"Industrial Relations-Awards On Industrial Disputes": Mr. Parag Bhimrao Lonare

INDUSTRIAL RELATIONS
Project report on
1
“INDUSTRIAL RELATIONS- AWARDS ON INDUSTRIAL
DISPUTES”
S u b m i tt e d i n p a r ti a l f u l fi l l m e n t o f r e q u i r e m e n t f o r S u m m e r
Internship Project for MMS Course
By
MR. PARAG BHIMRAO LONARE
Under the guidance of
Internal Guide: MR. CHANDRASHEKHAR THAKAR
External Guide: MR. ANUJ RANJAN
Rajeev Gandhi College of Management Studies
University of Mumbai
2010-2011.
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Awards on Industrial Disputes
(1962-2007)
GUIDED BY: Presented by:

Mr. Anuj Ranjan(AGM) Parag
B Lonare
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CERTIFICATE
This is to certify that this report entitled

as “INDUSTRIAL RELATIONS- AWARDS ON INDUSTRIAL
DISPUTES” is a project work submitted by Mr. Parag
Lonare in partial fulfillment of requirements of Summer
Internship Project for MMS Course by the University of
Mumbai.
Internal guide
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(MR. CHANDRASHEKHAR THAKAR)

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ACKNOWLEDGEMENT 5
This acknowledgement is not merely a catalogue of names but a deep sense of

gratitude to all those who helped me in undertaking this project. It takes immense
pleasure in completing this project and submitting this final project report.
A successful project can never be prepared by the single efforts of the person to
whom project is assigned, but it also demands the help and guardianship of some
conversant person who helped the undersigned actively or passively in the
completion of successful project.
During the actual project work, Mr. Anuj Ranjan (Project Guide) set the ball
rolling for my project. He has been a source of inspiration through his constant
guidance; personal interest; encouragement and help. I convey my sincere thanks
to him. Inspite of his busy schedule he always found time to guide me through the
project. I am also grateful to him for reposing confidence in my abilities and giving
me the freedom to work on my project. Without his invaluable help I would not
have been able to do justice to the project.
I would also like to thank Mrs. Vanaja Seshadri for her timely support and
continuous motivation.
The person I would like to acknowledge is Prof.Chandrashekhar Thakar, for his

valuable and appropriate guidance and direction. I am very much thankful to him
for sparing his precious time for me and helping me in doing this project.
Last but not the least, I express my sincere thanks to the Principal Dr. K.D.
Mehru for providing required facilities time to time.
“There are in the world a few inspired people whose acquaintance beyond price”.
They are my parents, my father Mr. Bhimrao Lonare and mother Mrs. Shanta. B.
Lonare and brother Harshad Lonare, words are indeed inadequate to express my
feelings for them.
“The journey of a thousand miles begins with a single step, but the first step
is necessary”.
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TABLE OF CONTENTS
SR. PARTICULARS PAGE NO

NO
1 Introduction 7
2 National Industrial Tribunal(Desai Award) 9
SEPTEMBER 1962
2.1 Genesis of the dispute 11
2.2 Matters of the Dispute 12
3 Revision of Scales of Pay & Allowances 27
(Agreement dated 7th Feb, 1967)

