Disability pension and compensation to ex servicemen and cadets

Disability pension and compensation to ex servicemen and cadets

Disability Pension in cases of invalidment is granted to Armed Forces Personnel irrespective of qualifying service rendered which consists of service element and disability element. Armed Forces personnel who are retired / discharged with disability which is attributable to or aggravated by military service are also allowed disability element in addition to their service / retiring pension. With effect from 01.01.2006, the Disability Element is paid based on 30% of last emoluments drawn for 100% disability which is reduced pro-rata for lower percentages of disability.

Benefit of broad banding of percentage of disability was earlier allowed only for those invalided out from service. However, vide Ministry of Defence orders dated 4th and 5th September, 2017 the benefit of broad banding of percentage of disability has been extended to cases of retirement / discharge from service with disability of 20% or more.

Cadets during the entire duration of training in service academies i.e. during training period of Indian Military Academy (IMA) and Officers Training Academy (OTA) are entitled to stipend. The period of training is not treated as Commissioned Service. Cadets are not entitled to Disability Pension.

The scheme for grant of monthly ex-gratia awards in cases of death / disablement of Cadets (Direct) due to causes attributable to or aggravated by Military Training was introduced vide Ministry of Defence letter dated 16.04.1996 which was applicable with effect from 01.01.1986. Rates of Ex- gratia awards have been revised by each Pay Commission. The rates notified vide Ministry of Defence letter dated 04.09.2017, are as follows:-

In case of disablement:-

Monthly Ex-gratia amount: Rs.9,000/-pm.
Monthly Ex- gratia disability award: Rs.16,200/-pm for 100% disability, subject to pro-rata reduction for lower percentages of disability.

Constant Attendance Allowance: Rs.6,750/-pm, if applicable.

In case of death:-

Monthly Ex-gratia amount: Rs.9,000/-pm.
Ex-gratia lump sum compensation: Rs.12.5 lakhs.

Sexual Harassment of Women at Work Place - Lok Sabha Q&A

Sexual Harassment of Women at Work Place -  Lok Sabha Q&A

GOVERNMENT OF INDIA
MINISTRY OF WOMEN AND CHILD DEVELOPMENT
LOK SABHA

UNSTARRED QUESTION NO: 1173

ANSWERED ON:09.02.2018

Sexual Harassment of Women at Work Place

SUSHMITA DEV

(a) whether the number of complaints of sexual harassment of women at work places has increased in the country over the years;
(b) if so, the details thereof indicating the number of complaints received by the National Commission for Women (NCW) during each of the last three years and the current year, State/UT-wise;
(c) whether the Government has also launched SHe-Box online complaint management system to register complaints related to sexual harassment of women at work place and if so, the number of complaints registered in the system during the said period along with the action taken thereon;
(d) whether the NCW has stressed for setting up of an Internal Complaint Committee in each and every Government department/institution/ autonomous body in the country and if so, the details along with the compliance status thereof;
(e) the details of laws presently in force under which the complaints regarding sexual harassment of women at work places could be registered in the country; and
(f) the other steps taken/being taken by the Government to ensure protection of women from sexual harassment at work places in the country?

Will the Minister of WOMEN AND CHILD DEVELOPMENTbe pleased to state:-

ANSWER
MINISTER OF STATE IN THE MINISTRY OF WOMEN AND CHILD DEVELOPMENT (DR. VIRENDRA KUMAR)

(a) & (b) The details of number of complaints registered under the category of Sexual Harassment at Workplace, State/UT wise during last three years and current year i.e. 2015,2016, 2017 and 2018 (upto 5.2.2018) is at Annexure-I.

(c) In order to ensure the effective implementation of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, the Ministry has launched an online complaint management system titled Sexual Harassment electronic - Box (SHe-Box) for registering complaints related to sexual harassment at workplace of all women employees in the country, including government and private employees. So far, 107 complaints have been received through portal "SHe-box". All concerned authorities have been requested for appropriate resolution.

(d) & (e)The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 mandates all the workplace which include any department, organisation, undertaking, establishment, enterprise, institution, office, branch or unit which is established, owned, controlled or wholly or substantially financed by funds provided directly or indirectly by the appropriate Government or the local authority or a Government company or a corporation or a co-operative society having more than 10 workers to constitute Internal Complaint Committee (ICC) for receiving complaints of sexual harassment.The Act cast an obligation upon all the employers to constitute Internal Complaint Committee. Section 23 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 casts responsibility on the appropriate Government to monitor the implementation of this Act.

