By delaying the settlement, how much Bank managements saved?

In my post dt.25.06.2012/03.10.2012  

 “10^th Bipartite and my suggestions”

( it is available in my blog)

I mentioned that

“9.Ad hoc payment: Every settlement takes two to three years to come to a conclusion. For example 9 th bipartite took 30 months. Employees got arrears for 30 months. In this process employees are loosing and Banks are benefited by crore and crore  of rupees.
Hence an ad hoc payment, say 15% towards salary increase may be demanded at the first negotiation itself.”

But, UFBU has never raised this demand at any stage.

By delaying the settlement, how much Bank managements saved?

I tried to calculate the amount.

Average Salary (gross in pay slip) of an employee (award staff +officers)

 is assumed =Rs.40000

Increase in percentage is=12.5%

Then increase per month =Rs.5000

AIBEA CIRCULAR LETTER dt.25th January, 2015
(important portion only)

AIBEA CC calls for cautious but decisive approach to clinch 10th Bipartite wage revision settlement.
The CC noted that while the present offer of 12.5 % amounted to
Rs. 3940 crores towards Payslip components ( as against Rs. 2980 crores achieved in the 9th BPS ), the same is far from adequate and hence there has to be substantial improvement in the offer of IBA before we could clinch the deal. .....

the CC decided that we have to move cautiously, but act decisively so that no derailment takes place in the negotiations.....

Revised Medical Reimbursement Scheme: In the meeting on reimbursement of medical expenses, it has been agreed to introduce a revised scheme by which employees would get full reimbursement of the medical expenses incurred by them without the existing ceilings, sub-limits and other restrictions which result in employees going out of pocket. The Scheme would incorporate and consist of various improvements also. ........

Discussions on service conditions of workmen employees: In the Sub-Committee meeting held on 19-1-2015, participated by all the 5 workmen unions, all the demands of workmen unions as raised in the common Charter of Demands were taken up for discussion.

From: PRADIP BISWAS 
To: Sent: Saturday, 24 January 2015 10:28 PM 
 Subject: BEFI'S POSITION ON FOUR DAYS STRIKE 
 Dear Comrades, We are receiving lot of queries form various centres as to 
what was our stand relating to four days strike that was to take place 
on 21-24th January, 2015. 
 In the UFBU meeting in Mumbai, held on 19th instant, the undersigned 
and Com. GMV Nayak were present. 
Going by the sitting order, Chairman of the meeting first asked us to give our opinion 
after initial presentation by Com. Convenor.

Is UFBU still united?

Is unity is For “prosper”

               For “survival”

               For “destruction”?

********************************

UFBU’s circular on cancellation:

“In the background of the assurance given by IBA towards expeditious wage settlement and also considering the positive developments since the conciliation meeting held on 5^th January 2015, it was unanimously decided by the UFBU to put on hold the Four days’ continuous strike from 21^st to 24^th January 2015.”

If UFBU was satisfied with developments after 5^th meeting ,

What is the necessity for UFBU to write to IBA on 13.01.2015 and 16.01.2015

demanding a meeting before 21.01.2015?

What is necessity to write letter informing strike will be continued if no meeting is arranged?

There is no mention about When IBA assured to settle the issues

in the first week of FEB 2015.

Apart from the letter dt.13.01.2015 .

(wherein IBA said it will arrange meeting in the first week of Feb and

close the entire process by mid Feb only)

Even after this letter UFBU has again written letter for arranging meeting.

Already I have posted one article written by Com. G.V. Manimaran in my facebook/blog.

on January 7. After I read the news of his opting out from Negotiating committee,

I visited his facebook account.

I happened to read one article which covers all the subjects of banking service conditions
Which every young employee and Officers should read and understand before commending.

Since he belong to Officers Association , he is more concerned about officers service conditions.
but all clerks should also read it for updating your understandings.

One may not accept 100% of his writings but definitely it is subject for discussion,
(I have edited his article with sub titles and made it to several paragraphs for easy and fast reading)

Process of Wage negations in Banks:

Regarding wage revision, since so many confusions are going on I have decided to attempt
to bring it to the knowledge of our cadres as much information as possible.