4 National Industrial Tribunal(Aiyar Award) 29
MARCH 1968
4.1 Genesis of the dispute 31
5 Problem in the year 1974 52
6 National Industrial Tribunal(Dighe Award) 53
JUNE 1981
7 Memorandum of Settlement dated 1st June, 1990 76
8 Memorandum of Settlement dated 23rd July, 1993 76
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7
9 Nayak Committee 77
10 Settlement Dated 1st November, 1994 77
11 Settlement Dated 12th October, 2000 77
12 Settlement Dated 31st May, 2004 78
13 Settlement Dated 24th October, 2005 79
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Industrial relations is used to denote the collective relationships between management and the
workers. Traditionally, the term industrial relations is used to cover such aspects of industrial life 8
as trade unionism, collective bargaining, workers’ participation in management, discipline and
grievance handling, industrial disputes and interpretation of labor laws and rules and code of
conduct.
In the words of Lester, "Industrial relations involve attempts at arriving at solutions between the
conflicting objectives and values; between the profit motive and social gain; between discipline
and freedom, between authority and industrial democracy; between bargaining and co-operation;
and between conflicting interests of the individual, the group and the community”.
History
Industrial relations has its roots in the industrial revolution which created the modern
employment relationship by spawning free labor markets and large-scale industrial organizations
with thousands of wage workers. As society wrestled with these massive economic and social
changes, labor problems arose. Low wages, long working hours, monotonous and dangerous
work, and abusive supervisory practices led to high employee turnover, violent strikes, and the
threat of social instability. Intellectually, industrial relations was formed at the end of the 19th
century as a middle ground between classical economics and Marxism, with Sidney Webb and
Beatrice Webb’s Industrial Democracy (1897) being the key intellectual work. Industrial
relations thus rejected the classical econ.
Institutionally, industrial relations was founded by John R. Commons when he created the first
academic industrial relations program at the University of Wisconsin in 1920. Early financial
support for the field came from John D. Rockefeller, Jr. who supported progressive labor-
management relations in the aftermath of the bloody strike at a Rockefeller-owned coal mine in
Colorado. In Britain, another progressive industrialist, Montague Burton, endowed chairs in
industrial relations at Leeds, Cardiff and Cambridge in 1930, and the discipline was formalized
in the 1950s with the formation of the Oxford School by Allan Flanders and Hugh Clegg.
Industrial relations was formed with a strong problem-solving orientation that rejected both the
classical economists’ laissez faire solutions to labor problems and the Marxist solution of class
revolution. It is this approach that underlies the New Deal legislation in the United States, such
as the National Labor Relations Act and the Fair Labor Standards Act.
In fact, industrial relation encompasses all such factors that influence behavior of people at
work. A few such important factors are below:
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Institution: It includes government, employers, trade unions, union federations or 9

associations, government bodies, labor courts, tribunals and other organizations which have
direct or indirect impact on the industrial relations systems.
Characters: It aims to study the role of workers unions and employers’ federations officials,
shop stewards, industrial relations officers/ manager, mediator/conciliators / arbitrator, judges
of labor court, tribunal etc.
Methods: Methods focus on collective bargaining, workers’ participation in the industrial

relations schemes, discipline procedure, grievance redressal machinery, dispute settlements
machinery working of closed shops, union reorganization, organizations of protests through
methods like revisions of existing rules, regulations, policies, procedures, hearing of labor
courts, tribunals etc.
Contents: It includes matter pertaining to employment conditions like pay, hours of works,
leave with wages, health, and safety disciplinary actions, lay-off, dismissals retirements etc.,
laws relating to such activities, regulations governing labor welfare, social security, industrial
relations, issues concerning with workers’ participation in management, collective bargaining,
etc.
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1
0
NATIONAL INDUSTRIAL TRIBUNAL
(BANK DISPUTES)
AWARD on the INDUSTRIAL DISPUTES

Between
RESERVE BANK OF INDIA

&
Their Workmen.
By Presiding Officer:
SHRI JUSTICE KANTILAL T. DESAI

(Chief Justice of the High Court of Gujarat)
SEPTEMBER 1962.
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1
INTRODUCTORY 1
By an order bearing No. S.O. 704, dated New Delhi, the 21st March 1960,the
Central Government being of the opinion that an industrial dispute existed
between the Reserve Bank of India & its workmen in respect of the matters
specified in Schedules I & II thereto which were either matters in dispute or
matters connected with or relevant to the said dispute & that the dispute
involved a question of national importance & being further of the opinion that the
dispute should be adjudicated by a National Tribunal, in exercise of the powers
conferred by sub-section(1A) of section 10 of the Industrial Disputes Act,1947,
referred the said dispute to this National Tribunal for adjudication.
Section I to the said order specifies 22 matters between the Reserve Bank & its
workmen, being Class II & Class III staff. Schedule II to the said order specifies 23
matters between the Reserve Bank & its workmen being Class IV staff.
GENESIS OF THE DISPUTE
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1
 The Reserve bank of India came into being on 1 April 1935.
st 2
 It was established under the Reserve Bank of India Act,1934.
 In the preamble to the Act, it has been stated that it was expedient to
constitute a Reserve Bank for India to regulate the issue of Bank notes &
the keeping of reserves with a view to securing monetary stability in India &
generally to operate the currency & credit system of the country to its
advantage.
 Due to Second World War.
 In the year 1946, representations were made by the Association for revision
of pay-scales & allowances of the reserve bank employees.
 1948 & 1953.
MATTERS OF DISPUTE
ALLOWANCES DEMANDED ACTUALLY GIVEN
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LOCAL Association(class II & class III): The Local pay was

