Salary of Bank PO / Salary of Probationary Officer in
Public Sector banks
is Bank PO's Salary / Bank Probationary Officer Salary (newly recruited) ?
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Bank PO's salary or Bank Probationary officer's
starting salary in most of public sector banks and even in some private banks is same.
revision of salary of Bank PO / Bank Probationary officers has taken place wef 1st November, 2007.
All newly recruited POs are placed in the following scale at the 1st stage of the same.
(However, banks like SBI, ICICI bank and other private sector banks have some
different start for probationary officers ) :-
Scale I - Rs.
14500 - (600x7) 18700 - (700x2) - 20100 (800x7) -
[Revision has already become due wef 01/11/2012, but it is likely to
take about 1 year to finalise the same i.e. by July, 2015)
Thus, the initial Basic Pay of a Bank Probationary officer / PO will be Rs.14,500/-
(the figures in the brackets indicate the annual increment and the number of
stages for which the same is applicable)
are other major allowances payable on monthly basis as part of the salary to
In addition to Basic Pay, bank officers (i.e. Probationary officers /
PO / Management Trainees) are eligible for the following allowances :-
(a) Dearness Allowance (DA) : DA in banks is revised on quarterly
basis (i.e. in the months of February, May, August and November) based on the
CPI as declared by Government of India.
The current DA (for the month of
August 2014, September 2014 and October 2014 is 102.45% of the Basic Pay).
DA can go up with higher inflation and also come down if the inflation rate is in negative.
(b) HRA : This depends on the place of posting and it can be either 6.5% or 7.5%
or 8.5% depending on the place of posting.
(c) CCA : This also depends on the place of posting and can be either 4%
(maximum Rs.540/-) or 3%(Maximum Rs.375/-) or 0%
(In case you are preparing for
IBPS PO Exam or SBI PO Exam, you must visit our sister concern
by clicking below)
is the total salary of a Bank PO / Probationary Officer /
Management Trainee (Starting salary of newly appointed PO) :
The above indicates that the total salary of a probationary officer on
joining at a metro station will be around Rs.31,128. However, the
total salary of a probationary officer who has to join in rural area will be
about Rs 30,298/- . [This includes HRA]. However,
SBI gives four additional
increments to Bank POs and thus gross salary will be higher by about Rs 4800/-.pm
NEWLY APPOINTED BANK PO - INITIAL SALARY /
STARTING PAY ON JOINING [as on 1st
Major A Class Cities
Other Places in Area I
(State Capital etc.)
(District Level and Rural Areas)
CCA (3% to 4% Max. Rs540/-)
Total Salary (Excluding HRA i.e. if Leased
Accommodation is availed by the officer)
HRA - 8.5% ; 7.5%; 6.5%*
Total Salary (including HRA i.e. if officer
does not avail leased accommodation)
(a) SBI POs are
paid four increments extra at the initial stage and thus their Gross
Salary will be about Rs 4,800 higher
(b) In lieu of HRA,
most of the banks allow you to take leased accommodation, the amount
of which varies from bank to bank and also depends on place of
posting (The entitlement of such accommodation ranges from Rs 8000
to Rs 29,000 p.m (approximate). See the details below.
Thus, we can say the salary cash component of Bank PO in Public
Sector banks is around Rs 31,000 pm whereas in SBI, the initial cash
component salary of SBI PO is around Rs36000/-pm
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are other perks that are available to Bank PO :
There are number of other perks available to Bank officers and these vary
from bank to bank, and even the amount of such perks vary from
bank to bank. SBI gives more perks than all other
nationalised banks. Some of the perks available to Bank
officers are :-
Leased Accommodation : As mentioned above this facility is available to Bank
officers in lieu of HRA. At some stations, some
banks may offer official bank accommodation / bank quarters in lieu of leased
accommodation. The lease amount vary
from bank to bank and place of postings. However, you
should remember that this amount is not available as cash
component and will directly go to the house owner -
you have got leased.
