“Today marks a significant milestone for the #bankingindustry as IBA and #UFBU #AIBOA #AIBASM and #BKSM have signed the 9th Joint Note and 12th #Bipartite Settlement regarding #Wage Revision for Bank Officers and Employees, which will take effect on Nov. 1, 2022. @PIB_India #dfs,” IBA chief executive officer Sunil Mehta said in a tweet.

ALSO READ- CBI nabs UCO bank app developers for ₹820-crore ‘fraud’

This decision will lead to an estimated additional annual expenditure of around ₹8,284 crore for public sector banks.

The wage increase, effective from November 2022, is expected to benefit approximately 8 lakh bank employees.

The revised working hours will be effective after notification by the government, the All India Bank Officers’ Confederation said.

Top 5 benefits for PSU bank employees

1. PSU bank employees to get a 17 per cent salary hike. The increment will be effective from November 1, 2022, and officers completing CAIIB (CAIIB Part-II) will receive two additional increments.

2. The new pay scales for PSU bank employees, post IBA and bank employees union pact, include the merger of Dearness Allowance corresponding to 8088 points.

“With the applicable load of 3.22 per cent the effective load on the basic pay post-merger of dearness allowance @30.38 per cent is 4.20 per cent,” the joint declaration says.

ALSO READ- Income Tax tribunal dismisses Congress’s plea to stop action against bank accounts

3. Under the revised wage settlement, female employees are entitled to one sick leave day per month without a medical certificate.

4. Accumulated privilege leave can be encashed up to 255 days upon retirement or in the event of an employee’s death while in service.

5. Retired employees will receive a monthly ex-gratia amount, in addition to the pension or family pension provided by Public Sector Banks, including SBI. This applies to pensioners and family pensioners eligible to draw pension on or before October 31, 2022, including those who retired on that date.