BEFI oppose IBA

Regarding 6th stagnation and 8th stagnation increments:

IBA has issued a clarification regarding the above subject last week.
i.e those who got 6th increment on or after 01.11.2012 will be getting their 7th and 8th stagnation increments on revised dates.
However financial benefit will be from 01.05.2015 only.

Yesterday AIBEA has issued a circular endorsing IBA circular with examples and explanations.

BEFI issued a circular dt. 24.06.2015 objecting IBA circular and said it is a deviation from what was said in 10th B.P.S.

Why UBFU has not issued any circular in this issue?

All about NPS scheme!!

In continuation of my post dt.30.05.2015
 I have collected information from various websites including NSDL,PFRDA,
Tax consultants, Blogs and give below all aspects of NPS scheme for new Bank Employees
joined on or after 01.04.2010.

Details of National Pension Scheme (NPS)

NPS (National Pension System) is a defined contribution based Pension Scheme launched by Government of India .

It is applicable to Bank Employees who joined Banking industry on or after 01.04.2010.

It is based on a unique Permanent Retirement Account Number (PRAN) which is allotted to each Subscriber upon joining NPS.
PFRDA has now launched a separate model to provide NPS to the employees of corporate entities, including PSUs (including Banks). This model is titled "NPS - Corporate Sector Model".

On successful registration, a PRAN (Permanent Retirement Account Number) will be allotted to the subscriber. A PRAN Kit containing PRAN card, Subscriber details (referred as Subscriber Master List) and an information booklet is sent to the subscriber's registered address. The T-Pin and I-Pin are sent separately to the registered address. In case of the Corporate Sector subscriber, the PRAN Kit alongwith T-PIN & I-PIN will either be sent to the subscriber's registered address or at the Corproate Head Office as per the option selected by the Corporate.

The PRAN Card is a document with PRAN, subscriber's name, father's name, photograph and signature/thumb impression.

NPS Account Information:

The NPS Scheme offers 2 types of account

1. Tier I account – it is also known as Pension Account. Withdrawal from this account is restricted till the Subscriber attains the age 60 years. Minimum yearly contribution requirement in this account is Rs.6000.
2. Tier II account – it is a normal investment account. Withdrawal from this account can be done as per the need of the Subscriber. Minimum yearly contribution requirement in this account is Rs.250 however on 31st March of each year total value of units in this account should be equal to or more than Rs.2000

An active Tier I account is mandatory for opening Tier II account. Tier II account can be opened along with Tier I account or at any time after Tier I account opening.

Fund options:

NPS gives Subscribers option to invest according to their choice and risk appetite among three funds. Three funds under NPS are

1. Equity (Asset Class E)
2. Corporate Bonds (Asset Class C)
3. Government Securities (Asset Class G)

Subscriber can switch the asset allocation once in a financial year.

Investment Options:

Depending on the expertise on taking call on right asset mix, Subscribers have 2 investment options under NPS

1. Active Choice – Under this option, subscriber can select the asset allocation among Equity, Corporate Bonds and Government Securities as per his / her choice.
2. Auto Choice – Under this option, fraction of funds invested across three asset classes is determined by a pre – defined portfolio which will be based on the age of the Subscriber. This is also known as Life Cycle Fund option.

Tax Implication of NPS:

Improvement in Wages-AIBEA EXPLAINS!

AIBEA Circular No.27/112/2015/23, dtd 22.06.2015 - Improvement in Wages

Dear Comrades,

Improvement in Wages

All our units and members are aware that ever since its formation in 1946, AIBEA has been endeavoring to improve the wages and service conditions of bank employees.  From 1946 to 1966, for 20 years, AIBEA was fighting before the Courts and Tribunal’s to improve the wages.  As a unique and great achievement, AIBEA secured bipartism and the 1^st Bipartite Settlement was signed in 1966.  In that journey we have signed the 10^th Bipartite Settlement on 28.05.2015.  The wages and service conditions have been improved inch by inch in each successive settlement.

With a cursory glance and comparison in the total emoluments payable to the employees achieved by AIBEA in successive settlements, one can understand the improvements achieved so far.

(Comment 1: We thought settlements are achieved by all 9 unions i.e UFBU. Now only we came to know that all the blunder/ treachery are done by AIBEA only.)

