Details of Wage Revision talks between UFBU and IBA (held on 5-12-2019)

In today’s negotiation (5-12-2019) between UFBU and IBA, the following issues were discussed:

1. Wage Revision

UFBU: Unions demanded that the earlier offer of a 12% hike from IBA is not at all adequate and IBA should improve their offer.

IBA:  Looking at the various constraints of the bank’s profitability, it would be difficult to improve.

Conclusion:

Union did not agree. IBA thereafter stated that they would discuss among themselves and inform the Unions in the next round of meetings.

2. Mandate Issue

IBA informed that the issue of mandate up to scale VII stands resolved.

3. The merger of special allowance with basic pay

UFBU: present special allowance is merged with basic pay while working out the revised pay scale under the ensuing settlement.

IBA: demand can be accepted if the additional cost involved in superannuation benefits is found to be affordable.

Conclusion: It was agreed that the cost would be worked out in detail and a final decision would be taken thereafter.

4. Improvement in family pension

 IBA maintained that they are seized of the matter and already in touch with different stakeholders to get it approved at the earliest possible

5. Updation of pension

 IBA: Appreciate the demand for the updation of pension, looking at the different categories of pensioners of the past beginning from 1986 as the cost is very high.

 UFBU: Data to get it calculated from their actuaries.

Conclusion: IBA sought the names of the actuaries from UFBU  to whom the data was to be shared for computing the cost.

6. PLI

UFBU expressed concerns especially linking ROA as an ingredient for the purpose of working out the performance matrix, and creation of more steps in the gross operating profits, so that the maximum number of banks can get the benefits of PLI.

Conclusion: IBA appreciated the viewpoints of the unions and agreed to provide them a revised formula for consideration, where after the issue would be discussed further.

7. 5 day banking

 IBA advised that they are seized of the importance the issue and assured the unions that they will try to take it forward. However, they stated that there were constraints on account of other stakeholders.

Unions insisted that the issue should be addressed and resolved on priority.

IBA informed that they would like to sort out these issues at the earliest so that all can move towards reaching understandings to finalize the settlement. UFBU informed that unions would also seek an early settlement provided their justified demands are considered favorably.