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Hopes of An Honourable Settlement Now Disappear After Meeting of 14/03/2014

 

by

Rajesh Goyal 

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It appears the meeting between UFBU and IBA held on 14/03/2014 was held basically to prepare the bankers mentally to resign to their fate and forget that they will be able to get an honourable settlement.   The contents of the circular of UFBU are highly disturbing and now dashes all hopes of bankers which were raised like High Rising Buildings through Charter of Demands submitted jointly by UFBU and also issued separately by number of unions.   In my first analysis of such Charters I have clearly brought out the conflicts between such demands, but UFBU leaders never tried to reconcile those concerns. 

Before we analyse the latest developments, let me reproduce below the circular issued by UFBU after the meeting dated 14/03/2014, i.e. after the moral code of conduct has come into force.  A reading of the circular will clearly indicate that it was nothing but a Chai Party and IBA could not have committed anything because of moral code of conduct.   However, as leaders of UFBU wanted to befool their cadre, they held this Chai Party, the contents of this meeting are as follows:-

“ In our Circular No. 20 dated 3rd March 2014, we had informed about the details of the discussions held with the IBA on that day.    Another round of discussions were held today (14/03/2014) in IBA office, Mumbai between IBA and UFBU. IBA’s team was led by Mr R.K.Dubey (CMD, Canara Bank), Chairman of the IBA’s Core Committee, Mr M.V.Tanksale, Chief Executive, IBA and other Executives. UFBU was represented by leaders of all our constituent unions.

 

Carrying forward the discussions held in the last round of talks, some of the important issues like introduction of 5 Day Banking, regulated working hours for officers, etc. were discussed further.  While appreciating our viewpoints, IBA wanted further inputs from the Unions in order to examine the issues and to take up the matter with higher authorities. We stressed on the need for providing  quarters/ housing accommodation to all employees, particularly to those recruited in the Banks in the recent years. IBA opined that the matter needs further discussion at their level.

 

We also demanded that 100% of the medical/hospitalisation expenses incurred by the employees and officers for self/family members should be reimbursed. IBA suggested that the mediclaim scheme proposed by them earlier can be customized in such a way to be handled by the Banks instead of insurance companies or third party administrators. We requested the IBA to furnish details in this regard where after the issue will be further studied and discussed. On our demand for improvement in the Family Pension scheme, extension of 100% DA formula to pre-2002 pensioners, etc., IBA was considerate and agreed to work out the cost implications to enable them to take a view on these demands. To our demand on   periodical updation of pension on occasions of wage revision, IBA felt that the issue has to be  examined, in its entirety, looking at the cost involved, outflow, etc. 

 

On reverting to old pension scheme from NPS, IBA expressed their inability to accede to our  demand but we reiterated the same. To our demand regarding compassionate appointment scheme, IBA conveyed the clarifications sought from the Government to which we explained that UFBU’s  view is that the compassionate appointment scheme should be on the lines of the Government  scheme and urged upon them to expedite the matter. To our demand for improvement in the IBA’s earlier offer on wage increase, IBA informed that they are not able to make further offer. It was  decided to hold the next round of discussions in the middle of April, 2014 and the date would be finalized. Further developments will be informed to all our units/members in due course.

Sd./-
M V Murali, 
Convener
UNITED FORUM OF BANK UNIONS' (U.F.B.U.) "

 

Let us know analyse the circular's major contents for the benefit of readers who prefer to know the answers in simple language, and what is the real meaning of those details :-

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What Does circular says about the issues discussed What is the response of IBA, their real meaning and views of ABS
Issues like introduction of 5 Day Banking, regulated working hours for officers, etc. were discussed further by UFBU and IBA IBA Response :  IBA appreciated the views of UFBU but wanted further inputs from the Unions in order to examine the issues and to take up the matter with higher authorities.

