Tuesday, May 4, 2010 Comments: (0)





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Sunday, May 2, 2010 Comments: (0)
http://10thbipartiteorpaycommission.blogspot.com/p/trade-union-in-banks.html

Pillai Committee in banks

Comments: (0)
Dear Readers,
Those who support pay commision in banks refers the pillai committee recomendation.

What this Committe ?Why it is formed by the Govt.?After committe formation by the Govt ,what happened to the bipartite settlement ?.
Wheather even after pillai comittee formation , the bipartite negotiataion took place?When pillai committee and 2 nd bipartite co exists what happened in the 3 rd bipartite talks?
This is history every present bankmen should know.
I could not find much articles on pillai committee in the web and as for as possible what are the articles found in the web relating to pillai commitee I give link here or reporoduse here for the benifit of readers.
I still searching for any printed material on pillai committe.
Elder bank members can contribute their memories .
Knowledge should be shared. Please contibute.

With regards
SELVAKUMAR
Comments: (0)
Dear Readers,
Those who support pay commision in banks refers the pillai committee recomendation.

What this Committe ?Why it is formed by the Govt.?After committe formation by the Govt ,what happened to the bipartite settlement ?.
Wheather even after pillai comittee formation , the bipartite negotiataion took place?When pillai committee and 2 nd bipartite co exists what happened in the 3 rd bipartite talks?
This is history every present bankmen should know.
I could not find much articles on pillai committee in the web and as for as possible what are the articles found in the web relating to pillai commitee I give link here or reporoduse here for the benifit of readers.
I still searching for any printed material on pillai committe.
Elder bank members can contribute their memories .
Knowledge should be shared. Please contibute.

With regards
SELVAKUMAR
Comments: (0)
Viewers may share topics related to 10 th bipartite or the 10 th bipartite issues connected with 6 th pay commision.No matter other than 10 th bipartite will be disscussed here.

Let us share information with friends.


with regards
SELVAKUMAR
Comments: (0)

Dear Reader,

This post has been taken from

http://paycommissionupdate.blogspot.com and posted by Mr.Balan

The highlighted part of the post has relevance to our disscussion topic .

"10 th Bipartite or Pay Commission like Central Govt, which will you prefer ?"


WHAT NEXT


The dust /heat is slowly receeding and employees started reconciling by blaming the fate and the compulsions of UFBU ,somehow managed the pf optees also to board the PENSION TRAIN at heavy cost in the name of sharing .As CHV has pointed out the actuaries estimation in gap of 6000 crores relates to pf optees only including retirees. Pension regulation 1995 talks about estimation of deficit by actuaries and the gap should be provided for. Initially IBA/UFBU might have thought that this can be recovered from all existing employees and pf retirees. The sudden filing of case at HYDERABAD and legal opinion by some constituent of UFBU might have tilted the equilibrium and suddenly IBA cleverly demanded the entire share from pf optees . Sensing the probable delay if any ,UFBU particularly AIBOC/AIBOA/AIBEA might have accepted ,as the pension option has to be achieved at any cost to save 2.6 lakhs pf optees.

The pension settlement says that all other items other than the agreed areas is as per pension regulation 1995. Since commutation also forms part of the regulations, the retirees under nineth bipartite are assured of higher commutation amount as the old table may be used for computation of the commutation amount. Probably this may be the inside story of the notorious 56% extra recovery from the retirees till the date of settlement.
Earlier because of the urgency in making the VRS scheme 2001 a grand success , the IBA hurriedly approved the draft without deep scrutiny and the pension optees of VRS 2001 scheme got lump sum/pension/plus five years addition. They illegally refused addition. But Supreme court came to the rescue.
Hence IBA does not want to take risk this time and anyway they required 1800 crores whoever pays it.
Let us see how the circulars are going to come and what interpretations /misinterpretations ,the respective overzealous HRD officials of individual banks are making at the time of actual implementation,.