ALLOWANCE increased for each & 1
For places with population every person in all the 3
Up to 5 lacs : 5% of the basic pay three classes(II,III & IV)
Above 5 lacs: 10% of the basic pay
Union(class IV):
Rs. 10 & 15 per month as per the centre.
HOUSE RENT Association: Association:

ALLOWANCE
For places with population Rs. 10,16 & 20 per month
as per the centre.(10% of
Up to 5 lacs : 7.5% of the basic pay the pay).
Above 5 lacs: 15% of the basic pay
Union: Union:
All employees should be supplied with rent-free Rs. 9,12,15,16 & 20 based
quarters & till it is provided, Rs. 12 & 18 per month on the pay & also as per
as per the centre’s. the centre’s.
COMPENSATORY Association: The demands of the both

ALLOWANCE are rejected.
All employees should be paid 33.33% per month of
their pay.
Union:
All employees should be paid 33.33% per month of

their pay.
DISCOMFORT Association: The demand is rejected.

ALLOWANCE
Either the bank should provide proper conveyance to
employees attending to the clearing house work or
pay them enhanced discomfort allowance of Rs.50
per mensem.
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FUEL ALLOWANCE Union: The demand is rejected.

1
The fuel allowance be paid to all employees in the 4
months of Oct-Mar at the rate of Rs.15/m at places
where the winter is especially severe.
CONVEYANCE Union: The demand is rejected.

ALLOWANCE
Money based on the distance(miles) per month
FAMILY ALLOWANCE Association: The demands of the both

are rejected.
The rate of family allowance should be raised from
Rs.10 to Rs.15 per month per child with a maximum
of Rs.45 per month.
Union:
The family allowance should be paid at the rate of

Rs.20 per month per child with a maximum of Rs.60
per month.
TRAVELLING & Association: The rates were fixed for

HALTING all the classes.
ALLOWANCE A uniform rate of HA for class II staff & class III staff
whether they are employed on the General Side or
on the Cash Side.
Union:
Class IV staff should be paid second class fare while

travelling on duty & the Union Representative first
class fare.
DEARNESS Association: The dearness allowance

ALLOWANCE should be calculated &
The pay scales should be fixed at the all-India paid at the rate of 3% of
working class consumer price index 105 in the series the pay, i.e.
1949=100 & has claimed that the employee should
be given an increase of 1% of the basic pay for every i. Basic pay
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rise of one point over 105. provided under

this award, 1
Union: 5
ii. Special pay, if any,
The dearness allowance should be linked up with the
rise & fall in the cost of living. iii. Officiating pay, if
any,
The pay scales on the basis of this index figure 105 &
has claimed that any further rise above the figure for every rise of 4 points
105 should be compensated by payment of dearness above 100 in the quarterly
allowance at the rate of 1% of the basic pay for average of the all India
every rise of one point over 105. average working class
consumer price index,
base 1949=100
In the case of Class IV staff

dearness allowance
should be calculated &
paid at the rate of 4%, of
the pay.
LEAVE FARE CONCESSION
The Reserve Bank is at present allowing leave fare concession once in three years for the
employee & his family when the employee is on leave, other than casual leave & extraordinary
leave, for a minimum period of one month.
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The concession is available for going to the place of domicile or up to 750miles(1208kilometres)

& back to all employees. 1
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ASSOCIATION:
Once in two years
The min period of ordinary leave fixed for availing of this facility should be reduced from one
month to 15 days.
750 miles to 1000 miles.
UNION:
Once in two years
The min period of ordinary leave fixed for availing of this facility should be reduced from one
month to 15 days.
Up to 1500 miles.
All the demands of both the Union & Association were rejected.
PENSION SCHEME,PROVIDENT FUND & GRATUITY

At present only two retirement benefits, viz., a contributory provident fund scheme & a gratuity
scheme.
In case of provident fund scheme, the subscriber becomes payable on the termination of his
service or on his death or after five years of confirmed service.
ASSOCIATION:
Five years reduced to two years.
Demanded the formulation of Pension Scheme as follows:
All permanent full time & part time employees should be eligible for a pension.
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Normal pensionable age should be fixed at 60.

