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Tuesday, April 6, 2010

WAGE REVISION

AIBOC - FEED BACK ON 9TH BIPARTITE UNDERSTANDINGS

AIBOC has issued detailed circular clarifying various points regarding 9th BPS. The circular is reproduced below
FEED BACK ON 9TH BIPARTITE UNDERSTANDINGS
We are receiving a number of SMS and e-mails from our members on the understandings reached with the IBA on 3rd April 2010, as regards distribution of wage load of 17.5% among various components of salary and allowances. In this connection we would like to clarify that,
a) UFBU has agreed to accept 17.5% wage increase w.e.f 01.11.2007, as per MoU signed on 27th November, 2009. The issue cannot be reopened now.
b) The 6th Pay Commission recommendations for wage revision of Central Government employers are effective from 01.01.2006, for a term of 10 years. In case of Bank employees it is for a period of 5 years from 01.11.2007. The distribution of wage load for Central Government employees is not uniform. A meager increase of about 15-20% for lower level officials and higher increase at Secretary Level, with different pay bands is followed for them. Where as in our case we have tried to maintain equidistribution of load factor.
c) In case of Central Government employees, they will first arrive at the proposed revised scales and allowances and there is no restriction as regards cost of wage bill. The entire cost will be debited to the National Ex-chequer of the Government of India.
d) In the case of Bank employees, Government of India first fixes the limit for percentage increase and distribution of the increased load among various components of salary and allowances, is the responsibility of IBA and Unions/Associations.
e) Therefore, it is a herculean task to balance the demands of IBA and the Unions in drawing the revised scales of officers upto scale VII.
f During the current bipartite the demand of the IBA was to distribute higher load to Officers of SMGS IV and above, whereas we demanded equitable distribution of the load to all scales/grades, as higher load to senior grade officers and above will affect the scales of junior officers.
g) However, keeping in view the higher risk and responsibility of senior executives, we suggested to the IBA to get extra cost over and above 17.5% sanctioned from the Government of India to meet their demand. The IBA did not accept our suggestion and was bent upon loading higher increase in scales of senior executives. We are successful in minimising such higher load.
2. Our members will agree that, the issues being sensitive and the cost involved for higher loading at a senior level officer being barely few crores, breaking the negotiations on this point would have divided our membership. The frustration level at grass root level membership for early settlement is known to everyone. Therefore, Negotiating Committee after due deliberations, has agreed to come to an understanding with IBA on distribution of wage load of 17.5% in salary and allowances. There may be a few aberrations/anomalies as regards revised scales etc., which we will take up with the IBA during our further discussions. There is no hurry in coming to premature conclusions and resorting to vilification campaign to belittle the efforts of the Confederation which may divide the membership. Basic principle of Trade Union is “one for all, and all for one”. We hope our enlightened members will appreciate the genuine constraints faced by the leadership at negotiating table.
3. Comrades, we welcome your constructive feedback, but do not appreciate immature reactions, which affect the unity of the great organisation, AIBOC.
OUR UNITY ZINDABAD

With greetings,

(G.D.NADAF)

GENERAL SECRETARY
Source: AIBOC website

Disribution of Wage Load to officers upto scale VII , Final settlement on pension and salary revision by 15/04/2010
AIBOC has issued a circular giving a chart showing the present and revised scales from Scale I to VII and giving other additional details.
According to AIBOC, "It is proposed that next round of discussion on residual issues be held on 9th and 10th April 2010 to finalise the joint note for officers. The UFBU will hold a meeting with IBA on 12.04.2010 to finalize the draft settlement on pension related issues. We expect that by 15th April 2010, final settlement on pension and salary revision will take place."

Bipartite talks on 03.04.2010 - AIBOC version

According to AIBOC 9th BIPARTITE is on the verge of conclusion. Formal signing in 2nd Week of April 2010.
The important ingredients of the working out are as follows:-
SCALES
JMGS-I - Rs.14, 500/- TO Rs.31, 500/-@
MMGS-II - Rs.19, 400/- TO Rs.34, 200/-@
MMGS-III - Rs.25, 700/- TO Rs.35, 100/-@
@including two additional stagnation increments
SMGS-IV - Rs.30, 600/- TO Rs.36, 200/-
SMGS-V - Rs.36, 200/- TO Rs.40, 400/-
TEG-VI - Rs.42,000/- TO Rs.46,800/-
TEG-VII - Rs.46,800/- TO Rs.52,000/-
DEARNESS ALLOWANCE
For every 4 points rise/fall in index, Dearness Allowance at 0.15% per slab.
CITY COMPENSATARY ALLOWANCE
We have freezed the existing CCA and utilized the amount towards improvement in Basic Pay. Accordingly, CCA rates will be as under;
Places in Area I - 4% of Basic Pay, Max. Rs.540/- p.m.
Places with population of more than 5 lacs - 3% of Basic Pay,
Max. Rs.375/- p.m.
HOUSE RENT ALLOWANCE
We have retained the existing rate of HRA as under:
Major A class cities - 8.5%
Other places in Area I - 7.5%
Other places - 6.5%
MEDICAL AID –
For officers other than SBI, the medical aid has been enhanced as;
Scale I to III – Rs. 5100/- p.a.
Scale IV & above - Rs. 6320/- p.a.
STAGNATION INCREMENTS:
It is a fact that majority of senior officers in Scale I to III are stagnated as promotions are linked to vacancies. Hence, we have ensured to add two additional stagnation increments in these scales.
Date of Effect - 1st November 2007

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