Bank Dearness Relief from Feb 2025 to July 2025 for pre 1986 retirees : IBA Order
Indian Banks’ Association
HR & INDUSTRIAL RELATIONS
No.CIR/HR&IR/D/G2/2024-25/1826 February 20, 2025
Designated Officers of all Nationalised Banks and State Bank of India
Dear Sir/Madam,
Dearness Relief payable for the period February 2025 to July 2025 (a) to surviving pre 1.1.1986 retirees of banks (b) surviving spouses of pre 1.1.86 Retirees who are in receipt of Ex-gratia
As per the directive contained in the Government of India, Ministry of Finance Department of Economic Affairs (Banking Division) letter F.No.11/2/2012-IR dated 17.12.2013, the Dearness Relief payable to surviving pre 1.1.1986 retirees of banks for the period February 2025 to July 2025 on Ex-gratia will be as under:
Applicable CPI Average
Amount of Ex-gratia per month
Rate of Dearness Relief
Amount of Dearness Relief per month
Total Ex-gratia amount including Dearness Relief per month
₹
%
₹
₹
9481.70
Pre 1.1.86
350
1487.40
5205.90
5555.90
Surviving spouses of pre 1.1.86 retirees
175
1487.40
2602.95
2777.95
2. However, you may be guided by IBA circular HR&IR/MBR/743/2022-23/ 11722 dated February 7, 2023, wherein we have sent an advisory to Banks, to consider additional ex-gratia payment over and above the amount being paid as per DFS guidelines so as to ensure that the surviving pre 1986 retired employee / surviving spouse of pre 1986 retired employee get a minimum of Rs.10000/- per month as Ex-gratia.
Designated Officers of all Member Banks which are parties to the Bipartite Settlement on Pension
Dear Sir/ Madam,
Dearness Relief payable to Pensioners for the period February 2025 to July 2025
The confirmed All India Average Consumer Price Index Numbers for Industrial Workers for the quarter ended December 2024 are as follows: –
Month & Year
1960 = 100 series
2016 = 100 series
October 2024
9499.23
144.5
November 2024
9499.23
144.5
December 2024
9446.64
143.7
CPI Average
9481.70
144.23
In terms of Regulation 37 of Bank Employees’ Pension Regulations, 1995 Dearness Relief is payable to pensioners at rates specified in Appendix Il to the Regulations.
Further, we draw your attention to our circular HR&IR/MBR/G2/0533 dated 16.10.2023, wherein we have communicated about DR neutralization for pre 01.11 2002 retirees and family pensioners. The amount of ex-gratia to be paid, to a group of pensioners, was also mentioned therein.
Pending amendments to Pension Regulations, Banks may pay on ad hoc basis, the Dearness Relief payable to pensioners for the period February 2025 to July 2025 as per Annexure.
DA for Bank Employees from Feb 2025 to April 2025 as per 11th BPS – IBA ORDER
Indian Banks’ Association
HR & Industrial Relations
No.HR&IR/76/D/2024-25/1824 February 20, 2025
All Members of the Association (Who are yet to implement 12th BPS/9th Joint note signed on 08.03.2024-Designated Officers)
Dear Sir/ Madam,
Dearness Allowance for Workmen and Officer Employees in banks for the months of February, March and April 2025 under XI BPS/ 8TH Joint Note dated 11.11.2020
The confirmed All India Average Consumer Price Index for Industrial Workers (Base 1960= 100) for the quarter ended December 2024 are as follows:-
October 2024
9499.23
November 2024
9499.23
December 2024
9446.64
The average CPI of the above is 9481.70 and accordingly the number of DA slabs are 782 (9481.70 – 6352=3129.70/4 = 782 slabs). The last average quarterly CPI was 759. Hence, there is an increase in DA by 23 slabs for payment of DA for the months February, March and April 2025.
In terms of clause 7 of the 11th Bipartite Settlement dated 11.11.2020 and clause 3 of the Joint Note dated 11.11.2020, the rate of Dearness Allowance payable to Workmen and Officer employees for the months of February, March and April 2025 shall be 54.74% of pay’. While arriving at dearness allowance payable, decimals from third place may please be ignored.
