WHAT SHOULD BE DONE NOW BY UFBU/IBA

WHAT SHOULD BE DONE NOW BY UFBU/IBA


Without standing on false prestige IBA can allow a starting salary of 15000 to officers as against the government class I SCALE of 15600.

A running scale 15000-60000 with very decent increments to dgm and gm who are executives of the banks .can be considered. Let them have some respect in the society and let them be at least equal to the secretary level and above .PLEASE HELP THEM TO KEEP THE INSTITUTIONS PRESTIGE. SALARY LEVEL REFLECTS THE INSTITUTION STATUS
In place of grade pay 5400, they can introduce the concept of variable pay on an experimental basis from prospective effect ie from 01.04.2010.By this the employees may stand to gain however small the amount may be over and above the present agreed increase and will narrow the lo………ng gap prevailing between government officers and bank officers .This incentive if any can be given on ad hoc basis ie equal amount to all officers or on scale wise so that juniors can derive some benefit.

Since majority of the officers are availing lease facility IBA CAN CONSIDER increasing HRA to at least 20% which can be increased to government level in next settlement. THIS SHOULD NOT BE INCLUDED IN THE COST.
This also can be given from prospective date 01.04.2010.It will give relief to self occupied properties of officers .

Clerical starting pay can be 50% of the starting scale of officers and ending can be 40%.
A running scale of 7500-24000 with least 23 stages so as to avoid frustration at the senior level and to give them relief from stagnation increments for years together.
Substaff salary starting should be 90% of the clerical starting and ending 70%

6750-16800 with atleat 23 stages so as ro avoid stagnation.

The above proposals are the minimum need based wage revision based on the parity theory and not on earlier bipartite theory and rest of the things can be considered by appointing a committee and to bring parity atleast in future . LET IBA CONSIDER ITSELF AS A PAY COMMISSION JUDGE AND LET IT DO JUSTICE WIOTHOUT CALLING FOR NEGOTIATION . FOR GIVING BETTER HIKE THAN WHAT WE ARE EXPECTING NEGOTIATION IS NOT NECESSARY. ALL BANKMEN WHOLEHEARTEDLY THINK WELL OF IBA AND MINISTRY.
POOR BANK PENSIONERS
ALLOW IMMEDIATE 100% DA RELIEF TO PRE 01.11.2002 PENSIONERS AS AGREED BY PARLIAMENTAARY COMMITTEEE AND SAVE THEM FROM THE CLUTCHES OF INFLATION. PRE 01.11.2002 PENSIONERS ARE ALSO LIVING IN THIS WORLD ALONGWITH OTHER BANKMEN AND GOVERNMENT EMPLOYEES/PENSIONERS BUT WITH MUCH REDUCED PENSION. GIVE THEM SOME LIGHT BY ANNOUNCING 100% NEUTRALISATION IMMEDIATELY.

FINALLY BY ALLOWING PENSION UPDATION ALSO ON PAR WITH GOVERNMENT EMPLOYEES IBA CAN COMPLETE ITS ROLE AND UNDO WHAT ARE THE INJUSTICES THAT IT HAS DONE TO BANKMEN SINCE INCEPTION.
LET THE PRESENT TEAM DO PARIHARAM FOR THE PAPAM COMMITTED BY VARIOUS ERSTWHILE LEADERS.
VIABILITY OF THE PROPOSAL
ALL THE STATE GIVERNMENTS AND CENTRAL GOVERNMENT ARE IN SEVERE DEBT CONDITION ( courtesy dinamalar daily 25JAN 09)where as banks are in the green even absorbing all the genuine /political write off. IT IS STANDING LIKE A ROCK BECAUSE OF THE DEDICATION OF ONE MILLION EMPLOYEES. SO REWARD THEM INSTEAD OF PUNISHING THEM ALLOW THE INDUSTRY TO BE PROUD BY ALLOWING THE EMPLOYEES AND PENSIONERS TO DRAW MORE SALARY AND MAKING THEM HAPPY.MAKE THEM BLESS AND DON’T ALLOW THEM TO CURSE.

