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EPFO pension: Retiring private employees get relief as Supreme Court dismisses plea filed against Kerala HC order

 

The Employees’ Provident Fund is a retirement benefits scheme that was structured to provide financial security to employees of factories and other establishments. The Supreme Court dismissed the petition filed against a Kerala High Court order that had asked EPFO to provide pension to all retiring employees.

The bench comprising the CJI Ranjan Gogoi, Justice Deepak Gupta and Justice Sanjiv Khanna dismissed the plea filed by EPFO saying that it finds no merit in the special leave petition.
EPFO Private Sector Employees Pension Scheme: The Supreme Court Monday dismissed the Special Leave Petition filed against a Kerala High Court order that had asked Employees Provident Fund Organisation to provide pension to all retiring employees, rather than capping the figure to Rs 15,000 per month. In effect, all retiring employees will now get pension on their full salary instead of the Rs 15,000 cap.

The bench comprising CJI Ranjan Gogoi, Justice Deepak Gupta and Justice Sanjiv Khanna dismissed the plea filed by EPFO saying that it finds no merit in the special leave petition.

The Kerala High Court in 2018 had nullified the amendments made to the Employees’ Pension Scheme in 2014. According to the new rules, new employees who earned more than the capped wages would not be eligible for EPS. Existing employees who were contributing on higher salary could continue to do so provided they made fresh applications along with the employer in a year’s time, failing which their contributions would be restricted to the capped wages.

The Employees’ Provident Fund is a retirement benefits scheme that was structured to provide financial security to employees of factories and other establishments.

While 12 per cent of the basic salary and dearness allowance have to be contributed by all employees earning up to Rs 15,000 per month (not mandatory for others), the employer component (12%) has to be contributed mandatorily in case of all employees. The employer’s component is split into EPF (3.67%) and the Employees’ Pension Scheme (8.33%).

Small Savings Scheme Interest Rate from 1st April 2019

The rate of Interest on various small saving schemes for the first quarter of financial year 2019 -20 starting 1st April 2019 shall remain unchanged from those notified for the fourth quarter of financial year 2018-19

SB Order 02/2019

F. No 113-03/2017-SB 
Govt. of lndia 
Ministry of Communication 
Department of Posts 
(F.S. Division)

Dak Bhawan, New Delhi-l10001 
Dated:29.03.2019

To,

All Head of Circles/Regions 
Addl. Director General, APS, New Delhi

Subject ; Revision of interest rates for Small Savings Schemes.

Sir/Madam,

The undersigned is directed to say that vide their OM No.01/04/2016-NS dated 29.03 2019 (copy enclosed), The Ministry of Finance, Department of Economic Affairs (Budget Division), New Delhi have informed that the rate of Interest on various small saving schemes for the first quarter of financial year 2019 -20 starting 1st April 2019 shall remain unchanged from those notified for the fourth quarter of financial year 2018-19.

Small Savings Scheme Interest Rate from 1st April 2019

2.This is for information & necessary action by all concerned.

3.This issues with the approval of Competent Authority.

Yours faithfully, 
(P L Meena) 
Assistant Director(SB-l)

MODI GOVT’S NEGLECT TOWARDS BSNL CONTINUES..

Finance Ministry unconvinced to allot 4G spectrum to BSNL.

The New Indian Express dated 28-03-2018, has reported that, the Union Finance Ministry is not convinced to allot 4G spectrum to BSNL. According to the paper, the estimated cost of the spectrum is Rs 13,885 crore. In it’s proposal submitted to the government, the BSNL Management had stated that, out of this amount, BSNL will pay 50 per cent in 10 equal instalments, and the remaining 50% to be adjusted through capital infusion by the government. It means the government will increase it’s share capital in BSNL to the tune of Rs.6942.5 crore. Practically, the government need not spend even a  paisa from it’s pocket on account of this. When this being the case, why the Finance Ministry is not in favour of allotment of 4G spectrum to BSNL. It may also be recollected that, earlier, the Niti Aayog had also opposed allotment of 4G spectrum to BSNL. Have the Niti Aayog and the Finance Ministry forgotten the fact that, BSNL is the government’s own company? The picture is very clear now. The government does not want BSNL to get revived and emerge as a strong competitor to Reliance Jio.

(BSNLEU Website)

GOVERNMENT HELD EMERGENCY MEETING TO BAILOUT A PRIVATE COMPANY; BUT WHAT ABOUT BSNL, 100% GOVERNMENT COMPANY..?

BSNL and Jet Airways – two different approaches of the government.

Jet Airways, which was the biggest Indian airways company some time back, is in a deep financial crisis. It’s pilots have not been paid salary for the past 3 months. They have threatened to go on strike from 1st April, 2019, if the salary is not paid. Jet Airways is having a loan of one billion US dollars. The company is operating only 140 flights per week now, whereas, it was operating 600 flights per week, some time back. The important development that we should note on this issue is that, the government has conducted an emergency meeting yesterday to bail out Jet Airways. Today’s Economic Times (20.03.2019) has reported that the government is pressurising the banks to extend loans to Jet Airways. We appreciate the care that the government is taking for Jet Airways, which is a private company. But what about BSNL, which is the government’s own company? BSNL is crying and pleading to the government to permit it to take bank loans to overcome it’s financial crisis. But the Hon’ble Minister and the government are not coming to the rescue of BSNL. Whereas, in the case of Jet Airways, the government has conducted an emergency meeting and is pressurising the banks to extend loans to it. No more example is required to explain the government’s pro-private and anti-public sector policies. It is these policies which have ruined BSNL. Together with the AUAB, BSNLEU is continuously fighting against these anti-BSNL policies of the government. However, amongst us, we have some great brains, who are giving experts opinion that, we should not fight against the government.

(Courtesy: BSNLEU website)

BSNL will approach National Company Law Tribunal this week to recover dues of about Rs 700 crore from Reliance Communications

 

State-owned telecom firm BSNL will approach National Company Law Tribunal this week to recover dues of about Rs 700 crore from Reliance Communications, according to official sources.

Earlier, debt-ridden RCom in its plea before the NCLAT said that it wants to voluntarily go back into the insolvency process, as it will help selling its assets in a time bound manner.

It had moved the appellate tribunal, seeking directions to the 37 lenders led by SBI to release Rs 260 crore directly to Ericsson. However, lenders of RCom have opposed the plea, saying that it will lead to outgo of public money for settling payment of a private party.

“BSNL has aready invoked bank guarantee of around Rs 100 crore submitted by RCom for default on payments. Decision was taken on January 4 by BSNL Chairman and Managing Director AnupamShrivastava to start legal proceedings against RCom for recovery of dues of around Rs 700 crore,” the sources said.

BSNL has roped Singh and Kohli law firm for the suit. The case filing got delayed due to collection of invoices from all circle offices.

RCom has been struggling to pay Rs 453 crore out of Rs 550 crore to Ericsson under a settlement reached between the two firms before NCLAT. (courtesy: press reports)