BIPARTITE UPDATE (meeting with IBA ON 3RD March 2014)

In yesterday's (March 3rd) talks with IBA, UFBU raised switchover from NEW PENSION SCHEME to Old Pension Scheme for new entrants, 5 days working, Pension improvement, Housing facility etc along with HIGHER WAGE INCREASE. IBA wanted time. They will present the matter to Finance Minister, probably on 5th March, it is informed. Thereafter, within 10 days, ie after 15tH March, they will meet UFBU.

 Meanwhile, here is an interesting piece from Financial Express, which is self explanatory!  Top bank management sources said even a 10% hike in the cash component would have set banks back by Rs 3,150 crore, a huge sum considering mounting bad loans and the economic slowdown, which is delaying recovery. Though the employees have not demanded any specific hike, they may agree to a “reasonable settlement” of around 15% hike in the cash component(including basic pay, dearness allowance, house rent allowance, routine medical expenses and a special allowance, but excluding superannuation benefits, travel allowance and hospitalisation reimbursement), if the management agrees to take care of the expenses for their housing and medical expenses, sources indicate.  “Our readiness to agree to a low hike in the cash component will depend on the management’s readiness to accept our demands of taking care of housing as well as medical expenses of the employees and their family including hospitalisation,” CH Venkatachalam said.

UFBU’S REVIEW MEETING HELD on 19.02.2014

Circular No. UFBU/2014/20 of date on the captioned subject for your information,

“The representatives of the constituent Unions of UFBU met today at Mumbai to review the situation subsequent to the historic success of 48 Hours’ All India Bank Strike from 6.00 a.m. on 10.02.2014 to 6.00 a.m. on 12.02.2014 and also to decide on future course of action for expediting the wage revision at the earliest.

All the representatives have expressed in one voice that the two days’ strike was responded massively by the bank men all over the country and placed on record their highest appreciation and congratulated the entire membership of UFBU for the historic success. Quoting the massive participation of bank employees and officers in the demonstrations, rallies and processions held all over the country as part of agitation programmes on the strike days, the representatives expressed that the total participation has clearly displayed the frustration in the minds of employees on the undue delay in the wage negotiations despite the fact that UFBU is making all out efforts for a respectable and reasonable wage settlement consciously keeping in mind even the affordability of banks while making attempts to ensure adequate wages to the bank employees and officers considering the wages in comparable sectors and also the financial burden on the bank employees on account of uncontrolled spiraling cost of inflation.

The meeting took serious note of remarks of Shri P. Chidambaram, Hon’ble Finance Minister that ‘profits of banks are not for wages of employees alone’ without giving any cognizance to the just reasonable demand of employees for their due and legitimate share particularly when banks are making good profits. The meeting further observed that the remarks of Finance Minister as fallacious, as it has been made by consciously ignoring the fact that Public Sector Banks have netted a huge profit of about Rs.46,000 Crores during the last fiscal even after providing about Rs.65,000 Crores towards writing off of bad loans and provisioning for Non-performing Assets.

The meeting deliberated at length on the strategies to be adopted on all the areas relating to the formulation of Scales of Pay duly considering the various cost factors such as fixed cost, variable cost and so on towards clinching a reasonable wage revision.

The meeting also discussed in detail on the future action programmes and with the hope that the historic success of Two days’ All India Bank Strike might serve as an eye-opener to IBA-Government combine towards amicable settlement. It was unanimously decided to chalk out further course of action based on the outcome of meeting with IBA, which is scheduled for 3rd March 2014.

Comrades – we are still on war path and there will be no backward movement in our agitation programmes, if no significant improvement is made by IBA in the bilateral discussions scheduled for 3rd March 2014. Hence, we request all our constituent unions and members to be in readiness for further agitational actions, including prolonged strike programmes, if need be.

We once again wholeheartedly congratulate the entire membership for the historic success of 2 days’ All India Bank Strike on 10th & 11th February 2014 and request the rank and file of members to continue to display their solidarity and total support for achieving success in our entire endeavor.”

10th BPS Bankers Wage Revision Next Round of Talks With IBA on 3rd March 2014

IBA fixed next round of Bipartite Negotiation talks on 03.03.2014 with Bank unions after deferring Negotiation meeting Scheduled for 13th February 2014. UFBU met today i.e., on 19.02.2014 reviewed the impact of the two day’s strike and decided to chalk out further course of action based on the outcome of meeting with IBA scheduled on 3rd March.

We can see the mood of IBA in the 3rd March 2014 meeting after successful 2 days strike by PSU Bank Employees. Can we achieve the 32% demand? post your comments.