(f) Ministry of Women and Child Development had issued advisories to all States/UTs Government to ensure effective implementation of the Act. The Ministries/Departments in Government of India have also been advised to ensure the compliance of the Act from time to time.Ministry of Corporate Affairs along with the industry bodies, Associated Chambers of Commerce & Industry of India (ASSOCHAM), Federation of Indian Chambers of Commerce and Industry (FICCI), Confederation of Indian Society, Chamber of Commerce & Industry (CCI), and National Association of Software and Services Companies (NASSCOM) have also been requested to ensure effective implementation of the Act amongst their members in private sectors.

Further, Department of Personnel and Training has notified the amendments to Central Civil Services (Conduct) Rules 1964 and Central Civil Services (Classification, Control and Appeal) Rules, 1965 align with the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act 2013.

Ministry of Women and Child Development has formulated a Handbook on Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. The Institute of Secretariat Training and Management (ISTM) in consultation of Ministry of Women and Child Development has also prepared a training module for the training of Internal Complaint Committee constituted under Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.
Apart from the above, the Ministry has empanelled Institutes/Organizations for imparting training programmes/workshops in different parts of the country under Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

Source: Lok Sabha

Poor Condition of CGHS Dispensaries - Lok Sabha Q&A

Poor Condition of CGHS Dispensaries - Lok Sabha Q&A

GOVERNMENT OF INDIA
MINISTRY OF HEALTH AND FAMILY WELFARE
LOK SABHA

UNSTARRED QUESTION NO: 1236

ANSWERED ON:09.02.2018

Poor Condition of CGHS Dispensaries

Tejpratap Singh,Yadav
Will the Minister of HEALTH AND FAMILY WELFARE be pleased to state:

(a) whether the Government is aware of poor functioning of CGHS dispensaries due to malfunctioning of server, depleted strength and absence of doctors/staff, discontinuation of visit of Medical specialist, lack of infrastructure and nonavailability of medicines daily, long queue of patients, working of dispensaries in rented building etc. and if so, the details thereof;

(b) whether the Government has received a number of such complaints regarding poor functioning of CGHS in the country including Delhi;

(c) if so, the details thereof, dispensary-wise along with the action taken by the Government on such complaints so far during the last three years;

(d) whether the Government has ever conducted any enquiry/ audit/ study on the functioning of CGHS facility in the country and if so, the details and outcome thereof and if not, the reasons therefor; and

(e) the other steps taken by the Government to improve the functioning of CGHS in the country?
Will the Minister of HEALTH AND FAMILY WELFARE be pleased to state:-

ANSWER
THE MINISTER OF STATE IN THE MINISTRY OF HEALTH AND FAMILY WELFARE

(SHRI ASHWINI KUMAR CHOUBEY)

(a): Yes; problems of breakdown of internet connectivity, shortage of manpower including Doctors/Staff, some CGHS Dispensaries working in rented buildings etc. have been brought to the notice of CGHS.

(b) & (c): Information is being collected and will be laid on the Table of the House.

(d) No, Regular inspection of CGHS Wellness Centres is undertaken by all the Additional Directors of concerned CGHS cities, therefore, the need of separate study was not felt.

(e) Following steps have been taken to improve the functioning of CGHS in the country:-

(i) Govt. has recently permitted CGHS beneficiaries to avail OPD consultation from Specialists at CGHS empanelled Hospitals.

(ii) The requirement of separate permission letter for taking treatment at empanelled hospitals has been done away with once a specific treatment procedure has been advised by a Govt. Specialist/CGHS Doctor.

(iii) Provision for self-printing of CGHS cards by CGHS beneficiaries after it has been verified by Additional Director of concerned CGHS city has been made.

(iv) CGHS beneficiaries also have the option to avail online appointment system for consulting a CGHS Doctor and they can reach the Wellness Centre a little before the scheduled appointment and avoid standing in a queue.

(v) Orders have been issued for special facilities for CGHS beneficiaries aged 80 and above. They need not stand in a queue and their medical claims shall be processed on priority.

(vi) Provision for online transfer of CGHS cards of serving employees has been made in case of transfer to other CGHS covered cities without surrendering the card.

