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RBI wage settlement issue: Negotiations resume, resolution may happen soon

RBI staff wages are decided through a bipartite settlement once in five years through negotiations between management and employee unions. The current round of wage revision is pending since November 2017. The RBI has different unions for lower-level employees (mainly class 3 and 4 employees) and officers.

November 29, 2021 / 01:09 PM IST
People walk past a barricade inside the Reserve Bank of India (RBI) headquarters in Mumbai, India June 7, 2017. REUTERS/Shailesh Andrade - RC18B616FD00

People walk past a barricade inside the Reserve Bank of India (RBI) headquarters in Mumbai, India June 7, 2017. REUTERS/Shailesh Andrade - RC18B616FD00

The long pending wage settlement issue of Reserve Bank of India (RBI) employees may have come to an end with the management and the trade unions resuming negotiations on November 29. According to people familiar with the development, wage negotiation for class 3 and class 4 employees will happen initially while that of the officers will happen on Thursday.

“We expect the settlements to be signed for class 3 and 4 employees on Tuesday and Wednesday and a circular to his effect may happen on Friday,” said a person who didn’t want to be named.

Earlier, the United Forum of Reserve Bank officers and employees had threatened to go for mass agitation seeking urgent resolution of the wage settlement issue. The agitation was planned including a mass casual leave for all staff.

"Our patience is wearing thin, you will please appreciate it. Our members are very restive and are in a highly-agitated mood," said the United Forum office bearers in a letter to RBI Governor Shaktikanta Das on November 12.

"We, as their accredited representatives, are therefore, constrained to call upon our members to mobilize themselves and express their grievances appropriately, in organized and disciplined manner, including cessation of work through Mass Casual Leave, which we sincerely tried to avoid but an inordinate delay on Bank’s part on such a very sensitive matter compels us," the letter said.

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But, the strike plan was put on hold after the RBI management assured resolution.

RBI staff wages are decided through a bipartite settlement once in five years through negotiations between management and employee unions. The current round of wage revision is pending since November 2017. The RBI has different unions for lower-level employees (mainly class 3 and 4 employees) and officers.

The wage settlement applies to all central bank staff although officers typically get slightly higher revision compared with lower-level employees. The Indian central bank has around 12,500-13,000 employees.
Dinesh Unnikrishnan is Deputy Editor at Moneycontrol. Dinesh heads the Banking and Finance Bureau at Moneycontrol. He also writes a weekly column, Banking Central, every Monday.
first published: Nov 29, 2021 01:09 pm
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