General insurance unions reject 10.5 per cent wage hike offer

The talk on wage revision between management of public sector general insurers and employee unions today failed to end the stalemate as the latter rejected the proposal for 10.5 per cent hike in salaries.
The eight recognised unions representing around 70,000 insurance employees of the four public sector general insurance firms have been demanding a steep 22 per cent wage hike among other demands.
The wage agreement, which is signed for five years, has been due since August 2012, they said.
However, both the parties plan to meet again within a fortnight.
"At today's meeting, the management offered us a 10.5 per cent hike, which is well below our demand of a 22 per cent hike. So, we have rejected it in unison," Bharatiya Vima Karamchari Sena (BVKS) general secretary Prasad Samant told PTI after the meeting in the national capital.

Besides a wage hike, the unions have also demanded restoration of appointments on compassionate grounds, extension of earlier existing pension option to 20,000 eligible employees and new recruitments, among other demands.

Incidentally, these 20,000 employees are the ones who did not opt for the pension scheme when it was offered twice in the past, Samant said.
The General Insurers' Public Sector Association, which is the umbrella body of the four PSU general insurers namely New India Assurance, National Insurance, Oriental Insurance and United India Insurance, represented the management side at today's meeting.
Confirming the meeting and subsequent developments, senior association officials said that the unions continue to be adamant on their stand, adding, "We have decided to meet again on the issue in the next couple of weeks".