Since almost all may get into the PENSION FOLD barring few thousand employees if any, future sharing by pension optees does not arise as they are expected to provide pension as per the regulation. They may once again estimate and the gap has to be funded by themselves from the profit.They raise the usual story of non absorbing the expenditure for wage revision. I n this area only unions should be cautious. From 01.04.2010 onwards only NPS is going to come and the young blood joining the industry may not be happy if their salary increase is sacrificed for the pension fund. Unions will have same dilemmas and MOF will not as usual yield. HENCE GOING FOR FINANCIAL PAY COMMISSION MAY BE THE BEST CHOICE FROM 01.01.2016 AFTER RECTIFYING THE POSSIBLE ANOMALIES AND THE HUGE GAP CREATED IN THE SALARY LEVELS OF BANK AND VI TH PAY COMMISSSION.
ATLEAST FROM 01.11.2012.HRA SHOULD BE REVISED , INTRODUCTION OF EDUCATION ALLOWANCE ,CONVEYANCE ALLOWANCE ALL AS PER SIXTH PAY COMMISSION. THIS IT SELF WILL BE MORE THAN 40%. INLIEU OF GRADE PAY EITHER PERFOMANCE INCENTIVES OR POST ALLOWANCE SHOULD BE INTRIODUCED. ALL SHOULD BE FROM NON PENSIONABLE AREAS . ENTIRE ALLOCATION SHOULD BE ONLY FOR BRINGING PARITY.INDEX LEVEL SAME BASIC SAME DA RATE SAME. NO PENSION FUND ALLOCATION .

Comments: (0)
Dear Readers,

Please respond to this post.
I have taken this post from http://paycommissionupdate.blogspot.com/2010/04/nbef-signs-negotiation-9th-bps-for.html?showComment=1272801481047#comment-c6339190129186299610 and republish here with an intention to share the views supporting on our topic

"10 th Bipartite or Pay Commission like Central Govt, which will you prefer ?"





Chandan Says :

Bank employees wage increase 17.5% pushed the attraction of a bank job far behind than that of a central government job, while compairing stress & strain involved between these two. Definitely unemployed will join in bank for employment, but not brains as it used to be happened in the days of Eighties & Nineties.One should observe that the so called wage hike every five years in banks have been quite minimal during the past decade or so whereas in central govt. there has been a quantum jump this time. As matters stand today the pay package in central govt. is quite high when compared with similar posts in banks. So naturally people who have other choices in hand will not join banks any more. And one should know that in banks now a days people have to toil hard even beyond ofice hours, that too being loaded with heavy risks all the time. In such a condition the present pay package wil not attract talents into banks.
May 1, 2010 12:12 AM

Read more: http://paycommissionupdate.blogspot.com/2010/04/nbef-signs-negotiation-9th-bps-for.html?showComment=1272801481047#comment-c6339190129186299610#ixzz0msdoGshN

Bank employees wage increase 17.5% pushed the attraction of a bank job far behind than that of a central government job, while compairing stress & strain involved between these two. Definitely unemployed will join in bank for employment, but not brains as it used to be happened in the days of Eighties & Nineties.One should observe that the so called wage hike every five years in banks have been quite minimal during the past decade or so whereas in central govt. there has been a quantum jump this time. As matters stand today the pay package in central govt. is quite high when compared with similar posts in banks. So naturally people who have other choices in hand will not join banks any more. And one should know that in banks now a days people have to toil hard even beyond ofice hours, that too being loaded with heavy risks all the time. In such a condition the present pay package wil not attract talents into banks.

Comments: (1)
Dear Readers
The following is a good article which may leads you to analyse more on the topic ""

"10 th Bipartite or Pay Commission like Central Govt, which will you prefer "

DEGENERATION OF A PSU BANKER



Most PSU banks have seen stupendous growth in business and profits in the last 5 years. Top rung PSU bank like SBI has seen its business grow by over three times and profits growing over five fold. The non performing assets of all these PSU banks have also seen consistent decline. When the global financial world was in turmoil in 2007-08 and even many private sector banks were in deep trouble the PSU banks did reasonably well and public confidence in the banks have increased manifold. The increase in business and profits of these PSU banks have increased workload of the existing employees and all these employees have served their organization without complaining about the volume increase. These employees are posted in the remotest corner of the country and work in most difficult circumstances without any additional compensation.



The long pending demand of the salary revision has recently been resolved with Indian Bankers Association (IBA) with 17.5% hike. However, if we go into the detailed intricacies the actual hike has been about 9% for a Chief Manager and slightly over 9% for Assistant General Managers in State Bank of India. This after the 3 ½ year of negotiation and parleys with the management. This compares poorly with the actual hike given to the Central Government employees and the Public Sector Undertaking and the shortfall is as high as 40% to 50% as compared to the employees of the government in other undertakings.


