An important breakthrough in the talks between the Indian Banks' Association (IBA) and the associations representing bank officers has been made with the IBA asking the associations to prepare three separate charts based on salary increases at 15 per cent, 20 per cent and 30 per cent over basic pay.
This has been done to create a base for final negotiations to be held during the first week of November, according to association sources.
The initial demand of the associations was for a 30 per cent increase over the basic which works out to around 48 per cent increase in the total pay package. At present, there are seven scales upto the level of general manager for the officers.
The association had also demanded 100 per cent neutralisation of dearness allowance which works out to a minimum of Rs 3,000.
For the workmen, the association had sought special pay on the basis of a settlement of December 14, 1996 to be added to basic pay before merger or `notional basic pay.'
In the case of dearness allowance, it had sought DA applicable to average index for the quarter of July, August, September, 1997 to be merged into the notional pay at 115 per cent and 120 per cent neutralisation for clerical staff and the subordinate staff.
The associations representing the workmen wanted DA to be paid based on monthly variation in index and payment for increase or decrease of every single point.
The IBA has put the cost of wage settlement as demanded by the bank workers (award staff) at Rs 3,781 crore per annum while the total establishment cost to all the nationalised banks would be Rs 6,811 crore.
The workmen and officers in all the nationalised banks are due for a wage revision since November 1, 1997, following the expiry of previous settlement on October 31, 1997. As per the figures, cost of the third wage settlement for workmen was Rs 33.5 crore; the fourth Rs 120.26 crore; the fifth Rs 271.15 crore and the sixth Rs 748.95 crore.
The total establishment cost to the banks for the third wage settlement worked out was Rs 279 crore; fourth Rs 829 crore; fifth Rs 1,576 crore and the sixth Rs 3,700 crore.
The cost of the last wage settlement (1992-1997) for officers was Rs 446.87 crore; Rs 150.76 crore between 1987-1992 and Rs 79 crore between 1984-1987.
The total establishment cost of public sector banks for all the officers and the workmen works out to be Rs 11, 632 crore as of March 31, 1997. There are a total of 13 lakh officers and workmen in nationalised banks.
The five unions for workmen which has been negotiating with the IBA are: the National Organisation of Bank Workers; Bank Employees' Federation of India; Indian National Bank Employees Federation; National Confederation of Bank Employees and the All -India Bank Employees Association.
