Business & Markets

Bankers Eye 5-Day Workweek, Salary Boost as Govt Considers Approval

Indian bank employees, particularly those in the public sector, have reason to celebrate after the Indian Banks’ Association (IBA) and bank employee unions reached a historic agreement on a 17% annual wage hike.

This substantial increase, effective November 1, 2022, is expected to significantly impact the lives of nearly 8 lakh (800,000) bank employees and is projected to cost public sector banks an additional Rs 8,284 crore annually.

Key Highlights of the Agreement:

  • Substantial Salary Increase: A 17% annual wage hike for bank employees, providing a much-needed financial boost.
  • Improved Work-Life Balance: The agreement includes a proposal for a 5-day work week, subject to government approval. This could significantly improve the work-life balance for bank employees, potentially leading to increased productivity and morale.
  • Enhanced Leave Policies: Female employees will now be entitled to one day of sick leave per month without a medical certificate. Additionally, employees can now encash up to 255 days of accumulated privilege leave upon retirement or death while in service.
  • Increased Support for Retirees: Retired employees who became eligible for pension on or before October 31, 2022, will receive a monthly ex-gratia amount in addition to their existing pension or family pension (applicable to Public Sector Banks and State Bank of India).

Potential Impact on Bank Customers:

The transition to a five-day work week might raise concerns for customers who rely on Saturday banking services. However, the widespread adoption of mobile banking, ATMs, and internet banking provides convenient 24/7 access to manage finances, mitigating any potential disruption.

Looking Forward:

This agreement signifies a positive development for the Indian banking industry. The improved compensation package and potential for a five-day work week are likely to attract and retain talent, leading to a more robust and efficient banking sector.

360hausa Team

360Hausa is a current Best Hausa Entertainment blog in Africa that specialized in providing you high quality content. 360Hausa was found and manage by Abubakar Yusuf Radda (B2 [D Promoter] Slayer). A Blogger, Ghost Writer & Content creator. Follow us on Social Media @360Hausa


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