To protest this settlement majority of the officers in the Senior Management Grade IV & V in Central Office of SBI have resigned from their membership of their Association and this trend is trickling down to the 14 Circles of SBI with many of them joining the protestors against the wage settlement. Joining a PSU bank was a pride for the students who were graduating from Universities, Engineering and Management Institutes in 80s and 90s, however slowly the job has lost its charm with poor salaries and lack of Management vision and poor leadership from the Association and Unions. Today, the job carries a lot of risks, working in the branches till late at night and on holidays with no extra pay and frequent transfers. Employees are transferred twice or thrice during a year and no boarding and lodging expenses are paid by the banks.



People who are enterprising are leaving their job for greener pastures in Private sector banks who reward their knowledge and skills and also care for them. Not even a single bank management appear to be serious in addressing to this issue as their hands are tied in presence of the bureaucrats and it also appear that they are not interested in putting up their case forcefully. Everybody who has some knowledge about this industry is aware that people are leaving this organization due to poor salaries, difficult working conditions, lack of depth in the job and long working hours with no additional compensation. A Chief General Manager who has retired from SBI in 2000 is getting a pension of Rs. 5000/-, under such circumstances who will like to stay in an organization which looks so sound and robust from outside but takes so poor care of its employees. SBI has recently hired Mckinsey to give a report on why people are leaving the organization.



However, the plight of these bankers are not going to improve until and unless something fundamental happens in their salary structure and work environment. The Finance Minister, should also take note of this alarming trend otherwise PSU banks will loose the dynamism and enterprise of its employees and it will be too late as people who are serving the nation and the social sector desire that people who rule the country also take care of them as the Prime Minister did for the employees of the Defence Services or the Supreme Court did in a recent ruling on employee of defence services who was getting hardly any pension.

Article by :Mr. Rajesh Singh

bank v govt

Saturday, May 1, 2010 Comments: (1)

It is being publicized that bank employees got a very good wage hike but the following facts speak adversely:

Comparative salary for April, 2010 payable to govt. employees as per VIth Pay Commission and to bank employees as proposed under 9th Bipartite Settlement between Bank Unions and IBA

(Amt. in Rs.)

Heads

Group A Officers

Govt. of India

(Rs.)

Bank

Officers

(Rs.)

Clerk Govt. of India

(Rs.)

Clerk

Govt./public sector bank

(Rs.)

Group D employee Govt. of India

(Rs.)

Sub-staff in a govt./public sector bank

(Rs.)

Basic Pay

15600

14500

8370

6200

5530

5500

Grade Pay

5400

Nil

2800

nil

1800

Nil

Special Pay

nil

Nil

nil

1000

350

Dearness Allowance

7350 (35%)

5329 (36.75%)

3910 (35%)

2646 (36.75%)

2566

(35%)

2150

(36.75%)

H.R.A.

6300 (30%)

1233 (8.5%)

3351 (30%)

720

(10%)

2199

(30%)

585

(10%)

C.C.A.

Nil

435 (3% Max.540)

Nil

288 (4% max.375)

Nil

234 (4% of B.P. Max.270)

Education Allowance (Rs.1000/= per child max for 2 children)

2000

Nil

2000

Nil

2000

nil

Transport Allowance

4320 (3200+35% DA )

Nil

2160 (1600+35% DA)

225

810 (600+35% DA)

225

Gross Monthly salary

40970

21497

22591

11079

14905

9044

(The above data are indicative)

It is evident from the abovementioned chart that bank employees are getting almost half of salaries being paid to their counterparts in govt. dept. It is also not out of place to mention that many public sector undertaking are even paying more to their employees than govt. employees. It is more painful employees that a bank officer is being paid less than a clerk of govt. and a clerk of bank is being paid less than a group D (peon) employee of central govt. What to talk of a sub-staff (4th class) in banks.

