Thursday, March 31 2005 14:06 Hrs (IST) - World Time -

New Delhi: A major section of Life Insurance Corporation (LIC) employees went on strike today (Mar 31, 2005) to press for higher pay package, even as the country's largest insurer kept its offices open.

Group III and IV employees of LIC are on strike in response to a call given by All India Insurance Employees' Association (AIIEA), which wants more than 13 per cent hike in wages. The wage revision is due since August 1, 2002.

LIC sources said that the top brass and development officers attended office although there was agitation by Group III and IV staff.

The strike is likely to affect LIC's business on the last day of the fiscal year, which witnesses maximum rush from consumers to pay their premium and get tax benefits.

However, LIC officials sought to allay such fears saying policyholders can pay their premium today.

The strike coincides with the second day of the three-day bandh called by traders against implementation of Value Added Tax (VAT) from tomorrow (April 1, 2005).

On March 23-24, employees of four Public Sector Undertaking (PSU) general insurance companies (Gipsa), who are also demanding wage revision and opposing Foreign Direct Investment (FDI) hike in insurance, had struck work.

National Confederation of Indian General Insurance Officers and General Insurance All India Employees Association, representing almost 75,000 officers and staff of the four PSU insurers, had called the strike.

Prior to that, PSU bank employees had called a strike on March 22 opposing mergers and hike in FDI in private banks.