Comments of ABS on Views of IBA  & UFBU : These demands have been raised by bankers even befoe 10th BPS had started.  Charter of Demand submitted is already 16 months old.   IBA has still not discussed the issue with higher authorities.  This means IBA has not bothered to read Charter of Demands seriously and take up these with GoI. Even a dummy banker will be able to conclude that UFBU leaders are totally spineless and worthless,  as they have even failed to question or confront IBA for such a lax attitude,  Just imagine what will happen to officers from Scale I to Scale VII, if they sleep over a loan file of Mukesh Ambani or Adani, resulting in stoppage of the project?

Moreover, in our articles even before 10th BPS was due, I have time and again mentioned that introduction of 5 days banking should never be part of the 10th BPS as it has nothing to do with wage revision.   This is based on international practices and based to human values which require that employees get sufficient time at weekends to spend with their families.  However, UFBU has intentionally linked this issue with wage revision to exploit the sentiments of employees, and IBA is using this as a tool to divert / suppress other demands for wage increases.   Finally, you will land up with minimum increase in wages and continue with 6 days week.

The issue of regulated working hours for officers is really a NON ISSUE.  The working hours are already defined as 7 hours on week days and 4 hours on Saturdays.    Can any UFBU leader,  explain what kind of regulation now they want?    Where is the need to reopen this issue?  If UFBU leaders had the guts and ready to support banker fraternity, they should announce that no branch will remain open after 6.00 PM and should demand as welfare measure (or under RTI )regularly from management the details of people who remained logged in CBS or other computer systems, beyond 6.00 PM and place these facts before Labour Commissioners and other Human Rights Commissions and shame the bank CMDs, EDs, GMs who are forcing the officers to sit late.    Thus, to raise the issue of regulated working hours is only to exploit the emotional pitch of the bankers who are being forced to sit beyond 5.00PM.  The employees are asked to sit beyond 5.00 pm as management knows that individual employee can not fight due to threat of transfer and / or charge sheet on flimsy grounds.  However, if unions fight unitedly and suo moto takes notice of branches being opened beyond 6.00 PM at the most,  I am sure, management will have to bow down.  Thus, Union leaders can resolve this issue easily by taking up the issue at their own level and ensure that whichever officer is issued any notice for not sitting late, the matter is taken up by union on his behalf,  and if necessary  case filed in court and every new case is clubbed with the original case filed.

No court will decide in favour of management for regular late sittings, it can be forced only in case of emergency like failure of computer systems in a region or national level etc.  I am sure no banker ever minds sitting late in such emergent situations.

 

UFBU stressed on the need for providing  quarters/ housing accommodation to all employees, particularly to those recruited in the Banks in the recent years. IBA Response  : IBA opined that the matter needs further discussion at their level.

Comments of ABS on Views of IBA  & UFBU :  The move to have quarters / housing accommodation for all employees (assuming that it is for workman staff too)  is a controversial move as it has its pros and cons.  It is sure that no bank will buy or construct quarters in the heart of cities, and bankers who are not provided with bank vehicle find it extremely difficult to commute from bank quarters  to their branches.   The cost and maintenance of such quarters is so costly that it is not cost effective even for bank.   The better solution will be to demand leased accommodation for remaining employees and such limits to be based on scientific based market rates.   Moreover, the HRA should be at least 30% as in central government.   This will help employees to enjoy the flexibility of area where they wish to live with options available for schooling of children.  To raise such a demand should have been based on some opinion poll among the employees. [I personally had to refuse the bank accommodation at one of my postings, as the same was too far away and most of the flats have extremely poor maintenance. Thankfully, at that time  was allowed to opt for leased accommodation, which now is not allowed by bank if bank accommodation is available, even if in depleted conditions.  At another posting my official accommodation was far better than the leased accommodation.   Thus, move is a controversial one]

UFBU  also demanded that 100% of the medical/hospitalization expenses incurred by the employees and officers for self/family members should be reimbursed. IBA Response :  IBA suggested that the mediclaim scheme proposed by them earlier can be customized in such a way to be handled by the Banks instead of insurance companies or third party administrators. We requested the IBA to furnish details in this regard where after the issue will be further studied and discussed.