Travelling Allownace : Some banks allow fixed Travelling
Allowance whereas others allow reimbursement of petrol bills
i.e. officer must own scooter / car at the place of
Newspaper Reimbursement : A fixed monthly amount is paid towards
the cost of one newspaper
Medical Aid : A fixed annual amount is paid by most of the banks
Coverage under New Pension Scheme
Salary of PO in State
Bank of India / PO Salary in SBI :
PAY: In SBI, the starting basic pay is Rs
16,900/- (with 4 increments) in the scale of Rs
14500-600/7-18700-700/ 2-20100-800/7-25700 applicable to Junior
Management Grade Scale I.
The official will also be eligible for D.A.,
H.R.A & C.C.A as per rules in force from time to time.
At present monthly compensation at Mumbai will be
approximately Rs 69,000/- inclusive of lease rental. (The salary
scales are under revision with effect
from November 2012).
The officers are required to make 10% of their
basic pay as contribution to Provident Fund and the Bank
also makes matching contribution to the Employees
The new entrants will be governed by the Defined
Contribution Pension Scheme/New Pension Scheme, where each
employee is required to contribute 10% of Basic Pay and D.A.
towards pension scheme and
Bank also makes matching contribution.
PERQUISITES for SBI PO :
(1) Leased accommodation ranging from Rs 8,000/-
in ‘C’ category Centres to Rs 29,500/- in Mumbai Centre.
(2) Medical Aid for self (100%) and for family
(3) Home Travel Concession/ Leave Fare
(4) Concessional interest rates for
NOTE : The candidates should not get confused by the
amount of Salary shown by SBI as Rs 70, 000/- pm as it includes the
prerequisite of Leased Accommodation to the extent of Rs 29000
in Mumbai. This is not cash component but a facility to
get a house in Mumbai if you are posted there.
Basically, the salary difference between SBI and other PS Banks
is that of 4 increments i.e. Starting Basic Pay will be Rs
16900/- in SBI, whereas in other PS Banks it is Rs145000/-. (Rs.
2400/- more as basic in SBI) The difference becomes bigger
as DA is payable on this basic pay. This also works out to
be about Rs2400/-. Thus, starting salary in SBI is
about Rs 4800/- more than other PS Banks :
What are other scales on
promotion from Scale I to Scale VII
JMGS-I - Rs.14,500/- TO Rs.31,500/-@ [as shown above for bank
MMGS-II - Rs.19,400/- TO Rs.34,200/-@
MMGS-III - Rs.25,700/- TO Rs.35,100/-@
@This includes two additional stagnation increments
SMGS-IV - Rs.30,600/- TO Rs.36, 200/-
SMGS-V - Rs.36,200/- TO Rs.40, 400/-
TEG-VI - Rs.42,000/- TO Rs.46,800/-
TEG-VII - Rs.46,800/- TO Rs.52,000/
next revision of pay scales for Bank PO is due wef November, 2012.
However, the finalisation of new scales may take even more
than 2 years]
What is the total Cost to
Company (CTC) for Bank Probationary
Officers (As on August 2014) :
Although, Basic Pay, DA are clearly defined for POs, yet other
allowances like HRA / leased accommodation, Petrol charges, Medical
Allowance, Entertainment allowances, canteen subsidy, vary
from bank to bank and place of posting (rural / semi urban / metro).
Thus, CTC will vary from bank to bank and place of posting.
However, we give below a BROAD CTC for Bank POs :
DA (@ 102.45% in August 2014)
Mobile / Telephone
Thus CTC works out to be about 5.45 lacs for newly recruited
PO in Public Sector Banks. However, the amount eligible for items at Sl No 4 to 10 can vary from Bank to Bank and place of posting.
Some Banks like SBI also give additional benefits and thus they
claim CTC to be above Rs 8.40 lacs (at metros with bank leased
* Revise DA as given above to get the latest CTC.
What is the Job Profile of a Bank Probationary officer / What is Job
Profile of Bank PO
Officers are directly recruited officers in the banks who are
initially recruited on probation (which is normally in all types of
jobs) for 2 years period. It is a coveted job as bank officers
usually enjoy good respect and prestige in Indian society.
This is the entry
point for officers in the bank. Usually they are initially given
training, which ranges from few weeks to one year. After the
training, they are placed either in a branch or administrative
office. At the branch PO is supposed to look after the branch
working which can include passing of cheques, evaluating loan
proposals; marketing of bank products etc
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