2. It is pertinent to note that a committee for “standardization of Pay Scales, allowances and perquisites of officers in the nationalized banks” known as PILLAI COMMITTEE was constituted which fixed the initial salary of bank officer Rs.700/= per mensem equivalent to initial salary of group A Officers of Central Govt. The recommendations of this Committee were implemented w.e.f. 01.07.1979. Now over a period of three decades the salary of a bank officer is reduced to almost half of the salary paid to Group A officers. The Pillai Committee was duly constituted by the govt. and its recommendations accepted. The govt. is bound to fix initial salary of a bank officer equal to the initial salary of Group A officer in Central Govt.

BENEFITS GIVEN TO CENTRAL GOVT. EMPLOYEES but not available to PUBLIC SECTOR BANK EMPLOYEES

Central govt. employees (as per VI pay commission)

Bank employees

Basic pay has been fixed approx

Old BP + 50% DA x 1.86

Which is around 2.79 times

Approx. 41% (initially increase is 45% later it decreased also). This 41% revision in basic pay also include merger of DA about 32%. Thus only 9% effective increase in basic pay.

Grade pay considered as a part of Basic Pay and attract all allowance

No grade pay

HRA 20%-30%

Officers: 6.5% to 8.5%

Clerks: 7.0 to 10%

No stagnation ( 3% increase every year to all employees on stagnation)

Stagnation (No Annual increment).

Transport Allowance

Officer: 3200 +DA (presently 4320)

Group C: 1600 + DA (presently 2160)

Group D: 600 + DA: (presently 810)

Transport allow. Will increase on every increase of DA which is presently 35%

Officer: Different banks give different meager transport allowance and that too is for official purpose works

Clerk: 225

Sub-staff: 225

(NO DA payable on transport allowance)

Educational Allowance

Rs.1000 per child per month ( Max. for 2 children) from the earlier 50/= p.m.

10 fold increase in hostel subsidy to Rs.3000/= p.m.

No Education Allowance

PENSION:

Govt. pays the entire amount

pension scheme for bank employees is a contributory scheme. Every time a bipartite settlement takes place, a hefty sum is earmarked from the amount offered to existing staff for payment of pension to retired employees.

Pension is revised whenever a new pay commission report is implemented

No revision of pension. Once fixed it will remain same for entire life

Condition of 33 years of service to get full pension is abolished

Full pension is given only on completion of 33 years of service.

Additional pension

On attaining the age

80 yrs 20% addl.

90 yrs 30% addl.

95 yrs 50% addl.

100 yrs 100% addl.

Only pension once fixed

Accumulation of Earned Leave

For 300 days

240 days

Compassionate appointment facility available

Compassionate appointment facility abolished

In pursuance of recommendations of VIth Central Pay Commission, the Govt. of India approved merger of 50% DA into Basic Pay w.e.f. 01.04.2004.

No such benefit made available

VIth Central Pay Commission also recommended 50% merger of DA into basic pay

No benefit proposed

No pre condition imposed on Pay Commission to restrict its recommendations within a certain limit. Pay Commission fixes pay scales scientifically keeping in view the cost of living, medical, housing, health, education etc.

IBA imposes precondition of additional load percentage in advance

Interest on Provident Fund

Rate of interest on EPF of govt. employee is 8.5% whereas many banks have been paying much less to their employees for last few years.

Average Bank employee has not been given increase even equal to Education and Transport Allowance given by Central Govt. to its employees, What to talk about Grade Pay, HRA Basic Pay etc.

Additional Points:

3. Unions are not specifically mandated by existing employees to negotiate salary and enter into a Bipartite settlement. Unions themselves approach govt/IBA and enter into bipartite.

4. It is said that bank employees can not be given benefit of VIth pay Commission recommendations as they get wage settlement every five year whereas pay commission recommendations are implemented once in 10 years. This notion is misconceived. Central Govt. employees get manifold increase in 10 years what a bank employee get in two bi partite settlements. It is evident from the wage difference as shown in the chart above.

5. Retired employees prior to 01.11.2007 were not the members of Unions when 9th Bipartite Settlement became due yet they agreed to pay them pension from the share of existing bank employees without any mandate by the existing employees. IBA agreeing to it is very unfortunate and suggests that it is helping the unions come what may. Pension payment is solely govt. responsibility. Forcing existing employees to share burden of pension is immoral, improper, unjustified & unethical on the part of a welfare state.

6. The pay scales shown for the officers include 4 stagnation increments which will be given after 3 years of service over a period of 12 years. These are not available to all officers. This is just an eye wash. Actual pay scales should be made less by 4 stages from the pay scales publicized by union leaders/IBA.

