BPS Brings Change in Designation and Additional Responsibilities: But, Are The Bank Employees Compensated Well?

The recent signing of the 12th Bipartite Settlement (BPS) has sparked discussions within the banking sector. Effective from 1 April, this agreement brings significant alterations in job titles and duties for bank employees. While the settlement promises to redefine roles, controversies loom over the initial proposals and subsequent amendments. A pertinent question arises: are the newly assigned responsibilities commensurate with the monetary benefits?

Change in Designations

With the BPS implementation, the nomenclature for various positions undergoes transformation. The 8th point in the 12th BPS mentions as below:  

(Excerpt from the 12th BPS document indicating the changes in designations.)

What Are the Additional Duties & Responsibilities?

The proposed settlement outlines a significant augmentation in the duties and responsibilities of bank employees, particularly for the Clerical cadre. The revision suggests a substantial increase in passing powers for Single Window Operators (SWOs) and Clerks. Under the new provisions, SWOs are empowered to independently process transactions up to Rs. 50,000, significantly higher than the previous limit of Rs. 10,000. Similarly, the authority for clearing and transfer vouchers sees a substantial surge, reaching Rs. 100,000.

 

The traditional Maker-Checker concept, pivotal for ensuring transaction accuracy, undergoes transformation as Clerks assume greater independent responsibility. This shift raises concerns about vulnerability to errors and potential disciplinary actions due to increased pressure and volume of transactions.

(A discussion thread on platform X criticising the additional duties and responsibilities.)  

Devidas Tuljapurkar, joint secretary of the All India Bank Employees Association(AIBEA)-the largest union among the workmen, stressed the importance of effectively communicating the new changes to bank employees, ensuring a clear understanding. He recounted his participation in several mass meetings organised by AIBEA to explain the modifications and their necessity, noting generally positive feedback received. Tuljapurkar emphasised the significance of adapting to technological advancements, citing that the majority of cash transactions now occur through alternate means such as ATMs and online banking. 

He also highlighted the necessity for clerical cadres to evolve alongside these changes to maintain their relevance and pave the way for increased recruitment opportunities, which in turn will strengthen the banking industry. Additionally, Tuljapurkar advocated for promoting experienced clerks to officer positions, stating, "A clerk with 3 years of experience will be eligible for promotion to an officer position," underscoring the potential benefits of internal promotions over direct officer recruitments.

(Another post on platform X criticising the signatories of the 12th BPS)

S S Anil, All India President of Bank Employees’ Federation of India(BEFI), highlighted the significant impact of the 12th Bipartite Settlement on bank employees, emphasising the increased special allowances for various positions within the sector. "Out of the total number of workmen employed in the banking sector, with SWO A(Single Window Operator A) at 179,410 and SWO B at 28,154, these employees are set to receive special allowances of Rs. 1970 and Rs. 1970, respectively, effective from 1st April. These allowances come in addition to the 17% increment and 3% loading factor", he stated.  

Commenting on the broader implications of the settlement, Anil noted that the change in designations and added responsibilities reflects a broader move towards a marketing-oriented approach in public sector banking. "The designation change, already prevalent in many banks including SBI, coupled with the introduction of additional duties, signifies a paradigm shift towards a marketing approach. This transition was foreshadowed in the 8th BPS itself, with a clause allowing banks to utilise staff for marketing responsibilities. With the current implementation, this shift becomes even more obvious", he added.

Anil emphasised the notable increase in passing power, a stance BEFI strongly opposed. He clarified that a consensus among major unions preceded discussions within UFBU, forming a committee with representatives mainly from AIBEA and NCBE. BEFI objected to this formation, sending a letter in October 2023, deeming it undemocratic. Anil pointed out that due to this process, concerns about additional duties and passing powers weren't adequately addressed in the initial IBA proposal. He suggested that broader platform inclusion would have better addressed employee concerns against such initiatives.

Late amendments in the final settlement address crucial aspects such as workload targets, duty limitations to bank premises, and overtime regulations. Additionally, responsibilities during field visits, including accompanying officers for purposes like recovery, are clarified, ensuring accountability and adherence to duty schedules.

As the banking sector adapts to the changes introduced by the 12th Bipartite Settlement, the discourse surrounding compensation adequacy and workload management remains pivotal. While the revised designations and duties aim to streamline operations, addressing concerns regarding employee welfare and job satisfaction is imperative for sustained industry performance.