Bank Wage Revision 22-07-2020
11th Bipartite Settlement 22nd July 2020
11th Bipartite Settlement DA Merger | 11th bipartite settlement 15 percentage
Bank Wage Revision 22 July 2020 – 11th Bipartite Settlement 22nd July 2020 – Bank Staff Get 15% Pay Hike
Bank Wage Revision 2020 Latest News
Indian Banks’ Association
Also Read: Improvement of Family Pension and Updation/ Revision of Pension
Minutes of the discussions held on 22nd July, 2020 between IBA representing Management of banks which are parties to the Bipartite Settlement and Workmen Unions and Officers’ Associations on wage revision
| Revision in Dearness Allowance for the quarter Aug’20 to Oct’20 |
| Dearness Relief for RBI Pensioners 1.60% increase from August 2020 to January 2021 |
| Bipartite talks-MOU signed – BEFI abstained from signing MOU |
Discussions were held between the Indian Banks’ Association representing Managements of banks and the authorized representatives of Workmen Unions and Officers’ Associations on wage revision for officers and workmen in banks.
| IBA is agreeable to Family Pension at 30% without ceiling subject to discussions of modalities. |
The Management and the Unions representing Officers and Workmen staff, acknowledge the need for a robust banking system which is responsive to the challenges facing the country and the need to improve further the productivity, efficiency and responsiveness to the needs of the customers and various stakeholders. With this commitment, it has been agreed to resolve the pending wage settlement issue and enter into an MoU as under:-
1. The wage revision will be effective from 1.11.2017.
2. The annual wage increase in salary and allowances is agreed at 15% of the wage bill as on 31-3-2017 which works out to Rs.7,898 crores on Payslip components.
. The new pay scales will be constructed after merging Dearness Allowance corresponding to 6352 points (average Index point as applicable for the Quarter of June, July, and August 2016) and adding thereon a loading of 2.50% on Basic Pay plus Dearness Allowance as on 31st March 2017 amounting to around Rs.1155/- Crores.
4. Distribution of annual wage increase between Workmen and Officers will be worked separately and proportionately based on breakup of establishment expenses as on 31.3.2017.
5. In today’s Banking scenario, there is stiff competition amongst different category of banks i.e.. Public sector, Private sector, Foreign banks. In order to inculcate a sense of competition and also to reward the performance, the concept of Performance Linked Pay is felt to be introduced. After prolonged discussions and deliberations on this matter, it has been agreed to introduce Performance Linked Incentive (PLI) in Public Sector Banks, which will be based on Operating/ Net Profit of the individual bank (optional for private & foreign banks). The PLI is payable to all employees annually over and above the normal salary payable. The PLI matrix decides the amount payable to the employees (in number of days of pay- Basic+DA) depending on the annual performance of the bank. All the employees will get the number of days of pay as incentive depending on where in the matrix the bank’s performance fits in, broadly as per Matrix under:
| No. | YoY Growth in Operating Profit | No. of days for which Salary (Basic + DA) shall be paid |
| 1 | <5% | Nil |
| 2 | 5% to 10% | 5 days |
| 3 | >10% to 15% | 10 days* |
| 4 | >15% | 15 days* |
| *3rd & 4th slabs are payable only if the Bank has Net Profit. If a Bank has growth in Operating Profit of 5% & more, but there is no Net Profit, then minimum 2nd slab of 5 days will be payable | ||
| (The PLI will be applicable from FY- 2020-21) | ||
6. From the calendar year 2020, besides encashment of PL at the time of retirement and during availment of LFC, PL Encashment would be permitted at 5 days every calendar year (7 days in case of employees/officers of 55 years of age and above) at the time of any festival of their choice.
7. It has been agreed to increase the banks contribution to the NPS fund to 14%, i.e. 14% of Pay & Dearness Allowance instead of the present rate of 10% from the prospective date of signing the settlement subject to approval of the Govt.
8. All other issues of the Managements and Unions/Associations discussed during the process of negotiation will be settled to the mutual satisfaction.
9. The parties will meet on mutually convenient dates to draw out a detailed Bipartite Settlement/Joint Note on the various issues on which consensus positions have been reached. The parties will endeavor to finalize the Bipartite Settlement /Joint Note within a period of ninety days from the date of this minutes.
Bank Wage Revision PDF Download – Signed Copies
Signed at Mumbai on 22nd July, 2020
FOR MANAGEMENT
FOR WORKMEN UNIONS/OFFICERS’ ASSOCIATIONS
- DA For Bank Employees From Nov 2018 to Jan 2019 November 3, 2018Read more…
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- Dearness Allowance for Workmen and Officer Employees in banks for the months of August, September & October 2018 under X BPS/ Joint Note dated 25.5.2015 August 8, 2018Read more…
- Dearness Relief payable to Pensioners for the period August 2018 to January 2019 August 8, 2018Read more…
- Dearness Relief payable for the period August 2018 to January 2019 to surviving pre 1.1.1986 retirees of banks August 8, 2018Read more…
- United Forum of Bank Unions Latest News May 10, 2018Read more…
- Condemn the Demand of ASSOCHAM to Privatise Banks – Press Release February 25, 2018Read more…
- IBA Invites UFBU for Negotiations on Wage Revision fixed on 21.2.2018 February 13, 2018Read more…
- Wage Negotiation: Negotiating Committee Meeting with Unions/Associations February 13, 2018Read more…
- UFBU writes to Finance Minister regarding Gratuity Ceiling December 12, 2017Read more…
- UFBU MEETING HELD ON 13.11.2017 – AIBEA Circular December 9, 2017Read more…
- Bank Employees DA from Nov 2017 to Jan 2018 November 1, 2017Read more…
- Bank Employees Wage Revision Talks with IBA November 1, 2017Read more…
- BEFI Report – Demonestisation killed 1.5 million jobs October 31, 2017Read more…
- Bank Employees News : 11th Bipartite Settlement – Meeting of the Core Group (Workmen) was held on 6.9.2017 September 12, 2017Read more…
- Launch of work from home facility by State Bank of India (SBI) August 11, 2017Read more…
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Raj Kiran Rai G
Chairman Managing Director & CEO
Union Bank of India
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Bank Karmarchari Sena Mahasangh
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Rakesh Sharma
Managing Director & CEO
IDBI Bank Ltd
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Pallav Mohapatra
Managing Director & CEO
Central Bank of India
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Shyam Srinivasan
Managing Director & CEO
The Federal Bank Ltd
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A K Goel
Managing Director & CEO
UCO Bank
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Alok Kumar Choudhary
Dy MD (HR) & CDO
State Bank of India
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Sunil Mehta
Chief Executive
Indian Banks’ Association
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Gopal Murli Bhagat
Deputy Chief Executive
Indian Banks’ Association
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S Kakkar
Senior Advisor (HR&IR)
Indian Banks’ Association