Information on Bank Unions and Wage Negotiations.

Information on Bank Unions and Wage Negotiations.

UFBU (United Forum of Bank Unions) is an Umbrella Organisation consisting of 9 independent Pan India Trade Union Organisations of which 5 represent only Award Staff (Clerical & Subordinate Staff Cadre) and 4 represent only Officers Cadre.

UNIONS REPRESENTING AWARD STAFF IN UFBU:

1. AIBEA - All India Bank Employees Association.
2. NCBE - National Confederation of Bank Employees.
3. BEFI - Bank Employees Federation of India.
4. INBEF - Indian National Bank Employees Federation.
4. NOBW - National Organisation of Bank Workers.

UNIONS REPRESENTING OFFICERS IN UFBU:

1. AIBOC - All India Bank Officers Confederation.
2. AIBOA - All India Bank Officers Association.
3. INBOC - Indian National Bank Officers Congress.
4. NOBO - National Organisation of Bank Officers.

The names are in order to individual organisation's membership strength in respective cadre in Banking Industry.

AIBEA took major initiative to form UFBU in 1993 with an intention to bring the then major Bank Unions in one platform to fight common issues. Even though some of these constituents are historically rivals in many Banks, they were united for the past 25 years at least at the time of Wage Negotiations.

Bipartite Settlement is signed between Award Staff Unions and IBA under the ID Act. Whereas Joint Note is signed between Officers Unions and IBA.

AIBEA is the only Trade Union Organisation which has signed all the Bipartite Settlements. When AIBEA & AIBOA fought for Regular Pension and clinched it in 1993, many of these constituents were campaigning against Regular Pension, because of which all had to fight a long drawn battle for another option to join Pension, which came with a cost in 2010.

Present 11th Bipartite Settlement is due from November 2017 and UFBU has submitted our Charter of Demands well before November 2017.

Banks coming under Bipartite Settlement / Joint Note (List of Banks available in previous settlement copies) has to empower IBA to negotiate on behalf of them, which is known as Mandate. Upto last wage settlement concerned Banks were giving Mandate from Award Staff upto Scale VII i.e General Manager. However, in the present Wage Negotiations few Nationalised Banks have given Mandate empowering IBA to negotiate wage settlement from Award Staff to Scale III, which means they are empowering IBA to sign Joint Note with Officer Unions only upto Scale III and not for Scale IV, V, VI & VII. This is called a Fractured Mandate and the Banks which has given Fractured Mandate are ;

1. State Bank India.
2. Punjab National Bank.
3. Bank of Baroda.
4. Union Bank.
5. Indian Bank.

Please note that AIBOC claims Majority in all the above Banks.

There are only 2 options available for Officer Unions led by AIBOC who claims 60% representation in the Officer Cadre;

1. Either negotiate the Mandate issue with respective Banks
Or
2. Launch an Agitation in respective Banks to get Full Mandate upto Scale VII.

The above should have happened within a time frame. However, no significant development is seen in either way till date.

Suddenly, in the 30th November 2018 wage negotiations, AIBOC has taken a stand that unless Mandate Issue is resolved they will not participate in Wage Negotiations. In UFBU Meetings held on 30th November 2018, 12th December 2018 and 17th January 2019 AIBOC continued their stand of Non Participation. But even after lapse of more than 2 months no significant or effective agitation is led by AIBOC other than one day strike on 21st December 2018, Delhi Morcha on 4th February 2019 and a Meeting with Mr Rahul Gandhi.

Remember that IBA / Government were not calling UFBU for wage negotiations in 2017 - 2018 because of which UFBU had to resort to Strike Actions demanding meeting on Wage Negotiations. Therefore other 8 Constituents of UFBU had decided to continue participation in Wage Negotiations in the UFBU Meeting, which AIBOC is well aware of since they were participants in these meetings. Other 8 Constituents of UFBU has also requested AIBOC to resolve the mandate issue on priority in these meetings.

IBA offer is based on Pay Slip Components, which is approximately Rs 52,000/- Crores in the present Settlement and hence 1% increase amounts to Rs 520/- Crores. In 2nd February 2019 meeting IBA increased their Offer to 10%, which amounts to Rs 5200/- Crores. AIBOC & NOBO did not attend the meeting. 7 constituents of UFBU who participated in the meeting has rejected this Offer and has demanded IBA to increase their Offer.

In 10th Bipartite Settlement the Pay Slip Component was Rs 31,000/- Crores and UFBU including AIBOC had signed settlement for 15% increase, which amounts to Rs 4,700/- Crores approximately.

After signing on a mutual agreed percentage the amount is bifurcated between Officers and Award Staff, which in turn is distributed amongst different scales of pay and other pay slip components.

It can also be observed in past few settlements the amount allocated to Officers as wage increase is distributed among the higher scales i.e on Scale IV and above more and on the lower scales i.e Scale I, II & III less, which is done by these same Officer's Unions.

Then why blame Com C H Venkatachalam who is the General Secretary of AIBEA, which represents only Award Staff. The answer is these so called critics are hiding their weaknesses and shortcomings by blaming Award Staff Unions for all their miseries. Most of the young Officers do not even know who is their leader and these innocent young Officers fall prey to misleading propoganda in the Social Media and hence this clarification.

Please note that the present highest gross pay in Clerical Cadre under 10th Bipartite Settlement is Rs 86,000/-, Superannuation Benefits is Rs 52,00,000/- and Pension after Commutation is Rs 31,000/-.

All informations are available in public domain. All one has to do is take a informed decision and not to believe in misleading propoganda.