BEFI Circular ** Still Maths and Calculation ** WAGE REVISION-BEFI’s STANDPOINT: The four days’ strike from 21st to 24th Jan 2015 has been put on hold on the assurance of IBA to discuss with UFBU with improved offer in the first week of February 2015 with all sincerity for reaching finality. At this stage let us analyse what has been our demand, what has been conceded and where we stand now. → COMMON CHARTER OF DEMANDS Tenth Bipartite became due from 1.11.2012. The unions submitted common charter of demands duly on time before the expiry of the Ninth bipartite settlement. Besides demanding a fair wage revision, other issues like improved medical scheme, Pension improvement, switch over from New Pension Scheme to defined Pension Scheme, Five days week, regulated working hours for officers etc. were also pressed. → JUSTIFICATION OF OUR DEMANDS The quantification of the wage revision approximately worked out to be 35% increase in pay slip component. …. The ratio of wages to total expenses has come down from 14.66% on 31.3.2008 to 13.72% on 31.3.2012. The average price rise during the 9th Bipartite Settlement period was more than 3.7 times compared to the one during previous 7 years. The more the price rise, the more will be the erosion of real wages. Hence considering every parameter, there was absolute justification of the demands of UFBU. → IBA SAYS NO CASE FOR WAGE REVISION IBA conducted negotiations once in every two months commencing from Feb 2013. In the fourth meeting held in August 2013 two issues i.e.Effective date to be 01.11.2012 and Merger points to be at 4440 were clinched. Upto the fifth meeting held in Oct 2013 IBA maintained that there was no case for wage revision. That means the offer of IBA was zero per cent increase till completion of one full year since the Tenth Bipartite Settlement became due. On the other hand IBA was pressing its own demands like CTC, variable pay, power to transfer workmen anywhere in the State, power to prematurely retire, power to take disciplinary action even after retirement, no discussion for officers in scale IV and above etc. → STRIKE IN DEC 2013 AND FEB 2014 UFBU gave one day strike call in Dec 2013. Only after the announcement of the strike, IBA offered 5% increase in pay slip component. Rejecting this offer, UFBU went ahead with the strike on 18th Dec 2013 which became a grand success. Then IBA improved its offer upto 9.5% in the 7th round of negotiations held on 17th Jan 2014 in the background of two days’ strike call on 20th and 21st Jan 2014 and promised further handsome improvement. As a good gesture, UFBU deferred these two days’ strike. But on 27th Jan 2014 IBA improved the offer very marginally by 0.5% and made it to be 10% contrary to its earlier assurance. UFBU rejected this marginal improvement and struck work for two days on10th and 11th Feb 2014 to express the displeasure and anger of 10 lakhs bank employees and officers. The two days’ strike was a massive success. On the eve of strike IBA made an informal offer of 11% which was also not acceptable to UFBU. → ADAMANT STAND OF UPA II GOVT The Congress led UPA II Govt. was so adamant not to concede the genuine demands of the bank staff. Rather the then Finance Minister Mr. Chidambaram was so disgraceful to comment that the entire profit of the Banks could not be given to the bank staff as wage increase. It is known to all that what we demanded was not even 10% of the operating profit. Rather if NPAs from top three big defaulters could be recovered, it would have been sufficient to meet all the demands and aspirations of the employees and the officers. → NO IMPROVEMENT DURING BJP RULE BJP led NDA Government came to power on 26th May 2014. Contrary to the popular expectations of the bank staff, this Govt. proved to be tougher than the previous one. IBA under the NDA Govt. offered the same 11% which was informally offered by IBA during the previous regime when UFBU met IBA on 14.06.2014. IBA was not ready to move an inch upwards. In this back ground, UFBU met Finance Minister Mr. Arun Jaitley, on 27th June 2014 in New Delhi and submitted a Memorandum on wage revision. → STILL NO IMPROVEMENT Despite assurance of the Finance Minister that he would call for detailed report on the developments of wage talks with IBA from the Departmental Secretary and give suitable advice in the matter, nothing moved. IBA remained adamant and there was no improved offer in the next two rounds of discussions held on 17th Sep and 26th Sep 2014. → SERIES OF STRIKES Left with no other alternative, UFBU conducted massive strike on 12th November 2014 and relay regional strikes from 2nd to 5th December 2014. Even after these successful strikes, as IBA and the NDA government did not concede any of the genuine demands,UFBU announced series of nationwide strikes on 7th Jan 2015, 21 to 24 Jan 2015 and if the issue remains unresolved, indefinite