Finance Ministry has asked public sector insurers like LIC and GIC to take disciplinary action against employees who mount political pressure to seek favourable transfers and postings.
In a communication to the Chairman/CMDs of the seven insurance companies, including LIC, the Financial Services Department said that "some employees" of the Public Sector Insurance Companies "have been bringing political pressure and outside influence in matters related to transfers, postings, disciplinary matters, appointments, etc on this Department".
The department said the issue has been examined and "it has been decided to advise the Public Sector Insurance Companies to sensitise their employees to refrain from such activities, failing which disciplinary action as per rules may be taken against them".
The insurers have been asked to frame a fair and transparent system of transfers and postings and also to build a robust mechanism to address the grievances of their employees at their level.
"If the rightful due of the employees is ensured through transparent and accountable means, the tendency for adoption of unacceptable means shall be checked," the Ministry said.
It further said that the officers responsible in the HR departments should be made accountable for such a system to be in place.
"...The CMD/Chairman should regularly review pending cases/requests," it added.
The seven state-owned companies are: Life Insurance Corporation of India, General Insurance Corporation of India, National Insurance Company, New India Assurance Company, Oriental Insurance Company, United India Insurance Company and Agricultural Insurance Company.
