Apni Law Staff asked 1 year ago
Dear Tata Motors,
I, Surendra Prasad, joined your company on 4th October 1978, with employee ticket number 310162. I retired on 1st April 2013 after 25 years of service, with a last drawn salary of ₹59,115 per month.
My pension is supposed to be calculated based on the Defined Benefit scheme, as per the Superannuation Fund Trust Deed, paragraphs 11.1 and 11.2. The formula clearly states that the pension should be calculated on the last drawn salary and total service period:
(0.75% of last drawn salary x non-membership period) + (1.5% of last drawn salary x membership period)
However, I’m receiving a pension based on a reduced salary of ₹17,465 and only 15 years of service. Why am I being denied my rightful pension amount, which should be around ₹3,13,896 per year?
Could you please clarify the discrepancy and explain the reason for the reduced pension amount? I would appreciate a prompt resolution to this matter.
Best Answer
Apni Law Staff answered 1 year ago
The pension calculation appears to be incorrect as it does not reflect the full last drawn salary and the entire service period. Mr. Prasad should contact Tata Motors immediately to request an explanation for the discrepancy and demand a recalculation based on the correct formula outlined in the Superannuation Fund Trust Deed. He can also refer to the provisions of the Employees’ Pension Scheme, 1995 and the relevant clauses of his employment contract.
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