11th Bipartite Wage Settlement current status of Bank employees –  Though the world is suffering due to coronavirus updates, the salary settlement of the bank employees are also under moratorium. The time frame of the moratorium period is not yet defined. The wage settlement of the bank employees are pending since 1st Nov 2017.

The United Forum of Bank Unions (UFBU), which is an umbrella body of 9 Bank unions AIBEA, AIBOC, NCBE, AIBOA, BEFI, INBEF, INBOC, NOBW and NOBO. The UFBU is negotiating the salary settlement on behalf of 1 million bank employees with the Indian Banks’ Association (IBA).

In the last few months, the bank employees has not heard a single world from their very own UFBU. The last communication was shared on 16th of March 2020.

11th Bipartite Status & Updates

What have we achieved in the previous three years of salary negotiation ? Lot of discussion,lot of talks and much more but no conclusion. Bankers are still awaiting the penny to be credited to their account.

What was the last discussion with IBA ?

The last round of the discussion was held in the month of march 2020 and IBA agreed on some of the demands of the bankers :

1. The Indian Banks’ Association (IBA) had agreed to a 15% wage hike
2. The IBA also agreed to take into consideration the provision for 5-day banking and getting more employees on board.
3. the IBA will also consider the option of allowing 5-day banking and the encashment of 5-day privilege leave.
4. The IBA has also agreed to look into the issue of more recruitment and improving family pension.
5. They also claim that increasing work pressure due to the lack of manpower has led to over 100 incidents of bank officers committing suicides.

Out of all these,none of the monetary demands were accepted by the IBA . The mere 15% hike which was accepted by the IBA, offered  by them 3 years ago. If UFBU had to agree on the same 15% hike, why did they waste three years in discussion.

Read – Opinion – Do three years and five strikes, justify the salary hike of 15% ?

Benefit of going on strike

Previously bankers went on strike a number of time in previous three years with all the reasons except the salary hike and early settlement of the 11th Bipartite Wage Revision. This shows the seriousness of the bankers towards their own benefit. Once the bankers participate in the strike for the cause of minimum salary fixation of central government employees.

As expected all these strikes doesn’t gather much momentum rather saw the public empathy towards common bankers.

What is Bipartitesettlement ?

Bipartitesettlement is the understanding between the Government of India with Banker’s Union for settlement of their salary in defined time frame i.e. 5 years. The settlement takes place between Indian Banks’ Association (IBA) and United Forum of Bank Unions (UFBU). IBA is representing bank managements while United UFBU is representing officers, employees, and staff organizations.

What are the demands of 11th Bipartite Settlement ?

The list of demands by Bank employees for settlement with IBA. The charter of demands is considerably larger in volume and providing all the reason to hike. Majorily the demands are related to hike in salary with 5 days banking.

Outcome of the 11th Bipartitesettlement

1. Introduction of variable pay
2. Improvement in Pay scale: Revision of Basic Pay by merger of D.A. payable at the average index for the quarter July-September 2017.   
3. Better Gratuity: There is demand of removal of ceiling on gratuity under the Gratuity Act.  Last drawn ‘Pay’ or 12 months average Pay, whichever is higher, should be taken for computation of Gratuity.
4. earness Allowance (DA): DA to be paid based on CPI (2001=100) Index Series instead of CPI (1960=100) Series.  It should revise on monthly variation in Index.
5. Children education Allowance: There is demand to be paid Education Allowance  to all employees (Maximu 2 children)

Why Delay in Settlement of the 11th BPS ?

Historically, the bipartite settlement never agreed on time. 8th Bipartitesettlement was delayed by 32 months where as the most early settlement was 1st bipartite which was delayed by nine months. This itself shows the seriousness of the bipartitesettlement.  The first bipartite itself was delayed.

Here is the table showing the previous delays in the regulation of various Bipartite Settlements: