Last Updated on August 1, 2020 by Galaxy World
Office of the Accountant General Punjab has forwarded an order on 20-07-2020 in connection with Court Decision Regarding Group Insurance on the retirement of the Government employees of the province of Punjab.
Detail of Court Decision Regarding Group Insurance on Retirement of Employees
WHEREAS, Mr. Moeez and seventeen others filed a Writ Petition No.4165/2020, in the Lahore High Court, Multan Bench Multan, impleading the 010 the Accountant General Punjab as Respondent No. OJ. They prayed through the instant Writ Petition that the Respondents may be directed to pay the amount of Group Insurance, deducted monthly from salaries of the petitioners throughout their periods of service. AND WHEREAS, the Honourable Lahore High Court, Multan Bench, Multan disposed of, the instant Writ Petition vide order dated 17/03/2020, with the direction to the Respondent No. 01 i.e. Accountant General Punjab to treat the instant writ petition as representation, on behalf of the petitioners and decide the matter strictly in accordance with rules. within two weeks, after affording the opportunity of the personal audience to the petitioners and all other concerned.
AND WHEREAS, the petitioners had been serving in the different departments of Agriculture on different posts. They, after retirement from service on different dates, are in receipt of a pension. They had been regular subscribers towards Group Insurance throughout their service, however, nothing was refunded to them on their retirement.
AND WHEREAS, on request of this office twelve out of eighteen petitioners attended the personal hearing on 09/06/2020. They argued that the amount of Group Insurance deducted from the salaries of the employees of Baluchistan Govt. were being paid to them at the time of their retirement and they also presented a copy of the notification dated 26/06/2012 issued by the Finance Department, Govt. of Baluchistan, They further added that on the analogy of Govt. of Baluchistan, the employees of Govt. of Khyber Pakhtunkhawa, filed a Writ Petition No. 1.355-P/20 13 Peshawar High Court, Peshawar, and the Honourable Court vide order dated 3-11-2016 allowed the petition as prayed for. The Govt. of KPK being aggrieved of the judgment passed by the Peshawar High Court, Peshawar.
Therefore the Administration Department, Govt. of Khyber Pakhtunkhawa accordingly issued a notification on 20104/2018 regarding the refund of the amount of Group Insurance, contributed by the petitioners from the date of their respective appointment till the date of their retirement. The petitioners also presented a copy of the judgment of Peshawar High Court Peshawar, Supreme Court of Pakistan & notification issued by the Administration Department of Govt. of Khyber Pakhtunkhwa.
AND WHEREAS, Muhammad Ihsan Assistant Director, attended the personal hearing on behalf of 010 the General Manager, Postal Life Insurance despite that his office had not been impleaded as the necessary party I respondent in the instant petition. However, he submitted that the 0/0 the General Manager, Postal Life Insurance signed a contract with the Govt. of Punjab for payment of Group Insurance and according to the terms and conditions of the agreement, the amount of Group Insurance was to be paid only to the families of the deceased employees who died in service or within 05 years of their retirement, therefore, his office could not breach this agreement. He further stated that the Group Insurance benefits as such are being remitted to Govt. employees in KPK and Baluchistan on the basis of law, enacted there, on the subject.
He also submitted that as far as employees of Punjab Govt. are concerned, the Punjab Govt. did not legislate, any law in this regard. The representative of Postal Life Insurance also presented copies of the letters issued by S&GAD, dated 20107/2016, Law and Parliamentary affairs Govt. of Punjab dated 17/11/2007 and dated 26/12/2019 clearly stating that the amount of Group Insurance will be paid to the deceased families of the employees who die during service or within 05 years after their retirement.
AND WHEREAS, the role of the Respondent No. 01, is merely to deduct the amount of Group Insurance from the salaries of the employees of Govt. of Punjab and pass on the accumulated amount of Group Insurance to the Group Insurance Board through cheques on monthly basis.
NOW, THEREFORE, I, Maqbool Ahmad Gondal, after hearing the viewpoints of the petitioners, statements of the representative of Postal Life Insurance taking into consideration the prevailing rules and meticulous examination of the necessary documents presented by the petitioners and other concerned, am of the view that apparently it is discrimination that the employees of Govt. of Baluchistan and KPK are being refunded the amount of Group Insurance on their retirement whereas the employees of Punjab Govt. are being deprived of the said benefit. However, as the instant matter does not fall in the purview of Respondent No. 01, therefore, the matter contained in the representation is disposed of with the following observations I recommendations:
- I. The matter does not pertain to Respondent No. 01.
- Payment of Group Insurance falls in the purview of General Manager, Group Insurance Board who has not been impleaded as Respondent.
- The Govt. of Punjab needs to make necessary amendments in the policy Irules of Group Insurance through legislation to make payment of Group Insurance to employees of Govt. of Punjab upon their retirement.
Special thanks to Mr. Kashif Raza who sent a copy of the Court Decision Regarding Group Insurance.
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