KOLKATA: There is always a slip between the cup and lip, as they say. And for nearly eight lakh bank officers and employees waiting for their five-yearly 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.
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I think SBI should take 2nd option for pension issue more seriously. In fact, till date the existing employees have been enjoying a speccial pension which other bank do no have. But in near future banks are going to be merged and this special pension scheme for SBI will not continue and the fresh recruits will be in great problem as the existing facility wil not be extended in near future after amalgamation. Finally, UFBU should now be very serious and take serious note of anti employees stand of IBA and continuous betrayal attitude since resumption of 9th bipattite.
ReplyDeleteThis is really ridiculous. IBA is not expected to infuse fresh issues and demands for clearing an understanding that is already reached. This is a challenge to the entire nation and to its legal system. Banks are making excellent profits and will not feel a pinch in paying Pension through fresh option. Mixing Pension Option which is an entirely independent issue with wage hike and delaying both is an utter nonsense. The MOU of 25th Feb.2008 to settle Pension Option issue within three months from then is beyond all reasonable limits. Trade Unions could not sort out the matter and every one is now in trouble.
ReplyDeletePension is an already conferred benefit. Some could not opt for it as the Regulations sanctioned by Government and adopted by Boards of Banks contained a clause for forfeiture of entire past services in case an employee participated in a strike any time. When this clause that was added in Regulations was scrapped in February, 1999, every one had to be extended a fresh option legally. Banks that function on the premises of substantive law behaved illegally and did not extend fresh option. Unions who are to secure the rights of members and Directors representing employees and officers failed to secure and protect. Now they are bargaining for the already given benefit that was taken away illegally.
ReplyDeleteUnited Front of Bank Unions is not on right path.It has made bank employees' position as that of a beggar. That is why IBA and GOI are not paying attention and delaying the wage revision. The fact that new recruits are either not joining the bank service or leaving the service after working in bank for few months/years, shows that service conditions are not good in banks or not at par with other PSUs or Govt Depts. UFBU must give stride call and should demand pay as per sixth pay commission.
ReplyDeletewe are behaving like beggers
ReplyDeleteI think it is the right time to ask the so called national bank employees unions to sit aside and decide on matters other than wage revision. all the bank employees should form a special union for the purpose of negotiations with the IBA taking strong steps as the begging acts have completely failed and have decimated the fighting image of bank employees. Think over it and post your view for initiating process of formation of special purpose all officers bank employees union
ReplyDeletenew and energetic union is the need of time.
ReplyDeletehttps://psubankers.blogspot.com/2019/06/central-pay-commission-cpc-vs-bipartite-settlement-bps.html
ReplyDeleteWhich one is better CPC or BPS? Here is a difference...also find latest updates of merger,wage revision of psu banks in India
ReplyDelete