Decisions on the recommendations of the Committee for Comprehensive Review of National Small Savings Fund (NSSF).

No. 6-1/2011-NS.II (Pt.)

Ministry of Finance

Department of Economic Affairs

(Budget Division)

------------------------------------------------------------------------------------------------------------

New Delhi, the 11th November, 2011.

 

OFFICE MEMORANDUM

 

Sub: Decisions on the recommendations of the Committee for Comprehensive Review of National Small Savings Fund (NSSF).

 

The Thirteenth Finance Commission in its Report had, inter alia, recommended that all aspects of the design and administration of the NSSF be examined with the aim of bringing transparency, market linked rates and other much needed reforms to the scheme. As a follow up of this recommendation, the Government had constituted a Committee on 8th July, 2010, headed by Smt. Shyamala Gopinath, the then Deputy Governor, Reserve Bank of India for comprehensive review of NSSF. The terms of reference of the Committee included review of the existing parameters for the small saving schemes in operation and recommend mechanisms to make them more flexible and market linked; review of the existing terms of the loans extended from the NSSF to the Centre and States and recommend on the changes required in the arrangement of lending the net collection of small savings to Centre and States; review of other possible investment opportunities for the net collections from small savings and the repayment proceeds of NSSF loans extended to States and Centre; review of the administrative arrangement including the cost of operation; and review of the incentives offered on the small savings investments by the States.

 

2. The Committee submitted its report to the Government on 7th June, 2011. Comments/views of Department of Posts, Department of Revenue, Department of Financial Services, Department of Expenditure and all State/Union Territory Governments were sought on the recommendations made by the Committee.

 

3. The recommendations of the Committee have been considered in detail, taking into account the views/comments received from other Departments, States/UTs and representations received from various agents' associations and others. After detailed examination the following decisions have been taken:-

 

Rationalisation of Schemes:

 

(i) The maturity period for Monthly Income Scheme (MIS) and National Savings Certificate (NSC) will be reduced from 6 years to 5 years.

 

(ii) A new NSC instrument, with maturity period of 10 years, would be introduced.

(iii) Kisan Vikas Patras (KVPs) will be discontinued.

(iv) The annual ceiling on investment under Public Provident Fund (PPF) Scheme will be increased from Rs. 70,000 to Rs.1 lakh.

(v) Interest on loans obtained from PPF will be increased to 2% p.a. from existing 1% p.a.

(vi) Liquidity of Post Office Time Deposit (POTD) – 1, 2, 3 & 5 years – will be improved by allowing pre-mature withdrawal at a rate of interest 1% less than the time deposits of comparable maturity. For pre-mature withdrawals between 6-12 months of investment, Post Office Savings Account (POSA) rate of interest will be paid.

 

Interest Rates on Small Savings Instruments :

 

(i) The rate of interest paid under Post Office Savings Account will be increased from 3.5% to 4% p.a.

(ii) The rate of interest on small savings schemes will be aligned with G-Sec rates of similar maturity, with a spread of 25 basis points (bps) with two exceptions. The spread on 10 year NSC (new instrument) will be 50 bps and on Senior Citizens Savings Scheme 100 bps. The interest rates for every financial year will be notified before 1st April of that year.

(iii) Assuming the date of implementation of the recommendations of the Committee as 1stDecember, 2011 the rate of interest on various small savings schemes for current financial year on the basis of the interest compounding/payment built in the schemes, will be as given below:-

 

Instrument		Current Rate (%)		Proposed Rate (%)
Savings Deposit		3.50		4.0
1 year Time Deposit		6.25		7.7
2 year Time Deposit		6.50		7.8
3 year Time Deposit		7.25		8.0
5 year Time Deposit		7.50		8.3
5 year Recurring Deposit		7.50		8.0
5-year SCSS		9.00		9.0
5 year MIS		8.00 (6 year MIS)		8.2
5 year NSC		8.00 (6 year NSC)		8.4
10 year NSC		New Instrument		8.7
PPF		8.00		8.6

 

 

(iv) Payment of 5% bonus on maturity of MIS will be discontinued.

