Protest by UFBU against IBA’s meager offer of 2% hike

From November, 2017, IBA did not call

Ludhiana: 8th May 2018: (M.S. Bhatia//Punjab Screen)::

On the call given by United Forum of Bank Unions (UFBU), bank Workmen and Officers are holding massive demonstrations opposing IBA’s meager offer of 2% hike and demanding Expedited & Adequate Wage Revision. As per decision, United Forum of Bank Unions (Unit:Ludhiana) held a massive demonstration  in front of  State Bank of India, Fountain Chowk, Ludhiana. Com. Naresh Gaur, Convener, United Forum of Bank Unions, Com. J.P.Kalra, President State Bank of India Officers Association, Com. Pawan Thakur, President, Punjab Bank Employees” Federation,  Com. J S Mangat, Dy. General Secretary, State Bank of India Officers’ Association, Com. Iqbal Singh Malhi, Dy. General Secretary, SBI Staff Association, Com. K K Khullar, Regional Secretary,  SBI Staff Association, Com. Gurmeet Singh and Com. Chiranjeev Joshi from AIBOA addressed the bank employees.      

While addressing the bank employees, leaders of  United Forum of Bank Unions said that  you are aware that in view of the impending expiry of 10th Bipartite wage settlement/officer wage revision as at the end of October, 2017, the Government had been sending their directive to Banks as early as from 12-1-2016 advising the Banks and Indian Banks Association to commence the wage negotiations and conclude the same not later than November, 2017 when the revised settlement will become due.  There have been several reminders from the Government to the IBA in this regard.

With the same intention to expedite the wage revision settlement, we had submitted our charter of demands to the IBA as early as May, 2017 with a request to negotiate and resolve the demands before November, 2017.  IBA also assured they would endeavour to complete the discussion and conclude the settlement before November, 2017. Even though the discussions by IBA with the UFBU commenced in May, 2017 and even though 15 rounds of negotiations have been held by IBA with the Unions so far, IBA, one pretext or the other, had been avoiding to make any offer in regard to increase in wages. Discussions have been held only on other service conditions but IBA did not make any offer on wage revision.  

From November, 2017, IBA did not call for any meeting to discuss our demands. In this frustrating background, we met the Hon Finance Minister on 21-11-2017. The IBA re-commenced the discussions with UFBU and another round of talks were held after a period of 6 months.

While we were expecting a reasonable offer from the IBA to make a basis for further negotiations, to our surprise and utter disappointment, IBA made an offer of 2% hike in the Wage Bill as on 31-3-2017.  In the last settlement from 2012 to 2017, it was agreed at 15% hike in wage bill.  Since then the banks’ business have grown, workload on employees and officers have increased beyond tolerable limit and hence it was expected that wage revision will be better than last time. 

To substantiate their offer, IBA stated that the financial position of our Banks is not conducive to offer better wage revision and that the Banks profits have been eroded in the recent years. It is well-known that all the Banks have been earning more Operating Profits year after year.

Rs in Crore.

The net profits are getting reduced only due to huge provisions for bad loans and not due to any reasons attributable to the employees and officers of the Banks. Hence denying reasonable wage revision for the bank employees and officers on this count is unfair.

At this hour, we feel that the wage revision demands of bank employees should be settled expeditiously so that the entire workforce in the Banks can concentrate their time and energy in addressing the multiple challenges facing our Banks and to restore the confidence of the people on our Banks.  But the approach of the IBA in attempting to victimise the bank employees and officers with merger wage revision despite best contributions being extended by them in the present trying situation will only result in serious industrial unrest in the Banks and dislocation of banking services.

Hence we expect from IBA to adequately increase their offer and come forward to resolve our demands without precipitation.