The bankers’ body has, at a meeting with bank unions on Thursday, proposed to form a sub-committee to deliberate on the contentious variable pay issue, two people familiar with the development said.
“Nothing has been settled yet. The United Forum of Bank Unions (UFBU) will meet on September 11 to discuss the issues at hand and decide the future course of action,” said Rajen Nagar, president, All India Bank Employees Association.
Wage revision in public sector banks take place every five years. The 11th bipartite settlement is due from November 1, 2017.
IBA appears to be in favour of dealing with the pay hike, variable pay and the mandate issue simultaneously while bank unions led by UFBU are looking to settle the pay hike issue first.
Earlier, IBA had raised the wage hike offer to 10% on fixed pay component in February while it had reduced the variable offer to 6.2% from 8.2%.
IBA had also proposed a split mandate for officers up to scale V suggesting bank-wise increment for officers in Scale VI and VII. Deputy general managers and general managers in public sector banks are in scale VI and scale VII, respectively. Public sector banks cumulatively have 3.76 lakh officers up to scale V on their rolls which is 99.27% of total officers in these banks at present.
“All these issues appear to have now taken a backstage. IBA is pushing us to agree to variable pay first,” a union leader with State Bank of India said.
Two bank unions — the All India Bank Officers Confederation (AIBOC) and National Organisation of Bank Officers (NOBO) — which boycotted the previous rounds of wage talks protesting against the mandate issue, took part in Thursday’s meeting.