Festival gift! The festival season may bring cheers for 14 lakh bank employees in the country, as the Indian Banks’ Association (IBA) has asked all the heads of government banks, private banks and foreign banks to credit 1 month salary into the accounts of employees as an advance before Diwali.
While asking all the heads of government banks, private banks and foreign banks to provide festival advances to employees through a letter, the IBA has stated that negotiations on the wage revision of the bank employees are already going, therefore, an ad hoc amount, equal to an employee’s one month salary, should be given. This festival advance will include basic salary + Dearness Allowance (DA).
According to IBA Chief Executive VG Kannan’s letter, this salary should be given to all the regular employees, staff and officers of the banks.
The letter further stated that the advance should be given to those employees who are on the rolls from November 1, 2017, and are currently working in the bank. The employees who joined between November 1, 2017 and March 31, 2019, will get half of their salary as the festival advance.
According to the IBA, advances given during festivals will be adjusted against the arrears received later, thereby, when the wage is revived, this advance will be adjusted. The IBA stated that the disbursal of this advance has been recommended to boost the morale of bankers, and this the reason, it has been termed as adhoc payment.
Rajneesh Gupta, President of UP Bank Employees Union, told Zee Business Online that lakhs of bankers are waiting for agreement on salary revision with the bank board.