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The All India Bank Employees’ Association (AIBEA) has requested its State Federations and unions to celebrate diamond jubilee of bipartite settlements in the banking sector.
The first Bipartite Settlement in the banking industry was signed 60 years ago i.e. on October 19, 1966.
AIBEA’s Formation and the Struggle for Workers’ Rights
AIBEA was formed in 1946, when bank managements were largely opposed to the formation of trade unions. Several attempts to establish unions were stopped by bank managements, and employees involved in organising unions faced hostile and vindictive actions, including victimisation.
After its formation, AIBEA raised various demands before bank managements and the Indian Banks’ Association (IBA). However, managements were initially unwilling to negotiate with the association or settle employees’ demands. As a result, several disputes were referred to third-party tribunals such as Sen Tribunal, Sastry Tribunal, Labour Appellate Tribunal and Desai Tribunal.
But the awards passed by these tribunals did not adequately address employees’ demands. The Sastry Award even reduced the wages of bank employees.
The process of taking employees’ demands before tribunals continued from 1949 to 1964, lasting around 15 years. This period was a difficult experience for bank employees and their representatives.
First Bipartite Settlement Signed in 1966
The experience of tribunal-based dispute resolution led AIBEA to demand a different system. At its 13th Conference, held in Trivandrum in 1964, the association’s leaders, Com. Prabhat Kar and Com. H. L. Parvana, gave the slogan, “No more Tribunals, We demand Bipartite Settlement.”
AIBEA continued its struggle for this demand and achieved the first industry-level bipartite settlement in the country on October 19, 1966. According to the association, this was the first such settlement at the industry level in any sector in India.
The agreement marked an important change in the way employees’ demands were addressed. It established a system in which bank employees’ representatives and bank managements could negotiate and reach agreements through bilateral discussions.
Twelve Bipartite Wage Settlements Achieved So Far
60 years of bipartism have resulted in 12 successive Bipartite Wage Revision Settlements, along with a historic pension settlement and several other agreements covering different employee-related issues.
| Settlement or agreement | Date |
|---|---|
| 1st Bipartite Settlement | October 19, 1966 |
| 2nd Bipartite Settlement | October 12, 1970 |
| Supplementary Settlement | July 23, 1971 |
| Settlement on Other Issues | November 8, 1973 |
| 3rd Bipartite Settlement | August 1, 1979 |
| Settlement on Other Issues | October 31, 1979 |
| Settlement for B/C Class Banks | November 22, 1979 |
| Settlement for J&K Bank and KVB | November 22, 1979 |
| Settlement for Exchange Banks | November 22, 1979 |
| Settlement on Certain Important Issues | April 21, 1980 |
| Computer Settlement-I | September 8, 1983 |
| Settlement on Other Issues | September 8, 1983 |
| 4th Bipartite Settlement | September 17, 1984 |
| Settlement on B Class Banks | February 28, 1985 |
| Settlement on Other Issues | January 5, 1987 |
| Computer (ALPM) Settlement-II | March 29, 1987 |
| 5th Bipartite Settlement | April 10, 1989 |
| Computer Settlement-III | April 10, 1989 |
| Settlement on B Class Banks | February 3, 1990 |
| Supplementary Settlement | June 29, 1990 |
| Settlement on B Class Banks | October 13, 1990 |
| Settlement on Other Issues | July 16, 1991 |
| Computer Settlement-IV | October 29, 1993 |
| Historic Pension Settlement | October 29, 1993 |
| 6th Bipartite Settlement | February 14, 1995 |
| Relativity Settlement | December 14, 1996 |
| Settlement on Other Issues | November 28, 1997 |
| 7th Bipartite Settlement | March 27, 2000 |
| Disciplinary Action and Disciplinary Procedure | April 10, 2002 |
| 8th Bipartite Settlement | June 2, 2005 |
| Record Note on Pension | June 22, 2005 |
| 9th Bipartite Settlement | April 27, 2010 |
| Pension Option Settlement | April 27, 2010 |
| 10th Bipartite Settlement | May 27, 2015 |
| 11th Bipartite Settlement | November 11, 2020 |
| 12th Bipartite Settlement | March 8, 2024 |
AIBEA said it is the only union that has signed all 12 Bipartite Settlements as well as the other settlements listed in the circular.
How Bank Employees’ Pay Scales Have Changed
| Bipartite Settlement | Year | Subordinate staff | Clerks |
|---|---|---|---|
| 1st BPS | 1966 | ₹92–145 | ₹154–460 |
| 2nd BPS | 1970 | ₹116–200 | ₹170–550 |
| 3rd BPS | 1979 | ₹245–455 | ₹325–1,040 |
| 4th BPS | 1984 | ₹430–850 | ₹520–1,850 |
| 5th BPS | 1989 | ₹815–1,670 | ₹900–3,220 |
| 6th BPS | 1995 | ₹1,600–3,420 | ₹1,750–6,420 |
| 7th BPS | 2000 | ₹2,750–5,850 | ₹3,020–10,880 |
| 8th BPS | 2005 | ₹4,060–9,180 | ₹4,410–16,570 |
| 9th BPS | 2010 | ₹5,850–14,150 | ₹7,200–24,900 |
| 10th BPS | 2015 | ₹9,560–23,785 | ₹11,765–42,020 |
| 11th BPS | 2020 | ₹14,500–37,145 | ₹17,900–65,830 |
| 12th BPS | 2024 | ₹19,500–52,610 | ₹24,050–93,960 |
Meetings to Be Organised Between October 15 and November 10
To mark the Diamond Jubilee of bipartism, AIBEA has called upon all its State Federations and unions to organise meetings between October 15 and November 10, 2026.
The meetings are intended to celebrate the 60 years of bipartite settlements and highlight AIBEA’s role in securing collective bargaining rights for bank employees.