(Comment 2: How AIBEA dominates negotiations? If members of AIBOC and NCBE are added, it will outnumber or atleast equal to AIBEA. No official membership in each union is available officially. State Bank officers and employees have more influence over these two unions i.e AIBOC & NCBE. As SBI employees are already getting more salary & perquisites and they are in a position to get more from their management over and above the industry wise settlement, they are not exercising more pressure on IBA or on AIBEA. Hence AIBEA is a dominating union and dictate terms over other unions. This is my view. Comrades may differ.)                                                                                   

         

EMOLUMENTS UNDER 10^TH BP SETTLEMENT

             

             A NEW CLERK ( GRADUATE ) JOINING THE BANK IN JUNE, 2015

Place	45 Lacs & MORE	12-45 LACS	BELOW 12 LACS
Basic Pay	13075	13075	13075
DA – 33.70%	4406	4406	4406
Special Allowance – 7.75 % : Rs. 1013 + DA	1356	1356	1356
HRA – 10%,  9 %  , 7.5%	1308	1177	981
Transport Allowance	425	425	425
Total Salary – May, 2015	20,570	20,439	20,243

  
   (Payslip items only; cost of superannuation benefits, medical, LFC, other 

       allowances, etc. not included)                   

   

A SENIOR CLERK( SPL. ASST.) GRADUATE/CAIIB WITH 8 STAGNATION INCREMENTS IN JUNE, 2015 IN A METRO CENTRE:

	9TH BPS	10TH BPS
BASIC PAY	24,900	42,020
PQP	1,230	2,010
SPL. PAY	1,180	1,930
SPECIAL ALLOWANCE	-	3,256
DA	30,232	16,586
FPP	940	1,585
HRA	2,731	4,596
TRANSPORT ALLOWANCE	275	470
TOTAL SALARY	61,488	72,453
INCREASE		10,965

(Comment: 9^th B.P.S Basic Pay is 20+7 increments and 10^th B.P.S. Basic Pay is taken as  20+8 increments. How these figures can be compared?
If 10^th B.P.S. Basic Pay is also taken as 20+7 increments, new salary will be Rs. 70435

i.e an increase of  Rs.8947 only (14.55%)

EMOLUMENTS  -  Comparison under 8^th, 9^th and 10^th BPS

New clerk/Graduate joining the Bank	As on 1-5-2005 8th BPS	As on 1-5-2010 9th BPS	As on 1-5-2015 10th BPS
45 lacs & above	6150	12193	20570
12 – 45 lacs	6105	12113	20439
5 - 12 lacs	6030	11993	20243
Below 5 lacs	5865	11953	20243

(Comment: How a salary of today can be compared with a salary of year 2005 or 2010?

What was D.A. points in 2010 and 2015?

There is an increase of 71.10% in D.A. itself during May 2010 to May 2015.

Compare salary of previous month and this month. Then only effect of increase due to settlement can be ascertained.)

Thus our recent 10^th Bipartite Settlement has further improved the wages and emoluments of bank employees.  Our journey will continue.

 With greetings, 

Yours Comradely,

C.H. Venkatachalam

STRIKE by AIBEA POSTPONED!!

We confirm having sent the following SMS to all our units this morning.

“ Despite all efforts by AIBEA and SSBEA to work out amicable solution during conciliation and bilateral talks, sbi management maintains their illegal, unfair and anti-associate banks attitude. AIBEA has decided to take up the issue at higher level in govt. In view of this it is decided to postpone the strike of 24th June. Cir follows / CHV AIBEA ”

SBI management persists with anti-Associate Banks approach, insists on illegal stand on right of trade unions, refuses to implement Govt. guidelines on Compassionate appointments and enhancement in staff housing loan
Our efforts to find amicable solution thwarted by SBI management
AIBEA decides to take up the issues with higher levels in the Government
In the meantime, 24th June Strike by AIBEA/SSBEA postponed.

iSSUES:

Trade union right denied in violation of law of the land:

Strike/Issues in various Banks!

