Former Coal India Executives Seek PM Modi’s Intervention Over Stagnant Pension Scheme
75 Former PSU Leaders Flag Concerns Over Coal Mines Pension Scheme
Kolkata, March 24: A group of senior former executives from Coal India Ltd (CIL), its subsidiaries, and Singareni Collieries Company Ltd (SCCL) has urged Prime Minister Narendra Modi to intervene in revising pensions for retired coal sector employees, highlighting that payouts remain unchanged over time.The appeal comes through a letter dated March 23, signed by 75 former chairpersons, managing directors, and directors of public sector undertakings. The signatories include prominent former CIL leaders such as S K Chowdhary, Prasenjit Kumar Sen Gupta, Partha S Bhattacharyya, Nirmal Chandra Jha, and Anil Kumar Jha.
Pension Remains Fixed Despite Rising Costs
According to the letter, pensions under the Coal Mines Pension Scheme (CMPS) 1998 are fixed at the time of retirement and remain constant indefinitely, without adjustments linked to inflation or rising living costs. The former executives stated that this has left many retired coal workers facing financial strain.Binay Dayal, former Director Technical at Coal India Ltd and a signatory to the letter, confirmed that the issue has been formally raised with the Prime Minister, emphasizing the need for urgent review.
Allegations of Mismanagement and Investment Gaps
The letter also points to alleged mismanagement of the CMPS 1998 corpus and suboptimal investment decisions as key reasons behind stagnant pension payouts. It references findings from the Public Accounts Committee’s 12th report, which had earlier highlighted shortcomings in the scheme’s management.Despite previous assurances from the government regarding a review and restructuring of the pension scheme, the signatories noted that no corrective measures have been implemented so far.
Coal Sector’s Contribution to National Economy Highlighted
The former executives underscored the critical role of Coal India Ltd and SCCL in the country’s energy ecosystem, stating that the two entities together account for more than 55 percent of India’s commercial energy needs. They also contribute over Rs 70,000 crore annually to the national exchequer.Pensioners Demand Fair Returns on Contributions
P K Singh Rathor, convenor of the All India Association of Coal Executives and the All India Coal Pensioners Association, stated that pensioners are not seeking concessions but the rightful returns on their contributions under the scheme.He emphasized that the demand is for fair and assured benefits as originally envisaged under the Coal Mines Pension Scheme 1998, which, according to the letter, remains unfulfilled.
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