FINALLY ONE LUMP SUM INCREMENT TO ALL FOR THEIR PATIENCE SINCE 01.11.2007 WHICH WILL FURTHER IMPROVE THEIR PAY PACKET . DON’T WORRY THEY CAN NOT CATCH THE GOVERNMENT SALARY LEVEL .WHICH IS HAVING THE HIGHEST CAPACITY TO PAY BY INCREASING THE FISCAL/REVENUE DEFICIT.


K BALASUBRAMANIAN

INTRODUCTION OF VARIABLE PAY IN BANKS

INTRODUCTION OF VARIABLE PAY IN BANKS IDEA MOOTED BY RBI DEPUTY GOVERNOR


Bank unions and associations can make an in depth study on the proposal and come to a conclusion in consultation with its members after initiating a debate on the subject.

POSITIVE FEATURES
. It should act like a variable pay which is prevailing almost in every target based industries.INCLUDING IT GIANTS .
It will act as a stimulus to the employees to achieve more profit for the individual banks
Many more innovative features can be introduced and the employees can be compensated as an additional package branch wise for reaching deposit target/advance target/recovery of npa/house keeping/

Most important point is that a certain percentage of net profit can be fixed for distribution for the bank as a whole in lieu of bonus by calling it as INCENTIVE TO THE STAFF. This alone will ensure benefit to the bank as a whole as otherwise it is very difficult for bringing the administrative staff in to the variable pay component.
After finalizing this settlement with addition of proviso that from 2010-2011 financial year onwards variable pay will be introduced for the remaining period of the settlement ie FY 2010-11,2011-2012,2012-2013 in addition to this 17.5% settlement as additional package and with the result if both employees gross package on CTC basis AND PROFITABILITY IS IMPROVING this can be implemented for future settlement .
This alone will ensure some parity.
Definitely some sort of this should definitely ensure better productivity resulting in better pay packet for the bankmen.
NEGATIVE FEATURES:
There may not be uniformity in distribution of profits and element of adhocism will enter resuting in better managed employees some times may get less incentive then a comparable bank with less profit figures .
As usual our cunning IBA and ministry bureaucrat will bring some formula to the disadvantage of the employees making an attempt to even allocate variable pay with in this notorious 17.5% increase . UFBU will definitely agree because they are so much frightened because any protest will result in NO SECOND OPTION FOR PENSION. Hence their lips and hands are tied .
So anything can be talked only after inking this settlement and give another option for pension by the pf optees. TILL THEN ONLY PATIENCE PATIENCE PATIENCE –ONLY MANTRA.

KBALASUBRAMANIAN

REMEDIES FOR INDIAN ECONOMY

REMEDIES FOR INDIAN ECONOMY




NEED OF THE HOUR

FISCAL DISCIPLINE
CONROLLING MONEY SUPPLY
INCREASE THE RATE OF TAXES ON LUXURY ITEMS TO MOP UP MUCH NEEDED REVENUE
SOME MAJOR INIITIATIVE TO MOBILISE SAVINGS
SALE OF ATLEAST 10% OF THE EQUITIES IN SELECTED PUBLIC SECTOR UNDERTAKINGS AND RECYCLE THE FUNDS FOR PRODUCTIVE INVESTMENT


MAJOR BOLD STEPS TO BE UNDERTAKEN

IMPOUNDING OF 50% OF THE ADDITIONAL DA PAYABLE WEF 01.01.2010 BY CENTRAL , STATE GOVERNMENTS AND BANKS AND OTHER PUBLIC SECTOR UNDERTAKINGS. ATLEAST 15% OF DA MAY BE PAYABLE TO NEARLY TWO CRORES EMPLOYEES DURING 2010 AND IT WILL HAVE A GOOD IMPACT TO ARREST INFLATION AND ALSO TO POSTPONE THE PAYMENT THERE BY CONTAINING THE FISCAL DEFICIT

FREEZE THE BUDGETARY ALLOCATION TO VARIOUS DEPARTMENTS AND THOROUGH REVIEW OF MAN POWER REQUIREMENTS AND CLUBBING OF DUPLICATION OF WORK . ADMINISTRATIVE REFORM COMMISSION AND RATIONALISATION OF MANPOWER TO BE TAKEN ON A WAR FOOTING BASIS.

