March 19, 2010
To
Shri G.C.Chaturvedi
Additional Secretary
Ministry of Finance-Banking
Government of India
NEW DELHI
Dear Sir,
We are extremely thankful to you for the discussions with you when we called on you at your office on 14.03.2010 to discuss certain urgent matters pertaining to the Industry.
1. At the outset we had pointed out that the work chart offered by IBA in respect of revised scale structure for officers where the average loading has been too low for officers and so high for officers from Scales IV to VII. We had suggested to IBA to discuss ways and means of giving more to Executives through fitment, grade pay etc., without distorting average loading and the continuous scale structure in vogue for all time now.
2. In respect of pension balancing introduced by IBA suddenly this time we have duly submitted to you the following:
a. At the time of introduction of pension scheme in Banks an amount of Rs.120 crores were given by SBI to their employees and officers as one time measure only. This is borne out by records of IBA.
b.Since it was one time grant only neither SBI nor their unions raised this issue in the last 2 Bipartite settlements and no amount was set outside for pension balancing in their settlements, nor anything outside the settlement was paid.
c.Under this settlement, the decision of IBA to introduce pension balancing and not to agree for similar PF balancing as proposed by UFBU is untenable and not logical as it services only one set of employees discriminating the other section.
d. We may also point out that in the MOU dated 27.11.2009 signed by unions and IBA, neither party has mentioned anything about pension balancing. MOU has clearly spelt out amount of settlement and other details including recovery for pension option etc.
Hence earmarking for pension balancing an amount of Rs.130 crores for officer in the chart is illegal and untenable and is an after thought.
We submit that since 120 crores given to SBI employee at the time of introduction of pension was above the salary agreement percentage, if at all Govt., wants to extend this, we submit should be outside the load of 17.5% and no deduction be made under the settlement for this payment.
3. If we take that equalization of pension in SBI and other banks is accepted by IBA as a policy, then it automatically applies to all superannuation benefits. Therefore the recent hike in Gratuity Act applicable to everybody, SBI officers will draw nearly 650 crores in the settlement period more than other Banks. However on Gratuity, equalization has to be done for other banks. This also has to be decided in the context of Pension balancing introduced by IBA.
4. We have submitted to you the total attacks mounted by SBI management on our unit in State Bank of Indore after merger proposal. All open methods at canvassing members for other union, coercing our members, locking out union premises, transfer of Office bearers and activists continue and unabated. The new union is recognized without verification of membership and check off to our unit membership is withdrawn. On top of all this, the President of our Union Shri Alok Khare who is also the President of All India Bank Officers Association, is transferred to Tharana a small place from Indore 150 kms away. We request you to kindly intervene and retransfer Com.Alok Khare to Indore city branches having regard to the minimum facility to be extended to the union for normal functioning.
5. We have also pointed out the unilateral imposition of variable pay package in IDBI by the Chairman of the Bank in utter disregard of Govt. advice instructions. Without any negotiations, the Chairman is buldozing all existing system in the Bank and is running a reign of terror. As the actions are totally injurious to the Bank, we seek your immediate action to end unilateralism in the Bank and restore normalcy and credibility in the systems in the Bank and take action against the erring official before it is late.
We once again thank you for the patient hearing given to us and request your positive consideration of our viewpoints.
Thanking you,
Yours faithfully,
/R.J.SRIDHARAN/
GENERAL SECRETARY
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