Bank employees may have to wait little more for pay hike
Written by Administrator on October 24th, 2009There is always a slip between the cup and lip, as they say. And for nearly 8 lakh officers and employees waiting for their wage hike , the gap may not be bridged in a hurry. This is even as the Indian Banks Association (IBA) and United Forum of Bank Unions (UFBU) have agreed upon a 17.5% wage hike.
But, there seems a devil hiding in the details of the proposed option to join the pension scheme for those who are out of the pension net currently. Issues like accounting for the cost of pension and its cost-sharing arrangement between bank management and employees have cropped up which is delaying the entire negotiation process. The wage revision is due from November 2007.
For starters, IBA and UFBU have now agreed upon a 17.5% wage hike over the establishment expenses of banks as on March 31, 2007. IBA, the body for the bank management, has also in principle agreed to offer the pension option to those who did not opt for it in 1993. Around 2.66 lakh public sector bank employees do not get monthly pension.
Even after agreeing on the second pension, IBA has put fresh conditions. It now wants employees to share a burden for building up the pension corpus. Then, the proposed introduction of New Pension Scheme (NPS) and variable pay are still need to be resolved, said All India Bank Employees Association (AIBEA) president Rajen Nagar. AIBEA is the largest bank union.
Top bankers who are part of the wage negotiation did not want to officially comment at this juncture. Yet, they have confirmed that IBA has agreed in principle to offer the second option for pension.
For the second pension option, banks (barring SBI) will have to shell out an additional Rs 6,000 crore collectively. IBA is also likely to consider pension option for bankers who retired before March 31, 2008 and are out of the purview of pension scheme.
Although, both the parties have in principle agreed to the core issues, some details are yet to be worked out, said State Bank of India’s employee’s association s general secretary for Bengal circle, Shyamal Karmakar. However, this pension issue does not really bother SBI employees who are always entitled to pensions.
However, UFBU — the umbrella organisation for nine leading bank unions — is not also comfortable with the IBA s proposal to introduce NPS for bankers joining after April 2010. We want the old pension scheme to continue till October 31, 2012. We have committed that unions will discuss the issue of NPS after this. Mr Nagar said. Incidentally, the ninth bipartite settlement will be valid till October 31, 2012.
We are also against the concept of variable pay. It deteriorates performance rather than improving it, Mr Nagar opined.
October 26th, 2009 at 9:14 pm
Let God help all those who got retired during special VRS 2001 Only with the help and encouragenment of great person like Venugopal chengancherian all the people will be benefitted. LET GOD GIVE LOTS OF GOOD HEALTH WEALTH AND
ALL HAPPINESS TO SHRI VENUGOPAL OF KERALA who had done herculean task in pension second option
November 1st, 2009 at 10:24 pm
Bank employees will get their dues but as their expectation now a days is very high it can not be met fully. Money makes money. It is to be remembered from heart that the giver has to earn first to provide you with that money and can not loan it out and go bankrupt.
November 5th, 2009 at 1:05 pm
In prices growing India it is very cruicial to do fast decision on salary hike of Bankers employees. A employee can not maintain his livelihood just in Rs. 7000-9000 salary. More institutions has hiked their employees’ salary. so banks should increas salary to attract new job seekers.
November 16th, 2009 at 1:47 pm
Why there is a hue and cry about the 2nd pension option in the 9th bipartite settlement , when the first option was not extended after when IBA amended the basic service break clause for participating in the legitimate strike call given by the trade unions contained in the offer of option in 1996. The then Union Leader argued that Pension option contains the clause which snatches their hard earned right of collective bargaining and majority did not opted for the pension option to resent and oppose the clause.Behind the back curtain they removed the clause with out allowing others to opt for the amended option. Where is Law and who are the watch dog in the industry to stop and oppose such dirty politics in banking industry. Now IBA is playing to divide the Bankmen on this issue under the garb of 2nd pension option and inflicting pains for one class and giving a ray of hope for survival.
November 23rd, 2009 at 7:32 pm
When would be get the pension of past retiree,and what the contribution of retired employees in the second option of pension???????????
February 12th, 2010 at 9:02 am
I was retired from the bank on30/11/2006 as computer operator after completion of 23 yrs 3 months service on superannuation and getting 5950/-BP.What is my revised pension on implementation of 9th bipartite settlement.Thanks
March 2nd, 2010 at 6:41 am
Do not expect much please callback the unworthy union leaders who have lost their moral right to continue and hold
negotiation with IBA On the other hand IBA is also plying dirty game It will make the UFBE to sign on the dotted lies
The leadership already mortged the right of the Bank Employees during 5th Bipartite settlement. Regarding 2nd option
on pension it is your own fault you have not opted for pension when the chance was given to you people at that time also some vested intrested people misled you now you are repenting however good luck
March 11th, 2010 at 10:10 am
If IBA cannot honour its own commitments and MOUs, where’s the occasion for continued negotiation with it? It should be derecognized and the matter should directly be taken up with the government. A war be declared immediately. Enough is enough. We are the ones filling the coffers of the government that wantonly squanders away the hard earned money. But when it comes to sharing some of it with the bankers, it finds excuses to delay and scuttle it. Its time we called their bluff as also of those of our leaders who have grown so weak that they cannot make a fight of it or who cannot sink their differences. State Bank should not forget that during their indefinite strike, others had extended support. Let them not forget the sagacious advice of an ailing old king to his quarrelling sons: if you stay together, no one will be able to break you; but if u fall apart and keep quarrelling on petty matters, you will be easily broken. Lets find similitude in dissimilitude and not dissimilitude in similitude.
March 11th, 2010 at 9:13 pm
How can ordinary award expect that IBA will honour its own commitments. IBA is also not so serious to resolve
the issue.IBA knows verywell that if the negotiation is dragged at one point of time UFBE will lose their patience
and Union leaders will sign the settlement which is already drafted this is the game plan of the IBA since Ist BPS
Present day Bank Union Leadership is just like PAPER TIGER IBA fully knows the strenght and unity of the Union
Leaders There is no unity between AIBEA BEFI NCBE NOBW. Happy UGADI This year Bank People are forced to
celebrate UGADI with full of NEEM Jagery (Wage settlement is not sight) Better luck for 10th BPS which is also
fast approching Regards Sushma Dongre
March 11th, 2010 at 9:34 pm
already submitted
March 11th, 2010 at 11:53 pm
9th bipartite settlement not in near future todays meeting inconclusive at iba’s convenience meeting will be called
that it is for now