 

Commission to Agents

 

(i) Payment of commission on PPF schemes (1%) and Senior Citizens Savings Scheme (0.5%) will be discontinued.

(ii) Agency commission under all other schemes (except MPKBY agents) will be reduced from existing 1% to 0.5%.

(iii) Commission at existing rate of 4% will continue for Mahila Pradhan Kshetriya Bachat Yojana (MPKBY) agents.

(iv) Incentives, if any, paid by the State/UT Governments will be reduced from the commission paid by the Central Government.

Investments from NSSF :

 

(i) The minimum share of States in net small savings collections in a year, for investment in State Governments Securities, will be reduced from 80% to 50%. The remaining amount will be invested in Central Government securities or lent to other willing States or in securities issued by infrastructure companies/agencies, wholly owned by Central Government.

(ii) Yearly repayment of NSSF loans made by Centre and States, will be reinvested in Central and State Government securities in the ratio of 50:50.

(iii) The period of repayment of NSSF loans by Centre and States will be reduced to 10 years, with no moratorium.

(iv) For the current financial year the prevailing interest rate of 9.5% will continue. From 1st April, 2012 revised interest rate will be notified.

(iv) Half yearly payment of interest by the Centre and the States will be introduced.

(v) Interest rate on existing investments from NSSF in Central Government securities till 2006-07 will be re-set at 9% and on those from 2007-08 till 2010-11 will be re-set at 9.5%.

 

Operational Issues of NSSF

(i) A Monitoring Group drawn from Ministry of Finance, Reserve Bank of India, Department of Posts, State Bank of India, other select banks and select State Governments will be set up to resolve various operational issues like reducing the time lag between collection and investment, etc.

4. Necessary notifications, including those requiring amendments to rules of various small saving schemes and National Small Savings Fund (Custody & Investment) Rules, 2001 will be notified separately. The above decisions will take effect from the dates to be specified in the notifications.

5. This has the approval of Finance Minister.

(Shaktikanta Das)
Addl. Secretary to the Govt. of India

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

Framing of Recruitment Rules in respect of Postal Assistants/Sorting Assistants in Department of Posts.

Framing of Recruitment Rules in respect of Postal Assistants/Sorting Assistants in Department of Posts.

 

The Gramin Dak Sevaks, these shall be filled by direct recruitment from amongst other open market candidates of the same year, fulfilling the age and qualification conditions.

1. The Gramin Dak Sevaks should have obtained at least 50% marks in 10+2 Standard or 12^th class with English as a Compulsory subject. And have put in a minimum service of five years;
2. They should be within 30 years of age (35 years for those belonging to Scheduled Castes/ Scheduled Tribes and 33 years for other Backward Classes).

No. 37-47/2010-SPB-I

Government of India

Ministry of Communications & IT

Department of Posts

                                                              Dak Bhawan, New Delhi-110001

Dated; 18.11.2011.

1. All Chief Postmaster General
2. Postmaster General
3. The Director, PSCI, Ghaziabad 

Subject; Framing of Recruitment Rules in respect of Postal Assistants/Sorting Assistants in Department of Posts.

Sir/Madam,

I am directed to forward herewith a copy of revised Recruitment Rules dated 3.11.2011 for the Posts of Postal Assistants/Sorting Assistants in Department of Posts notified in the Gazette of India, Extraordinary, Part-II Section 3, Sub-section (i) dated 3.11.2011.

It is requested that the provisions of Recruitment Rules may be brought to the notice of all concerned.

Yours faithfully,

       Sd/-

(Alka Tewari)

Assistant Director General (SPN)

Encl; As above

Please down load below link for Gazette notification for PA/SA Recruitment Rules.     

https://acrobat.com/#d=QLtTpX9UfwUzb3BqEpkY6g
https://acrobat.com/#d=QLtTpX9UfwUzb3BqEpkY6g

 https://docs.google.com/open?id=0ByGMaXHz-9UCNTQzZGYwYTktMDYyNi00MjZjLWE3NTQtNDExOTE0M2RhN2Vi

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

Letter to Govt.Most urgent and pressing problems of the Gramin Dak Sevak employees

GDS/CHQ/41/1/2011                                 Dated. 11-11-2011

To

Ms. Manjula Prasher,                               

Secretary,

Department of Posts,                                                      

Dak Bhavan,

New Delhi – 1.

