There is a big news regarding the new PLI Scheme for Senior officers introduced by Banks. A few days back, UFBU had written a letter to IBA to ask Banks to postpone the implementation of new PLI Scheme. Now the Chief Labour Commissioner has issued an order to IBA and ordered IBA to ask Banks to put the new PLI Scheme on hold. Bank Employees say that the new PLI Scheme is discriminatory. Scale 1, Scale 2 and Scale 3 Officers will get normal PLI but Scale IV and above officers will get almost double salary.
- Scale IV officers can get 70% of their annual basic pay (approximately ₹11.75 lakh per year).
- Scale V and VI officers can get 80% of their annual basic pay (approximately ₹14.40 lakh per year).
- Scale VII officers can get 90% of their annual basic pay (approximately ₹22.50 lakh per year).
PLI Ceiling for Each Category of Employees in Public Sector Banks
| Grade | PLI Ceiling as % of Annual Basic Pay |
|---|---|
| EDs and MDs of Nationalised Banks, DMDs, MDs, and Chairman of SBI | 100% |
| Scale VII and Scale VIII | 90% |
| Scale V and Scale VI | 80% |
| Scale IV | 70% |
What CLC said to IBA?
Please refer to the letter No. Nil dated 26.03.2025 of UFBU addressed to you, endorsing a copy thereof to this office along with others in connection with conciliation proceedings dated 18th and 21st March 2025 in File No. 21(17)/2025-IR of CLC(C). The contents of the letter of UFBU are self-explanatory.
In this respect, your kind attention is drawn towards the text, content, and spirit of conciliation proceedings dated 21.03.2025, and you are requested to take appropriate action immediately under intimation to this office and cooperate in maintaining smooth and cordial industrial relations in the concerned industry.
What UFBU had said to IBA?
United Forum of Bank Unions (UFBU) comprising of various Bank Unions (AIBEA – AIBOC – NCBE – AIBOA – BEFI – INBEF – INBOC – NOBW – NOBO) had issued following letter on 26.03.2025 to IBA.
Dear Sir,
We wish to bring to your kind attention that during the conciliation meetings held in the office of the Chief Labour Commissioner (Central) on 18th and 21st March 2025, following the strike notice served by UFBU on 5th March 2025, certain understandings were reached between the parties involved, i.e., IBA, DFS, and UFBU. The minutes of these meetings were subsequently shared.
This is in light of the consensus reached during the 21st March 2025 meeting before the CLC(C), where it was mutually agreed that the IBA would gather inputs from its member banks and submit recommendations to the DFS for a review of the proposed scheme.
It is noteworthy that some banks, such as SBI, Canara Bank, and PNB, have already issued circulars in line with DFS guidelines for the implementation of performance appraisal and PLI schemes for Scale IV and above officials.
It is also pertinent to highlight that performance appraisals conducted at the close of the current financial year based on the guidelines of the DFS will have significant implications on the career progression of around 40,000 officers in the industry. Implementation of appraisal mechanisms based on the DFS guidelines, without broader consensus, could also adversely affect promotional prospects both presently and in the future.
In view of the above and considering the urgency of the issue, we kindly request you to issue an advisory to member banks to temporarily defer/hold the implementation of the appraisal and PLI policy as per DFS guidelines until DFS is able to review their guidelines.
Additionally, we would also like to urge you to initiate the process in consultation with the member banks and recommend to DFS for a review of the proposed scheme, in line with the understanding reached on 21st March 2025.
