Central Pay Commission recommendations are not applicable to the employees of Public Sector Banks

Central Pay Commission recommendations are not applicable to the employees of Public Sector Banks

Whether the Central Pay Commission benefits are not applicable for employees of banks…?

The question has been raised by the Hon’ble member in Parliament, the concerned ministry replied that the ‘Central Pay Commission recommendations are not applicable to the employees of Public Sector Banks’. And also answered to the supplementary question of how their salaries are revised.

"The pay scales of employees in PSBs are revised every five years on the basis of the Bipartite Settlement signed with Workmen Unions and Joint Note signed with Officers’ Associations by Indian Banks’ Association (IBA).

Accordingly, IBA negotiates salary and service conditions of employees. As part of negotiations, the terms of payment of pension are also discussed alongwith the salary revision.

The service conditions of Central Government employees differ significantly from those of bank employees and the two are regulated by their respective service regulations. Hence, no comparison can be drawn between the two".

Source: http://centralgovernmentemployeesnews.in/2013/08/central-pay-commission-recommendations-are-not-applicable-to-the-employees-of-public-sector-banks/