Category - AIIEA Circular

AIIEA Circular

Dear Comrades,


The Secretariat of the AIIEA met, as scheduled, at Hyderabad on 12th November 2013. Com. Amanulla Khan, President AIIEA, chaired the meeting.

The Secretariat reviewed the campaign against the proposed FDI hike in the insurance sector since last Secretariat meeting and also the move to disinvest the public sector general insurance companies. The meeting noted with satisfaction that our units across India met 445 Members of Parliament and important personalities from different political parties and impressed upon them the need to resist FDI hike in the insurance sector and the disinvestment of the public sector general insurance companies.  The meeting further reviewed the intentions of the government to push the Insurance Laws (Amendment) Bill in the winter session of the Parliament which will commence form the 5th of December 2013.

There was a serious discussion in the meeting relating to our campaign in the general insurance sector too. The Secretariat was convinced that the proposal to allow public sector general insurance companies to raise equity through markets tantamount to privatisation of these companies.  These companies are adequately capitalised and have control over massive assets.  Therefore, they have the ability to generate internal resources if required to meet the capital adequacy and there is no justification in permitting these companies to approach the markets to raise equity capital. Instead, the Secretariat demanded the merger of the four companies.  

Given the enormity of the danger of the Insurance Laws (Amendment) Bill being passed in the winter session, the meeting called upon the units to intensify the campaign. Apart from continuing with the conventional forms of the campaign like conducting Seminars, Conventions, Jathas and meeting MPs, the Secretariat called upon the units to hold lunch hour demonstrations on the opening day of the winter session of Parliament i.e. 5th December 2013. The Secretariat also reiterated AIIEA's earlier decision to go for One Day Strike Action in the event of the Insurance Bill being passed in Parliament.


The secretariat reiterated its demand for one more option for Pension. While noting the assurance of the LIC management and the GIPSA to seriously pursue the issue with the government, the Secretariat decided to follow up the matter for an early solution.

The Secretariat of the AIIEA also discussed the issue relating to the wage revision in the LIC and PS General Insurance Companies.  The public sector insurance industry performed extremely well in a sluggish economic situation.  LIC has established total market dominance both in premium income and number of policies.  The productivity of employees in Public sector insurance industry increased. Therefore, the demand for 40 percent wage hike is justified.  The Secretariat decided to demand for an early dialogue to settle this legitimate issue of the employees.

The Secretariat while appreciating that the Government had cleared LIC’s scheme for up-gradation of the Regular Part-time sweepers, demanded an early issuance of the administrative instructions. The Secretariat noted that due to efforts of AIIEA, recruitment in the Class III cadre to the extent of 2600 has taken place in the four Public Sector General Insurance Companies.
The meeting noted that the Indian economy is in a deep crisis today. The crisis is both due to the external and internal factors. The crisis is due to the mindless pursuit of neo-liberal policies leading to lack of demand in the economy. The BJP wanted to utilise this opportunity, despite their economic philosophy being no different from that of Congress, and wanted to encash the situation when India is due for its Parliamentary elections in the next five to six months.

Therefore, the Secretariat noted that the proposed March to Parliament on 12th December 2013 by the working class of this country is an opportunity to broaden our struggle by making common cause with other sections of the toilers. It was, therefore, decided that each zone would send two representatives to the Parliament March.  The units which are in the vicinity of Delhi should mobilise employees in a big way to make this programme of action a big success. All Units should undertake Rallies/ Demonstrations in co-ordination with the local democratic movements at their respective centres.


The Secretariat of the AIIEA made a detailed review of the preparations being made for the ensuing 23rd General Conference of the AIIEA to be held at Nagpur from 20th to 24th January 2014. Com. H.I.Bhatt, General Secretary of WZIEA reported on the preparations being made for the Conference and informed that a Reception committee under the Chairmanship of eminent Economist Dr. Shriniwas Khandewale was formed on 15.10.2013.  Com. Bhatt informed that the Divisional Unit of Nagpur is making all efforts to make the conference every success. The Secretariat called upon all its Units to help Nagpur divisional unit in all possible ways including financial support for the smooth conduct of the conference.


The Secretariat noted with immense satisfaction the fact that Com. Amanulla Khan, President AIIEA had been nominated by the CITU (Centre of Indian Trade Unions) to take charge of South Asian chapter of SIGTUR (Southern Initiative on Globalisation and Trade Union Rights).  Com. Amanulla Khan will be heading a thirteen member Indian delegation to the ensuing SIGTUR conference at Perth, Australia from 2-6 December 2013. Com. V. Ramesh, Joint Secretary AIIEA will be a part of the Indian delegation on behalf of the insurance sector.