 

Madam

Sub:-         Most urgent and pressing problems of the Gramin Dak Sevak employees.

We are submitting herewith a short note on most urgent and pressing problems of the Gramin Dak Sevaks for your kind perusal and favourable action.

1.       Gross injustice and discrimination has been done to Gramin Dak Sevak employees by denying Bonus ceiling of Rs.3500/-, at par with Departmental staff.  Several courts (CAT) pronounced judgments in favour of the GDS and supported the arguments advanced by us.  Bonus ceiling to GDS may be Rs.3500/- without any discrimination, please consider.

2.     Removal of tightening of norms for GDSBPMs, Rs.20,000/- Cash handling per point is unreasonable and unscientific.  Hither to Rs.1000/- per point for Cash handling was in force which was the basis for computation of their TRCA.  Similarly no norm is fixed for transactions done under MNREGS up to 20 transactions, Stamps sales norms Rs.900/- is unreasonable against the former norms of Rs.45/- per point.  We request immediate review as the officials undergo REDUCTION IN THEIR MONTHLY EMOLUMENTS/TRCA.  No pay committee has suggested downward revision of pay/TRCA and such peculiarity/discrimination is only towards this section! In reality their pay should have been on the basis of minimum hours of attendance like Departmental staff, not on the basis of workload assessed unscientifically and irrationally.  ANOTHER PERTINENT POINT IS THAT THEIR SERVICES ARE UTILISED OUTSIDE THE DUTY HOURS TO MOBILISE R.P.L.I, MGNREGS AND OTHER SMALL SAVINGS WORK.

3.      Pay revision is always UPWARDS, but in case of many GDS downward revision has taken place and recoveries are ordered on the plea of wrong fixation.  This is because of reading the rules and instructions in between the lines by local level officers/Audit officers.  Pay hike system/procedure is not made as simple as adopted for Departmental staff.  This is utter discrimination towards these HAVE NOTS.

4.     Snatching away 25% of Promotional avenues (seniority quota) of GDS employees against the prevailing rules, convention and practice is another blow.  GDS officials are being treated as outsiders for all purposes and their promotion is treated as DIRECT RECRUITMENT.  Practice and pre-existing rules and norms for absorption of GDS in the department is logical and reasonable.  Hence we request your kind honour to intervene in the matter.  The ideal should be to systematically absorb the GDS into department by various method of DEPARTMENTALISATION, SO WE CRAVE FOR YOUR KIND INDULGENCE.

5.        Hither to Compassionate appointment to the wards of GDS have been given as    a welfare measure, without any condition or restrictions.  Imposing unethical and unreasonable conditions and norms prescribed recently is against the principles of natural justice and law of the land.  Introduction of irrational and unscientific methods to assess indigent circumstances of the family are quite unreasonable and unjust.  Earning MINIMUM POINTS OF 50 is highly impracticable and unjust, live examples have been furnished already for urgent review.  Please look into this issue objectively, compassionately and ON PRIORITY.

        We, therefore, most respectfully solicit your kind intervention and early settlement of the issues for which we shall be highly grateful.            With regards,     

Yours faithfully                                                                                  

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

National Postal Policy 2012

National Postal Policy 2012

 

The Government has started the exercise to formulate the new National Postal Policy 2012, to rejuvenate and bring the postal sector to the centre-stage of economic development.

The Department of Posts (DoP) will organise a roundtable conference next month to discuss various dimensions of the policy with key stakeholders.

"DoP may complete this (discussion) exercise by April, 2012," the Minister of Communications and Information Technology, Mr Kapil Sibal, said, adding that the agenda of the same should be submitted by November 20.

 
The Government said the National Postal Policy (NPP) would have clear goals, a defined role for various operators in the sector and a regulatory mechanism.

 
"The postal sector is a key information medium that contributes to both economic and social development. In recent years, the postal marketplace has grown increasingly competitive, complex and essential," Mr Sibal added.
In line with market dynamics

The Minister, in his communication to the DoP, has indicated that the new policy should be in line with market dynamics and postal sector should contribute to social and economic development of the country.

