Non-Compliance of RRBs on 12th BPS Implementation Raises Accountability Questions for Sponsor Banks

Employees say the issue has moved beyond procedure and now reflects a deeper pattern of systemic disregard for RRB workforce welfare.

Incomplete Implementation of 12th BPS Benefits

Employees in banks like Manipur Rural Bank, Maharashtra Gramin Bank (MGB), Jammu and Kashmir Grameen Bank and Rajasthan Gramin Bank (RGB) have reported the most number of non-implementation of crucial allowances. Others such as Arunachal Pradesh Rural Bank have also reported payments or benefits requiring repeated manual claims.

Data accessed by Kanal from multiple RRBs shows that essential components such as special pay for Office Assistants, washing allowance, medical reimbursement, halting allowance and 150% HRA remain overdue in several banks.

A senior RRB employee said, on condition of anonymity, “The Government of India has been clear and consistent on implementing 12th BPS in RRBs. But sponsor banks are dragging their feet. The delay appears more like reluctance than oversight.”

In some banks, even basic allowances such as special area allowance or transport allowance have seen uneven and arbitrary implementation, widening disparity among employees across states.

Weak Monitoring

Retired staff—who remain among the most affected due to pending arrears—have expressed deep frustration with NABARD, which supervises RRBs and has its officials serving as directors on RRB boards.

A Telangana-based RRB retiree told Kanal, “NABARD’s monitoring on this issue is disappointing. Its officials sit on RRB boards, yet implementation is stuck for more than a year. This is a matter of utmost concern.”

Retirees argue that while sponsor banks are often blamed for resisting changes or delaying approval, NABARD’s inaction has allowed the non-compliance to continue unchecked.

Another former officer remarked, “If RRBs were commercial banks, such delays would never happen. RRB employees and pensioners do not get the same urgency from the system.”

Who Ensure’s Compliance?

RRBs sit at the intersection of multiple authorities: Government of India, sponsor banks, and NABARD. When implementation falters, responsibility becomes blurred. Who is ultimately accountable for ensuring that Government directives are executed in Regional Rural Banks?

As one frustrated employee of Assam Gramin Bank told Kanal, “When the Government issues an order, it must be implemented. If sponsor banks resist and NABARD fails to enforce compliance, whom should RRB employees approach for justice?”

He further added, “The delay in 12th BPS benefits is no longer just an administrative lapse — it has become a test of fairness and institutional accountability. As RRBs expand their rural credit responsibilities, unresolved wage parity and benefit delays are eroding morale and undermining the dignity of the workforce.”

The larger questions now demand urgent answers: Will sponsor banks finally comply without further delay? Will NABARD enforce strict monitoring? Will the Government step in to ensure uniform implementation across all RRBs?