strike from 16th March 2015. At this stage only on 6th Jan 2015 Govt. and IBA improved the offer to 12.5% of the pay slip component and assured to hold next round of talks within 10 days for further improvement. As a means to resolve the issue and show the flexibility, UFBU deferred 7th Jan strike. As IBA did not fix any date for talks on wage increase, BEFI wanted UFBU to implement the strike call for four from 21st to 24th Jan 2015. → TO ACHIEVE WHAT WE RECEIVED LAST TIME During the 9th Bipartite Wage revision, the total load of the workmen and the officers was Rs.27520 crores. Out of this 17.5% increase which worked out to Rs.4816 crores was given as wage increase. Out of this 17.5%, 10.98% of the total load was given as increase towards pay slip component. This time the total load is Rs.56292 crores which includes load for pay slip component at Rs.31503 crores. In order to achieve what we received last time, we have to get at least 10.98% of the present total load as an increase in pay slip component. Thus 10.98% of Rs.56292 crores works out to Rs.6180.86 crores. This quantum in pay slip component of Rs.31503 crores works out to be 19.62% (6180.86/31503X100). During the 9th bipartite settlement, the cost of superannuation and other items worked out to be 6.52% (17.5-10.98) of the total load. In the same way, in this 10th BP settlement, 6.52% of Rs.56292 crores works out to Rs.3670 crores. → IBA GIVES A DIFFERENT FIGURE But IBA gives a different figure this time. Even when the payslip component increase was 11%, i.e. Rs.3465 crores (11% of 31503), the cost of superannuation and other item works out to Rs.3590 crores according to IBA. This is strange and it is for IBA to explain this figure with the support of facts and figures.i.e. IBA has put it on record that 11% increase on pay slip component is equal to 12.5% increase on the total wage bill. Subject to veracity of this claim of IBA, to achieve 17.5% increase on the total wage bill, the pay slip component increase this time should have been 15.4% (17.5/12.5X11) going by the simple arithmetic. Even this has not been offered by IBA so far. To put it in nutshell, only when we exhibited our striking power, there was some improvement in the wage. On 7th Jan 2015, there was a clear assurance from IBA to hold talks within 10 days and improve the offer further. But when such a meeting was not fixed, BEFI wrote to UFBU convener on 15th Jan 2015 to take all preparations for successful implementation of the Four Days Strike call from 21st Jan 2015. On 19th January when UFBU met at Mumbai, BEFI was very firm about the implementation of four days’ strike from 21st Jan 2015 which only would fetch further improvement. But when there were different perceptions amongst the constituents, BEFI preferred to wait till the first week of Feb 2015 for IBA to respond positively in the overall interest of Unity. Today we come to know that the bilateral discussion between IBA and UFBU has been fixed on 3rd Feb 2015. The present offer of 12.5% increase in pay slip component is not at all acceptable. BEFI, since its inception has always been in the forefront in the struggle, be it for wage revision and improvement of service conditions of the work force or against the so called financial sector reforms. Hence BEFI, on its part will strive its best to revive the strike programme and declare fresh dates for 4/5 days’ strike in the month of February 2015 in case there is no satisfactory progress in the next round of negotiations. The other issues like improved medical scheme, Pension improvement, switch over from New Pension Scheme to defined Pension Scheme, Five days week, regulated working hours for officers etc. are also dear to us. We have to strain every nerve to achieve these just demands. IBA may come out with its own counter demands which have to be fought against. The previous UPA II Govt. was bent upon converting mass banking into class banking.The present NDA Govt. is also treading the same path steadfastly. → MOVE TOWARDS PRIVATISATION AND FDI INCREASE Given the policy of the Govt. at the centre towards privatisation of Public Sector Banks, disinvestment of Public Sector Undertakings, increase of FDI in Insurance, Railways, Defence etc., adverse changes in Labour Laws, it can be easily understood that unless we go for a united struggle with a clear determination, it is very difficult for the bank employees and officers to achieve a reasonable wage increase and resolve other issues to the best of their satisfaction. BEFI calls upon all its members to realise the impending danger and be ready to fight for our rights if there is no positive response from IBA in the first week of February 2015. #TenthBipartite #10thBipartite #BankersPayHike #WageRevision #IndianBanksAssociation #IBA #UFBU #BEFI #BankStrike
Posted on: Sun, 25 Jan 2015 03:06:26 +0000
Trending Topics
Recently Viewed Topics
© 2015