7. The nominal increase shown in medical aid is also annual & not monthly and moreover is reimbursement against medical expenses.

8. C.C.A. amt. Rs.540/= which was fixed 5 years back will continue for another 5 years meaning thereby Rs.540/= for 10 years.

9. Bank employees have been given about average revision of basic pay to 1.41 times that too after merging about 32% of DA. Against this Basic Pay of Govt. employees have been revised to approx. 279%. which is almost double of what bank employee will get.

10. It is more demotivating for officers that they have been offered same additional load as being given to clerk/sub-staff whereas in case of govt. employees VI th Pay Commission recommended higher salary to officers and accordingly higher grade pay was fixed.

11. Pension to retirees and another option to existing employee has been given at the cost of lacs of such employees who have already opted Pension. In this settlement they are the biggest losers.

12. Though the number of retired leaders participating in the negotiations has not been disclosed, yet it is believed that many retired leaders had been negotiating the bipartite settlement. How could a retired leader take care of the interest of an existing employee. A retired leader is interested in his benefits. That is why pension has been agreed to be paid ;to all retirees after 1995-96 from the share of existing bank employees. Unions are not sharing the details. It is learnt that an understanding has been reached between unions and IBA/Govt. to pay pension arrears to retired employees w.e.f. 01.11.2007. In this way it is estimated that a retired employee would get a huge amount as pension arrears and average pension approx.15000/= p.m. whereas existing employee would get only Rs.1300-5000 average increase (slightly more at higher scales but number of such officers is very low) and few thousand of rupees as arrears. Since many of the leaders have been retired after 1995-96 without opting pension scheme and also that many other participating in this bipartite are going to be retired soon, the union leaders managed pension from the share of existing employees and the govt./IBA agreed to their unjustified demand. We welcome the govt. move to pay pension to retired employees & another pension option to CPF optees but it should not be at the cost of existing employees. Govt. should pay them pension from its own sources as is done in the case of other govt/public sector employees. It it is a great injustice to lacs of those employees who with their fair foresightedness had already opted “pension” but being punished for their wise decision & for no fault of them.

13. Union Leaders are boasting that this is the historic achievement because bank employees were never given such an increase. In fact union leaders are patting themselves. The salary hike given to govt. employees ranges between 40%-60% . Against which bank employees have been given only 17.5%. Out of this 17.5% offered to existing employees, a lions share has been earmarked for paying pension to retired employees.

14. Union leaders are boasting that 2 additional stagnation increments which are to be given after 9 & 12 years have been secured after 1987. If they could not get any improvement for last 23 years, they should be held responsible for it and own entire blame instead of patting their back themselves. They are terming it as their achievement whereas they should know that VIth Pay Commission has abolished the stagnation increments and has ensured yearly hike of 3% every year to all employees on stagnation. More over these increments are not to be given to all employees but to only few of them who have completed 9 & 12 years on service on stagnation. To a rough estimate about 65%-75% employee is on stagnation and do not get any annual increment.

15. Bank employees have been cheated badly in the name of pension. Thousands crore of rupees have been earmarked towards pension & no calculation/data are provided. It may be noted that Many of the bank employees opted pension in the very beginning i.e. 1993-94 when the scheme was first introduced. Later when an option was given to CPF employees to opt pension, a lot of employees opted pension scheme. Pension scheme is also available to new recruitees from 1995. Thus Most of the employees are covered under pension scheme. To pay pension to remaining employees govt. is recovering a huge amount as follows:

a) Bank’s contribution towards C.P.F. from such new optees,

b) offering almost 50% salary to existing employees

c) not revising allowances

d) withholding major share of arrears payable w.e.f. 01.11.2007

e) govt. would be saving further contribution towards PF of such new pension optees (switching from CPF) which other wise was payable to them had they been under CPF scheme.

f) CPF plus 30% additional (as learnt) from already retired employees who avail the opportunity

Thus in the name of pension govt. is collecting thousands crores of rupees from poor bank employees/retirees. This speaks a lot about the conduct of bank leaders and exploitation of bank employees in the hands of signatories. Keeping in view the life expectancy in India, expenditure on a/c of paying pension for remaining length of period to already 15 years back retired employees is not going to be very huge in comparison to amount collected by govt. in the name of pension/pension fund. While reaffirming our contention that pension payment is entirely the responsibility of a welfare state, we also demand publication of the pension load statistics in this regard.

