Observations on Revenue Deficit Pension liability and USO obligations of the Department of Posts

Observations on Revenue Deficit Pension liability and USO obligations of the Department of Posts

SIVAJI VASIREDDY

Secretary General

To

Sri Jyotiradiya Madhavrao Scindia Ji,

Hon’ble Union Minister for Communications,

& Minister for Development of NE Region, Govt. Of India,

New Delhi – 110001

Respected Sir,

Sub:- Observations on Revenue, Deficit, Pension Liability and USO Obligations of the Department of Posts - regd.

With reference to the figures available in the India Post Annual Report 2024–25 and the Lok Sabha reply on postal pension expenditure, the following observations are respectfully submitted for consideration.

1. Revenue and Expenditure – FY 2023–24:

As per the India Post Annual Report 2024–25 (covering April 2023 to March 2024): Total revenue from all postal operations (including mail/postage, savings bank, certificates, commissions, stamps, etc.): Rs.11,321.35 crore. Broad break-up of receipts includes:

Postage realised in cash: Rs.4,476.49 crore

Sale of stamps: Rs. 165.97 crore

Commission on money orders and allied services: Rs.72.60 crore

Savings bank and other receipts: approximately: Rs.6,606.29 crore

(The above represents total departmental receipts; separate figures for individual mail services such as letters or parcels are not itemised in the published extract.)

Total expenditure: R.34,389.64 crore

Net deficit (expenditure minus revenue): Rs. 23,068.29 crore

Thus, the revenue realized during the year covered only a portion of the total operational expenditure, resulting in a deficit of approximately Rs. 23,068 crore.

2. Postal Pension Expenditure:

As per the Lok Sabha reply for FY 2022–23, issued by the Hon’ble Minister for Personnel, Public Grievances and Pensions: Expenditure on pension and family pension for postal retirees:

Rs. 8,214.85 crore. This amount represents pensionary payments made to retired postal employees and eligible family pensioners during the said financial year.

In this our submission is that the Postal pension expenditure should be supported by the Govt. through the “Consolidated Fund of India” instead showing expenditure in Department of Post like other departments. This will reduce the revenue loss in a high manner.