Comments of ABS on Views of IBA  & UFBU : IBA has not given any commitment and we can comment about these only when IBA gives the details.

(a) UFBU demanded improvement in the Family Pension scheme, extension of 100% DA formula to pre-2002 pensioners, etc.

(b) UFBU reminded IBA about periodical demand for  updation of pension on occasions of wage revision

IBA Response : (a)  IBA was considerate and agreed to work out the cost implications to enable them to take a view on these demands.

(b) IBA felt that the issue has to be  examined, in its entirety, looking at the cost involved, outflow, etc. 
 

Comments of ABS on Views of IBA  & UFBU : Both these issues are based on social responsibilities of banks towards the senior citizens above the age of 72 years or whose spouses have died.   It is regrettable that even after submission of demands 16 months ago, IBA has not bothered to calculate even the cost on 100% DA formula for pre 2002 retired employees.

Similarly, for updation of pension, IBA is not ready with any plans and have yet to examine the cost involved.

Thus, in nutshell IBA has not committed anything but agreed to examine the issue.

 

UFBU reminded IBA about  the demand for reverting to old pension scheme from NPS, IBA Response :  IBA expressed their inability to accede to our  demand but we reiterated the same.

Comments of ABS on Views of IBA  & UFBU : It is clear that IBA has flatly refused to accede the demand.  Although, this demand was highly beneficial to new employees, if Banks agree, but with the changed scenario at government thinking, it is almost impossible to get this demand accepted as even government employees have also been shifted to NPS.  Thus, it appears UFBU has asked for this demand only to please their cadre, and I am of the firm view that in this changed circumstances it will never be accepted.   [Let me be blunt on this issue for newly recruited employees.  If unions are serious, then they need to tie up with Central Government employees unions and raise the issue jointly and force Parliament of India to absolish NPS for central government and public sector units, or else it is futile to discuss this issue with IBA]

UFBU again raised the demand regarding compassionate appointment scheme, IBA Response : IBA conveyed the clarifications sought from the Government to which we explained that UFBU’s  view is that the compassionate appointment scheme should be on the lines of the Government  scheme and urged upon them to expedite the matter.

Comments of ABS on Views of IBA  & UFBU : This is another issue which has no relevance to wage revision. On many earlier occasions I have written that this issue must be delinked from wage revision as it affects hardly 1% of the employees, and lot of time (may be over  10 years) has been wasted in discussions on this issue without any achievement.

To our demand for improvement in the IBA’s earlier offer on wage increase, IBA Response : IBA informed that they are not able to make further offer.

Comments of ABS on Views of IBA  & UFBU : This is the most critical issue for which bankers are waiting, but was kept as a last priority by IBA. Why? UFBU has simply told the cadres now that IBA is not agreeable to make further offer (i.e. bankers should not expect more than 10% rise on Pay-Slip component. 

 It was  decided to hold the next round of discussions in the middle of April, 2014 and the date would be finalized. Comments of ABS on Views of IBA  & UFBU : This is nothing but delaying tactics when next meeting is fixed after a month or so.  As no date has been finalised, it is likely that it will be beyond one month, and date decided is postponed to reach almost at the end of the poll schedule.  
   

In nut shell, we can say in the meeting dated 14/03/2014, IBA has flatly refused to increase in wage revisions beyond 10%;  IBA has flatly refused to revert back to old pension scheme instead of NPS for the new employees; IBA has given no commitment on any issue.  IBA has merely given diplomatic response to demands like 5 days week, hospitalisation schemes, and says it will examine these issues (after sleeping on these issues for over 16 months from the date when Charter of Demands was submitted);  on pension issues IBA has assured to calculate the cost (as if calculations in this computer age takes months for calculations).   Inspite of being battered on each and every issue, UFBU leaders have not even planned for any agitation / strikes or escalating the issue to next level.  

Great UFBU leaders, Great Achievements in Negotiation Talks, Great Diplomatic IBA, but orphaned  Aaam Banker, waiting for next  morning / meeting for some dry bread crumbs  !. A Colourless Holi for bankers - sad times ahead.

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