16. Unions never demanded parity with VI Pay Commission. To maintain their supremacy & middlemen-ship & for following reasons besides others, they do not want bank employees to be covered by Central Pay Commission whereas a bank employee wants to be covered by pay commission:

i) In the name of wage revision they push lacs of bank employees to unwarranted politically motivated strikes/bandhs.

ii) On conclusion of a Bipartite settlement the unions and Associations collect roughly approx. Rs.2000/= to Rs.3000/= (this time it could be Rs.5000-10000/=) per employee as levy & given a strength of about 10 lacs of employees the amount is about Rs.200 - Rs.300 crores. That’s why they enter into bi partite settlement twice over a period of 10 years and achieve much less than what Pay Commission offers to Central Govt. employees. Thus they are milking the Bi-partite settlement for Rs.400/= -Rs.600.0 crores over a period of 10 years. This is in addition to what unions collect by way of monthly subscription/membership fee which to a rough estimate comes to approx. Rs.360 crores (60/= p.m. x 10 lac x 12 months x 5 years) over a term of bipartite i.e. 5 years. It is but natural an endeavour to oppose the pay commission. Let the corruption increase, the govt. is happy virtually by giving no increase. Shame on the govt. of a welfare state and the biggest democracy of the globe. When compared with the pay package of international banks, the Indian banks pay least to their employees.

17. Legal Infirmities:

Prima facie this 9th Bipartite Settlement suffers from following legal infirmities, hence a nullity in the eyes of law:

i) Unions/Associations are not mandated by their members. Hence a settlement entered into by them is not binding on members.

ii) Officers Associations are not recognized under labour law hence not legally competent to enter into a bipartite settlement.

iii) Retired Employee are not the members of Unions. Unions do not represent retired employees.

iv) Though the information has not been supplied yet it is believed that many retired leaders were in negotiating team.

v) There is no specific mandate by existing employees to pay pension and pension arrears from their share.

vi) As per Ministry of Finance (MOF) IBA is a voluntary organization, hence it

Cannot enter into a bipartite settlement on behalf of the govt. and bind the govt.

vi. Pillai Committee Report is still in force as not withdrawn/cancelled/repealed by the govt. Hence a Bipartite Settlement for officers cannot attain overriding effect on Pillai Committee.

vii) The settlement is in gross violation of Article 14 & Article 16 of Constitution of India. Article 14 of the Constitution enjoins the State not to deny any person equality before the law or the equal protection of the laws and Article 16 declares that there shall be equality of opportunity for all citizens in matters under the State. Following a different set of rules in paying salary/pension/other benefits to bank employees is in gross violation of the spirit of the constitutional provisions.

viii) “Equal pay for equal work for both men and women” has been accepted as a “constitutional goal” capable of being achieved through constitutional remedies. In Randhir Singh Vs. Union of India Chinnappa Reddy, J. said : (See p.622 para 8: SCR p.304)”

ix) It has been carried out in a non transparent manner. Information sought on Bipartite negotiations/developments/others denied to be supplied by MOF.

x) Lacs of bank employees who have already opted pension feel cheated. Pension to old employees and another option of pension to existing CPF optees is being given at the cost of such employees who are already pension optees.

18. INFORMATION SOUGHT UNDER RTI Act, 2005

Efforts have been made to obtain information regarding Bipartite Settlement , Pillai Committee Pay Commission recommendations and implementation etc. from Ministry of Finance for last 5 months but they denied to supply the information on one or the other pretext. It is strange that on one occasion MOF while enclosing RTI application of applicant requested IBA vide their letter dt. 15.02.2010 to furnish their (IBA) comments on each point raised in the application along with copies of the material asked for but all of a sudden denied to supply the information vide their letter dt. 02.03.2010. Maintaining such a high degree of secrecy about Bipartite Settlement at the cost of the provisions of RTI Act, 2005 is beyond a reasonable understanding.

