannuation medical benefit schemes.
A Committee of Directors may be constituted by the

Board of Directors of each CPSEs for disbursement of
funds to the retired employees covered under the
scheme. The Committee may also identify the areas of
1.5%
of PBT has no relationship with 30% ceiling prescribed

for grant of Superannuation benefits. The two categories of
employees and the schemes meant for each category cannot
be merged.
The
corpus created out of 1.5% of PBT meant for all the

retired employees, which may include workmen retired prior
to 01.01.2007
For
workmen superannuation benefits would depend upon

the settlement arrived at between the Management and the
Trade Unions.
No
budgetary support will be provided by the Government for

the scheme.
Board
of Directors may consider introduction of the scheme

based on affordability and submit proposal to the
Administrative Ministry for approval.
In
line with the above, the break

up of the 30% Basic + DA is
distributed
among
the
four
components as below
CPF-
12% (Already in vogue in DCI)

Gratuity- 4.81% (Already in vogue
in DCI)
Pension11%
Medical benefit- 2.19%
Salient features of DCIL Employees Pension Scheme
The corpus amount would be appropriated to a separate trust called

DCI Employees Pension Trust (DCIEPT).
Employees of the company who superannuate from the company on

or after 01/01/2007, with minimum 15 years of service are eligible
Past service in other CPSEs/ Government/Autonomous Bodies will be

reckoned for eligibility of minimum 15 years service but Pension
Corpus from DCIL will be for the service rendered in DCIL only
Initially, the Company shall contribute lump sum to the Trust an

amount at the rate of 11% of the pay + DA per annum of the
employees on the rolls of the Company as on 01.01.2007 till
31.03.2013. This percentage contribution towards Pension fund is to
be reviewed every year
The outflow from 01.01.2007 to 31.3.2013 for the Individual Pension

Corpus will be 15 days of last drawn Basic Pay Plus DA of the
individual for every completed year of service.
The financial implication towards Pension Scheme is

worked out based on the initial corpus build from
01.01.2007 to 31.03.2013 at the rate of 11% of the
Basic + DA per annum arrived appx. Rs.09.42 Cr.
The total number of employees eligible for pension

from 01.01.2007 to 31.3.2013 would be 138. The
estimated outflow amount would be Rs.8.54 Cr
The average outflow per person would be around

Rs.06.20 Lacs and average pension per person would
be Rs.4100/- PM at an estimated interest rate of 8 %
PA
Salient features of DCIL Employee

Medical Scheme for Employees retiring
on or after 01.01.2007
The corpus amount would be appropriated to a separate trust

called DCI Retired Employees Medical Trust (DCIREMT)
The scheme will be applicable to all employees (Executives

and Non-executives) retired on superannuation/voluntary
retirement from service of the Corporation on or after
01.01.2007, who have rendered a minimum of 15 years in the
Corporation. The 15 years service also includes service
rendered earlier in other CPSEs/Government/ Autonomous
Bodies
The initial contribution @ 2.19% of the Pay + DA of the

employees on the rolls of the Company as on 01.01.2007 up
to 31.3.2013 will be transferred as lump sum to the trust for
providing Medical Benefit.
In-patient treatment covered upto Rs. 02,50,000/- p.a. for each

retired employee, spouse or survived; and
Out-patient treatment covered upto Rs.15,000/- p.a or prorate basis

for retired employee and spouse or survived, payable once in a year,
on self-certification basis.
In-patient treatment for critical illness indicated at Appendix covered

upto Rs. 10,00,000 p.a (Ten Lakhs Per annum) for each retired
employee, spouse or survived
The financial implication towards the Medical Scheme is worked out

based on the initial corpus build from 01.01.2007 to 31.03.2013 at
the rate of 2.19% of the Basic + DA arrived is appx. Rs.1.87 Cr. The
expenditure per annum would be about Rs. 70 Lacs
The total retired employees on or after 01.01.2007 and their

spouses would be about 276.
Salient
features of DCIL employee

Medical Scheme for employees retired
prior to 01.01.2007
The scheme will be applicable to all employees