1
Max Pension of Rs. 750 per month. 7
Full Pension(for service of 25 years & over).
Proportionate Pension(above 10 years but less than 25 years).
UNION:
Various demands each on Pension, Provident Fund & Gratuity.
No changes in the existing pay.
MEDICAL AID AND EXPENSES
ASSOCIATION/UNION:
Medical Officers should be appointed on a full time basis & those appointed at all staff colonies
should be a resident in the colonies.
No changes.
CONFIRMATION OF TEMPORARY EMPLOYEES ON

COMPLETION OF SIX MONTHS, SERVICE
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It is desirable that after a temporary employee has put in three years continuous
1
service he should as far as possible be absorbed in the permanent service of the
8
bank.
FIXATION OF PAY ON PROMOTION TO HIGHER GRADES

The pay-scale should be fixed on promotion provided the duration of officiation is
for a period exceeding 15 days.
EXTENT TO WHICH STAFF CANTEENS SHOULD BE

SUBSIDISED AND THE TERMS AND CONDITIONS THEREOF
ASSOCIATION/UNION:-
They have demanded the following:
Provide every office of the Bank with sufficient space, furniture, equipment, crockery, cutlery,
etc., for the canteen facility in accordance with the number of employees &
Grant subsidies to the managements of the canteens.
No changes.
ESTABLISHMENT OF GRAIN SHOPS
ASSOCIATION/UNION:
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It has pleaded that the provision for supply of food grains, clothing materials etc. to the
employees “at subsidized standard rates” from the shops established by institutions in which they 1
are employed. 9
The claim is rejected.
HOURS OF WORKS AND OVERTIME
ASSOCIATION:
Overtime allowance should be paid to all the employees at the rate of double the pay &
allowances, instead of one-a-half times obtaining at present, without any ceiling as regards the
quantum of payment.
No employee should be compelled to work overtime for more than two hours on any given day
& 60 hrs in one calendar year.
UNION:
The working hours of employees should be for 6.5 hrs on other weekdays & for 3.5 hrs on
Saturdays.
The claim is rejected.
PROCEDURE FOR THE TERMINATION OF EMPLOYMENT AND

TAKING OTHER DISCIPLINARY ACTION, INCLUDING THE
CLAIM OF THE RESERVE BANK EMPLOYEES
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ASSOCIATIONS/UNIONS TO DEFEND INDIVIDUAL

2
EMPLOYEES IN DISCIPLINARY PROCEEDINGS 0
ASSOCIATION/UNION:
Clause 25(2) of the Reserve Bank of India(staff) Regulation, 1948 be completely deleted.
Clause 25(2) of the Staff Regulations runs as under:-
The Bank may determine the service of any employee after the expiry of the period of probation
on giving him-
(a) Three month’s notice or pay in lieu thereof, if he is in employee in Class I, and
(b) One month’s notice or pay in lieu thereof if he is an employee in any other class. The
power to determine the service of an employee shall be exercised by the Governor with
the prior approval of the Central Board in the case of an officer & by the Manager with
the prior approval of the Governor in the case of other employees
No employee should be dismissed, discharged or reduced in rank or removed from service or

otherwise punished by way of warning etc., unless he had been given a reasonable opportunity of
showing cause against the action proposed to be taken in regard to him.
A workman against whom disciplinary proceedings are instituted should be

permitted to be defended by a representative of a registered union of the Reserve
Bank employees(Sastry Tribunal, Mar 1953).
THE CLAIM OF THE RESERVE BANK EMPLOYEES’

ASSOCIATIONS/UNIONS TO REPRESENT INDIVIDUAL
GRIEVANCES OF WORKMEN
Not acceptable as per section 2(k) of the Industrial Disputes Act,1947.
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2
PAYMENT OF TAX ON PROFESSIONS BY THE BANK ON 1
BEHALF OF ITS EMPLOYEES
The claim that has been made is rejected.
NEED FOR MAINTENANCE OF COMBINED SENIORITY LIST AT

EACH CENTRE
It is desirable that wherever it is possible, without detriment to the interests of the

Bank & without affecting efficiency, to group employees in a particular category
serving in different departments at one centre together for the purpose of being
considered for promotion, a common seniority list of such employees should be
maintained.
The same would result in opening up equal avenues of promotion for a large
number of employees & there would be lesser sense of frustration & greater peace
of mind among the employees.
RATES OF WORK IN THE VERIFICATIONS SECTIONS AND

NOTE EXAMINATION SECTIONS, INCLUDING THE NOTE
CANCELLATION SECTIONS
No directions given.
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CASH DEPOSITS, GUARANTEE BONDS AND OTHER

