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IDBI Bank may shelve variable pay plan

IDBI Bank is expected to formally shelve its plan to become the first public sector lender to introduce variable pay for its employees. - Four in fray for NHB chief's job - IDBI Bank yet to begin Rs 13,000 cr syndication for RPower - IDBI Bank revives plan to sell mortgage subsidiary - IDBI Bank-led consortium raises $1.1 bn for Air India - BoB to hire 3,500 people by March 2010 - IDBI Bank announces repayment of 11.5% SLR bonds While the bank’s board had discussed the proposal in May and the new scheme was to come into effect from June, the bank didn’t go ahead with the plan on concerns expressed by the finance ministry. The finance ministry was peeved over the fact that the board of the erstwhile development financial institution gave an in-principle approval to the plan ignoring its advisory. The board had authorised the management to work out the details based on inputs from the government. Under pressure from the government which has sought an explanation from the bank on ignoring its advisory, the bank has not implemented the variable pay scheme for its executives. In case of non-officer grade staff, the issue was to be thrashed out following the labour commissioner’s intervention. When contacted, Prashant Sadar Joshi, the HR head of IDBI Bank, refused to comment on the issue. But sources said that the board was expected to discuss the proposal and unlike the meeting in May, GC Chaturvedi, additional secretary in the finance ministry and the government nominee, would attend the meeting where the issue was expected to come up for discussion. Public sector banks, which are negotiating a wage hike with their employees unions, have decided against implementing a variable pay scheme. But IDBI Bank, which is not part of the talks, decided to move to a cost-to-company structure and also intended to change the service rules for its employees. In a letter, however, the government had said that the wage settlement should have no parity with any agreement between the Reserve Bank of India and its employees and should be based on the practices in public sector banks. On the issue of harmonisation of service rules, the government had said in the letter written on May 22 the issue needed further scrutiny and the board should not take a decision. But a day later, the bank’s board approved the proposal, prompting the finance ministry to raise questions as the government is the majority owner.[----------] : June 18: Finmin against IDBI Bank variable pay move

Payday loan application commented:

A good and a innovatie way by the IDBI bank which will motivates its employees to work in a more better way.

20.07.2011

compare payday loans commented:

Good if they are thinking of the variable plan they will surely able to deal with the situation.

12.09.2011

Payday Loan commented:

Well I feel there should always change and add for the pay for employees so that they get motivation.

10.10.2011

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This disinvestment bring some changes in the social sector like hospitals and schools should be build but hope that this will be done efficently.

25.10.2011

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IDBI Bank is expected to formally shelve its plan to become the first public sector lender to introduce variable pay for its employees.

26.11.2011

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You need to go for a speech and understand it yourself. There are many important topics.

19.12.2011

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20.02.2012

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24.03.2012


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