The Secretariat of AIIEA appealed to all the employees in public sector insurance industry to observe all programmes of action of the organisation successfully to protect the industry and to strengthen the working class struggles to defeat the neo-liberal policies.

With greetings,
Comradely yours,

General Secretary.

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AIIEA Circular


Please find Cir No.12/2013 in the attachment.
Please also note that CO issued a clarificatory letter to all zonal offices on 1st November, 2013 clarifying about the payment of conveyance to employees on election duty wherever the conveyance is not arranged by the election authorities.
V. Ramesh
Joint Secretary, AIIEA

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AIIEA Circular

To all the Zonal/Divisional/State/Regional Units:
Dear Comrades,

The Chairman of LICI was in Hyderabad on 3rd September 2013 in connection with certain official engagements.  AIIEA delegation consisting of Com. K. Venu Gopal, General Secretary and Com. V. Ramesh, Joint Secretary met him and discussed certain pending issues of the employees.

On the issue of one more option for pension, Chairman informed that LIC is making serious efforts with the Government to see that this issue is resolved early. AIIEA informed the Chairman that wage revision is also a subject which is agitating the minds of the employees and that in this context the issue of one more option for pension is to be clinched early.

On the issue of 100% neutralization for pre 1-8-97 retirees and the question of updation of pension, Chairman said that LIC has to await the outcome of the SLPs filed before the Supreme Court.

AIIEA also raised the issues relating to PLLI, recruitment, absorption of temporary employees working for a very long time in the Assistant’s cadre, and the issue relating to temporary Class IV employees of Asansol and Burdwan divisions.  

On 5th September, 2013, AIIEA delegation of Com. K. Venu Gopal and Com. V. Ramesh met the Executive Director (Personnel) and Chief (Personnel) who were in Hyderabad for a Conference. The pending issues of the employees including the issues represented to the Chairman were appraised to these officials.

On the issue of upgradation scheme of RPT employees, which was approved by the Board of LIC, The ED (P) informed that Government sought certain details which were provided and that the LIC is in constant follow up with the Government to implement the scheme early.

AIIEA delegation also reminded about the AIIEA’s letter to the management seeking restoration of increment postponed due to strike action on 20th/21st February 2013.  ED (P) said that the issue will be attended soon.

These were the brief details of our discussions with the officials of LIC.

With greetings,
Comradely yours,

General Secretary.

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AIIEA Circular

To all the Zonal Units of AIIEA in life sector and Standing Committee (GI),

Dear Comrades,

LIC Central Office issued two circulars clarifying the position on payment of family pension.

1) LIC CO issued a circular dated 17.07.2013 clarifying that in respect of family pension to be payable to the family of missing pensioners, the same process envisaged in the CO circular dated 11.07.2012 has to be adopted (which is available for the families of missing employees).

2) Under the existing CCS rules, a family of an ex-servicemen re-employed with LIC had to opt either for family pension under Central Government Pension Rules or family pension under LIC Pension Rules, 1995.

Now, LIC CO issued a circular dated 19.07.2013 on the payment of family pension to families of Ex-servicemen re-employed with the LIC. This circular was consequent on the OM dated 01.07.2013 issued by the Finance Ministry clarifying that the families will be eligible to receive family pension under the CCS pension rules as well as family pension under LIC Pension Rules, 1995. The arrears of military family pension or LIC family pension as the case may be, will be payable w.e.f.  24.09.2012.

Both the above circulars are on the site of the LIC CO Personnel Department. This may be brought to the notice of the families of pensioners/units of AIIPA.

Comradely yours,

General Secretary.

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AIIEA Circular

To all the Zonal/Divisional/State/Regional units,

Dear Comrades,

News items on the channels - on FDI in insurance

Arvind Mayaram Committee was set up in March 2013 to recommend on the country’s foreign direct investment (FDI) policy. The Arvind Mayaram committee suggested that FDI be capped at 49 per cent in nine sectors. These are FM Radio, uplinking news & current affairs, print media (news & current affairs), commodity exchanges, stock exchanges, petroleum & natural gas refining, insurance, defence production and private security agencies.

The committee also suggested that clearance for the foreign investment proposals  (except for defence production and private security agencies) be through the automatic route, without referring the proposals to Foreign Investment Promotion Board.  However, the clearances from the concerned regulators and ministries will be necessary.

The cabinet approved these recommendations in a meeting today.

As can been seen from the recommendations, the committee has also proposed increasing the FDI cap for the insurance sector - from the current 26 per cent to 49 per cent. But that will require amendment to the IRDA Act which is pending before the Parliament.

Hence, when the parliament meets in the monsoon session from 5th August 2013, the government may try to push for the approval of the Insurance Laws (amendment) Bill.  The Units are requested to be in vigilant about this situation.

