The Union government has announced an increase in the pension for retired employees of the Reserve Bank of India (RBI). The new pension will be effective from June 2023, and will see the basic pension amount increase from Rs 100 to Rs 163. However, no arrears will be paid. A notification was issued in this regard on 13 July 2023.
The increase has been welcomed by retired bank employees, who have been calling for a revision of their pensions for four years now. It will benefit those who have retired before 1 November 2017.
It was in 1990 that the pension scheme was rolled out. Since then, the pension has been revised four times. Contributions given up by employees opting for the pension scheme (as per the Central government’s pension system) constitute RBI’s very own pension fund. This fund is managed by the Pension Fund Management Institution.
The workforce strength of RBI was well over 13,800 in March. Of these, at least 6,800 were Class 1 employees and at least 3,600 were Class 3 officers, while over 3,200 belonged to Class 4.
When the pension was last revised in 2019, a 10 per cent increase was granted in pension and dearness allowance (DA).