Monday, August 12, 2013

            The Employees’ Provident Fund Organisation (EPFO) says it disagrees with finance ministry’s proposal to encourage its subscribers to shift to New Pension System saying it does not provide better returns than its Employees Pension Scheme-1995.
            The retirement fund body has said this in response to a letter written by Financial Services Secretary to Labour Secretary.
            “If we take return of EPS as indicative return on the fund managed under EPS then the annualised return for the period May 2009 to May 2013 will be 10.47 per cent, which on the face of it, is higher than the return declared by NPS in its scheme for central government”, EPFO said.
            Finance Ministry has written to the Labour Ministry saying: “The subscribers (of EPS) may be given an option to either remain with EPS or join NPS with the same contribution.”
            The ministry argued that NPS, which is a self sustaining pension system, could be a good substitute for EPS and would be beneficial for subscribers as they would get decent returns and adequate pension wealth.
            Moreover, the Finance Ministry said, “The government would be free from any open ended and financially unsustainable liability of EPS.”
            Disagreeing with the contention of the Finance Ministry, EPFO said that EPS scheme provides social security for lower income group people in their old age. In addition, it also provides pension to widow, children and dependents in case of death of the subscriber.
            Under the EPS scheme, many interim benefits are provided.
            Subscribers can withdraw their contribution towards pension while withdrawing his or her EPF money. There is a lock in period of 15 years in NPS.
            Moreover EPS subscribers get bonus of two years on completion of 20 years of service and there is provision of commutation or part withdrawal also. That is not available in NPS.
            EPS’s corpus size stood at Rs 1.83 lakh crore as on March 31, 2013. Under the NPS, total corpus was at Rs 29,852 crore as on March 31, 2013 with a subscribers’ base of 47,70,507 members.
            EPFO has a subscriber base of over 5 crore and manages PF corpus of Rs 3.7 lakh crore excluding the pension fund of Rs 1.83 lakh croreSource : The Hindu

Soon, post offices to be like banks

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The Anna Road head post office is one of four in the city that have been selected for the project — File Photo
The HinduThe Anna Road head post office is one of four in the city that have been selected for the project — File Phot

Under new project, select head post offices will have ATMs, offer internet and mobile banking

Postal customers may soon be able to access their savings bank account in any post office in the city.
The department of posts is putting in place core banking solutions (CBS) at four of its head post offices in Chennai, and the process is expected to be completed by September. This means these post offices will become like banks and offer a range of services.

The head post offices on Anna Road and in T. Nagar, Mylapore and Tambaram will soon be networked via CBS, which is one of the postal department’s flagship projects.'

At present, customers who have postal savings accounts have to go to the post office where their account is, to carry out any transaction. They also have to wait in long queues to withdraw cash or to get their monthly pensions.

But once CBS is implemented, customers can go to any post office covered under the system and carry out transactions. The project also envisages installing ATMs at these four post offices by October, so that their 2.5 lakh account-holders will be able to access their accounts at the swipe of a card.Customers who have invested in savings 
 certificates too, can encash them using CBS.

Officials of the postal department said they had tied up with Infosys to eventually implement CBS in 110 post offices across the city and its suburbs. Currently, software testing for the project is in progress.

Welcoming the move, 70-year-old D. Sriraman, a resident of Villivakkam, said this would benefit several people who now spend at least half an hour just to withdraw cash.  

The CBS project will be rolled out in all post offices over the next two years in a phased manner. Services offered will include internet banking, mobile banking and mobile transfer of money. The department also is mulling over a proposal to integrate other postal services with CBS.

Postmaster general, Chennai city region, Mervin Alexander said there are nearly 3.3 crore savings account-holders in the region. All postal employees are now being given extensive training in CBS, he added.                                      


Implementation of Redesigned Network for First & Second Class Mail: Review of Bag Closing Pattern regarding.

O.M. No. 30-7/2012-D dated 07.08.13 dated 07.08.13.

            Reference is invited to Directorate O.M. even number dated 01.02.2012 regarding implementation of the redesigned network for First Class mail followed by OMs of even no. dated 21.03.12 and 28.09.12 with respect to manner of sorting and bag closing by Business Post Centres (BPC) and Mail Business Centres (MBCs) handling outward bulk mail only. Attention is also drawn to the Directorate O.M. no. 30-19/2012-D dated 09.05.2012 regarding implementation of redesigned network for Second Class Mail.

 2.        The manner of closing of bags between mail offices as prescribed under redesigned network for First and Second class mail was under review at this Directorate and it has now been decided that all L 1 and L 2 mail offices situated within a circle would be permitted to close bags for each other with respect of First Class (unregistered and registered) and Second Class mail in addition to the pattern of bag closing prescribed earlier. Thus, the revised arrangement, the pattern of bag closing would be as under:

(a)        All L-1 mail offices will close direct bag for each other. All L-1 and L-2 mail offices situated within a circle will close direct bag for each other. An L-1 office will also close bags for all L-2 offices as well as delivery post offices mapped /attached to it.

(b)       All L-2 offices attached/mapped to an L-1 office can close bags for that particular L-1 office. Now an L-2 mail office will also close direct bag for all other L-1 and L-2 mail offices of the same Circle as well. An L-2 office will also close bags for all delivery post offices mapped to it.

(c)        In case of inter-Circle mail, any demand for exceptions in terms of closing of bags between one mail office and another, which in not prescribed under the redesigned network, would continue to be approved by the Directorate. However, as an exception, all L-1 and L-2 mail offices geographically falling under Assam and NE Circle may close bags for each other as communicated earlier in July 2012.
3.         The First Class unregistered and Registered bags to be closed between L-1 offices, between all L 1 and L 2 offices situated within a circle, between L-1 office and L-2 offices  mapped to it and vice versa, and between L-1/-2 offices and post offices mapped to them and vice versa will be traded as “Due Bags”. These would be no due bags in case of second class mail.

4.         CEPT Mysore would make necessary changes in R-Net mapping release the revised script to all circles immediately
5.         The existing instructions with respect to bag closing by Business Post Centres would continue.

6.         Circles may issue revise the Due Mail and Sorting list at the mail offices concerned immediately.
Doctor (Mail Management)