(vii) CGHS beneficiaries have the option to avail facilities from any CGHS Wellness Centre in the Country.

(viii) CGHS beneficiaries have the option to obtain medicines upto 3 months in case of chronic illness.

(ix) Data cards for internet access have been provided to CMO I/c of CGHS Wellness Centres to manage during breakdown of net connectivity.

Source : Lok Sabha

7th Central Pay Commission (7CPC) - Revision of Disability/ War Injury pension for Pre-01.01.2016 Defence Forces pensioners - PCDA Circular No.596

7th Central Pay Commission (7CPC) - Revision of Disability/ War Injury pension for Pre-01.01.2016 Defence Forces pensioners - PCDA Circular No.596

Circular No. 596

Dated: 09th February, 2018

To,
1. The Chief Accountant, RBI, Deptt. Of Govt. Bank Accounts, Central office C-7, Second Floor, Bandre- Kurla Complex, P B No. 8143, Bandre East Mumbai- 400051
2. All CMDs, Public Sector Banks including IDBI Bank
3. Nodal Officers, ICICl/ HDFC/ AXIS/ IDBI Banks
4. Managers, All CPPCs
5. Military and Air Attache, Indian Embassy, Kathmandu, Nepal
6. The PCDA (WC), Chandigarh
7. The CDA (PD), Meerut
8. The CDA, Chennai
9. The Director of Treasuries, All States
10. The Pay and Accounts Officer, Delhi Administration, RK Puram and Tis Hazari, New Delhi
11. The Pay and Accounts Office, Govt of Maharashtra, Mumbai
12. The Post Master Kathua (J&K)
13. The Post Master Camp Bell Bay
14. The Pr. Pay and Accounts Officer, Andaman and Nicobar Administration, Port Blair

Subject: Implementation of Government decision on the recommendations of the 7th Central Pay Commission (CPC)- Revision of Disability/ War Injury pension for Pre-01.01.2016 Defence Forces pensioners reg.

Reference: This office Circular No. 570 dated 31.10.2016, Circular No. 582 dated 05.09.2017 and Circular No. 585 dated 21.09.2017.

(Available on this office website www.pcdapension.nic.in)

Copy of GOI, MOD letter No. 17(01)/2017(01)/D(Pen/Policy) dated 23rd January, 2018 on the above subject, which is self- explanatory, is forwarded herewith for further necessary action at your end.

2. In terms of Para-2 of GOI, MOD letter No. 17(01)/2017 (01)/D(Pension/ Policy) dated 04th September,2017, Disability Element of Disability Pension to Armed Forces Pensioners has to be revised by multiplying the existing rate of Disability Element as had been drawn on 31.12.2015 by factor of 2.57 to arrive at revised rate of Disability Element as on 01.01.2016. Further, in terms of Para-5.2 & 5.3 of GOI, MOD letter No. 17(01)/2017(02)/D(Pension/Policy) dated 05th September' 2017, Disability Pensionary awards has to be revised on notional pay fixation method and benefits of broad banding will be given to discharge cases also as in invalided out cases and these will be done by issuing Corrigendum Pension Payment Order (PPO).

3. Now, consequent upon the issue of GOI, MOD letter dated 23rd January, 2018, the cases where Armed Forces Pensioners who were retired/ discharged voluntary or otherwise with disability and they were in receipt of Disability/ War Injury Element as on 31.12.2015, their extent of disability/ War Injury Element shall be re-computed in the following manner given below, before applying the multiplication factor of 2.57 on existing disability/ war injury element as on 31.12.2015 for getting the revised disability/ war injury element as on 01.01.2016 in accordance to Para-2 of GOI, MOD letter No. 17(01)/2017(01)/D(Pension/ Policy) dated 04th September' 2017.

Accepted percentage of disability	Percentage to be reckoned for computation of Disability Element
20% or more but less than 50%	50%
Between 50% to 75%	75%
Between 76% to 100%	100%

4. The Note below Para-12 of GOI, MOD letter No. 17 (01)/2016-D(Pen/Pol) dated 29th October, 2016 (circulated vide Circular No. 570 dated 31.10.2016) stands deleted. In other words, quantum of additional pension available to old age pensioners after attaining the age of 80 years and above shall also be admissible on revised disability/ war injury element.