Current wage revision is tenth one in row and nine settlements were already completed
through the negotiations between trade unions and the Management as the the sector is
conducting its activities under companies act and three stake are involved
viz., Management, workforce and share holders unlike the Govt. Set up.

In the Govt. setup the entire salary package is announced unilaterally and the entire salary package is uniform to all irrespective of the performance & productivity of the department and the total emoluments is announced without giving scope for giving any thing outside the purview of the wage revision.

But, in the banking sector, every five years wage is settled through a negotiation process
and important ingredients of wage like Basic pay, DA, HRA, CCA and pension related issues are settled in the industry, leaving the scope for settling various perks and benefits outside the purview of the wage settlement by the individual banks.

Unions Role:

Com.G.V. Manimaran,
senior VicePresident,AIBOC,
(Also G.S./Canara Bank Officers Association)
Has resigned from negotiating committee on wage revision,
to show his dissatisfaction ,over the way the strike was cancelled.
He has confirmed the news in his FB page.
*********
He writes.....
Dear friends,
I have seen many reactions from our members and well wishers about my decision of keeping my self away from the AIBOC NEGOTIATING TEAM.
Believe me friends, I have not done so to project me a martyr or a rebel, but, it is the time to ventilate my feelings.

9.00 P.M. news…..

UFBU decides:
 4 days strike put on hold     
As IBA assured to resolve issues in next meeting 
to be held in first week of Feb ,I
f issues are not resolved  
again fresh strike notice for 4 days strike 
at the end of feb 2015 

Vishwas utagi 
Vice President AIBEA.

Similar news came from other unions also.

It is said in the above message that 
“IBA assured to resolve issues in next meeting”

When assured? Today?
If so, Whether any meeting took place between IBA and UFBU today?
Any intervention by Lanour commissioner?
Then, who are all participated?
What is details of discussion?
Any improvement in offer?
Under what terms IBA will resolve the issue?

AIBOC  Circular No. 2015/07 Dated: 17/01/2015

(gIst only)

TO GENERAL SECRETARIES OF ALL AFFILIATES/STATE SECRETARIES

Dear Comrades,

OUR FOUR DAYS STRIKE CALL FROM 21ST TO 24TH JANUARY, 2015
LET US PUT OUR PLANS AND PROGRAMMES IN PLACE

……..UFBU now feels that there appears no intention of IBA to have any negotiations before the scheduled strike and has called a meeting on 19th January, 2015, to review the present position to make the strike a grand success and also to decide the future course of action.

Comrades, since the time left at our disposal will be very short and we know that all our members are eagerly waiting for the action programmes declared by UFBU, we call upon you all to be in all preparedness and meanwhile, suggest some of the following actions for our Affiliates and State Units:

Hold emergency State Committee Meetings to brief about the developments so far,
A fast communication channel should be evolved so that the message about the UFBU’s decision on 19th January is percolated down to the cadre in the fastest mode,

BEFI written letter to UFBU to go ahead
with strike from 21St January 2015.
Now it is explicit that AIBOC&BEFI are ready for strike.
What about other unions?
*********************************************

Why bank employees want 5day/week banking?
AIBOC explained in the sub-group meeting with IBA on 14.01.2015.
********************
FIVE DAY BANKING:
The discussion was based on the following arguments and facts put forth by us in support of demand:

1. Central Govt. Employees work for five days.

2. Majority of State Govt. employees work for five days.

3. RBI works for five days.

4. IT sector works for five days with sole aim to retain and recoup the energy despite their nature of work having the scope to work continuously.

5. No financial institution,internationally, work on Saturdays.

UFBU has again written to IBA demanding full negotiation immediately 
& indicating that Strike from 21st still stands. 
UFBU meets on 19th for final decision.