(Executives and Non-executives) superannuated prior
to 01.01.2007. and their spouses
The corpus amount would be appropriated to a

separate trust called DCI Retired Employees Medical
Trust (prior 01.01.2007) (DCIREMT -Prior 01.01.2007)
The company shall contribute to the Trust an amount

at the rate of 1.5% of PBT of the previous financial
year for providing Medical Benefit to employees, who
retired prior to 01.01.2007.
In-patient
treatment cover upto Rs. 2,50,000/- p.a.

for each retired employee, spouse or survived.
Out-patient
treatment cover upto Rs.5,000/- p.a for

retired employee and spouse or survived, payable
once in a year, on self-certification basis.
The Corpus fund available for the financial year

2012-13 would be Rs.32 lakhs.
The total retired employees and their spouses

would be around 160.
In
all the three retirement benefit schemes, funds

will be managed by DCI through trusts
Particulars of Post-retirement Medical scheme

in
Cochin Ship Yard Limited
CSL have two schemes:
I . Post Retirement Medical Scheme
The scheme will be applicable to all Executives and

Supervisors who have rendered a minimum of 15 years of
service in CSL, and retiring on superannuation from the
services of the Shipyard w.e.f.01.04.2010.
The annual Insurance premium for covering the retired

Executives under the Medical Insurance Scheme will be met
from corpus fund.
O.P. cover upto Rs.10,000/- annually for a family of two (on

a floater basis)
I.P. cover upto Rs.1,50,000/- annually for a family of two (on

a floater basis)
Critical illness cover upto Rs.7,50,000/- per person.
2. Medical assistance scheme for retired employees (MASRE)

The scheme will be applicable to all employees (Executives, Supervisors
and workmen) retired on superannuation from the services of the
Shipyard prior to 01 April 2010.
The
scheme would also be applicable to all workmen who will be retiring

from CSL services on or after 01 April 2010 and also to those Executives
and Supervisors who will be retiring from the service of CSL on or after 01
April 2010 on attaining the age of superannuation but who have rendered
less than 15 years of service in the company.
Contribution:
50% of the premium would be borne by the retired

employee. 50% will be borne by the shipyard from the Corpus Fund.
O.P.cover
upto Rs.10,000/- annually for a family of two (on a floater basis)
I.P.
cover upto Rs.1,50,000/- annually for a family of two (on a floater

basis)
Critical
It
illness cover upto Rs.7,50,000 per person.
is understood that Board has approved certain amendments to the

above schemes and being put up to MOS for approval.
Particulars of post retirement Medical scheme

in
Shipping Corporation of India
Post Retirement Medical Benefit Scheme
Employees who retired from service on or after 1.1.1997 from

SCI.
Entitlement towards domiciliary medical are as under :

Gr.I : AGM & above Rs.9000/- p.a.
Gr.II : JO to Manager Rs.6000/- p.a.
Gr.III : Staff Rs.3000/- p.a.
In patient : There will be life time ceiling for hospitalization

expenses for retired employees including the spouse will be as
under :
Gr.I(a) : Directors & C&MD Rs.10 lakhs.
Gr.I(b) : AGM to GGM Rs.8 lakhs
Gr.II : JO to Manager Rs.6 lakhs
Gr.III : Staff Rs.4 lakhs
Every time the retired employee or his/her spouse gets

admitted in the hospital expenses, the concerned retired
employee/spouse will have to pay Rs.15000/- or 10% of
the bill of the hospital whichever is higher. The balance
will be paid by the Corporation subject to overall ceiling
prescribed above during the life time of the retired
employee/ his/her spouse.
However the patient is admitted for the same disease or

complication arising out of the disease within 03 months
from his/her last hospitalization then for such repeated
hospitalization, the employee/ spouse will have to pay
only 10% of their respective subsequent bills. Employees
will have to pay additional contribution of 15 days basic
pay at the time of retirement.
It is understood that Board is being approached to revise

and amend certain ceilings etc. of the above scheme.
Particulars of Pension scheme in BHEL