2
SECURITIES TO BE FURNISHED BY THE STAFF 2
The ASSOCIATION has demanded to abolish the system of guarantee bonds & the cash deposits
system.
All the claims are rejected.
GRANT OF SICK LEAVE EXTRAORDINARY LEAVE AND

ACCIDENT LEAVE AND NOTICE REQUIRED FOR GRANT OF
ORDINARY LEAVE
The UNION has demanded that an employee should be granted 30 days sick leave every year on
full pay & allowances, that maximum sick leave should be up to 12 months with full pay &
allowances, & that in extreme cases of prolonged illness further sick leave with half-pay & full
allowances should be allowed till the employee completely recovers from his ailing condition.
The UNION has demanded that the period of extraordinary leave may be extended to 24 months.
The UNION has demanded that when an employee is involved in an accident while on duty, he
should be granted accident leave with full pay & allowances till his complete recovery & the
period of such absence should in no case be adjusted any other kind of leave & all the service
benefits should remain unaffected during the period of accident leave.
All the demands are rejected.
AGE OF RETIREMENT
At present it was 55 years.
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UNION:
2
The UNION has submitted that the age of retirement for all class IV employees should be fixed 3
at 60 years.
A class IV employee may be retained in service after he has attained the age of 58
years until he attains the age of 60 years, subject to his continuing physically fit &
maintaining his efficiency.
CONVERSION OF PART -TIME POSTS INTO FULL -TIME POSTS

UNION:
It has demanded that the system of employing labor on part-time basis & on daily wages should
be completely by the Bank & that those who are working at present under the above system
should be given facilities at par with other class IV employees.
The claim made was rejected.
PROVISION FOR INSURANCE AGAINST RISK OF INJURY OR

DEATH
UNION:
It has claimed to provide for insurance against risk of injury or death.
The claim has been rejected.
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2
UNIFORMS AND LIVERIES 4
UNION:
It has demanded the following:-
(a) Four sets of cotton uniforms be supplied to the class IV staff at all the centre’s.
(b) For the winter season, one set of woolen uniform may be supplied once in two years
where at present such uniforms are being supplied.
(c) Because of the special type of work which Night Durwans have to do, a woolen overcoat
should be supplied every two years.
(d) One pair of shoes & four pair of socks should be supplied every year to each employee as
part of his liveries.
(e) The umbrellas should be provided to all after every two years.
(f) The arrangements for washing & cleaning the uniforms should be regular, efficient &
prompt.
All the demands have been rejected.
SUSPENSION AND ALLOWANCE DURING SUSPENSION

UNION:
It has demanded that there should be no suspension except where an employee is involved in an
offence for which he is liable to conviction & sentence under the provisions of the criminal law.
It has further pleaded that suspension allowance at the rate of 3/4ths of the total emoluments
should be paid for the three months & that thereafter full salary & allowances should be paid.
The Reserve Bank has pleaded in reply that the demand is unreasonable & unjustified & the
Regulations 46 & 47 of the Reserve Bank of India(Staff) Regulations, 1948, which deal with the
question of suspension & allowance during suspension should be followed.
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Thus the demands have been rejected.

2
5
CATEGORIZATION OF WORKMEN TO WHOM THE AWARD OF

THE TRIBUNAL SHOULD BE APPLICABLE
ASSOCIATION:
It has pleaded that each & every employee belonging to class II & class III in the Reserve Bank
was a “workman” as defined in the Industrial Disputes Act, 1947, & that the award will become
applicable to all these employees.
The award will apply only to employees who are “workmen” within the meaning
of the Industrial Disputes Act, 1947, so long as they remain workmen.
The provisions of this award will not apply to apprentices, casual workers, workers
employed on daily wages & job workers.
DATE OF EFFECT OF THE NEW AWARD AND OPTION, IF ANY,

TO BE GIVEN TO THE EXISTING EMPLOYEES TO RETAIN
THEIR PRESENT TERMS AND CONDITIONS OF SERVICE
ASSOCIATION:
It has demanded that the DESAI award should be made effective on & from 1st November 1957.
UNION:
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It has submitted that the award of the Tribunal should apply to all the categories of employees
for whom demands have been put forward & should include temporary employees, permanent 2
employees & part time employees. 6
The UNION has stated that the agreement entered into between the Bank & the Union expired in
the month on November 1957 & that the DESAI award should be given effect “from the date
after the expiry of the old agreement”.
All the demands are rejected.
DESAI award will come into effect from 1st Jan, 1962.
ANY OTHER QUESTION CONNECTED WITH OR ARISING OUT