UFBU meeting will be held on 19th January 
at 5.00 pm in Mumbai to take stock of the situation, 
decide on steps to be taken to make the scheduled strike action 
from 21st to 24th January a grand success
and to chalk out future course of action. 
Notice follows. 
Murali, Convenor, UFBU

As IBA has not kept it's promise to hold meeting
AIBOC urge UFBU to go/prepare for strike
From 21.01.2015

BEFI circular dr.13.01.2015 says……………..

Our Central Committee (CC), as per schedule, met at Nagpur on 10th and 11th instant.

………….extended thanks to Com. T. K. Rangarajan and Com. Tapan Sen, respectively the

Vice President and the General Secretary of CITU, for taking initiative to talk with the

Hon’ble Finance Minister during the last winter session of the Parliament and urging

upon him for intervention to avoid further unrest in the industry.

An idea is being aired among the bank employees that 11% increase on pay slip

component is closure to 17.5% increase that we got last time. On this we have to make

it clear that even IBA has put it on record that 11% increase

AIBOC clarifies............

 It could have been understood unambig uously from   our Circular No. 2015/02 dated 8/01/15 that: 

1) 12.5 % was not final. 
1) 4 days strike scheduled on 21/01/15 to 24/01/15 is not deferred. 

Nevertheless, we are receiving constant enquiries from our cadres and members besides few rumours on the issues of final wage settlement and proposed strike action scheduled for 21/01/15 to 24/01/15. With a view to quell all rumours, misunderstandings and also to invite all the cadres to be in readiness to pursue our agitation, we reiterate that: 

a) 12.5 % is not final and our endeavour to impress the IBA is on to improve their offer to meet the expectation of the Bank Employees and Officers. 
b) Our strike action scheduled from 21/01/15 to 24/01/15 will be carried out as planned, if IBA does not initiate immediate steps to raise their offer to meet the genuine demands and aspirations of the Bank Officers and Employees. 

	9TH B.P.S  Rs. Cr.	10TH B.P.S. Rs.Cr.
CLERK TOTAL EXPENDITURE	14725	NOT AVAILABLE
OFFICER TOTAL EXPENDITURE	12794	NOT AVAILABLE
TOTAL	27519	56292
AMOUNT OF INCREASE AT 17.5%
CLERK	2577	TO BE DECIDED
OFFICER	2239	TO BE DECIDED
TOTAL	4816
AMOUNT ALLOTED FOR PAYSLIP	2834	(OFFERED )       3938
AS A % TO TOAL EXPENDITURE	10.3	6.99
Amount offered should be raised to atleast Rs.5802 Cr. to match 9th B.P.S
i.e  a minimum of 18.5% on payslip is equal to 9th B.P.S. increase.
Considering work load/culture , CBS environment/risk
shortage of manpower etc., we should get more than what was given last time.
But, What is going on?
* In 2007 award staff number is more than Officers.
* Now Officers number is almost equal/more than to award staff
* In 2007  D.A merger %=100+24.66=124.66
* In 2012  D.A merger %=100+60.15=160.15
(because of unprecedent inflation rate)   compiled by "Indian Bank Kumar"

text of UFBU Circular No. 2015/43

 text of UFBU Circular No. 2015/43  on negotiation dt. 6&7.01.2015………………

( shorter version)

Bipartite Meeting with IBA on 6th January 2015:

,,,,,,,,,,,,,,,,Subsequent to prolonged discussions, arguments and deliberations for more than 3 hours, the IBA agreed to improve their earlier offer of 11% increase (Rs. 3465 crores) to

12.5 % increase ( Rs. 3938 crores ) in Payslip components. 

With the view to pave the way for arriving at a mutually acceptable level through further discussions, UFBU agreed to revise its demand to 19.5%. 

UFBU, however, clearly informed the IBA that their revised offer of 12.5% is quite inadequate and has substantially to be improved further..  

IBA informed us that they are willing to negotiate and improve the offer

from 12.5% during further discussions.

Strike on 7th January 2015 deferred:
In view of this positive development, UFBU decided to defer the All India One Day Strike action on 7th January 2015. 
It was mutually agreed to continue the negotiations further on 7th January, 2015.

