NBEF signs the negotiation (9th BPS for Banks) under protest

NBEF signs the negotiation (9th BPS for Banks) under protest.....





Indian National Bank Employees’ Federation



(A Banking Wing of INTUC)



Dr. G. Sanjeeva Reddy – M.P.



President



Subhash S. Sawant



General Secretary



INBEF/GS/SSS/2010/26 April 27, 2010



To



The Chairman Indian Banker’s Association World Trade Centre Complex, Centre 1,



6th floor, Cuffe Parade,Mumbai 400 005.

Dear Sir,





Reg: Pension cost sharing amongst existing employees.

Ref: MOU dated 25th February, 2008 and Record Note of the Discussions held on



27th Nov. 2009 Between IBA and UFBU.







This has reference to your letter No.HR&IR/MV/76/90/155 dated 21st April 2010



inviting us to sign the 9th Bipartite settlement on 27-04-2010. We would like to



draw your attention to the discussions held on 16th April, 2010 in consonance to



the modalities signed on 27-11-2009 that interalia stipulates - “30% (Rs.1800.54



crores) by all the employees who are in service of the banks as on the date of



the Memorandum of Settlement/Joint Note to be signed between the parties in this



regard. This amount will be recovered from the arrears payable on wage



revision.”, you had informed us that all employees who are in service shall have



to pay 1.6 times of the revised pay as on 01-11-2007.



To our utter surprise just on the eve of the signing agreement for which the



entire workforce serving in the industry are eagerly awaiting, you have violated



from the understanding reached earlier and now insisting upon us to agree that



only the CPF optees shall have to bear the entire burden of 1800.54 crores by



contributing 2.8 times of their pay as on 01-11-2007 in lieu of 1.6 times that



was agreed upon.



This is a major deviation from the earlier understanding as our organisation



could have submitted alternate proposal on 27-11-2009 for the benefit of the



employees to which we have been deprived of.



Further since 01-04-2008 quite a large number of employees have retired from



service for whom you have decided to recover 56% in addition to the Bank’s



contribution that they will be surrendering for opting pension. This will



definitely jeopardize the interest of both the serving and retired employees as



the very basis of actuarists calculation will undergo a change.



In view of the above we would like to submit that we are signing the 9th



Bipartite settlement under protest without prejudice to our rights to maintain



the sanctity of the understanding reached earlier.





                                                           Thanking you,







                                                                                       Yours sincerely,



                                                                                      Subhash S Sawant



                                                                                      General Secretary