OF THE EARLIER ITEMS
UNION:-
(a) Load of work & list of duties.
(b) Sons of ex-Class IV employees.
(c) Promotion Policy.
(d) Efficiency Measures.
(e) Leave Reserves and Weekly Offs.
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2
7
REVISION OF SCALES OF PAY & ALLOWANCES etc., of Class- IV

staff.
Agreement dated 7th Feb,1967 between Bank & All- India Reserve Bank
Worker’s Federation.
 Scales of pay:- The same.
 Method of adjustment in Scales of Pay:- Only for those who joined on or after 1st
Jan, 1966.
 Special Pay:- To Liftmen, Liftmen-cum-Escalator Attendants & Mazdoors operating

the Punching & Stitching machines.
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 Special allowance:- Cycle allowance.

2
 Family Allowance:- On completion of 5 years continuous service including temporary
8
service(5% of )
Limit:- only up to 3 children.
 Abolition of Area-Wise classification for Scales of Pay.
 There will be no “Efficiency-Bar” in the new Scales of Pay.
 Lunch/Tea Allowance:- Only for Peon attached to Telegram Section, Bombay-Rs.

3.25 per day.
Condition;- Only when he is required to continue a second shift.
 Night Duty Allowance:- Rs. 2 per night.
 Special(Functional) Allowance:- To Peon-cum-Durwan OR Farash-cum-Durwan-

Rs. 45 per mensem.
 Conveyance Allowance:- Allowances to Durwans on Watch & Ward Duty.
 Fuel Allowance:- 10% of pay with a minimum of Rs. 15 per month.
 Halting Allowance:-
Rs. 10 per diem who attends conciliation conference/negotiations with Bank.
Rs. 8 per diem during the journey period.
 Leave Fare Concession.
 Uniforms(Summer/Winter) & Liveries, shoes & turbans/caps.
 Age of retirement for Class- IV 60 years.
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2
9

(BANK DISPUTES)

Between

&
Their Workmen.
By Honorable Arbitrator:
SHRI T. L. VENKATARAMA AIYAR
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(Retired Supreme Court Judge)

3
MARCH 1968. 0
INTRODUCTORY
Disputes having arisen between the Reserve Bank of India, hereinafter referred to
as the Bank, & its employees belonging to Class III & to certain categories in Class
II as regards scales of pay, dearness allowance, terms of service, rules relating to
disciplinary action & other similar questions, an agreement was entered into on
the 24th Jan 1967 between the Bank & the All-India Reserve Bank Employees;
Association.
By notification S.O. No. 645 dated 15th Feb 1967, issued under Section 10A(3) of
the Industrial Disputes Act,1947, the Central Govt. published the said agreement
in the Gazette of India dated 25th Feb 1967.
After the publication of the notification aforesaid, notice of the preliminary

hearing was given to the:
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All-India Reserve Bank Worker’s Organization(referred as Organization)

3
All-India Reserve Bank Karamchari Federation(referred as Federation) 1
Reserve Bank of India Field Staff Association which is said to be formed in

June 1967, referred as Field Staff Association to make their representation.
GENESIS OF THE DISPUTE
 The Reserve bank of India came into being on 1st April 1935.
 It was established under the Reserve Bank of India Act,1934.
 Due to Second World War.
 By the middle of the of 1965 the period of operation of the Awards in the
commercial banks’ reference as also in the Reserve bank’s reference
expired. During this period there had been a sharp rise in the working class
cost of living index.
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 In 1964, an expert committee known as the Lakdavala Committee was

3
appointed by the Maharashtra Govt. to report on the rise in the consumer
2
price index numbers & it found that the real rise in the index was greater
than that shown in the published reports.
 Another expert committee was appointed by the Govt. of Gujarat to go into

the working class consumer price index numbers in Ahmedabad & it also
came to a similar conclusion.
MATTERS OF DISPUTE

