LIC employees on strike

LIC employees of all offices under the Dharwad division — Dharwad, Haveri, Gadag and Karwar districts — staged a two-hour walkout today to register their protest against the introduction of LIC Act (Amendment) Bill, 2009.

The bill was been introduced in the Lok Sabha on July 31.

The strike was in response to the call given by the All India Insurance Employees’ Association. The employees said that the bill seeks to hike the government’s capital to Rs 100 crore from the existing Rs 5 crore, which would lead to divesting of its stake as per the recommendations of the Malhotra Committee report submitted in 1994.

The bill further seeks to reduce the policyholders’ share to 90 per cent of the surplus value from the existing 95 per cent — which means that the bonus payable to policyholders on their policies would come down.

It also provides for withdrawal of the sovereign guarantee on policies issued by the LIC.

“These measures will weaken the nation’s wealthiest financial institution which has an asset base of more than Rs 9 lakh crore,” the employees complained.

LIC employees in the City, Tumkur District, Kolar and Chikkaballapur Districts observed two hour ‘’walk out strike’’ today in protest against the introduction of LIC Act (Amendment) Bill 2009 in the Lok Sabha. The strike call was given by the All India Insurance Employees’ Association (AIIEA).