5. It is also stated that PDAs may take utmost care during revision of Disability/War Injury Element as per this order in those cases where the pensioners who are in receipt of 50% of Disability/ War Injury Element of Disability/ War Injury Pension. If the individual has already been given rounding of benefit through PPO (in invalided out cases) then rounding of benefit in such cases should not be given. However, where his disability was assessed as 50% in discharge cases then it will be rounded to 75% as mentioned in Para-3 above. If the PDAs found any problem regarding identification of such cases the same may please be forwarded to Audit Section of this office.

6. All Pension Disbursing Agencies handling disbursement of pension to the Defence Pensioner are hereby authorized to pay benefit of rounding off disability/ war injury and additional pension as per Para 3 & 5 above without any further authorization from the concerned Pension Sanctioning Authorities.

7. Provisions of GOI, MOD letter No. 17(01)/2017(01)/D (Pen/Policy) dated 23rd January, 2018 shall take effect from 01.01.2016.

8. This circular has been uploaded on this office website www.pcdapension.nic.in for dissemination to all alongwith Defence pensioners and Pension Disbursing Agencies.

S/d,
Dy. Controller(P)

Source : PCDA

Menstruation Benefits to Central Government Women Employees

Menstruation Benefits to Central Government Women Employees

There is no such proposal for grant of any menstrual leave or introduction of any legislation in this regard. However, under the centrally sponsored scheme of Rashtriya Madhyamik Shiksha Abhiyan (RMSA), activities such as adolescent health awareness programme for girls, provision of separate toilet blocks for girls as part of schools and installation of incinerator machine and sanitary napkin & vending machine for girls at schools and girl’s hostels are undertaken for general hygiene management. National Council of Educational Research and Training (NCERT) has developed syllabus on health and physical education for classes I-XII as a follow up of National Curriculum Framework, 2005, which provides adequate space for menstrual hygiene.

Ministry of Health and family Welfare is implementing the scheme for Promotion of Menstrual Hygiene for Adolescent Girls residing primarily in rural areas of the country. Adolescent girls are provided with sanitary napkins at subsidized rates by Accredited Social Health Activists (ASHA’s) within the community and through the platform of Government and Government aided school. Ministry of Drinking Water and Sanitation has also developed National Guidelines on Menstrual Hygiene Management (MHM) which aims to support all adolescent girls and women.

The above information was given by Union Minister of State for Women and Child Development Dr.Virendra Kumar in a written reply in Lok Sabha on 9.2.2018.

Age Limit for National Pension System (NPS)

Age Limit for National Pension System (NPS)

Vide PFRDA (Exits and Withdrawals from National Pension System) Second Amendment Regulations, 2017, dated 6th October, 2017, the Pension Fund Regulatory and Development Authority (PFRDA) has permitted any Indian citizen who is in the age group of 18-65 years to join the National Pension System (NPS) on voluntary basis. As informed by PFRDA, a total of 1056 persons between the ages of 60-65 years have joined up to 31st January, 2018.

IBA Invites UFBU for Negotiations on Wage Revision fixed on 21.2.2018

IBA Invites UFBU for Negotiations on Wage Revision fixed on 21.2.2018

Date:09.02.2018

Central Office:
R-8/38 Raj Nagar
Ghaziabad (U.P.)

Camp Office:
Punjab National Bank
Preet Vihar, Delhi-92
Ph. /Fax No: 0120-4136800 Mobile (G.S.): 9818562336
E-mail: aipnbsf@yahoo.co.in Website: www.aipnbsf.org

Circular No. 2/2018

TO ALL MEMBERS

Dear Comrades.

• UFBU MEETING HELD ON 6TH FEBRUARY 2018
• UFBU DECIDES ALL INDIA STRIKE ON 15TH MARCH 2018
• IBA INVITES UFBU FOR NEGOTIATIONS ON 21ST FEBRUARY 2018

We reproduce hereunder the Circular No. UFBU/2018/01 Dated the 9th February 2018 issued by Com. Sanjeev K. Bandlish, Convenor, United Forum of Bank Unions (UFBU), for information of all affiliates and members.

With revolutionary greetings,

Yours Comradely,

(R. K. SHARMA)
GENERAL SECRETARY

In the background of virtual silence on the part of IBA to hold negotiations with UFBU on our current demands for revision of wages and services conditions, a meeting of UFBU was held at Mumbai on the 6th February 2018.