IBA invites bank unions for talks on March 3

Indian Banks Association (IBA) has invited the nine-union United Forum of Bank Unions for bilateral talks on the contentious issue of long-term wage accord in the banking industry in the country.

The talks between the IBA’s negotiating team and the unions’ leaders will be held in Mumbai on March 3.

The IBA’s managing committee is scheduled to meet on February 28 to discuss the wage hike. The decision at the meeting would be presented to the government to secure the government’s approval for offering a higher percentage of wage hike. At the last round of talks, the IBA had offered 10 per cent increase in the monthly salaries of bank employees whose number is close to a million.

The UFBU had recently gone a two-day national strike which had forced the entire banking industry to shutter.

MV Murali, convenor of UFBU, told Business Line the unions’ executive committee, which had met in Mumbai on Wednesday to review the impact of the two-day strike, had decided to chalk out the next course of action after the March 3 talks.

OUTCOME OF 27/01/2014 MEETING WITH IBA

As usually, IBA playing with the sentiments of Bankers. After calling off the strike on 21st & 22nd January 2014, Today i.e., 27.01.2014, IBA called for talks to proceed with 10th Bipartite Settlement which is due since 01.11.2012. In the today’s meeting i.e., on 27th January 2014, IBA Offered 0.5% increase over the previous 9.5% offer. This is not at an acceptable move by IBA. Even though no date was mentioned for next round of talks, UFBU called for strike on 10th & 11th February 2014.
First of all, It was a bad move by UFBU to call off the strike on 20 & 21 Jan 2014. If we have participated in strike as per prior call by UFBU, this mere increase would not have happened. So, at least now, we have to participate in strike on 10th & 11th February 2014. I will post the gross salaries as per the 10% increase tonight. Post views in comments section.

Merged points CPI	or in percenatge
4400	60.15%
Current Average CPI	Reamaining CPI after merger	How many slabs (average CPI / 4 )	Present DA factor for each slab	Total DA percentage=( DA factor * Slabs)
5402	1002	250.5	0.15	37.575
	60.15	8721.75	23221.75
Current Basic pay (January)	Current DA (96.15% of Basic pay)	Total Basic pay + DA	New BP ( current basic pay + 60.15% of BP)+9.5% of current B.P	New DA= New BP * Total DA percenatge	Total New
14500	13941.75	28441.75	24671.75	8725.572563	33397.32
		Difference in Basic and DA	4955.57
		HRA and CCA extra

SETTELEMENT WITH IBA, MEETING ON 17/01/2014 AGREED TERMS AND PROBABLE SALARY

9.5 % is not final.  Please go through the news. Agreement reached only for DA merger. Based on this a calculator to find current Basic pay enclosed. Enter current basic pay and dream about  new basic pay

 

Still not clear about

Payslip cost –Components included in this

9.5% increase from 01/11/2012 ?

 

 

The two-day all-India bank strike called by the United Forum of Bank Unions (UFBU) on January 20-21 was deferred following the Indian Banks’ Association (IBA) improving upon their initial pay hike offer of 5 per cent to 9.5 per cent of ‘payslip cost’, C. H. Venkatachalam, General-Secretary, All-India Bank Employees’ Association, told Business Line.

“In view of the IBA coming out with an improved offer on Friday and agreeing to further discuss the issue on January 27, we have decided to defer the strike,” Venkatachalam said.

The revised offer of 9.5 per cent notwithstanding, UFBU will on January 27 look forward to further improvement in the IBA offer in the wake of the reasonable demand by the unions on account of high inflation in the country, he said.

The bilateral talks between the IBA and the UFBU were held in Mumbai on Friday at the instance of the Central Chief Labour Commissioner, who held a round of conciliation talks with the two sides on January 13 in New Delhi.

The next round of talks between IBA and UFBU, a representative body of nine bank unions, will take place in Mumbai on January 27.

Venkatachalam also said the IBA had committed to wrap up the process of wage revision settlement by end June this year.

 

 

             

Merged points CPI	or in percenatge
4400	60.15%
Current Average CPI	Reamaining CPI  after merger	How many slabs (average CPI / 4 )	Present DA factor for each slab	Total DA percentage=( DA factor * Slabs)
5402	1002	250.5	0.15	37.575
	60.15	8721.75	23221.75
Current Basic pay (January)	Current  DA (96.15% of Basic pay)	Total Basic pay  + DA	New BP ( current basic pay + 60.15% of BP)	New DA= New BP *  Total DA percenatge	Total New
14500	13941.75	28441.75	23221.75	8725.572563	31947.32256
		Difference in Basic and DA	3505.572563
		HRA and CCA extra

 

·         Not reached agreement In DA factor- Was 0.18 % in in 8th settlements and redcuced to 0.15% in 9th settlement                                               

·         Increase of 9.% % on net pay slip- Net pay slip amount is not clear           

·         Also 9.5 increase from 01-11-2012 or not ?

