New Delhi:
The government is keen to set up a `talent pool’ to deal with the succession planning for the PSU general insurance sector,even as, it has shown favourable response to the long standing demand to give one more option on pension to the existing and retired employees of the sector.
Addressing the two-day strategic conclave- termed as Manthan- at New Delhi on Saturday, Rajeev Kumar, secretary, DFS, Ministry of Finance, said the government will create a `talent pool' of officials who will be eligible for the fast track promotions to hold the top positions of the public sector general insurance companies.
Attending the conclave on the concluding day, Union finance minister Arun Jaitley also heard sympathetically the demand about one more option on pension for the employees-those who were working before 2004-of the PSU general insurers.
“Providing one more option on pension to the employees, who had not opted for it, will not put any extra burden on the governmemnt,'' the insurers had impressed upon Jaitley.
After 2004, all the government employees for pension are governed by a system launched through New Pension Scheme(NPS) that runs on the principle of `Defined Contribution' and doesn't provide a guranteed amount as pension to the retired employees.The earlier system termed as `Defined Benefit' guarantees an amount as pension linked to to the last drawn salary of an employee. .
Jaitley also assured that the post of the CMD at the New India India Assurance (NIA)will be filled up soon .
“The post of the CMD at United India Insurance hasn’t been filled as yet as the appointee- Girish Radhakrishnan, CEO, NIA’s London operation- is yet to get regulatory clearance to get relieved from his present assignment,’’ he said.
The government for the first time had allowed pension option to the employees of the PSU general insurance companies way back in 1995 and 1996 but a lot of employees , almost 20 per cent of 60,000 employees had not availed it.
Since then, the demand for one more option for pension is pending with the government.
Meanwhile, the two-day conclave that conducted brain storming session on the six-point agenda, Product & Risk Management, HR Practices, Talent, Distribution, Technology & Digital , Customer Experience & Operation and Inclusive Growth,has identified 36 micro issues for which action plans will be developed.
The six groups that were deliberating the six broad issues will be meeting in every two-three weeks to devise suitable action plans, said sources who had attended the two-day conclave.
Subhash C Khuntia, chairman, IRDAI also addressed the conclave.The MoF had roped in two consultants McKinsey and Boston Consulting Group(BCG).Vikas Agnihotri, director, Google India, had addressed the conclave on `The New Internet Users’.
However, the scheduled address by Arundhati Bhattacharya, former chairman of State Bank of India didn’t happen.
Senior officials including CMDs and directors, general mangers, senior deputy general managers of state-owned insurers, NIA , United India Insurance, Oriental Insurance, National Insurance, Agriculture Insurance Company and GIC Re had attended the event.
Though the merger of three companies, UII, NIC and OIC have been announced,, the issue was not a part of the agenda at the convention.