For the retired employees, it was agreed that the monthly ex-gratia amount shall be paid in addition to the pension/family pension paid by the Public Sector Banks including SBI, to pensioners and family pensioners, who became eligible to draw pension on or before October 31, 2022, including those who retired on the said date
After PSU banking sector, wage negotiations for the employees of the Life Insurance Corporation(LIC) and PSU General Insurance industry are expected to conclude on similar lines as far as the percentage of wage hikes are concerned
New Delhi:
Indian Banks’ Association and bank employee unions on Friday agreed on an annual wage hike of 17 per cent, a move that will result in an additional yearly outgo of around Rs 8,284 crore for public sector banks.
As many as 8 lakh bank employees are set to benefit from the wage hike, which will be effective from November 2022.
After PSU banking sector, the wage negotiations for the employees of the Life Insurance Corporation(LIC) and PSU General Insurance industry are expected to conclude on similar lines as far as the percentage of wage hikes are concerned.
As of February 16, 2024, the employee unions of LIC have rejected the government’s offer of a 14 per cent wage hike and demanding a 30% hike, higher value of Sodexo meal coupons, and a revision in the housing cadre loan.
However, there is a big question mark over the wage negotiation exercise for the PSU general insurance industry, as the next revision due from August 2022 will be in the form of a variable pay based on the performance of the company and the employees,
Going by the new conditions, the companies, which are in losses for the period (for which the negotiations happen), will not be eligible for wage hike of their employees. During the last wage negotiation, much to to the chagrin of the employees’ unions. the Finance Ministry had notified an average 12 per cent wage hike for employees of four public sector general insurance companies effective from August 2017.
Unions of the PSU general insurance industry were not happy with imposition of pay linked to performance of the company and their performance.
“Linking wages with performance seems to be illogical as we employees undertake so many government schemes,” General Insurance Employees’ All India Association (GIEAIA) general secretary Trilok Singh had said.
All India Bank Officers’ Confederation said that a joint note agreed to recognise all Saturdays as holidays, pending government notification.
The revised working hours will be effective after notification by the government, it said.
“The new pay scales have been constructed, after merging Dearness Allowance corresponding to 8088 points and additional load thereon,” it said.
Under the new wage settlement, all women employees would be allowed to take one day sick leave per month without giving a medical certificate.
Accumulated privilege leave may be encashed up to 255 days at the time of retirement/upon death of an employee while in service, it said.
“Today marks a significant milestone for the #bankingindustry as IBA and #UFBU #AIBOA #AIBASM and #BKSM have signed the 9th Joint Note and 12th #Bipartite Settlement regarding #Wage Revision for Bank Officers and Employees, which will take effect on Nov. 1, 2022. @PIB_India #dfs,” IBA Chief Executive Officer Sunil Mehta said in a tweet.
For the retired employees, it was agreed that the monthly ex-gratia amount shall be paid in addition to the pension/family pension paid by the Public Sector Banks including SBI, to pensioners and family pensioners, who became eligible to draw pension on or before October 31, 2022, including those who retired on the said date.