Jammu/Leh, Mar 26: Bank employees and officers across the country have mounted a coordinated agitation against the revised Performance Linked Incentive (PLI) framework, with the United Forum of Bank Unions (UFBU) reporting widespread participation and calling for immediate intervention to halt unilateral implementation during ongoing conciliation proceedings.
The unions have urged the Department of Financial Services, the Indian Banks’ Association, and public sector bank managements to suspend the proposed changes and return to negotiated dialogue, warning that proceeding during conciliation could trigger industrial unrest and undermine established labour norms.
The dispute centres on the revised PLI formula, which the workforce views as a departure from the existing settlement-based system evolved through bipartite agreements. While the current framework links incentives to collective institutional performance, the proposed structure introduces differentiated criteria and individual assessment, particularly affecting officers in Scale IV and above.
UFBU maintains that the revised approach risks fragmenting the workforce by creating artificial classifications among officers, potentially weakening unity, affecting morale, and disrupting long-standing industrial relations practices within the banking sector. The forum has argued that the issue extends beyond incentive payments to the preservation of collective bargaining principles and established service conditions.
The timing of the move has drawn sharp criticism, as the matter is already under conciliation before the Chief Labour Commissioner (Central). During proceedings held earlier this month, discussions were underway regarding incentive payments for the financial year 2024–25. Union representatives contend that any unilateral action during this period violates the requirement of maintaining status quo in ongoing industrial disputes.
Citing provisions under the Industrial Disputes Act, UFBU has formally approached labour authorities, stating that unilateral implementation during conciliation raises serious legal concerns and could pre-empt the outcome of negotiations. The forum has sought urgent intervention to ensure that the process of dialogue is not undermined.
Ground reports from banking institutions indicate strong participation in the agitation, from branch staff to senior officers, reflecting widespread concern over the proposed changes. The response, according to union leaders, underscores the depth of opposition and the determination of employees to defend collective frameworks governing service conditions.
UFBU has reiterated its commitment to resolving the issue through dialogue and conciliation but cautioned that failure to pause unilateral measures could lead to further escalation, placing responsibility for any disruption on the authorities moving ahead with the revised policy