The DoP had earlier come up with a National Postal Policy, which is viewed as 'prototype' of the policy, a senior ministry official said.

The policy was written by couple of postal department officers without consultation with the industry, the official added. The new policy will be framed in consultation with various stakeholders of the Indian postal sector which will include various players in logistics, courier and e-commerce business.
Clear goals

 
"NPP'12 will have clear goals in terms of job creation, potential investment, guidelines for postal services and strategic focus area for the sector," the official said.

 
With over 1.5 lakh post offices India's Department of Posts has the one of the largest postal network in the world.

To match the rapid growth of the country, the DoP is undergoing various radical changes, which include a proposal to convert over 1.5 lakh post-offices across the nation into full-fledged banks.

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

Interest rates on post office savings schemes go up

Special Correspondent

In a bid to lure millions of small savers across the country who had exited the National Small Savings (NSS) schemes in pursuit of higher returns, the Union Government on Friday raised the interest rates on Post Office Savings Account (POSA), Time Deposit Schemes of various tenures, Monthly Income Scheme (MIS) and Public Provident Fund (PPF).

To be notified soon

According to a Union Finance Ministry statement, the interest rate on POSA stands increased to 4 per cent from 3.5 per cent for the current fiscal while deposits in schemes such as MIS and PPF will fetch attractive returns of 8.2 per cent and 8.6 per cent respectively, as compared to the existing rates of 8 per cent.While all time maturities will fetch significantly better returns by way of higher interest rates than hitherto, the biggest gainer is set to be the one-year fixed deposit scheme with its interest rate pegged at 7.7 per cent as compared to the prevailing 6.25 per cent.

As per the decision approved by Finance Minister Pranab Mukherjee, the new rates are to be made applicable from the date of notification to be announced soon.

The move to make the small savings schemes more attractive and align them with current market rates is in line with the recommendations of the Shyamala Gopinath Committee which was set up to look into the matter at the advice of the 13th Finance Commission.

Alongside, however, the Government has decided to discontinue the Kisan Vikas Patra (KVP) scheme.

New NSC instrument

It has also reduced the maturity period for the MIS and National Savings Certificate (NSC) schemes to five years from the existing six years and has introduced a new 10-year NSC instrument with its interest rate pegged at 8.7%.

Another bonanza for small savers is that the annual investment ceiling in PPF savings accounts has been raised to Rs. 1 lakh from the current limit of Rs. 70,000.

At the same time, what may irk investors is that loans against such savings would be at a higher interest rate of 2 per cent as against 1 per cent at present. The Government has also scrapped the 5 per cent bonus on maturity of MIS schemes and abolished the commission for agents on PPF and Senior Citizens Savings Schemes.

---

·  Interest rate on Post Office Saving Account up to 4% from 3.5%

·  Rate on MIS and PPF raised to 8.2% and 8.6% respectively

 

(Courtesy by' The Hindu 'on 12^th Nov, 2011)

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

Revision or norms for opening of Post Offices in rural and urban areas

Revision or norms for opening of Post Offices in rural and urban areas

CLICK HERE FOR DETAILS

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

LIMITED DEPARTMENTAL EXAMINATION FOR PROMOTION TO THE POSTMASTER GRADE-I HELD ON 29th MAY 2011-REVISED LIST OF MAHARASHTRA, A.P. & JHARKHAND CIRCLES:

LIMITED DEPARTMENTAL EXAMINATION FOR PROMOTION TO THE POSTMASTER GRADE-I HELD ON 29^th MAY 2011-REVISED LIST OF MAHARASHTRA, A.P. & JHARKHAND CIRCLES:

CLICK HERE FOR DETAILS -1 CLICK HERE FOR DETAILS - 2
CLICK HERE FOR DETAILS - 3
--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

CONFEDERATION CIRCULAR

Circular No.22

	CONFEDERATION OF CENTRAL GOVT. EMPLOYEES & WORKERS. A-2/95,Manishinath Bhawan,Rajouri Garden, New Delhi-110 027
Website:www.confederationhq.blogspot.com. Email:Confederation06@Yahoo.co.in Tel: 011-2510 5324: Mobile: 98110 48303