Delay in wage revision: The meeting was concerned to note that for the past three months, IBA has not held any meeting with us on our demands for wage revision despite assuring us in the meeting held in October, 2017 that shortly another meeting would be held when the IBA would make their offer. So far, there has been no response. Department of Financial Services of Government of India has also been communicating to all the Banks and IBA to conclude the settlement without delay. Even this has been ignored. Regrettably, when we took up the matter with the Government to intervene to expedite the settlement, there was no response. Hence, it was decided after due deliberations that agitational programmes including strike actions have to be resorted to.

Strike call: Accordingly, it was decided to give the call for All India Strike on the 15th March 2018 preceded by other protest programmes like deputation to Chairperson IBA, demonstrations, mass rallies, Badge wearing, Dharna, etc.

IBA invites UFBU for Talks: After our taking the decision on the 6th February 2018, we have been informed by the IBA vide their letter dated the 7th February 2018 that the next round of negotiations on our demands for wage revision has been fixed for the 21st February 2018.

In view of this, we shall take part in the negotiations on 21.02.2018 to impress upon the IBA to expedite the settlement. Looking to their response in the meeting on 21st February 2018, UFBU will meet immediately thereafter and take the decision about our agitational programme and strike call.

Continued attacks on Banking Sector - Mass signature Campaign : Further to our successful protest strike on 22.08.2017 and the massive Morcha to Parliament on 15.09.2017, it was decided to undertake mass signature campaign in the Petition to Speaker of Lok Sabha to seek the support of the people to our demands. Already the draft Mass Petition has been circulated to units. The meeting observed that the units are in the process of collecting signatures from the general public and the response is encouraging.

It was decided to complete the campaign by the end of March 2018 so that the Mass Petitions can be handed over to the Speaker of Lok Sabha in the first week of April, 2018 before the conclusion of the current Budget Session.

Source: http://aipnbsf.org

Circular inviting nominations of officers from Indian Administrative Service and Group 'A' Services for posts under Central Staffing Scheme and for the posts of Chief Vigilance Officers for the year 2018

Circular inviting nominations of officers from Indian Administrative Service and Group 'A' Services for posts under Central Staffing Scheme and for the posts of Chief Vigilance Officers for the year 2018

F.No. 32/2018-EO (MM.II)
Government of India
Ministry of Personnel, Public Grievances and Pensions
Department of Personnel & Training

North Block, New Delhi.
Dated the 12.02.2018

OFFICE MEMORANDUM

Sub: Circular inviting nominations of officers from Indian Administrative Service and Group 'A' Services for posts under Central Staffing Scheme and for the posts of Chief Vigilance Officers for the year 2018 - reg

In continuation of this Department's D.O. letters of even number and No. 33/2017- EO(MM-II both dated 11.12.2017, the undersigned is directed to say that while forwarding the application of officers applying for both CSS and CVO posts, Cadre Controlling Authorities may provide a set of attested copies of the APAR for the last five years along with the original APAR  dossier of the applicant.

(J.Srinivasan)
Director (MM)

Source: DoPT

DoPT: Inviting proposals from Institutions for One Week In-service Training (IST) programme during 2018-19

DoPT: Inviting proposals from Institutions for One Week In-service Training (IST) programme during 2018-19

No.12017/01/2018-TNP(S)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Personnel and Training
[Training Division]

Block-4, Old JNU Campus
New Mehrauli Road, New Delhi-67
Dated: February 13,2018

To,
The Training Institutions (To be uploaded on DoPT's website)

Sub: One Week In-service Training (IST) programme for Officers of All India Service (IAS, IPS & IFoS), officers working under the Central Staffing Scheme, officers of Central Secretariat Service (CSS) and officers of Central Secretariat Stenographer Service (CSSS) (DS/Sr.PPS and above level): Inviting proposals from Institutions for In-Service Training during 2018-19.

Sir/Madam,
In continuation of this Department's circular of even number, dated January 9, 2018, I am directed to intimate that the last date for receipt of proposals from the training institutions for the above mentioned programme has been extended to March 10,2018 instead of February 9,2018, as notified earlier.

2. All training institutes willing to conduct the above mentioned training programme are requested to send their proposals to DoPT, Training Division on or before March 10,2018.

