ISLAMABAD, July 7: Zarai Taraqiati Bank Limited (ZTBL) has announced Voluntary Golden Handshake Scheme (VGHS) for its regular employees, an official press release said on Monday.

The scheme had been offered to ZTBL employees below the age of 59 and having a service tenure of 10 years as of July 31, 2003. The one-time offer would remain valid till July 31, 2003 and would not, in any case, create a precedent.

The voluntary retirement schemes provides handsome severance benefits whereby executives/officers will receive two-and-a-half-month basic pay for each completed year of service or 37 days’ basic pay for each remaining month of service, whichever is less, subject to a maximum of 90 months of basic pay.

The clerical/non-clerical staff with 10 or more years of service will be entitled to four months’ basic pay for each completed year of service or two months’ basic pay for each remaining month of service, whichever is less, subject to a maximum of 100 months basic pay.

These employees will also be entitled to an additional bonus of Rs50,000.

The scheme also offers 100 per cent commutation of pension to large number of beneficiaries who have completed 20 years of service in the ZTBL as per service rules.

Similarly 75 per cent commutation of pension is allowed to employees having completed 10 years of service or more (less than 20 years) as a full and final settlement of pension liabilities.

As a very special case the scheme offers to employees, irrespective of their service period, a leave encashment facility up to 50 per cent of the accumulated privilege leave in the leave account of an employee subject to a maximum of 180 days.

The scheme further offers a lump sum payment to an amount equal to 10 years medical entitlement to an employee (medicines as well as tests/consultation) as full and final settlement in respect of post retirement medical facilities.

An amount equal to 10 years of benevolent fund grant, in accordance with ZTBL staff rules, will be paid in lump sum as full and final settlement. No monthly payment of the BF grant shall be made afterwards.

According to ZTBL staff rules of the ZTBL, balance (contribution and income thereon) standing in the respective General Provident Fund account of employees and the balance along with employees contribution and income thereon with respect to employees with Provident Fund option shall be paid in lump sum to the respective employees.

The press release further stated that the golden handshake scheme “shall be irrevocable that cannot be withdrawn. However the management shall have the sole discretion to decide upon the options submitted i.e. either to accept or reject on a case to case basis.”