Conf/ 22 /2011

Dated: 4.11.2011

Dear Comrade

We invite your kind attention to the declaration adopted by the National Convention held at Mavalankar hall, New Delhi on 7^th September, 2011 in which delegates of all Central Trade Unions and Federations participated. (Copy appended hereunder for ready reference.) As you are aware, despite the protest and resistance movement organised by the working class, the UPA II Govt. had continued with the neo liberal policies unabated. The prices of all commodities especially the food articles had been constantly increasing and the Oil companies were permitted to increase the price of petroleum prices often. During its regime, the Govt. permitted the Oil companies to raise the prices of Petrol sixteen times and the Prime Minister has now threatened that his Govt. would soon take the decision to deregulate the administrative price mechanism in respect of cooking gas, kerosene and diesel very soon. For him the inclusive growth is only a phrase to be used to garner votes. In so far as the government employees are concerned, the next session of the Parliament would be crucial in as much as the Govt. Is bent upon enacting the PFRDA Bill to ensure the privatisation of Pension funds.

Even though the struggles against the Neo liberal policies were launched initially by the Left Trade Union and Left parties, the experience of the workers in the last ten years has compelled all Trade Unions to be part and parcel of the struggle against these policies. Whereas INTUC became the partners in the common struggles last year, the BMS has decided to join the common platform now. The Delhi Convention of 7^th September, 2011 has called upon the workers to organise a Jail Bharo agitation on 8^th November,2011. We do appreciate the constraints of the Government employees to court arrest. But that should not deter us from ensuring the active participation of our rank and file members in this historic struggle. The State Committees and affiliates must make all efforts to enlist participation of large number of our members in the rally on 8^th November, 2011 at all places.

With greetings,

Yours fraternally,

K.K.N. Kutty

Secretary General

DECLARATION The National Convention of Workers being held on 7th September 2011 at Mavalanker Hall, New Delhi noted with serious concern that despite several rounds of all in united protests by the entire trade union movement of the country, the Govt has remained totally unresponsive to major concerns of the working people. Practically no step has been taken by the Govt to address the basic demands of the workers being pressed through joint memorandum by the Central Trade Unions to honourable Prime Minister and the Lok Sabha Speaker and various other joint countrywide programmes. Rather, aggressive moves are being taken to further aggravate the rise in prices through frequent hike in prices of petrol, diesel, LPG and kerosene. Disinvestment of shares of Public Sector Units is being actively pushed through by the Govt to facilitate phased privatisation of the highly profit-making PSUs. Existing labour rights including right to form union and to social security and pension are being sought to be curbed through various legislative and administrative moves. Mass scale contractorisation of the regular work is continuing in all the workplaces including in PSUs and Govt. establishments. Contract workers are not being paid in most of the places even the statutory minimum wages which is very low to meet the basic requirements for a human living . The National Convention also expresses its serious concern over the flaring up of rampant corruption all around and huge black-money-generation in the economy and seeks to draw the attention of the Govt to the widespread popular discontent and disgust over the issue of corruption demanding concrete legislative and administrative measures and change in the economic policy regime to eradicate and prevent corruption and bring back the black money stashed abroad. The National Convention calls upon the working people of the country to further widen the unity achieved through united struggle and launch united protest against the unresponsive approach of the Govt through intensified countrywide struggles. While reiterating the five point demands formulated jointly by the Central Trade Unions and Federations for 1) Concrete measures to contain price rise, 2) Concrete measures for linkage of employment protection with the concession/incentive package offered to the entrepreneurs, 3) Strict enforcement of all basic labour laws without any exception or exemption and stringent punitive measures for violation of labour laws, 4) Universal social security cover for the unorganized sector workers without any restriction and creation of a National Social Security Fund with adequate resources in line with the recommendation of NCEUS and Parliamentary Standing Committee on Labour and 5) Stoppage of disinvestment in central and state PSUs. The National Convention of Workers also demands immediate action by the Govt of India to ensure: • No Contractorisation of work of permanent/perennial nature and payment of wages and benefits to the contract workers at the same rate as available to the regular workers of the industry/ establishment • Amendment of Minimum Wages Act to ensure universal coverage irrespective of the schedules and fixation of statutory minimum wage at not less than Rs 10,000/-. • Remove all ceilings on payment and eligibility of Bonus, Provident Fund; Increase the quantum of gratuity. • Assured Pension for all • Compulsory registration of trade unions within a period of 45 days and immediate ratification of the ILO Conventions nos 87 and 98 To press the above demands and to prepare for higher level of united action, the National Convention decides to hold Countrywide multiple forms of action such as SATYAGRAHA/JAIL BHARO, MASS SQUATTING etc. in all the state capitals and industrial centres on 8th NOVEMBER 2011. The National Convention also calls upon all the trade unions and workers and employees in general irrespective of affiliations to hold statewise and industrywise conventions to make the above programme a total success and prepare for countrywide General Strike as early as possible in the next phase.

