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Thursday, Apr 3, 2025 | India

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Minimum Wages Ensured for Sweepers in Tamil Nadu Grama Bank After Union’s Struggle

The Regional Labour Commissioner (RLC) in Chennai has ordered the management of Tamil Nadu Grama Bank (TNGB) to ensure that sweepers engaged by the bank receive minimum wages. The order also mandates the payment of arrears to the workers for the period between April 2019 and August 2020, amounting to Rs 50,22,275

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Author: Neelambaran A

Published: May 16, 2024

Approximately 483 sweepers, responsible for cleaning and maintaining hygiene in TNGB branches, have been guaranteed minimum wages after a five-year struggle. The RLC's order comes as a relief to these workers, predominantly women from socially backward classes.

The TNGB Workers Union (TNGBWU) approached the RLC in August 2020 to advocate for minimum wages for these highly unorganised workers. In response, the RLC instructed TNGB management not only to ensure minimum wages but also to pay Rs 50,22,275 in arrears to the workers, along with an additional sum of Rs 50,22,275 as compensation.

Previously, these workers were paid meager wages ranging from Rs 500 to Rs 900 per month, depending on branch locality. Their wages will now be revised to Rs 1,700 to Rs 2,100 in rural and urban areas, respectively.

Branches are also directed to manage a payroll for sweepers, potentially allowing them to enrol in the Provident Fund (PF) scheme, thereby enhancing their social welfare.

No Formal Appointment of Sweepers, Only Temporary Engagement

Since the inception of rural banks in Tamil Nadu, there has been no formal appointment of sweepers. Instead, each branch informally engaged workers for cleaning duties, including branch premises and toilets. These workers even had to fetch drinking and cleaning water from nearby sources until a decade ago, given the rural locations with minimal facilities.

The working hours of the sweepers  varied across branches, ranging from 1 hour in rural branches to 8 hours in the head office. Unfortunately, they received paltry wages with little attention from bank management.

The TNGBWU and the TNGB Officers Association (TNGBOA) attempted to organise workers to assert their rights for minimum wages. A case filed in the Madurai bench of the Madras High Court was dismissed in the early 2000s, much to the dismay of the workers.

Appeal in Labour Court Leads to Victory

Following the amalgamation of Pandyan Grama Bank and Pallavan Grama Bank into TNGB on April 1, 2019, the two unions of TNGB approached the RLC in Chennai in August 2020 to demand wages in accordance with the Minimum Wages Act.

Leaders of TNGBWU, including president Lakshmi Narayanan, general secretary Aswath, and Rajagopal, state vice president of the Bank Employees Federation of India (BEFI), appeared before the RLC on behalf of the neglected sweepers. After a four-year wait, on May 15, 2024, the RLC Chennai passed orders to ensure minimum wages, much to the delight and relief of the workers.

Mathavaraj, former general secretary of TNGBWU, remarked, “This is a massive success for the most unorganised workers in sweepers in the TNGB. Though their voices were not heard for long, we wanted to ensure they are paid nominal wages as per the law.”

Wages will be paid based on the number of hours worked by the workers, with their names recorded in a register, potentially enabling them to enrol in the PF scheme.

“Previously, the manager passed a bill for himself towards cleaning charges and paid the workers. Now, the branch has to maintain a register with the names of the workers. This is another major victory for the unorganised workers,” Mathavaraj added.

The minimum wages declared by competent authorities for rural areas were Rs 420 for rural, Rs 525 for semi-urban, and Rs 620 for urban areas, subject to quarterly revision. Henceforth, workers will be guaranteed minimum wages.

Tags:banking sectorRuralBanking