Comradely Yours,

K Venu Gopal
General Secretary, AIIEA

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AIIEA Circular

To all the Zonal/Divisional/State/Regional units,

Dear Comrades,

LIC Board approves the scheme for Upgradation of RPT employees
AIIEA achieves a long pending demand

It was in 1986 that the process of employing Regular Part Time employees began as per the order of the tribunal which was going into the absorption of temporary employees at that time.  LIC issued its circular dated 25.02.1987 on the wages and other service conditions of Part Time Employees working at that time. The effective date was 1.1.1982 or the date of appointment if it were later. Prior to that, there were no defined emoluments and sweepers, cleaners and others were working with a minimal compensation which varied from centre to centre.

The Regular Part Time employees were initially provided with SR Nos. and proportionate pay scale depending on the number of hours, subject to a minimum of two hours. Subsequently, AIIEA took up the issues,  and the other benefits like PF,  leaves, uniform, washing allowance, medical benefit, mediclaim, gratuity, festival advance, flood advance, PLLI, Group Insurance (2004), compassionate appointments   etc. were secured one after another.  After the Pension Scheme was clinched for the permanent employees through a united struggle, AIIEA took up for the Pension Scheme to be extended to the Regular Part Time employees also and after considerable struggle, Pension Scheme 1995 was also extended to the RPT employees.

AIIEA has been continuously taking up the issue relating to increase of the hours to full time. After the Supreme Court Judgment on temporary employees in January 2011, AIIEA repeatedly pursued the matter with the Central Office for a scheme to be formulated to upgrade the number of working hours of RPT employees to full time. Though management of LIC agreed to discuss our demand for a scheme, the issue was being delayed. Secretariat of the AIIEA which met at Delhi on 25th November 2012 called for a one hour strike on 22nd January 2013 and the issue was powerfully focused through this successful strike.

Now, after all these efforts from AIIEA, LIC management finally formalized a draft scheme for upgradation of the RPT employees and the scheme was approved by the Board of LIC in its meeting on 22.06.2013.  Now this is being sent by LIC to the Finance Ministry for its approval.  LIC management assured to follow up with the government for an early approval. Thereafter the instructions on the implementation of the scheme will be released by LIC.

With this development AIIEA could achieve the long pending demand of the RPT employees.

We congratulate all the units of AIIEA on this significant victory.  

Comradely yours,

General Secretary.

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AIIEA Circular

To all the Zonal/Divisional/State/Regional Units

Dear Comrades,

Reach out to the people in distress due to the devastating floods in Uttarakhand

Unprecedented floods in Uttarakhand have resulted in massive destruction of infrastructure and loss of human life on a large scale.  Thousands of pilgrims who were stranded in the state are being evacuated with the help of armed forces and the government organisations.  Whereabouts of many more pilgrims are yet to be established.  A large section of local population has lost their houses, belongings, and livelihood.  Many places are yet to be accessed. The scale of destruction is beyond imagination.

It is not the time now to discuss whether this is a man-made disaster or stricter regulations on ecology could have reduced the extent of the destruction. This is a situation of grave crisis and everybody should come together to meet the challenging situation.

In this hour of crisis it is the responsibility of the insurance employees to extend a helping hand to the victims and make a contribution to the relief work.  
Any immediate relief which is possible is being taken up by our Dehradun comrades under guidance from the North Central Zone Insurance Employees’ Federation.  But this can be on a limited scale in view of the difficult hilly terrain and inaccessibility to various places. The larger relief including the reconstruction of the whole infrastructure including the roads, bridges, houses and other aspects has to be taken up by the government and its agencies.

The LIC has issued an appeal to the employees to make generous contributions to the Prime Minister’s Relief Fund to help the flood victims and to reconstruct the infrastructure at the places ravaged by floods. Similar appeal has been issued by United India Insurance Company.  The other companies in general insurance sector are expected to come out with appeal.  The AIIEA appeals to all the insurance employees to enthusiastically respond to these calls and donate liberally for the relief work. We are confident of the overwhelming response from the insurance employees.

Comradely yours,

General Secretary.

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AIIEA Circular

All the Zonal / Divisional /Regional Units,

Dear Comrades,

Interactive Session with Parliamentary Committee on Labour at Mumbai on  10th June 2013

The Parliamentary Committee on Labour visited Mumbai on 10th June 2013 for a session with the unions.  This meeting was organized by LIC of India and Union Bank of India. In this connection, LIC management invited AIIEA and the other Unions in LIC for an interactive session with the Committee on the subject of Safety, Health and Social Security of the workers.

