11th Bipartite Settlement Signed 15% Salary hike for Bank Employees
The 11th bipartite settlement was agreed by the banks association on July 22, 2020.bank employees will get benefitted and will get arrears with effect from 1st November 2017.
IBA and Bank Unions have signed agreement for salary revision to provide 15% hike in salaries to bank employees under 11th BPS. Salary hike will benefit employees of 37 banks who got recruitment through IBPS, SBI, RBI and others.
Offer on Pay slip cost increased to 15%.
Highlights of MOU between IBA and UFBU In todays meeting on 22-07-2020
The date of effect is 01.11.2017
Total increase will be 15% ( 7898 crores)
DA will be merged at 6352 points
Load Factor 2.5 % on Basic Pay (Approx 1155Carores)
Distribution will be done seperately by mutual discussion
PLI – 5-10-15 days salary for incremental GP above 5, 10, 15%
Additional Encashment 5 days per year ( 7 days above 55 years)
NPS contribution 14% ( Govt. decision to be followed)
PerformanceLinked Incentive (PLI)
PerformanceLinked Incentive (PLI) is also being introduced in public sector banks for first time ever. The PLI is paid to employees on the basis of annual performance of bank and percentage increase in year-on-year profits of a firm or bank. It is payable to all employees in addition to the salary as an annual increment.
National Pension Scheme (NPS) to 14%
Banking sector will increase its contribution to the National Pension Scheme (NPS) to 14% of the Basic salary from 10%. However, this is subject to the government approval.
Additional encashment of Privilege Leave:
Under the 11th Bipartite Agreement, bank employees will be allowed to encash Privilege Leave at 5 days per year during a festival of their own choice. However, employees who are above 55 years can encash up to 7 Privilege Leave. Earlier, employees were able to encash leaves at the time of LFC and at the time of retirement.
5 Day banking will be taken forward by further discussions.
Demand for loading 2.5% will be considered by a Joint Committee of IBA and UFBU.
Improvement in Family Pension (30%) –matter recommended to Government, will be expedited.
DA Merged at CPI 6352
The date of effect is 01.11.2017 and merger point at consumer price index 6352 have already been decided. It means that 478 slabs will be merged in basic. (6352 – 4440 = 1912 ÷ 4 = 478 slabs) i.e 47.8% d.a as the rate is .10 paise per slab.