Performance Linked Incentive Scheme: Bank Officers Scale I to VII w.e.f 1st Nov, 2017: 11th BI-Partite Settlement Dtd. 11 Nov 2020
Performance Linked Incentive Scheme:
The wages settled during wage revision at industry level are paid by all Banks uniformly, irrespective of the size of the Banks and their financial strength. In Today’s challenging environment, where there is stiff competition among Banks, a genuine need is felt to allow Banks to pay their employees something extra by way of encouragement as per the profitability and financial soundness of the respective Bank. In order to inculcate a sense of competition and also to reward the performance, the concept of Productivity Linked Pay was discussed and after discussions between the parties, it is agreed to introduce Performance Linked Incentive Scheme in Public Sector Banks which will be based on Operating Profit/Net Profit of the individual bank (optional for private and foreign banks). The PLI shall be payable to all employees annually over and above the normal salary payable. The PLI matrix shall decide the amount payable to the employees (number of days of pay = Basic + DA) depending on the annual performance of the Bank. All the employees shall get the minimum number of days of pay as incentive depending on where in the matrix the Bank’s performance fits in, broadly as per Matrix as under:-
| Sr.No. | YoY Growth in Operating Profit | No. of days for which Salary (Basic + DA ) shall be paid |
| 1 | < 5% | Nil |
| 2 | 5% to 10% | 5 days |
| 3 | > 10% to 15% | 10 days* |
| 4 | > 15% | 15 days* |
| *3rd and 4th slabs are payable only if the Bank has Net Profit. Ifa Bank has growth in Operating Profit of 5% & more, but there is no Net Profit, then minimum 2nd slab of 5 days will be payable. | ||
(The PLI will be applicable from FY-2020-21)
Annual encashment of Privilege Leave:
From the calendar year 2020, Privilege Leave encashment shall be permitted at the rate of 5 days for each calendar year at the time of any festival of the employee’s choice. Employees who have completed 55 years of age as on 01.01.2020 and above shall be entitled to encash at the rate 7 days for each calendar yeas, till retirement as a one times measure.
Click Here to Read Full: 11th BI-Partite Settlement Dtd. 11 Nov 2020 – Revision of Bank Officers Salary DA Increments HRA & Other Allowances w.e.f 1st Nov 2017
COMMENTS