On behalf of AIIEA, Com. V. Ramesh, Joint Secretary, participated in the meeting. The meeting under the Chairmanship of Shri Dara Singh Chauhan, commenced at 11.00 am. In this session we have brought some issues within our industry to the notice of the Committee. 

1. We have placed the issues of contract/casual employees like daily wage boys, watchmen, care-takers, lift-men, water men, gardeners, plumbers, electricians etc. working in LIC and requested the Committee to advice the LIC management for their absorption.

2. We have raised the issue of New Pension Scheme to the employees who joined LIC after 1.4.2010.  We appealed to the Committee that LIC should cover all the employees under the LIC Pension Scheme. 1995.  We have also suggested that the employees governed under New Pension Scheme should be given an opportunity to join Provident Fund Scheme of LIC.

3. We have also raised the issue of recognition of Trade Union in LIC.  We appealed to the Committee to give necessary directions to the LIC management to start the process of recognition of Trade Union in the LIC.

4. After the conclusion of the session, a detailed note was submitted to the Committee on behalf of AIIEA.

The meeting concluded at 11.45 am.

Immediately thereafter, a delegation of AIIEA consisting of Com. V. Ramesh, Joint Secretary, AIIEA and Com. H.I. Bhatt, Joint Secretary, AIIEA met the following LIC officials on the issues mentioned below:

1. Pension:  The delegation met ED (Personnel) and reiterated our demand for one more option to the employees for joining Pension Scheme, 1995. The ED (P) informed that the matter needs further persuasion with the government of India. The delegation also raised the demand of 100% DA neutralization to all the employees who retired before 1.8.1997 and the demand for upgradation of pension. The ED stated the matter is sub-judice. We requested for an early solution to this important issue.

2. Upgradation of RPT employees:  The ED (P) informed that the matter will be taken up in the next Board meeting of LIC.

3. Wage Revision: On the question of wage revision the ED (P) stated that the LIC management’s efforts on this issue are on and it may require a little more time.

4. Recruitment: On the demand of recruitment of Assistants and sub-staff, ED (P) replied that this process shall be taken up. We also reminded the ED (P) that the absorption process of temporary Class IV employees which was completed across all divisions as per Supreme Court judgment, could not take place in Asansol/Bardhaman divisions due to extraneous reasons.  We stressed the need for an immediate solution to this issue.

5. Recognition: The issue of recognition was also raised with ED (P) and informed him that this matter was also appraised to the Parliamentary Committee on Labour.

6. HFL issues: The issues pertaining to Housing Loans such as interest subsidy to joint-loan cases and single loan cases, correct bifurcation of cadre and extended cadre and multiple loan cases, purification of global masters etc., were raised before the Chief (Legal).  He assured that all these issues will be sorted out at the earliest.

The delegation also met the Chief (personnel) and followed up certain pending issues of Zones for immediate solution.

With greetings,
Comradely yours,

for General Secretary.

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Appeal to Candidates

We wish you all success in your written examinations.

All India Insurance Employees’ Association (AIIEA) is a largest & the oldest Trade Union in Insurance Industry & LIC. After you join the LIC and become a Member of this wonderful Association AIIEA, you will be knowing much more about the History and achievements of AIIEA in detail. Please feel free to contact us for any clarifications and help.

AIIEA President's Message

Dear Friends,
Warmest Greetings

The LIC of India is the finest financial institution in the country. It is the largest life insurance company in the world in terms of the number of policies it serves and claims it settles. LIC is the single largest investor in the Indian economy. Though it currently serves over 42 crore policyholders, it has touched the life of every Indian Citizen through its contribution to the nation building activities. It is therefore a matter of pride to work for such a Premier Public Sector Institution.

The LIC has announced 8000 vacancies for recruitment to the Post of Assistant throughout the country. This is a significant step in the background of unprecedented unemployment situation in India. The All India Insurance Employees’ Association (AIIEA) which is the oldest and largest trade union of insurance employees had invested lot of energy in agitating for recruitment. This struggle has now succeeded with LIC announcing to recruit 8000 persons for the post of Assistant. The AIIEA since its birth in 1951 has been working for the improvement of the wage and service conditions of the LIC employees. It is the result of these struggles that today the Pay, Service Conditions and Opportunities for career advancement in LIC are comparable to the best in the country. The AIIEA is also committed to the noblest values of mankind and therefore it engages itself in several social activities to provide relief and support to those affected by natural calamities and suffer from economic and social disadvantages.

It is with this commitment that AIIEA helps the candidates aspiring for job in LIC with free study material and free coaching classes. I hope you will take advantage of this opportunity and prepare well to face this competitive examination.

I wish you success in your endeavour and hope for your joining the great fraternity of insurance employees.

Greetings again,

Sincerely yours,
Amanulla Khan
President, AIIEA