Bank officers body demands RRBs merger with sponsor banks

The All India Bank Officers’ Confederation wants the Regional Rural Banks to be merged with the sponsor banks. The AIBOC also wants the employees of RRBs to be paid on par with their counterparts in sponsor banks on the principle of ‘equal pay for equal work’ as decreed by Justice Obal Reddy.

AIBOC general secretary G D Nadaf regretted that the managements of sponsor banks had not done anything to treat the RRB employees on par with those of sponsor banks and rued that the government also had not formulated a negotiating forum to discuss the demands pertaining to service conditions of RRB employees.

Speaking at the second triennial general body meeting of Karnataka Vikas Grameena Bank Officers’ Association he said the RRB employees were forced to approach court of law to secure justice.

He said the negotiations with the Indian Bankers Association (IBA) on salary revision and second option on pension had reached a dead end due to “adamant stand of the IBA to link it to introduction of Defined Contributory Pension Scheme in the banking industry for future recruits”.

The new pension scheme unilaterally introduced to central government employees has been opposed by all central trade unions and the bill of Pension Regulatory Authority is pending in the Parliament. It is unfortunate that despite all public sector banks performing well, employees and officers are deprived of decent pay package due for revision from November 1, 2007” Nadaf said.

He also complained that the upward revision of ceiling limit on gratuity to Rs 10 lakh with effect from January 1, 2006 for central government employees had not been made applicable to bank employees in the absence of amendments to Payment of Gratuity Act 1972.

“We had expected the salary revision and second option on pension before the announcement of general elections. Our pleas to the union finance minister and labour minister have not been responded to. We are compelled to go on agitation mode” Nadaf explained.