ENTIRE RMS EMPLOYEES OF MAHARASHTRA CIRCLE WENT ON INDEFINITE STRIKE FROM 31.10.2011 WE EXTEND OUR SOLIDARITY SUPPORT TO RMS STAFF

ENTIRE RMS EMPLOYEES OF MAHARASHTRA CIRCLE WENT ON INDEFINITE STRIKE FROM 31.10.2011 WE EXTEND OUR SOLIDARITY SUPPORT TO RMS STAFF

 

BY ORGANIZING DEMONSTRATION AT ALL WORK PLACES.

 

Entire RMS Employees of Maharashtra Circle have gone on indefinite strike from 31.10.2011 against arbitrary, unjustified and unilateral abolition of RMS Sections i.e.L-26 , F-28 and Dadar RMS office by the CPMG Maharashtra.

Strike started at Mumbai and continued for 2 days and when administration took adamant attitude, JCA decided to extend the strike throughout the circle

First round discussion of RMS Unions took place with CPMG Maharashtra on 02.11.2011 but failed due to adamancy of CPMG Maharashtra.

All Branch/Divisional and Circle Secretaries of the AIPEDEU are requested to extend solidarity support by organizing demonstration at all work places and send emails/Fax Messages to Secretary Department of Posts requesting intervention and restoration of abolished RMS sections and Dadar RMS Office.

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union

Department of Posts (Multi Tasking Staff) Recruitment Rules, 2010

DG (P) Letter No. 37-33/2009-SPB-I Dated: 03.10.2011

 

Subject: Department of Posts (Multi Tasking Staff) Recruitment Rules, 2010

 

 

            I am directed to forward herewith a copy of Department of Posts(Multi Tasking Staff) (Amendment) Recruitment Rules, 2011 dated 26.9.2010 notified in the Gazette of India, Extraordinary, Part-II Section 3, Sub-section (i) dated 30.0.2011.

 

            It is requested that the amendment in the of Recruitment Rules may be brought to the notice of all concerned

 

 

 

 

MINISTRY OF COMMUNICATIONS AND

INFORMATION TECHNOLOGY

(Department of Posts)

NOTIVICATION

 

New Delhi, the 26^th September, 2011

 

G.S.R. 717(E)—in exercise of the powers conferred by the proviso to article 309 of the Constitution, the President hereby makes the following rules to amend the Department of Posts (Multi Tasking Staff) Recruitment Rules, 2010, namely:--

 

(1)    These rules may be called the Department of Posts (Multi Tasking Staff) (Amendment)

Recruitment Rules, 2011.

 

(2)    They shall come into force on the date of their publication in the Official Gazette.

 

2.          In the Schedule to the Department of Posts (Multi Tasking Staff) Recruitment Rules, 2010 against serial number 2 relating to Multi Tasking Staff Part II Posts of Subordinate Office, in Column (II), in entry (i) after the words 'Selection-Cum-seniority' the following entry shall be added:-

 

'failing which by; direct recruitment from amongst Gramin Dak Sevaks of the neighboring Divisions or Units on the basis of Selection-cum-seniority.'

 

     Sd/-

RAJ KUMAR, Director (Staff)

            [F.No. 37-33/2009-SPB-I]

 

 

--
S.S.Mahadevaiah
General Secretary
All India Postal Extra Departmental Employees Union