Monday, January 16, 2012


By Badrinath Vasandi in EX-ONGCIANS · Edit Doc · Delete

d r a f t (some one be authorized to send it under his signature from the group side)



(CMD by name)

Respected Sir,

Sub: Formation of a Central CORPUS FUND for CPSE’s Non – Pensioned Retirees / Senior

Citizens - Request for.

Ref: 1. Recommendations of 2nd Pay Revision Committee for CPSE’s Executives {Page – 130,

Para. No. 6.2.5 (C)}

2. Office – Memorandum No. 2(81) /08 – DPE (WC) – GL – XVI / 2009 dated 08.07.2009

3. National Workshop held at New Delhi on 16.11.2010, on “Medical & Emergency Needs of Retired Employees of CPSEs – Creation of CORPUS FUND”.


We, the members of EX-ONGCIANS, heartily congratulate you for taking-over as Chairman-Cum-Managing Director or ONGC and assure you our best co-operation for the well being and growth of our esteemed organization.

EX-ONGCIANS is an international Network for sharing among the retired employees of ONGC spread over all over the work.

We feel it pertinent to mention here that the employees of Govt. of India / Govts. of All States, Members of Legislative Assembly / Councils (MLAs and MLCs), Members of Parliment (MPs), Officials of Financial Banks etc., including the workers of Anganawadi Schools are getting the Pensions after their retirements. But we the retired employees of ONGC who brought the organization upto Mahanavratna status by rendering our services away from our families in arduous and hazardous hostile environ. At the fall of our life it has become too difficult for us to survive with meager amount by way of Agrani Samman and PRBS. You would kindly appreciate that providing Social Security to the aged and retired employees is not obligatory on the part of PSE/Corporation but it is their responsibility. On the contrary it is really shocking that our own department has been litigating our issues in the court by field Attorney General and a battery of senior advocates of Supreme Court at the fag end of our life.

We would like to draw your kind attention to Office – Memorandum No. 2(81)/08-DPE(WC) – GL – XVI / 2009 dated 08.07.2009 (a copy enclosed), issued by the Director, Dept. of Public Enterprises, Govt. of India, New Delhi, with regard to creating a Corpus by contributing 1.5% of PBT by CPSEs to take care of medical and any other emergency needs of those retired employees, who are not adequately covered under pension and medical scheme. And, for the purpose ONGC has already kept aside a total amount of Rs.1400 crores for the years 2007-08, 2008-09, 2009,10, 201o-11 as per figures reflected in the Annual Report of ONGC. But, it is highly unfortunate that till date no payment in this regard has been made to us though a period of more than 3 years have passed after the DPE's guidelines.

We would also like to bring to your kind attention that a Workshop was organized by National Institute of Personal Management (NIPM) and Management Leadership Development Centre had organized a National Workshop on “Medical and Emergency needs of Retired Employees of CPSEs Creation of CORPUS”, on 16.11.2010 at SCOPE Complex, New Delhi The said Workshop was attended by all the Top officials of the Industries., including ONGC. . A copy of the Proceedings is enclosed for your immediate reference. The Conclusions and Recommendations made by the workshop and forwarded to the Department of Public Enterprises / Other Ministries are reproduced below:

"Conclusions and Recommendations

In the light of discussion, interaction and deliberations the following conclusion arid recommendations were drawn.

It was understood that these recommendations could, for the time being, be only within the confines of the DPE guidelines promulgated so far and the review of the guidelines within a larger frame of greater fairness and equity would have to be taken up separately.

1. The CPSUs could be divided into 3 categories for the above purpose :-

a) Maharatna, Navaratna and Miniratna companies which have annual

PBT from which 1-1.5% could be earmarked towards the corpus.

b) Other profit making PSUs

c) Loss making PSUs


Provide medical assistance on par with serving employees of equivalent designations

Make an ex-gratia payment as near the 30% of the minimum of the current pay attached to the designation at which the employee had retired or its present equivalent to meet the other emergency needs of the employee. This payment calculated monthly may be paid every quarter. The surviving spouse to be eligible for half of this amount. Additionally DA to be paid at prevailing rates.

3) This payment will be made from the corpus created out of the 1-1.5% of the PBT. This may be decided based on the fund available in the corpus. The Scheme so formulated by the Company will be reviewed periodically to ensure its viability.

4) The Corpus to be managed by a Trust consisting of Director (Finance) as Chairman, Director (HR), another serving Director, two senior retired employees not lower than the level of General Manager. The Trust will ensure that sufficient contingent reserves are held at any given time.


The Board to determine the percentage of PBT to be transferred to the Corpus

Provide, on priority, medical assistance on par with serving employees

Make ex-gratia payment to meet the minimum needs of the employee to live a life of dignity which will also bring a fair name to the PSU for its care and concern for the pioneers and foundation makers

The Corpus to be administered in the same manner as above.


Same action as for the Non Ratna Group as above.

Sources for fund may be as follows:


It is suggested that from out of the total dividends received by the Govt. from the PSUs, 1% should be set aside as a Special Reserve to fund the needs of the retired employees of the Loss Making Group and also the needs of the other groups in the unlikely event of extraordinary circumstances.

Similarly 1% of the amount realized by the Govt. by way of disinvestment of PSUs may be transferred to this Trust."

Sir, we have already stated that we are at the fag end of our life. Our need is to urgent for the sustenance. Any delay in making payment to us tantamount to denial . Day by day retirees are dying in hapless conditions. We also happen to be the senior citizens entitled for certain benefits and privileges under the National Policy of Older People. Under the said policy our concerns are to be taken as national concerns. We, therefore, request you kind self to please personally go into the matter to ensure expeditious action. We also request that a Trust may please be formed expressly for the Corpus out of 1.5% PBT wherein two retired employees recommended by this group may also be included. Needless to say that the aforesaid guidelines have already been implemented by IOC with effect from 1.1.07 .

Thanking you,

Your’s faithfully

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