Government tells Nabard to initiate pension process in RRBs

• The Government has directed the National Bank for Agriculture and Rural Development to implement the long-awaited pension scheme for 30,000-odd regional rural bank retirees, who have won a protracted legal battle demanding parity in pension with nationalized bank employees.

• The government has sent a communication to all regional rural bank chairmen and chief executives of their sponsor banks to execute the decision.

• Retired RRB employees will get the pension at par with their counterparts in nationalized banks with effect from April this year.

• The department of financial services has decided that employees who were in service as on September 1, 1987, will be eligible for the pension, while those who joined before April 1, 2018, will come under the scheme.

• The Supreme Court has directed the government to implement the pension scheme within three months while the government is yet to issue a final notification.

• The decision on arrears prior to April this year is yet to be taken.

• It has been decided that the pension burden will be borne by the respective RRBs from their working expenses till structured pension funds are created as per the provision of the Pension Regulations.

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