TEXT OF THE UFBU CIRCULAR NO.UFBU/2015/50 DATED 19TH JUNE 2015:

“Dhanalaxmi Bank:: 

Strained Industrial Relations prevail in Dhanalaxmi Bank since last one year
due to the adamant and recalcitrant attitude of the bank management.
The efforts made by the Dhanalaxmi Bank Officers Organisation (DBOO) to settle the issues through bilateral negotiations failed.
The relations strained further after the DBOO resorted to a whistle blowing to expose a high value fraud in one of its Mumbai branches.
The DBOO demanded not only a forensic audit into the scam but also on the indiscriminate appointments made in the Bank in the last two years. 
The DBOO alleges that the real culprits, the bigwigs of the bank, are left scot-free whereas the officebearersof the DBOO are victimised for whistle blowing and its General Secretary even facing a lifethreat.
Moreover, the management of Dhanalaxmi Bank unfortunately putting aside the interest ofthe Bank with its vindictive and atrocious action, has unceremoniously terminated the services of Com. P V Mohanan, the General Secretary of DBOO.
Resultantly, at the call of DBOO, the agitatingofficers are on Indefinite Strike since 13th instant. The All India Bank Officers’ Confederation(AIBOC), to which the DBOO is affiliated, is in full support to the genuine cause of the agitatingofficers of Dhanalaxmi Bank and it is also reported that the Kerala State Committee of AIBOC hasdecided to start an indefinite hunger strike in front of the Head Office of the Dhanalaxmi Bank.

Bank of Maharashtra:: 

It is observed that despite appreciable performance of Public Sector Banks
in all the Government Sponsored Schemes, since nationalisation, including the recently introduced
Prime Minister’s Jan Dhan Yojana, Insurance Scheme, etc.,
the bank employees are subjected to unwarranted harassment and targeted for no reason.
In an unprecedented move, the Maharashtra Police has booked the Branch Manager of
Bank of Maharashtra as responsible for the suicide of a farmer.
The Bank of Maharashtra Officers’ Organisation (BOMOO) took strong exception to theaction of the bank management in suspending the official even before the FIR pertaining to
abetment of suicide was lodged against the said official and demanded for escalating the matter withthe highest level in the Government and other concerned bodies
.
AIBEA calls for All India Strike on 24th June 2015:: 

State Sector Bank Employees Association, the umbrella forum of AIBEA wing of workmen employees unions in Associate Banks of SBI gave a call for one day strike in all Associate Banks on the 4th instant in pursuance of their demands and the strike was successful. Inasmuch as the issues remain unresolved, the All India Bank Employees’ Association (AIBEA) has given a call to all its members for All India Strike in all the Banks on 24thJune 2015 in support of the demands of its Units in the Associate Banks of SBI.
We call upon all our constituent unions to extend fraternal support to the agitating employees of
Dhanalaxmi Bank, the official of Bank of Maharashtra who has been falsely implicated by external forces and also to the All India Strike on 24th June 2015 by members of AIBEA in all the Banks.

We also call upon our constituent unions to advise their units to join in the Rallies and participate inthe agitational programmes organised by the DBOO, BOMOO and AIBEA in the respective centres as a measure of our fraternal support to the genuine cause of the agitating employees.”
With militant greetings,
 Sd/-
(M.V.MURALI)
GENERAL SECRETARY 
*****************************************************************

Gramin bank staff to strike work on June 30,2015.

Gramin bank employees in the country are on a warpath against the Union government,
 protesting against the proposed disinvestment in the rural banking sector.
They will go on a nationwide strike on June 30, demanding that the BJP government withdraw from the move to privatise the gramin banks.

The United Forum of Regional Rural Bank Unions is spearheading the agitation against the Centre.

A statement by different gramin bank unions said here on Saturday that the government was trying to destroy the gramin banks by trying to privatise them.
“You cannot expect the rural sector to be served well if the bank is privatised. The private sector has only one aim: profit. The gramin banks too will go that way,” they said.

The unions also demanded that the employees of gramin banks be given the same pension as the staff of their sponsor banks.

At present, there are 56 gramin banks across the country with different banks sponsoring them. In Kerala, while North Malabar Gramin Bank was sponsored by Syndicate Bank, South Malabar Gramin Bank had Canara Bank as its sponsor. The two banks merged in 2013, with Canara Bank continuing to sponsor the new Kerala Gramin Bank.