Analysis Courtesy :Mr.Shimith P.R (Federal Bank)

 

 

 

Latest news on settlement with IBA-strike deffered

Strike for 20th & 21st January 2014 deferred after IBA improved its offer from 5% to 9.5% on PaySlip cost.  Next round of talks on 27th January, 2014.  Detailed analysis to be uploaded after receiving full circular of UFBU -

Bank Strike: CLC asks IBA to call unions for negotiations immediately

The United Forum of Bank Unions (UFBU) consisting of nine unions of bank employees and officers, has given call for an 48-hour all-India strike from 0600 hrs on January 20 to 0600 hrs on January 22. Chief Labour Commissioner (CLC) BK Sanwariya in a conciliation meeting held with the Indian Bank Association (IBA) at New Delhi today advised the Unions to call for negotiations immediately, to avert the strike. About 10 lakh employees and officers of Public and private sector and foreign banks will participate in the agitation across the country, call for which was given by UFBU at its meeting in Hyderabad on December 23. Informing this to UNI, All India Bank Employees Association (AIBEA) General Secretary Ch Venkatachalam said CLC asked IBA to conduct the meetings fortnightly on regular basis to finalise the wage revision at the earliest. The UFBU were demanding immediate wage revision settlement and opposing the banking reform policies of the government. Mr Venkatachalam said the IBA offered to hold the meeting at its office in Mumbai on January 17 and the UFBU said it would attend the same with an open mind. Further decision on the strike would depend on the outcome of the meeting with the IBA, he added. In the meeting held at Hyderabad, the UFBU had decided to urge IBA to resume the discussions. If IBA failed to settle their demands, the UFBU warned of going on a two-day strike from January 20, followed by more strikes in February and March this year. On December 18 last year, the bank employees and officers observed an All India Bank Strike to press for their demands. Since IBA did not come forward with any revised offer and the Government was also not coming forward to discuss the ongoing banking reform measures with the unions, the strike was forced on the unions, Mr Venkatachalam added

IBA offer of 5% rise in payslip bill inadequate: Unions

While bank managements, under the aegis of the Indian Banks’ Association, are ready to bear the burden of a five per cent increase in the payslip component of the total wage bill, trade unions in the banking sector say the increase in not adequate if one takes into account the rising inflation.

Mohan V. Tanksale, Chief Executive, IBA, said the offer of five per cent increase in the pay slip bill was not acceptable to the unions.

The IBA’s wage negotiation committee and trade unions will meet on January 29 to reconcile the differences.

The last five-year industry-wide wage settlement expired in November 2012. Salaries in public sector banks and old generation private sector banks are governed by the settlement.

According to C.H. Venkatachalam, General Secretary, All India Bank Employees Association, the five per cent hike in the payslip components of the total wage bill works out to Rs 1,575 crore for the banking sector and is woefully inadequate. He pointed out that in the last settlement the pay slip bill was much higher at Rs 4,800 crore.

“When prices are increasing day by day, when the workload on the employees has gone due to steep increase in the volume of business, there is urgent need to increase the wages of the bank employees but bank managements’ attitude seems to very casual,” he said.

OPEN FOR TALKS WITH UNIONS,SAYS IBA CHIEF

With the two-day strike by the United Forum of Bank Unions hardly a fortnight away, the chief executive of the Indian Banks’ Association, Mohan V. Tanksale, has said the bank managements are open for negotiations.

“The IBA is open for negotiations with the unions on their demands,” Tanksale told Business Line. “We have invited them for discussions for January 29.”

He said the IBA, which represents the managements of nationalised, private and foreign banks in the country, had already offered a five per cent hike in salary. He also pointed out that the Chief Labour Commissioner had called the bank unions and the IBA for reconciliation on January 13, ahead of the proposed strike by UFBU on January 20-21.

Wage revision

UFBU, a collective of ten major unions of bank employees and officers, is planning to go on a nation-wide strike starting from the morning of January 20 to press for its demand for wage revision. The unions say the customary five-year wage revision settlement has been delayed by more than a year. The two-day strike is a follow-up to the December 19 strike which had forced the banking industry to shut down for a day. Prior to the strike, the IBA had offered a five per cent increase in monthly salary, but the UFBU declined the same saying it was too low to even start the negotiation process.

C.H. Venkatachalam, General Secretary of the All-India Bank Employees Association and former convenor of UFBU, said the IBA’s stand was totally disappointing and was forcing the unions to go on strike.