3. The copy of the earlier circular dated January 9,2018 giving all the details of the programme is enclosed for ready reference. This circular can also be downloaded from DoPT's website. [http://dopt.gov.in/--About Us ---Circulars]

4. Those institutions which have already applied to DoPT in response to its circular of even number dated January 9,2018 need not apply in response to this circular.

(Biswajit Banerjee)
Under Secretary to the Government of India

Source: DoPT

Government of India makes Amendments in Small Savings Act

Ministry of Finance
Government of India makes Amendments in Small Savings Act

Proposes merger of Government Savings Certificates Act, 1959 and Public Provident Fund Act, 1968 with the Government Savings Banks Act, 1873;

All existing protections have been retained while consolidating PPF Act under the proposed Government Savings Promotion Act.​ ​

Posted On: 13 FEB 2018

The Government gives highest priority to the interest of small savers, especially savings for the benefit of girl child, the senior citizens and the regular savers who form the backbone of our country’s savings architecture. In order to remove existing ambiguities due to multiple Acts and rules for Small Saving Schemes and further strengthen the objective of "Minimum Government, Maximum Governance", Government of India has proposed merger of Government Savings Certificates Act, 1959 and Public Provident Fund Act, 1968 with the Government Savings Banks Act, 1873. With a single act, relevant provisions of the Government Savings Certificates (NSC) Act, 1959 and the Public Provident Fund Act, 1968 would stand subsumed in the new amended Act without compromising on any of the functional provision of the existing Act.

 All existing protections have been retained while consolidating PPF Act under the proposed Government Savings Promotion Act. No existing benefits to depositors are proposed to be taken away through this process. The main objective in proposing a common Act is to make implementation easier for the depositors as they need not go through different rules and Acts for understanding the provision of various small saving schemes, and also to introduce certain flexibilities for the investors.

However, concerns have been raised from different corners and also by print and social media that the Government aims to bring down the protection against the attachment of Public Provident Fund Account under any decree or order of any court in respect of any debt or liability incurred by the depositors. It is made clear that there is no proposal to withdraw the said provision and the existing and future depositors will continue to enjoy protection from the attachment under the amended umbrella Act as well.

Apart from ensuring existing benefits, certain new benefits to the depositors have been proposed under the bill. These are:

• As per PPF Act, the PPF account can’t be closed prematurely before completion of five financial years. If depositor wants to close PPF account before five years in exigencies, he can’t close the account. To make provisions for premature closure easier in respect of all schemes, provisions could now be made through specific scheme notification. The benefits of premature closure of Small Savings Schemes may now be introduced to deal with medical emergencies, higher education needs, etc.
• Investment in Small Savings Schemes can be made by Guardian on behalf of minor(s) under the provisions made in the proposed bill Guardian may also be given associated rights and responsibilities.
• There was no clear provision earlier regarding deposit by minors in the existing Acts. The provision has been made now to promote culture of savings among children.
• There were no clear provisions in all the three Acts for the operation of accounts in the name of physically infirm and differently abled persons. Provisions in this regard have now been made.
• As per existing provisions of the Acts, if depositor dies and nomination exists, the outstanding balances will be paid to nominee(s). Whereas, Hon’ble Supreme Court in its judgement stated that nominee(s) is merely empowered to collect the amounts as Trustee for the benefit of legal heirs. It was creating disputes between the provisions of the Acts and verdict of Supreme Court. Hence, right of nominees have now been more clearly defined.
• In the existing Acts, there is no provision for nomination with regard to account opened in the name of minor. Further, existing Acts say that if account holder dies and there is no nomination and amount is more than prescribed limit, the amount shall be paid to legal heirs.  In this case, the guardian has to obtain succession certificate. To remove this inconvenience, provisions for nomination with regard to account opened in the name of minors have been incorporated. Further the provision has been made that if the minor dies and there is no nomination, the balances shall be paid to guardian.
• The existing Acts are silent about grievance redressal. The amended Act allows the Government to put in place mechanism for redressal of grievances and for amicable and expeditious settlement of disputes relating to Small Savings.
• The above provisions which are proposed to be incorporated in the amended Act will add to the flexibility in operation of the Account under Small Savings Schemes.

Apart from offering higher interest rates compared to bank deposits, some of the small savings schemes also enjoy income tax benefits. No change in interest rate or tax policy on small savings scheme is being made through this amendment.


Apprehension that certain Small Savings Schemes would be closed is also without basis.

PIB