DA for Bank Employees from Feb 2025 to April 2025 as per 12th BPS – IBA ORDER
Indian Banks’ Association
HR & Industrial Relations
No.CIR/HR&IR/76/D/2024-25/1822 February 20, 2025
All Members of the Association (Designated Officers)
Dear Sir/ Madam,
Dearness Allowance for Workmen and Officer Employees in banks for the months of February, March and April 2025 under XII BPS/ 9TH Joint Note dated 08.03.2024
The confirmed All India Average Consumer Price Index for Industrial Workers (Base 2016 =100) for the quarter ended December 2024 are as follows:-
October 2024
144.5
November 2024
144.5
December 2024
143.7
The average CPI of the above is 144.23 and accordingly the number of points over 123.03 are 21.20 (144.23 – 123.03) The last average quarterly CPI was 142.86. Hence, there is an increase of 1.37 points for February, March and April 2025.
In terms of clause 13 of the 12th Bipartite Settlement dated 08.03.2024 and clause 2 (1) of the Joint Note dated 08.03.2024, the rate of Dearness Allowance payable to Workmen and Officer employees for the months of February, March and April 2025 shall be 21.20% of pay‘ (0.01 % change in DA on ‘pay’ for change in every second decimal place of CPI 2016 over 123.03 points)
Central Government Employees may get 2% DA Hike from Jan 2025
Central government employees may receive a 2% Dearness Allowance (DA) hike in January 2025, according to AICPIN data. The DA is a component of central government employees’ salaries that helps offset the impact of inflation.
If the 2% hike is confirmed, it would be lower than the 4% hike from January 2024 and the 3% hike from July 2024.. However, it would still provide some relief to employees and pensioners who are struggling to cope with rising prices.
The government is yet to make an official announcement about the DA hike. The dearness allowance hike is expected to be announced in March 2025.
Additional Points:
The DA hike will be calculated based on the All-India Consumer Price Index for Industrial Workers (AICPI-IW).
The DA is currently 53% of the basic pay for central government employees.
The DA hike will benefit about 49.18 lakh central government employees and 64.89 lakh pensioners.
The DA hike is a welcome relief for central government employees and pensioners, who are facing rising inflation.
It’s crucial to remember that this article is based on the current CPI-IW index value. While the projections are based on available data, the final decision rests with the government. Therefore, we must await the official announcement for confirmation.
Consumer Price Index for Industrial Workers (2016=100) – December, 2024
1. Labour Bureau, an attached office of the M/o Labour & Employment, has been compiling Consumer Price Index for Industrial Workers every month on the basis of retail prices collected from 317 markets spread over 88 industrially important centres in the country. The index for the month of December, 2024 is being released in this press release.
2. The All-India CPI-IW for December, 2024 decreased by 0.8 point and stood at 143.7 (one hundred forty three point seven).
Stepping up of pay of Senior Government Servants promoted before 01.01.2016 – Rajya Sabha QA
GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE
RAJYA SABHA UNSTARRED QUESTIONS No. 876
TO BE ANSWERED ON TUESDAY, FEBRUARY 11, 2025/22 MAGHA, 1946 (SAKA)
“STEPPING UP GOVERNMENT SERVANT’S PAY” –
876: Shri Neeraj Shekhar
Will the Minister of Finance be pleased to state:
a) the details of references/representations received by Department of Expenditure, since 1st January, 2025 till date, from various Ministries/Departments and other organizations where CCS (Revised Pay) Rules 2016 is applicable, regarding stepping up of pay of senior Government servants promoted to higher post on or before 01.01.2015 and drawing less pay in revised pay structure than their juniors who were promoted on or after 01.01.2016 under CCS (Revised Pay) Rule 7(10) read with Rule 13 of CCS (RP) Rule, 2016, Ministry/Department/organization-wise, and
b) the number of such references which are pending along with the reasons therefor, reference-wise?
ANSWER MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)
(a) & (b): No such reference has been received since 1st January, 2025 in respect of senior government servants promoted on or before 01.01.2015.
