Govt approves revision of wages for RBI, public sector general insurance companies and Nabard

Centre on Friday announced the approval of pension revisions for pensioners of the Reserve Bank of India and wage revisions for employees of Public Sector Insurance Companies and Nabard. This will benefit around 47,000 pensioners and their families and over 46,000 employees.

For RBI, under the approved revision, the pension and family pension shall be enhanced by 10 per cent of the basic pension plus dearness relief, with effect from November 1, 2022. This would result in an effective enhancement of the basic pension by a factor of 1.43 for all retirees, leading to a substantial improvement in their monthly pension. The revision will benefit a total of 30,769 beneficiaries, comprising 22,580 pensioners and 8,189 family pensioners, according to a a statement by Finance Ministry.

“The decision has been taken in line with the government’s commitment to ensuring fair, adequate and sustainable retirement benefits for senior citizens and dependents,” it said. The total financial implication is estimated at ₹2,696.82 crore, which includes a one-time expenditure of ₹2,485.02 crore towards arrears and a recurring annual expenditure of ₹211.80 crore.

Public Sector General Insurance Companies

Wage revision: The wage revision for the employees of PSGICs will be effective from August 1, 2022. The overall hike in the wage bill shall be 12.41 per cent, with an increase of 14 per cent on the existing basic pay and dearness allowance. A total of 43,247 PSGIC employees will benefit from this revision. The revision also incorporates an enhancement in NPS contribution to 14 per cent from 10 per cent for the better future of employees who joined after April 1, 2010.  

Family Pension Revision: Family pension has been revised to a uniform rate of 30 per cent from the date of publication in the official gazette, which will benefit 14,615 family pensioners out of a total of 15,582 existing family pensioners, as a gesture of appreciation for their valuable contribution to the organisation.

Financial Implication: The total outgo will amount to ₹8170.30 crore i.e. ₹5822.68 crore towards the arrears of wage revision, ₹250.15 crore for NPS and ₹2097.47 for family pension. 

The PSGICs include National Insurance Company Ltd. (NICL), New India Assurance Company Ltd. (NIACL), Oriental Insurance Company Ltd. (OICL), United India Insurance Company Ltd. (UIICL), General Insurance Corporation of India (GIC), and Agricultural Insurance Company Ltd. (AICIL).

Nabard

Pay revision: Effective from November 1, 2022, the hike in pay and allowances is about 20 per cent for all Group ‘A’, ‘B’ and ‘C’ employees in Nabard. It would benefit around 3,800 serving and former employees.

Pension Revision: Basic pension/family pension to retirees of Nabard, who were originally recruited by Nabard and retired before November 1, 2017, have now been brought on par with that of ex-RBI Nabard retirees.

Financial Implication: The pay revision entails an additional annual wage bill of around ₹170 crore and total payment of arrears amounting to around ₹510 crore. Whereas, pension revision, would result in a one-time arrear payment of ₹50.82 crore, as well as an additional ₹3.55 crore outgo in pension payments every month to 269 pensioners and 457 family pensioners in Nabard.

Published on January 23, 2026