12th BPS: Next Negotiation Talk on 7 December, Bankers Expect Favourable Outcome

In the corridors of banking, the awaited 12th Bipartite Settlement (BPS) has become a focal point, embodying the expectations and concerns of bank workers. Bankers were worried about the delay in negotiations between the United Forum of Bank Unions(UFBU) and the Indian Banks' Association (IBA), as issues such as wage revision, merger points and dearness allowance echoed across the banking community. 

However, the IBA has now come forward inviting the union representatives for another negotiation talk on 7 December. Inside sources view this as a positive step to the resolution of the matter. Negotiations between UFBU and IBA hit a roadblock after the failure of the last discussion held on 9 November, raising fears of a delayed resolution for the long-pending 12th BPS.

Image - Letter from IBA inviting UFBU representatives for a negotiation talk on 7 December

But, what has become evident amidst the delay is the bankers’ strong resolve to their long lasting demands. A recent article authored by Gautam for the web platform 'Bank Workers Unity' had also reiterated crucial issues such as merger points and dearness allowance (DA) are matters of serious concern. "Our demands are not unjust; they reflect the legitimate expectations of bank employees who have tirelessly contributed to the growth and stability of the banking sector", the article reads. 

Furthermore, the vocal expression of discontent among bankers manifested on social media platforms, particularly on X (formerly twitter). Numerous active voices within the banking community took to these platforms to express their frustration over the prolonged delay in negotiations. Their posts stressed the urgency for a fair and timely resolution to address the concerns of the workforce. 

Image - Screenshot of an X post regarding the issue from the handle named 12th Bipartite Wage Settlement.

Jinsil(name changed), an SBI officer, expects the negotiations to end on a good note. “As the elections are approaching, probably the wage revision and other demands may not get dragged further. Expectations are high on the implementation of 5-days banking as well”, he told Kanal.

Speaking to Kanal, Mr. Dileep, General Secretary of Bank of Baroda Employees Union Kerala, expressed discontent over the current impasse in BPS negotiations. “Considering the bankers’ worries, the IBA should come ahead with a better offer. That’s the only solution for this impasse. During the 11th BPS negotiations, the IBA’s only argument to deny an increase in the basic pay was the net loss incurred by PSBs. But now, even when the PSBs record a profit of ₹33,643 crore, a 31% increase, they are hesitant. If they are on profit, the banks owe the employees a share of it”, Dileep said.

Speaking to Kanal, Deepak, an employee of Canara Bank and organiser of Bank Employees Federation of India expressed the necessity to implement 5-days banking. “With performance pressure, staff shortage and the increasing amount of business, the banking fraternity is facing an immense amount of stress. This leads to work-life imbalance, and even to personal and health issues. Implementing 5-days banking will give them some breathing space to take-up responsibilities  efficiently, ensuring increased productivity”, he told Kanal.   

Image - Another X post indicating the delay in settlement.

Resolution Comes Closer
Even during the impasse, informal talks were underway between the UFBU and the IBA. Now that the IBA has called for another negotiation talk on 7 December, inside sources reveal a potential avenue for resolution with IBA placing a better offer. Chances are high that the UFBU and IBA may reach a consensus around 20% to 23% increment in pay-slip cost, a loading factor of 10% and merger of special pay to the existing basic pay. However, the bank employees are hoping for a resolution to the 'stalemate' in the negotiation process.