Government Contributions to the National Pension System (NPS) for Railway Employees
RBE No. 14/2025
GOVERNMENT OF INDIA (BHARAT SARKAR) MINISTRY OF RAILWAYS (RAIL MANTRALAY) (RAILWAY BOARD)
No. 20241F(E)III/NPS1/9
New Delhi, dated: 06.02.2025
The General Managers/Principal Financial Advisers, All Zonal Railways/Production Units etc., DGs of RDSO and NAIR.
Subject: Contribution by the Government to the National Pension System in respect to the railway employees covered under NPS.
In accordance with Board’s letter No. D-43/12/2018 dated 21.02.2019, the Government shall make contribution of fourteen per cent or such other percentage as may be notified from time to time, of the emoluments of a railway servant to the Individual Pension Account of the Railway employee every month. The amount of contribution payable shall be rounded off to the next higher rupee.
2. No contribution shall be made by the Government for the period during which the railway employee is not required to make contribution. However, in cases where the leave is granted to the Subscriber on medical ground or due to his inability to join or rejoin duty on account of civil commotion; or for pursuing higher studies considered useful in discharge of his official duty, and during such leave, leave salary is not payable or is payable at a rate which is less than full pay, the Government shall make contribution equal to fourteen per cent or such other percentage as may be notified from time to time, of the notional emoluments comprising of the amount representing pay and dearness allowance in the leave salary, non-practicing allowance, pay element in running allowance in case of running staff, etc.
3. In the case of a railway employee under suspension, contribution shall be made by the Government on the basis of the emoluments determined by taking into account the subsistence allowance paid to the employee during the period of such suspension. No contribution shall be made by the Government during the period of suspension where the Subscriber had opted not to pay his contribution during the said period of suspension.
4. However, if in the final orders passed by the Government on conclusion of the inquiry, the period spent under suspension is treated as duty or leave for which leave salary is payable, contributions by the Government to the National Pension System shall be determined based on the emoluments which the Subscriber becomes entitled to for the period of suspension. The difference of the amount of contribution to be deposited by the Government and the amount of contribution already deposited during the period of suspension, shall be credited to the Individual Pension Account of the Subscriber along with interest. The rate of interest for this purpose would be the rate of interest as decided by the Government from time to time for the Public Provident Fund deposits.
5. Contribution by the Government to the Individual Pension Account during foreign service in India or outside India, including deputation to United Nations’ Secretariat or other United Nations’ Bodies, the International Monetary Fund, the International Bank of Reconstruction and Development, or the Asian Development Bank or the Commonwealth Secretariat or any other International organisation, shall be regulated in accordance with the orders issued by Ministry of Railways from time to time and the procedure laid down by the Pension Fund Regulatory and Development Authority.
6. The provision regarding timeline as applicable in the case of remittance of contribution by the Subscriber would also be applicable for remittance of contribution by the Government. In case there is a delay in crediting of contribution to the Individual Pension Account of the Subscriber beyond the prescribed timeline due to factors not attributable to the Subscriber, the amount shall be credited to the Individual Pension Account of the Subscriber along with interest for the delayed period. The rate of interest for this purpose would be the rate of interest, as decided by the Government from time to time, for the Public Provident Fund deposits.
(G. Priya Sudarsani) Director, Finance (Estt.) Railway Board
Contributions by Railway Employees to the National Pension System (NPS) : Railway Board RBE No 13/2025
RBE No 13/2025
GOVERNMENT OF INDIA (BHARAT SARKAR) MINISTRY OF RAILWAYS (RAIL MANTRALAY) (RAILWAY BOARD)
No. 2024/F(E)III/NPS1/6
New Delhi, dated: 06.02.2025.
The General Managers/Principal Financial Advisers, All Zonal Railways/Production Units etc., DGs of RDSO and NAIR.
Subject: Contribution by the Railway employee to the National Pension System in respect to railway employees covered under NPS.
In accordance with Board’s letter No. D-43/12/2018 dated 21.02.2019, a railway employee shall make a contribution of ten per cent or such other percentage as may be notified from time to time, of his emoluments to the National Pension System every month. The amount of contribution payable shall be rounded off to the next higher rupee.
