VSP retired employees raise voice against medical insurance premium revision

RINL-VSP Retired Steel Executives Association protests proposed amendment to medical insurance scheme affecting 6,000 retired employees.

Leaders and members of the Rashtriya Ispat Nigam Limited-Visakhapatnam Steel Plant (RINL-VSP) Retired Steel Executives Association (RSEA) on Thursday staged a protest at the plant premises, demanding withdrawal of the proposed amendment to the medical insurance scheme applicable to retired employees.

Around 300 retired employees, holding placards, participated in the protest against the steel plant management for planning to amend the medical insurance scheme.

In a letter submitted to the RINL-VSP Chairman and Managing Director’s (CMD) office, RSEA president Maturi Sreenivasa Rao said that the amendment to the medical benefit scheme proposed by the steel plant management will replace the existing Group Medical Insurance Policy (GMIP). He said that the proposal has brought serious concerns among retired employees as it will significantly affect their well-being.

Explaining the proposed amendment to the policy, he said that as per the existing policy, the policyholder is entitled to pay ₹1,300 per person a year and ₹2,600 per couple a year. However, as per the proposed amendment, the policyholder will have to pay ₹10,000 per member a year and ₹20,000 per couple.

“There are around 6,000 retired employees of this plant who have been active since 2014. They usually get a maximum pension of ₹3,000 per month, and a minimum of ₹1,500 per month. Now, how can these retired employees with such low pensions pay ₹20,000 as premium for the medical scheme. Is this justifiable?”, questioned Mr. Rao, while addressing the protest on Thursday.

He said that many retired employees of the plant had served the company for 35-40 years. However, due to unhealthy developments like the proposed disinvestment and downsizing of employees, the plant has been crippled financially in the last four years, and they are now facing serious financial difficulties. In this challenging economic environment, availability of comprehensive medical care remains a crucial aspect of their welfare. So, the authorities must reconsider any proposed revision of the medical insurance policies, he added.