HOUSE RENT Association: The House Rent Allowance in the
ALLOWANCE “Higher Rent Centre’s”
It should be raised from 10& to 15% with a min. of (Ahmedabad, Bangalore, Bombay,
Rs.40/- per mensem.
Calcutta, Hyderabad, Kanpur,
Federation: Madras & New Delhi) would be at
Should be increased to 15% with a min. of Rs.50/- 10% of “pay” with a min. of Rs.30 &
per mensem. a max. of Rs.55 per mensem.
Organization: In the “Other Centre’s” it will be

paid at a flat rate of Rs.25 per
Should be 25% of the pay with a min. of Rs.55/- mensem.
per mensem & without any limit on the max.
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3
HILL ALLOWANCE Association: 10% of the monthly pay has been 3
granted.
It has demanded that the 9% should be raised to
10% of “pay” with a min. of Rs. 20per mensem.
Federation:
10% of the salary with a min. of Rs. 25 per

mensem.
Organization:
20% of the pay with a min. of Rs. 45 per mensem.
FUEL Organization: 9% of the monthly pay with a min.

ALLOWANCE of Rs. 10 per mensem & a max. of
It has demanded that the Fuel Allowance should Rs. 20 per mensem.
be 20% of pay with a min. of Rs. 45 per mensem.
FAMILY Federation & Organization: Family Allowance be paid to all the

ALLOWANCE employees who have completed 5
The rate of family allowance should be raised from years of service including
Rs.10 to Rs.15 per month per child with a temporary service at the rate of 5%
maximum of Rs.45 per month. of the basic pay & that “pay” for
Association: this purpose must mean, basic pay,
special pay, officiating pay, &
The family allowance should be paid at the rate of personal pay, if any.
Rs.20 per month per child with a maximum of
Rs.60 per month. Distinction b/w male & female
should be abolished.
They want that the employee should be eligible
for this allowance at the end of the first year of
his/her service.
They also want that no distinction should be made

in regard b/w a male & female employee & that
the latter should be entitled to the allowance
without regard to the earnings of her husband
elsewhere.
TRAVELLING Union: The demands are rejected but in
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ALLOWANCE They demanded that the employee should be paid case of longer routes taken a
first class fare when he travels by steamer & if he definite valid reason should be 3
is obliged to travel in a lower class, he should be given on which the Bank will 4
paid the first class fare & that likewise he should decide.
be reimbursed the fare actually paid by him when
he is obliged to travel by a longer route owing to
causes beyond his control.
HALTING Considerable increase was demanded by the All the demands were rejected.
ALLOWANCE Union.
OFFICIATING Association: All the demands are rejected.
ALLOWANCE It demands that in fixing the stage in the higher

scale, two increments & not merely one as present
should be added to the pay which the employees
is receiving in the lower scale.
Federation:
It has asked that the employee who is put on duty

on a higher cadre post should be paid an O.A
equal to 5% of his pay per month.
DEARNESS Union: There should be neutralization of

ALLOWANCE the rise in the Urban Non-Manual
Full neutralization of the rise in the Consumer Consumer Price Index Numbers at
Price Index Numbers. 90% when the basic pay is Rs. 500
per mensem or less & when it is
above that figure, for the basic pay
up to & inclusive of Rs. 500 per
mensem as above, & for the
balance at 75%.
Page | 34
3
5
The Reserve Bank is at present allowing leave fare concession once in three years for the
employee & his family when the employee is on leave, other than casual leave & extraordinary
leave, for a minimum period of one month.
The concession is available for going to the place of domicile or up to 750miles(1208kilometres)

& back to all employees.
ASSOCIATION/FEDERATION:
They have demanded that the Leave Fare Concession should be available to a temporary
employee who has put in one year’s service.
First class fare should be allowed to employee in Classes III.
1000miles(1600kilometres).
ORGANIZATION:
1250miles(2000kilometres).
The employee & his/her family should be permitted to travel separately to different places while
availing themselves of this concession.
Page | 35
3
THE TEMPORARY EMPLOYEE WHO HAS PUT IN ONE YEAR’S SERVICE 6
IS ELIGIBLE & THE REST ALL DEMANDS ARE REJECTED.
PENSION SCHEME,PROVIDENT FUND & GRATUITY