In reply to information sought, MOF has stated that IBA is not a public authority. It is very strange that IBA which issues instructions/guidelines to banks & it is mandatory on banks part to follow them, the IBA which is a link between banks and govt./RBI, which runs with the funds made available by public sector banks and doing many other public nature work is not a public authority. It gives reasonable apprehension that to curb transparency IBA is not treated as a public authority. Instead of lamenting that IBA is not a public authority, MOF should declare IBA as a public authority as done by sports ministry in declaring all National Sports Federation receiving grant of Rs.10.00 lac or more as public authority u/s 2(h) of the RTI Act, 2005,” (TOI 31.03.2010 Page 9, Lucknow Edition)

19. Banks are finding it very difficult to recruit new staff While advertising new posts/vacancies bank do not publicise salary/pension/Rate of Intt. on PF/other facilities. Because of very low salary and hard working conditions, many candidates who apply for a bank job on coming to know about salary structure either do not appear in the test or not join after being selected or leave after joining. Thus in every recruitment process banks are collecting lacs of rupees from unemployed youth.

20. The abovementioned facts can be verified from MOF/public sector banks/IBA. The allbankingsolutions.com & other websites may also be referred in this connection.

21. This communication is aimed at benignly submitting the truth behind this 9th Bipartite Settlement entered into between bank unions/IBA. A little enquiry/investigation/ survey among general bank employees (not bank leaders), study of Pillai Committee Report, VIth Pay Commission recommendations & service conditions of bank employees would reveal the enormity of injustice being done to bank employees. Everyone with the cause should help in bringing the real picture to the notice of top government authorities/custodians of law and general public.

22. It is not out of place to mention that the benefits of VIth Pay Commission have been extended to various public sector organizations, state govt. employees & others. It has been even extended to those govt. depts. which depend on budgetary support but bank employees are being denied these benefits despite banks earning huge profits. Needless to mention that bank officers work for almost 9-10 hours daily, on Sundays and holidays with no additional compensation. It may also be mentioned that VIth Pay Commission Recommendations were implemented at a time when our economy was reeling under great recessionary pressure & during that time crores of rupees were allocated by the government towards implementing pay commission recommendations.

23. Bank employees should not be left to the mercy of union leaders/IBA. In a welfare state it is the prime duty of the Govt. to ensure that welfare of all citizens is done in a fair, transparent & justified manner.

24 We request you to please look into the plight of bank employees and help them in securing justice & achieving parity with their counter parts in govt./other public sector organizations where VIth Pay Commission Recommendations have been implemented. While considering the genuine legitimate expectations of bank employees please do take cognizance of the contribution of banks and their employees who burnt midnight oil to keep the effects of global recession on our economy to bare minimum & pulled it back from that dark phase successfully. It is the bank employee worked round ‘o’ clock in implementing the Debt Relief & Debt Waiver Scheme for farmers and making it a great success besides standing firm behind every decision of govt. be it MANREGA, Financial inclusion or any other. We should not forget that a demotivated force can’t win a battle.

25. In view of the foregoing we very humbly request you to please examine/investigate the 9th Bipartite Settlement judiciously in light of unions’ keenness to negotiate/sign the settlement without specific mandate, blowing their own trumpet despite lacs of members opposing the settlement, & defending the settlement so ardently as if they are the spokesperson of IBA. Their conduct speaks a lot and answers so many unanswered questions which could crop up in one’s mind that “Why Unions have surrendered before IBA and sold the interest of lacs of bank employees and their family members”. Who knows there might be waiting a different story to hit the head lines. You are request to please place the correct picture before top government authorities, custodians of law and general public and help the poor bank officers/employees in their just and genuine cause. The bank employees should also be covered under pay commission & recommendations (including that of pension as applicable for govt. employees) VIth Pay Commission be also implemented in banks. Bank employee is ready to have a pay commission in 10 years instead of a bipartite settlement in 5 year. . We may also draw your kind attention that salaries of bank officers were fixed in parity with Group A Officers of Central Govt. as per recommendations (implemented w.e.f. 01.07.1979) made by Pillai Committee but despite these recommendations being in force IBA/govt. is entertaining bank officers association to have a negotiated settlement who approached suo-motu without having a mandate of bank officer.

26. We shall be obliged for an urgent action in the matter as union leaders and IBA are reported to be signing this 9th Bipartite Settlement on 15.04.2010.

Thanking you,

With regards

Yours faithfully,

(B.J. Mishra)

Convenor

Encl.: RTI correspondence