Bipartite Meeting with IBA on 7th January 2015:
In the bipartite discussions continued with the IBA on 7th January 2015, we insisted that IBA should further enhance their offer from 12.5% and also reach conclusion of reasonable settlement within short time-frame.
 IBA informed us that they would also like to continue the discussions at regular and frequent intervals to ensure completion of the entire process by middle of February, 2015. 
IBA, however, informed that they need some time for discussion amongst themselves on
the revised offer of increase and wanted UFBU also to revise its demand to reach a mutually acceptable position. 

Regarding other important issues raised by UFBU,

Today talk outcome;
Discussions continued today with IBA. UFBU insisted on further increase over 12.5%. IBA wanted some more time. Sub committees formed to deal with other issues like medical scheme, 5day banking, regulated working hours, pension issue etc. Next meeting to be fixed soon.

Com.MANIMARAN,CanaraBank Officers Association(AIBOC)
General secretary/VicePresident-AIBOC expressed his views on talks today in Facebook:

It is really unfortunate that the negotiators from IBA failed to understand the emotions and sentiments of the workforce. They also did not try to employ the very principle of the wage revision exercise that it should encourage the beneficiaries to rededicate their labour to the institutions. They may claim success in fixing lesser remuneration than expected with the help of few but how they are going to succeed in drawing the Indian talents towards the banking sector and how they are going to develop the Indian banks to global standards.

Operation may be success and surgeons may claim it is a victory but the patient is dying.

IBA has comeup to 12.5% ,

talks to continue tomorrow.

Proposed strike on 7th deferred.

----BEFI news

************************************

Deccan chronicle 

Tuesday, Jan 06, 2015 | Last Update : 

Home » Business » LATEST

Bank unions defer proposed strike on January 7

PTI | January 06, 2015, 19.01 pm IST

New Delhi: Public sector bank employee unions have defered their one-day strike, proposed for January 7, while negotiations will continue tomorrow with the management representatives on wage hike and other issues. 

Bank unions have deferred the strike as Indian Banks Association (IBA) improved the offer to 12.5 per cent from 11 per cent, said United Forum of Bank Unions (UFBU) Convener, M V Murali. The UFBU is the umbrella organisation of nine bank employees and officer unions. All India Bank Employees Association General Secretary C H Venkatachalam said negotiations would continue tomorrow as the unions have not agreed to the improved offer. 

"We will continue to negotiate for further improvement in the wage revision with the IBA,"

Outcome of today's conciliation meeting ;
In the conciliation meeting held today
by CLC at Delhi,
IBA said it would hold negotiations with UFBU tomorrow at Mumbai
to find amicable solution.
UFBU agreed to attend the meeting.
Further course of action depends on the outcome of tomorrow's meeting with IBA.
Strike on 07 01 2015 stands.

Well done AIBOC!

AIBOC has written letters to Honourable P.M/F.M/Governor, RBI/Secretary Ministry of Finance,
Explaining issues of today’s banking sector as well as issue of Bank/Employees/Officers
At an appropriate time.(Gyan Sangam)

Further AIBOC has given advertisements in leading English news papers
With the heading of “An appeal to PM” detalling the issues (shorter version)

This advertisement brings the issues of Banks/Bank officers/employees to the general public.
Perhaps this is the first time a bank union interacts with the public thro ads.

Following is the Note sent :
***************************************************************

Scheme on appointments on compassionate ground:

Scheme on appointments on compassionate ground:

Recently, the Government has issued a clarification to all the Banks as under by which, an option would be available to the eligible family to opt for employment in the Bank or to receive ex-gratia lumpsum.

F.No.18/2/2013-IR  Government of India  Ministry of Finance, Department of Financial Services
Dated the December 5, 2014 

.........it has now been decided that all Public Sector Banks can have both the options i.e. compassionate appointment or payment of lumpsum exgratia amount. However, any of these two options can be used  only when the other conditions of compassionate appointment are met.
This has the approval of Finance Minister.
 Yours faithfully,
Sd/  (Manish Kumar)
Under Secretary to the Govt. of India
*********************************************************************
Impact: