Title - Railway launches pension scheme for CONCOR employees

Railways have launched a pension scheme for the employees of the Container Corporation of India (CONCOR) aiming to provide much-needed support to them post retirement.

The 'Employees Superannuation Pension Scheme' for CONCOR employees was launched at a function yesterday at the Tughlakabad Inland Container Depot by Minister of State for Railways, Adhir Ranjan Chowdhury.

With this, CONCOR becomes the first PSU under Railways, and one of the few organisations among CPSEs, to have introduced an Employees' Pension Scheme.

Railways hopes that the scheme will now be used as a model and guideline by other PSUs under it to make similar plans.

The facility, which is to be a 'Defined Contribution Scheme' will be effective from Jan.1, 2007. It is applicable to all regular employees of CONCOR retiring upon completion of 15 years of service or after a combined service period of 15 years in CONCOR and other CPSEs which have a similar scheme.

CONCOR will contribute 10 per cent of employees' basic pay and DA as the employer's share to the pension fund while the member employee's share will be in the range of 0.50 per cent to 2 per cent of basic pay and DA, depending upon his age.

The scheme will be operated through a trust and the fund will be managed by LIC through a Master policy. The fund manager will maintain a running account which will be credited with the contribution by members and the interest earned from the contribution.

"The launch of this scheme is going to ensure tremendous confidence and security among employees and their dependents. The initiative is part of the endeavour by the government to enhance the social security cover of citizens," Chowdhury said while launching the scheme.

Besides running a chain of Inland Container Depots, CONCOR provides inland rail transport for containers and has expanded its services to cover port and air cargo complex management and design cold chain solutions.