Bank 9th Bipartite :Bank employees may have to wait little more for pay hike

There is always a slip between the cup and lip, as they say. And for nearly 8 lakh officers and employees waiting for their wage hike , the gap may not be bridged in a hurry. This is even as the Indian Banks Association (IBA) and United Forum of Bank Unions (UFBU) have agreed upon a 17.5% wage hike.

But, there seems a devil hiding in the details of the proposed option to join the pension scheme for those who are out of the pension net currently. Issues like accounting for the cost of pension and its cost-sharing arrangement between bank management and employees have cropped up which is delaying the entire negotiation process. The wage revision is due from November 2007.

For starters, IBA and UFBU have now agreed upon a 17.5% wage hike over the establishment expenses of banks as on March 31, 2007. IBA, the body for the bank management, has also in principle agreed to offer the pension option to those who did not opt for it in 1993. Around 2.66 lakh public sector bank employees do not get monthly pension.

Even after agreeing on the second pension, IBA has put fresh conditions. It now wants employees to share a burden for building up the pension corpus. Then, the proposed introduction of New Pension Scheme (NPS) and variable pay are still need to be resolved, said All India Bank Employees Association (AIBEA) president Rajen Nagar. AIBEA is the largest bank union.

Top bankers who are part of the wage negotiation did not want to officially comment at this juncture. Yet, they have confirmed that IBA has agreed in principle to offer the second option for pension.

For the second pension option, banks (barring SBI) will have to shell out an additional Rs 6,000 crore collectively. IBA is also likely to consider pension option for bankers who retired before March 31, 2008 and are out of the purview of pension scheme.

Although, both the parties have in principle agreed to the core issues, some details are yet to be worked out, said State Bank of India’s employee’s association s general secretary for Bengal circle, Shyamal Karmakar. However, this pension issue does not really bother SBI employees who are always entitled to pensions.

However, UFBU -- the umbrella organisation for nine leading bank unions -- is not also comfortable with the IBA s proposal to introduce NPS for bankers joining after April 2010. We want the old pension scheme to continue till October 31, 2012. We have committed that unions will discuss the issue of NPS after this. Mr Nagar said. Incidentally, the ninth bipartite settlement will be valid till October 31, 2012.

We are also against the concept of variable pay. It deteriorates performance rather than improving it, Mr Nagar opined.
Source : Economic Times.

Fixation of pay in case of employees who seek transfer to a lower post under FR 15(a)

F.No. 13/9/2009-Estt(Pay-I)

GOVERNMENT OF INDIA

Ministry of Personnel, Public Grievances & Pensions

Department of Personnel & Training
Esst(Pay-I) Section

North Block, New Delhi-03
dated 21st October, 2009

OFFICE MEMORANDUM

Subject:- Fixation of pay in case of employees who seek transfer to a lower post under FR 15(a) - clarification regarding.

The undersigned is directed to refer to instructions issued vide this Department's OM NO. 16/6/2001-Estt(Pay-I) dated 14.2.2006 on the above subject. It was clarified therein that on transfer to the lower post/scale under FR 15(a), the pay of a Government servant holding a post on regular basis will be fixed at a stage equal to the pay drawn by him in the higher grade. If no such stage is available, the pay will be fixed at the stage next below the pay drawn by him in the higher post and the difference may be granted as personal pay to be absorbed in future increments. If the maximum of the pay scale of the lower post is less than the pay drawn by him in the higher post,his pay may be restricted to the maximum under FR 22(a)(a)3).

2.Consequent upon implementation of the revised pay structure comprising grade pays and running Pay Bands, w.e.f. 1.1.2006 in cases of appointment of Government servants to posts carrying lower Grade Pay under FR 15(a) on their own request, the pay in the pay band of the Government servant will be fixed at a stage equal to the pay in the pay band drawn by him prior to his appointment against the lower post. However, he will be granted grade pay of lower post. Further, in all cases, hewill continue to draw his increments based on his pay in the pay band +grade p(lower).

3. Where transfer to a lower post is made subject to certain terms and conditions then the pay may be fixed according to such terms and conditions.

4. In so far as persons serving in the Indian Audit & Accounts Department are concerned, these orders issue after consultation with the Comptroller & Auditor General of India.

5. This order takes effect from 1.1.2006.

Grant of DR to Provisionsl Pensioners or 5th CPC Pensioners

F.No.42/12/2009-P&PW(G)

GOVERNMENT OF INDIA

Ministry of Personnel, Public Grievances & Pensions

Department of Pension & Pensioners' Welfare

3rd Floor, Lok Nayak Bhawan,
Khan Market,New Delhi-03
DAted : 22nd October, 2009

OFFICE MEMORANDUM

Subject:- Grant of. Dearness Relief to Central Government pensioners who are in receipt of Provisional Pension or pension in the pre revised scales of 5th CPC - w.e.f. 1.7.2008 and 1.1.2009.

In continuation to this Department's OMs No. 42/2/2008-P&PW(G) dated 12th September, 2008 and 25th September, 2008 sanctioning the installment of DR admissible from 1.7.2008 and this Department's OM No.42/12/2009-P&PW(G) dated 27th March, 2009 sanctioning the installment of DR admissible w.e.f. 1.1.2009 the undersigned is directed to say that the President is pleased to grant the DR to those Central Government pensioners who are in receipt of Provisional Pension or pension in the pre-revised scales of 5thCPC at the rate of 54% w.e.f. 1.7.2008 and @ 64% w.e.f. 1.1.2009.

2. The other terms and conditions of this Department's OM dated 12.9.2008 and 27.3.2009 remain unchanged.

3. In their application to pensioners/family pensioners belonging to Indian Audit & Accounts Department, these orders are issued in consultation with C&AG.

4. This issues with the concurrence of Ministry of Finance, Department of Expenditure vide their UO No. 350/EV/09 dated 12.10.2009.