General Insurance (Rationalisation of Pay Scales and other Conditions of Service of Development Staff) Amendment Scheme, 2010

S.O.2471(E).-- In exercise of the powers conferred by section 17 A of the General Insurance Business Nationalisation) Act, 1972 (57 of 1972), the Central Government hereby makes the following Scheme further to amend the General Insurance (Rationalisation of Pay Scales and other Conditions of Service of Development Staff) Scheme, 1976, namely:-

  1. (1) This Scheme may be called the General Insurance (Rationalisation of Pay Scales and other Conditions of Service of Development Staff) Amendment Scheme, 2010.

    (2) Save as otherwise provided in this Scheme, this Scheme shall be deemed to have come into force on the 1st day of August, 2007.

    (3) Save as otherwise provided in this Scheme, this Scheme shall be applicable to all employees who were whole time employees in Development Officer cadre of the Company as on or after the 1st day of August, 2007:

    Provided that the Development Officer, whose resignation had been accepted or whose service had been terminated during the period from the 1st day of August, 2007 till the date of publication of this Scheme in the Official Gazette, shall not be eligible for the arrears on account of the revision under this Scheme.

  2. In the General Insurance (Rationalisation of Pay Scales and Other Conditions of Service of Development Staff) Scheme, 1976 (hereinafter referred to as "the said Scheme"), in paragraph 3, in clause (2), for the word and letter "Schedule G", the word and letter "Schedule H" shall be substituted.

  3. In the said Scheme, in paragraph 3,-

    (A) in clause (16), sub-clauses (d) and (e) shall be omitted with effect from the date of publication of this Notification;

    (B) in clause (17), in sub-clause (c), in item (iv), after the words, figures and letters "performance year commencing on the 1st day of April, 2003", the words, figures and letters "and ending on the 31st day of March, 2010" shall be deemed to have been inserted with effect from the 1st day of April, 2010;

    (C) in clause (17), in sub-clause (c), after item (iv), the following shall be deemed to have been inserted, with effect from the 1st day of April, 2010, namely:-

    "and ending on the 31st day of March, 2010" shall be deemed to have been inserted with effect from the 1st day of April, 2010;

    (C) in clause (17), in sub-clause (c), after item (iv), the following shall be deemed to have been inserted, with effect from the 1st day of April, 2010, namely:-

    "(v) in relation to cost ratio for performance year commencing on the 1st day of April, 2010, the ratio specified in column (2) of the Table D below and incurred on a Development Officer specified in the corresponding entry in column (1) thereof shall apply:-

    TABLE-D

    Development Officer operating at cost ratio
    (1) (2)
    (a) Cities with population exceeding 25 lakhs 7%
    (b) Cities with population of 10 lakhs and above, but not exceeding 25 lakhs 8%
    (c) Other centres 10%

    Provided that for the performance year 01-04-2010 to 31-03-2011, relaxation of one percent shall be allowed in the stipulated limits of cost ratio specified in Table -D:

    Provided further that for a Development Officer posted in hardship area, the Chairman-cum-Managing Director may after taking into account the amount and the composition of premium procured from such area, by order and for reasons to be recorded in writing, grant further relaxation of one percent. in the stipulated limit of cost ratio specified in Table - D:

    Provided also that the stipulated limits of cost ratio shall be further relaxed by one percent. in respect of a Development Officer who has attained the age of 55 years and has completed minimum period of 15 years of service.

    Explanation-1: 'Population' shall mean the population of a city within its municipal limits ascertained from the latest Census Report of the Government of India.

    Explanation-2: 'Hardship area' shall mean an area specified as such by the Company in regard to the special difficulties faced in procuring business in that area.".

  4. For the paragraphs 7A, 7B and 7C of the said Scheme, the following paragraphs shall be substituted, namely:-

    "7A. Scales of pay, method of fixation and payment of arrears. (1) On and from the 1st day of August, 2007, the basic pay and allowances of every Development Officer shall be in accordance with Schedule H.

    (2) The basic pay of every Development Officer who was in service on the 1st day of August, 2007 or was appointed thereafter shall be fixed in accordance with item II of Schedule H, with effect from the 1st day of August, 2007 or the date of appointment, whichever is later.

    (3) Every Development Officer whose basic pay is fixed in accordance with item II of Schedule H, shall be paid for the period commencing on and from the 1st day of April, 2008 or the date of his appointment, whichever is later, the difference of gross emoluments and allowance for technical qualification payable under Schedule H and that paid under Schedule G after deducting the Development Officer's compulsory contribution to Provident Fund.

    7B. Equitable relief. Notwithstanding anything contained in paragraph 7A, the Development Officer who was in service at any time during the period from the 1st day of August, 2007 to the 31st day of March, 2008 shall be paid equitable relief for the period of such service.

    Explanation: For the purposes of this paragraph the term 'equitable relief means the difference between the aggregate of gross emoluments and allowance for technical qualifications computed under Schedule H and Schedule G, respectively with consequent adjustment of ex-gratia payment, Provident Fund, Pension, Gratuity and Encashment of Earned Leave, as the case may be.

    7C. Absorption of Arrears and Equitable relief in cost. The arrears and equitable relief determined under paragraph 7A and 7B shall be added to the cost of Development Officer for the respective performance year to which they relate, subject to the stipulated limits of cost and the balance shall be added to his cost for the performance years 2010-11 and 2011-12 in such proportion as he may choose within 90 days of the publication of this Scheme.".

  5. In the said Scheme, in paragraph 13,-

    (A) in sub-paragraph (3), for the words "revised scale of pay", the words, figure and letter "scale of pay as per Paragraph 7A" shall be substituted;

    (B) after sub-paragraph (3), the following sub-paragraph shall be inserted, namely:-

    "(4) A Development Officer, other than the one eligible for grant of benefit under subparagraph (3) of paragraph 11A, who has reached the maximum of the scale of pay as per Paragraph 7A as applicable to Development Officer Grade II, may subject to the conditions that he,

    (a) fulfills the stipulated cost ratios under paragraphs 11, 11A and 13 of the said Scheme, in the previous performance year;

    (b) is otherwise eligible for drawing normal grade increment; and

    (c) is found to have a satisfactory work record,

    be granted for every three completed years...

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