ALL INDIA BANK EMPLOYEES' ASSOCIATION

Central Office: “PRABHAT NIVAS” Regn. No. 2037

Singapore Plaza, 164, Linghi Chetty Street, Chennai-600 001
Phone: 2535 1522 Web: www.aibea.in
e mail : chv.aibea@gmail.com & aibeahq@gmail.com

CIRCULAR NO. 28/471/2022/42 3-7-2022

TO ALL UNIONS AND MEMBERS:
Dear Comrades,
Discussions with IBA on Residual Issues
UFBU CIRCULAR NO. 7 dt. 2-7-2022 : “Our Unions and members are aware
that in the background of delay in discussing the residual and pending
issues, UFBU had given the call for strike on 27 th June, 2022. In the
conciliation meeting held before the Chief Labour Commissioner at Delhi on
23-06-2022, IBA had agreed to commence the negotiations on the residual
issues and demands raised in the strike notice and hence the strike call for
deferred.
Accordingly, a round of discussion took place yesterday i.e. 1-7-2022 at IBA
office in Mumbai. Shri. M.V. Rao (MD-CEO of Central Bank of India),
Chairman of the IBA’s Negotiating Committee represented IBA along with
Shri Shanti Lal Jain (MD-CEO, Indian Bank), Shri. Joydeep Dutta Roy(ED,
Bank of Baroda), Shri Debashish Mukherjee (ED, Canara Bank), Shri. Lal
Singh (CGM-HR, Union Bank of India), Shri Ashok Kumar Pathak (CGM-HR,
Bank of India), Shri. S K Rana (CGM-HR, PNB), Shri. Manish Kumar, (GM-
HR, UCO Bank) and Shri. Md. Ayazuddin (DGM-IR, SBI). From UFBU,
representatives of our 9 Unions were present.
The following issues were taken up for discussion during the meeting:
Five Day Banking : We explained and reiterated our demand for
introduction of 5 day banking i.e. declaring all Saturdays and Sundays as
Bank holidays. The impact of this introduction on cash transaction hours,
banking hours and total working hours were discussed. After deliberations,
IBA opined and felt that further justifications should be built up on the issue
so that IBA can escalate the issue to the higher authorities and various
stake-holders. The issue will be discussed further.
Updation of Pension: IBA explained that updation of pension involves
additional cost of funding and pay out and hence the cost aspect needs to
be kept in mind while discussing the issue. IBA also pointed out that
already, every year, all the Banks are making additional provisions to meet
the shortfall in the pension fund I each Bank. After a lot of discussions, it
has been suggested that to begin with the Ex-Gratia Pension to pre-1986
retirees/spouses can be addressed on a priority and improvement in the
pension of retirees between 1-1-1986 and 31-10-2002 to be taken up.
Thereafter the improvement in pension for retirees after 1-11-2022 may be
taken up so that the additional cost can be spread out. The issue of
updating the pension at the uniform index of 6352 point was also discussed
in the matter and IBA wanted some more working to be done before any
decision can be taken in this regard. Discussions on these issues will be
further continued.
Improvement in Pension Scheme: Improvement in the Scheme like
incorporating a clause in the Pension Regulation to provide for periodical
updation of pension along with wage revision of in-service
employees/officers, full pension at 50% of Pay to be given on retirement
after 20 years instead of present 33 years, calculation of pension based on
average of last 10 months or last month’s Pay whichever his advantageous
to the retiree, etc. were taken up and these issues need to be further
followed up as the same required approval for the Government.
Change in DA Scheme – shifting of base year to 2016=100: Since the
Government is publishing only the Consumer Price Index based on
2016=100 Series, we suggested that our DA scheme can be accordingly
modified. IBA informed that this issue can be further worked out and taken
up in the next wage revision process.
Allocation to Staff Welfare Fund : We reiterated our demand that the
allocation to Staff Welfare Fund be made based on Operating Profits of
Banks in lieu of Net Profit as is at present. IBA informed that the issue has
already been taken up with the Government and would be further followed
up.
Increase in Conveyance Allowance for Employees with Disabilities :
IBA had earlier agreed that the allowance would be increased from Rs. 400
pm to Rs. 600 pm subject to approval of the Government. During the
discussions, IBA informed that the matter has already been taken up with
the Government and the same is being followed up.
Special Allowance to be paid in North East/Sikkim, J&K, Himachal
Pradesh as is paid to Government employees, etc. : We pointed out
that the issue is pending for a long time and should be resolved
expeditiously. IBA informed that the matter requires necessary approval
from the Government and the cost implications are also be properly
examined.
Clarification of Fitment of Ex-servicemen employees : In terms of
Clause 4(c) of 11th BPS, the fitment under 10th BPS already given to Ex-
servicemen employees who joined the Banks between 1-11-2017 and 11-
11-2020 should be protected and clarification should be given the Banks by
IBA as many Banks are not implementing this provision and resulting in
huge recovery for the concerned employees. IBA agreed to examine this
issue in their internal Committee and take the decision.
Reply to clarifications sought by Banks: We pointed out that various
Banks have referred certain issues to the IBA seeking clarifications on
implementation of wage revision settlement/Joint Note and the same is
pending at IBA level. Importantly, clarifications on stagnation increments
are to be given without delay. IBA informed that an FAQ guideline would be
issued at the earliest.
Improvement in Medical Insurance Scheme and reduction in
premium for retirees: IBA requested UFBU to submit our views on these
issues so that the same may be taken up while finalising the renewal of the
Policy for the next year. We suggested that the Scheme for Retirees should
include a minimum basic Policy for which the premium is to be borne by the
Banks and the additional sum assured may be made optional.
Uniform Banking/Business Hours in Branches: We suggested that IBA
should give its guidelines to all Banks and SLBCs suggesting a uniform
number of hours of cash transaction hours, business hours within the total
working hours. IBA agreed to examine this and issue necessary advisory to
the Banks.
Exemption of retirement benefits from Income Tax: We took up the
issue of exemption of retirement benefits, particularly Gratuity, Leave
Encashment, additional 4 % contribution to NPS, etc. from the purview of
Income Tax. IBA agreed to study the matter and take up with Government.
Uniform Guidelines on implementation of PLI : We pointed out that
different Banks are adopting differing practices while implementing PLI
scheme regarding pro-rata eligibility for employees who have newly joined
or retired during the financial year. IBA agreed that suitable clarification will
be sent the Banks.
Pending issues of officers Organisations: All the issues listed by the
Officers Organisations like clarifications on LFC, interpretation of stagnation
increment, improvement of expenses on road travel, Grid Holidays,
mandatory leave/vacation policy, medical leave, introduction of Child Care
leave, Pension option to resignees, double jeopardy on opt-out/refusal for
promotions, etc. were taken up and IBA informed that these issues will be
further discussed.
It was decided to continue the discussions with an objective to take all the
issues to a logical conclusion within a specified time period and the date for
the next round of meeting will be decided shortly.
With greetings,
Yours comradely,

C.H. VENKATACHALAM
GENERAL SECRETARY