=>> The Hindu dt.21.06.2015

Govt. approval for officers new salary!

IBA clarification on 6th,7th&8th increments!!

On 8th June 2015, I raised some doubts about some provisions in 10th B.P.S.
Now, IBA has issued clarification circular on effect of reduction of one year gap between 5&6th increment.
The circular says though 6th increment is preponed and subsequently preponing or early sanction of 7th increment is effected, those employees will not be paid arrears as a result of this provision.
Financial benefit on the revised sanction of these increments will be effective from 01.05.2015 only.
In simple terms, no arrears will be given for those who are eligible to get these increments but retired from 01.11.2012 to 30.04.2015.
My heart felt condolences to those comrades.
One more question arises,
Whether those employees will get their pension revised based on the notionally fixed new Basic Pay ?
Or they will not be given effect in pension as they unfortunately retired before 01.05.2015?

I think, 11th B.P.S will be signed after 50 months and IBA will say all benefits will be for those who are in service on 51st month only.

Who is responsible?

Who is responsible?
You might have read my post titled “ Pension Fund and 2% load”
Wherein I have raised the following questions:
Now my doubts are
1. Whether union representatives are members of any governing board of Pension Fund?
2. If not, Why? After all, the fund belongs to employees.
3. Whether Union people have access to read Income /Expenditure account and
Balance Sheet of the fund?
4. Whether unions are aware of what is the income generated in this fund every year?
5. Whether Bank is contributing 10% of Basic Pay of all employees every month to Pension Fund?
(or contribute some funds at their will and pleasure. )
Whether Banks have contributed the 2/3 amount of additional cost, as accepted by in 9th B.P.S?
Replies received under RTI act by some interested comrades, reveals that Pension Fund is not maintained as if it should be maintained.
6. My question is, if any document containing the projection of additional cost due to merger of D.A to Basic Pay with 15% loading is given to UFBU?
7. What is the additional cost mentioned by IBA?
8. Whether unions have analysed and come to a conclusion?

AIBOC union writes letter to IBA on pensioners’ issues and on Record Note !!

AIBOC union writes letter to IBA on pensioners’ issues and on Record Note !!

ALL INDIA BANK OFFICERS’ CONFEDERATION

Ref: IBA/2015/68                             Dated: 12/06/2015

Chairman,

Indian Banks’ Association,

6th Floor, Centre 1 Building,

World trade Centre Complex, Cuff Parade,

Mumbai – 400005.

Sir,

RE: JOINT NOTE ON SALARY REVISION FOR OFFICERS

RECORD NOTE ON THE ISSUES OF BANK RETIREES

We invite reference to the Record Note dated 25.05.2015 jointly signed by the representatives of IBA and all the 9 Unions/ Associations of Bank Employees/ Officers on the issues pertaining to Bank Retirees along with Joint Note on Salary Revision.

2. While the above Record Note incorporates some of the demands of Retirees referred to in the Charter of Demands and discussed by officers organization with IBA during the process of discussion and IBA’s response there to, we would like to put the records straight by furnishing in brief our view point as under on IBA’s response:

* On “Contractual relationship between pensioners and Bank”

At the outset we do not accept that no contractual relationship exists between Banks & Retirees and that their demands can be examined only as a “Welfare Measure”.  We maintain that payment of Pension cannot be construed as a mere Welfare Measure. As a matter of fact, there are several court judgments upholding that pension is a deferred portion of the compensation for the service rendered. In landmark “Narkara Case”, the Hon. Supreme Court has held that “Pension is a statutory, inalienable, equally enforceable right that has been earned by the sweat of brow. As such it should be fixed, revised and modified/ changed in the ways not entirely dissimilar to the salaries granted to serving employees.”

Strike in Dhanalaxmi Bank!!

What is going on in Dhanalaxmi Bank?

Victimized for legitimate trade union activities and whistle blowing certain irregular activities of the Management.

Yes, General Secretary of AIBOC union in Dhanalaxmi Bank has been dismissed.

AIBOC circular says.........

Our Affiliate, Dhanalakshmi Bank Officers Organisation(DBOO) is on the war path
following an acute Industrial Relations crisis, that has been persisting in Dhanlaxmi Bank
since one year.