REPLACE THE ENTIRE BURDEN OF SUBSIDY BY CASH PAYMENT MECHANISM ON MONTHLY BASIS JUST LIKE PAYMENT OF PENSION THROUGH BANKS /POST OFFICES . FREEZE THE RATION CARDS ON THE GOVERNMENT RECORDS . SUITABLE MECHANISM TO BE INVOLVED . A PRIVATE AGENCY MAY BE ASSIGNED WITH THE TASK OF IDENTIFICATION IN SYNCHRONISATION WITH THE PARTICULAR GOVERNMENT DEPARTMENT.
AT ONE STROKE TAKE OUT ALL GOVERNMENT /QUASI GOVERNMENT EMPLOYEES AND WHO ARE ALL PROTECTED BY INCREASED DA COMPENSATION METHOD FROM THE PURVIESW OF SUBSIDISED RATION COMMODITIES.EXEMPTION: DEFENCE AND RELATED SECTOR E,MPLOYEES
WITHDRAW THE SUBSIDY ON THE CYLINDER IN STAGES AND COMPLETE REMOVAL OF SUBSIDY IN 2 YEARS.

IF THE NEW TAX CODE IS NOT REVENUE NEUTRAL SIMPLY POSTPONE THE IMPLEMENTAION AS GOVERNMENT MAY BE FORCED RATHER COMPELLED TO REMOVE O NE BY ONE THE IRRITATING ASPECTS AND RETAIN ONLY THE REVENUE LOOSING RECOMMENDATIONS AND IT WILL NOT GO AS A PACKAGE.( FIFTH PAY COMMISSION WAS NOT IMPLEMENTAED AS A PACKAGE AND HENCE THE EXPENDITURE WAS MORE THAN THAT ENVISAGED BY THE COMMISSION ) THAT WILL END WITH LOSS OF ADDITIONAL REVNUES.

TRY TO MAKE GOLD AS A COMMODITY AVILABLE ATLEAST 10% BELOW THE MARKET PRICE AND MAKE IT IMMEDIATELY ATTRACTIVE INVESTMENT. MONEY MOBILISED MAY BE ROUTED FOR INFRASTRUCTURE DEVELOPMENT.THIS WILL ALSO CHECK THE GOLD PRICE IN THE OPEN MARKET.
TAX FREE INFRA BONDS OF 8% MAY BE FLOATED FOR 10 YEAR TENURE AS A LISTED ENTITY FOR LIQUIDITY AND MOBILISE MAXIMUM FUNDS FOR INFRASTRUCTURE DEVELOPMENT.INDIRECT BENEFITS TO SENIOR CITIZENS.

EXPLORE THE POSSIBILITY OF EXEMPTING THE ENTIRE INTEREST INCOME RECEIVED FROM DEPOSITS FROM RECOGNISED APPROVED FINANCIAL ENTITIES LIKE BANKS NBFC ETC IN THE HANDS OF INVESTORS
OR
CHARGE 5% OF THE INTEREST PAID ON DEPOSITS BY BANKS AS TAX AT SOURCE PAYABLE BY THE INSTITUITIONS ON THE LINES OF INTEREST TAX AND ALLOW THEM TO REALIGN THE DEPOSIT RATES ACCORDINGLY .NET RESULT IS THAT INTEREST INCOME RECEIVED BY THE INVESTORS SHOULD BE FREE FROM INCOME TAX.THIS WILL REDUCE THE WORK OF THE DEPARTMENT AND THE SCARCE MANPOWER CAN CONCNTRATE MORE ON OTHER BIG TICKET RETURNS.

INCREASE THE CUSTOM DUTY ON IMPORT OF LUXURY ITEMS OF ELITE CLASS CONSUMPTION TO MOP UP ADDITIONAL REVENUE.

THE FOOD INFLATION IS TAKING THE POOR PEOPLE MUCH TO RANSOM AND MORE THAN 80% OF THE POPULATION IS SUFFERING. HENCE HONEST AND BOLD STEPS IN THE RIGHT DIRECTION IS THE NEED OF THE HOUR AS THEY ARE LOOKING THE GOVERNMENT TO SAVE THEM FROM THE PRICE RISE.


K BALASUBRAMANIAN