RCC pensioners raise alarm over plans to introduce new pension scheme

THIRUVANANTHAPURAM: Retired employees of the Regional Cancer Centre (RCC) are anxious over discussions to introduce a new pension scheme at the institution. Alleging that it is an attempt to sabotage the existing pension system, the RCC Pensioners’ Association has come out against the move.

The association claims that, under the pretext of discussions on a new scheme in association with the Life Insurance Corporation (LIC), the authorities are trying to persuade as many beneficiaries as possible to withdraw from the current pension plan. It is alleged that retirees are being offered a refund of their contributions with interest to encourage them to opt out. Those who wish to continue in the existing scheme are reportedly being asked to sign an affidavit stating that they will bear the risk themselves.

A contributory pension scheme was introduced at the RCC in 2011 by the V.S. Achuthanandan government. It was initially limited to employees who joined the service up to May 31, 2013. Of the 634 eligible employees, 439 became part of the scheme. Under the plan, employees contribute 10 per cent of their salary, while the institution contributes 5 per cent. In 2013, the Oommen Chandy government approved the scheme’s rules and provided Rs 34 crore as a corpus fund. Pension payments began in 2015.

In 2020, the first Pinarayi Vijayan government extended the contributory pension scheme to all RCC employees, bringing those who joined service later also under its coverage. Contributions were collected from all employees, but a section challenged this in court. Following this, the court directed that contributions should not be collected from employees who had raised objections. At present, 335 people are part of the pension scheme.

Employees at the RCC point out that nearly 20 per cent of the workforce develops cancer due to radiation exposure. They also note that schemes such as the Employees’ Provident Fund (EPF) and the government’s Medisep health insurance are not applicable at the RCC. There are no treatment benefits for employees or pensioners either.

Total employees: 857
Doctors: 110
Other staff: 747
Total pensioners: 193
Doctors: 30
Other staff: 163