Banks 12th BPS Signed, Check salary increment and other benefits

12th Bipartite Settlement: 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.

The management and the Unions / Associations representing the workmen staff and officers, acknowledge the need for a robust banking system which is adaptive to the challenges facing the banking industry and the need ‘to further improve the productivity, efficiency and responsiveness to the needs of the customers and various stake holders. With this commitment, it has been agreed to resolve the pending wage settlement issue and enter into an MoU as under:

Banks 12th Bipartite Settlement Points

#1) The wage revision will be effective from 1.11.2022 for a period of five years.

#2) Annual increase in salary and allowances is agreed at 17 %, of the annual pay slip expenses for FY 2021-22, which works out to Rs. 12,449 crores for all public sector banks including SBI.

#3) The new pay scales will be constructed after merging Dearness Allowance corresponding to 8088 points (average Index point as applicable for the Quarter of July, August and September, 2021) to the basic pay as on 31.10.2022, and adding thereon a loading of 3 %, amounting to Rs 1795 crore.

#4) Distribution of annual wage increase between Workmen and Officers will be worked out separately and proportionately based on breakup of establishment expenses for FY 2021­-22.

#5) Without prejudice to the demand of unions/associations for updation of pension for all retirees, it is also agreed that as a one-time measure applicable for the current bipartite / Joint Note period, monthly ex-gratia amount will be considered along with pension by PSBs to pensioners and family pensioners, who were drawing pension as on 31/10/2022. The applicability of the said ex-gratia for the retirees of the current settlement period will be discussed further. The said ex-gratia amount will not attract any other allowance including dearness allowance.

#6) The parties will meet on mutually convenient dates to draw out a detailed Bipartite parties will endeavor to finalize the Bipartite Settlement /Joint Note within a period of 180 days from the date of this minutes.

#7) IBA has already recommended to the Government for declaration of all Saturdays as holidays under NI Act for Banking industry in line with earlier negotiations with unions /associations and the same will be pursued. The unions/associations urged for implementation of the same before signing of the final bipartite agreement/ joint note.

#8) All other issues of the Managements and Unions/Associations discussed during the process of negotiation including payment of ex-gratia to pensioners and family pensioners of private sector banks and foreign banks will be settled to the mutual satisfaction.

Signing Moments of IBA & Bank Union 12th Bipartite Settlement: