Govt greenlights 17% wage hike for LIC employees

Govt hikes wage: The government has greenlit a significant 17 per cent wage increase for over 1.10 lakh employees of the country's insurance behemoth, the Life Insurance Corporation of India (LIC). This approval closely follows a similar salary hike sanctioned for employees of public sector banks.

Effective from August 1, 2022, the wage hike for LIC personnel marks a substantial boost in remuneration, signaling a move towards enhancing employee welfare within the sector.  The National Pension System (NPS) contribution has been ramped up from 10 per cent to 14 per cent for approximately 24,000 employees who joined post-April 1, 2010. In expressing gratitude for the wage revision, LIC has underscored the government's role in facilitating this progression.

Furthermore, as part of this comprehensive package, more than 30,000 pensioners and family pensioners of LIC are set to receive a one-time ex-gratia payment, indicative of efforts to address the holistic welfare needs of retirees.

This wage hike announcement mirrors recent governmental actions, wherein a 17 per cent salary increase was granted to bank employees, slated to take effect from November 1, 2022.

With PTI Inputs