Pension scheme for employees superannuating on or
after 1.1.2007
The
scheme is applicable for employees who put in 15 years

of service as on 1.1.2007 and retiring on superannuation on or
after 1.1.2007.
For laterals the period of service in CPSE/Government will be

reckoned for arriving the eligibility period of 15 yrs. Individual
pension corpus from BHEL will be only for the service in BHEL
only.
To allocate 8.69% of Basic + DA p.a. for corpus pension fund.
The
individual pension benefit determined through a formula

of 10 days last drawn Basic + DA p.a. The fund will be
managed by BHEL pension fund Trust.
The
pay-out methodology will be to invest into annuities, as

per the available schemes offered by the Insurance companies
and opted by the retired employee.
Thank you

Post-Retirement Benefit Scheme

Uploaded by

Copyright:

Available Formats

Post-Retirement Benefit Scheme

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Post-Retirement Benefit Scheme

Uploaded by

Copyright:

Available Formats

POST-RETIREMENT

The salient features of the OMs from MoS

CPSE would be allowed 30%

of Basic Pay plus DA as

Individual CPSEs may create a Corpus by contributing

A Committee of Directors may be constituted by the

of PBT has no relationship with 30% ceiling prescribed

corpus created out of 1.5% of PBT meant for all the

workmen superannuation benefits would depend upon

budgetary support will be provided by the Government for

of Directors may consider introduction of the scheme

line with the above, the break

12% (Already in vogue in DCI)

Salient features of DCIL Employees Pension Scheme

The corpus amount would be appropriated to a separate trust called

Employees of the company who superannuate from the company on

Past service in other CPSEs/ Government/Autonomous Bodies will be

Initially, the Company shall contribute lump sum to the Trust an

The outflow from 01.01.2007 to 31.3.2013 for the Individual Pension

The financial implication towards Pension Scheme is

The total number of employees eligible for pension

The average outflow per person would be around

Salient features of DCIL Employee

The corpus amount would be appropriated to a separate trust

The scheme will be applicable to all employees (Executives

The initial contribution @ 2.19% of the Pay + DA of the

In-patient treatment covered upto Rs. 02,50,000/- p.a. for each

Out-patient treatment covered upto Rs.15,000/- p.a or prorate basis

In-patient treatment for critical illness indicated at Appendix covered

The financial implication towards the Medical Scheme is worked out

The total retired employees on or after 01.01.2007 and their

features of DCIL employee

The scheme will be applicable to all employees

The corpus amount would be appropriated to a

The company shall contribute to the Trust an amount

treatment cover upto Rs. 2,50,000/- p.a.

treatment cover upto Rs.5,000/- p.a for

The Corpus fund available for the financial year

The total retired employees and their spouses

all the three retirement benefit schemes, funds

Particulars of Post-retirement Medical scheme

I . Post Retirement Medical Scheme

The scheme will be applicable to all Executives and

The annual Insurance premium for covering the retired

O.P. cover upto Rs.10,000/- annually for a family of two (on

I.P. cover upto Rs.1,50,000/- annually for a family of two (on

Critical illness cover upto Rs.7,50,000/- per person.

2. Medical assistance scheme for retired employees (MASRE)

scheme would also be applicable to all workmen who will be retiring

50% of the premium would be borne by the retired

upto Rs.10,000/- annually for a family of two (on a floater basis)

cover upto Rs.1,50,000/- annually for a family of two (on a floater

illness cover upto Rs.7,50,000 per person.

is understood that Board has approved certain amendments to the

Particulars of post retirement Medical scheme

Employees who retired from service on or after 1.1.1997 from

Entitlement towards domiciliary medical are as under :

In patient : There will be life time ceiling for hospitalization

Every time the retired employee or his/her spouse gets