2. During the period of suspension, contribution may be made by the railway employee at his option. However, if in the final orders passed by the Government on conclusion of the inquiry, the period spent under suspension is treated as duty or leave for which leave salary is payable, contributions to the National Pension System shall be determined based on the emoluments which the railway employee becomes entitled to for the period of suspension. The difference of the amount of contribution to be deposited and the amount of contribution already deposited during the period of suspension, shall be credited to the Individual Pension Account of the Subscriber along with interest. The rate of interest for this purpose would be the rate of interest as decided by the Government from time to time for the Public Provident Fund deposits.
3. No contribution shall be made by the Subscriber during the period of absence from duty (whether on leave or otherwise) for which no pay or leave salary is payable.
4. During the period of transfer on deputation to a Department or organisation under the Central Government or the State Government, the Subscriber shall remain subject to these rules in the same manner, as if he was not so transferred or sent on deputation and will continue to contribute towards National Pension System based on his emoluments.
5. The Subscriber shall contribute towards National Pension System during the period spent under probation.
6. Deduction and crediting of contributions to the Individual Pension Account during foreign service in India or outside India, including deputation to United Nations’ Secretariat or other United Nations’ Bodies, the International Monetary Fund, the International Bank of Reconstruction and Development, or the Asian Development Bank or the Commonwealth Secretariat or any other International organisation, shall be regulated in accordance with the instructions issued by the Ministry of Railways from time to time and the procedure laid down by the Pension Fund Regulatory and Development Authority (PFRDA).
7. The Drawing and Disbursing Officer shall deduct the contribution from the salary of the railway servant and send the bill to the Pay and Accounts Officer or Cheque Drawing and Disbursing Officer, as the case may be, along with details of contributions deducted in respect of each Subscriber on or before Twentieth day of each month.
8. (i) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, based on the details of contributions in respect of each Subscriber sent by the Drawing and Disbursing Officer to Pay and Accounts Officer or Cheque Drawing and Disbursing Officer, shall prepare and upload a Subscription Contribution File and generate a Transaction ID by Twenty-fifth day of each month.
(ii) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, shall remit the contribution to the Trustee Bank through the Accredited Bank by the last working day of each month. However, the contribution for the month of March shall be remitted by the Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer to the Trustee Bank through the Accredited Bank on the first working day of the month of April.
(iii) In case of delay in crediting of contribution to the Individual Pension Account of the Subscriber beyond the prescribed timeline due to factors not attributable to the Subscriber, the amount shall be credited to the Individual Pension Account of the Subscriber along with interest for the delayed period. The rate of interest for this purpose would be the rate of interest as decided by the Government from time to time for the Public Provident Fund deposits.
(G. Priya Sudarsani) Director, Finance (Estt.) Railway Board
Railway Board clarification on deletion of name of daughter from the family details of a Railway pensioner
RBE No.09/2025
GOVERNMENT OF INDIA (BHARAT SARKAR) MINISTRY OF RAILWAYS (RAIL MANTRALAYA) (RAILWAY BOARD)
No.2024/F(E)III-PN1/8
New Delhi, dated: 30.01.2025.
The General Managers/Principal Financial Advisors, All Zonal Railways/Production Units etc, DGs of RDSO and NAIR.
Subject:- Clarification on deletion of name of daughter from the family details of a Railway pensioner.
As per Rule 75(15) of Railway Services(Pension) Rules, 1993 and instructions issued thereunder, as soon as a railway servant enters railway service, he shall furnish details of his family in Form 6 to the Head of Office and if the railway servant has no family, he shall furnish the details in Form 6 as soon as he acquires a family. This rule further provides that the railway servant shall communicate forthwith to the Head of Office any subsequent change in the size of his family including the fact of marriage of his or her child. The Railway servant is also required to submit updated family details in ‘Form 6’ at the time of retirement.
2. In this regard it is stated that the railway servant/pensioner shall submit details of all members of family whether or not eligible for family pension. The daughter is deemed to be a member of the family of railway servant as and when intimated by the railway servant in the prescribed proforma, Hence, the name of the daughter shall remain included in the details of family members. The eligibility for family pension would be decided after demise of pensioner/family pensioners in accordance with the existing rules.
3. Please acknowledge receipt.
(G. Priya Sudarsani) Director, Finance (Estt.), Railway Board.