At present only two retirement benefits, viz., a contributory provident fund scheme & a gratuity
scheme.
In case of provident fund scheme, the subscriber becomes payable on the termination of his
service or on his death or after five years of confirmed service.
PENSION:
UNION:
Demand of a Pension scheme.
The pay should include dearness allowance, that the contribution should be at 10% of the entire
pay including dearness allowance.
PROVIDENT FUND:
ORGANIZATION:
The limit of advance allowable on the Provident Fund should be raised. It is claimed that the
employee should be entitled to take advances up to the limit of Rs.10,000/-.
Page | 36
GRATUITY:
3
ASSOCIATION: 7
The Gratuity should be paid on the entire basic pay, officiating pay, & dearness allowance, that
it should be at the rate of one month for each completed year of service & it should be admissible
to an employee on completion of five year’s of service including temporary service.
FEDERATION:
The employee should be entitled to Gratuity even when he is dismissed from service except in
case of financial loss to the Bank.
ORGANIZATION:
The pay should include the average of a month’s dearness allowance for the year preceding the
date of retirement, that the Gratuity should be payable up to a limit of 20months or Rs. 35,000/-,
whichever is less & that it should be payable after three year’s of service including temporary
service.
All the demands of the Union were rejected.
MEDICAL AID AND EXPENSES

ASSOCIATION:
The Doctor should be appointed for a period of 3 year’s in consultation with them.
FEDERATION:
The Dispensaries should be kept open even on Sundays , holidays & for specified hours.
UNION:
The facilities given to an employee at the Bank’s dispensaries & for out-door treatment should
be extended to members of their family.
The medical expenses incurred in maternity cases should be reimbursed both in the case of the
lady employees & the wives of the employees.
Page | 37
3
All the demands of the Union were accepted & the rest were rejected. 8
AGE OF RETIREMENT
The age of retirement in the Banks should be 60.
The demand of the Union was rejected.
LEAVE RULES
 CASUAL LEAVE
The employees in the Bank are entitled to 15 days’ Casual leave in a calendar year provided that
not more than 7 days can be taken continuously.
ASSOCIATION/FEDERATION:
The unavailed Casual leave should be added to the ordinary leave account of the employee.
While the Association has asked for such addition up to the limit of 7 days, the Federation wants
that the whole of it should be added.
Page | 38
The Association has also demanded that even temporary workmen who have not completed 6
months of service should be given Casual leave. 3
9
ORGANIZATION:
The unavailed leave should be added to the sick leave of the employee.
 SPECIAL CASUAL LEAVE
When the representatives of the unions attend the meetings connected with their organization
matters, they are given, what is called, “Special Casual Leave”.
The representatives of the Association are given 15 days Special Casual Leave.
This is in addition to the 15 days normal casual leave.
ASSOCIATION:
It wants that the Special Casual Leave must be increased from 15 to 30 days.
It has also asked for 30 days of such leave to sportsmen & an additional 30 days of such leave to
those participating in the State/National or International events.
Page | 39
FEDERATION/ ORGANIZATION:
4
They have demanded that their representatives also should be given the same Special
0
Casual Leave concession.
The number of days of special casual leave is raised from 15 to 21 days.
Only 30 days are granted in a calendar year for the sportsmen.
 ORDINARY LEAVE
The workmen-employees in Classes II & III are allowed Ordinary leave at 1/11th part
of their ‘duty’ & ‘duty’, for this purpose, includes:
1. Service as a probationer.
2. The time requisite for joining duty, &
3. The period of casual leave duly authorized by a competent authority.
FEDERATION:
They have demanded that the employee should be allowed ordinary leave at 1/10th of the part of
duty & that the temporary employees also should be given leave at the same rate.
A weeks notice should be sufficient in order to obtain the Ordinary leave.
Page | 40
4
ASSOCIATION: 1
They have demanded that the period of notice should be reduced from 30 to15 days.
When an employee goes on leave there should be an advance payment of salary to him by the
Bank.
Only when the employee goes on leave, a leave salary upto a month in advance is
paid & the rest be paid, at the end of each month as at present & rest All the
demands are rejected.
 SICK LEAVE
An employee is granted Sick Leave for a period not exceeding 18 months & for any such further,
as the Central Board might sanction.
For the first 12 months of Sick Leave, the employee is paid half the average pay & thereafter
quarter average pay.
ASSOCIATION:
They have demanded that 18 months limit be raised to 24 months on half pay with a right to
commute the period to 12 months leave on full pay & that such communication be allowed, if the
employee has put in 2 years of service including temporary service.
FEDERATION:
They have demanded that the Sick leave on full average pay be given for 18 months in the total
period of service.
Page | 41
ORGANIZATION:
4
They have demanded that the employee should get a total Sick leave of 12 months on average
2
pay & allowances, & a further Sick leave of 6 months on half average pay & allowances.
 SPECIAL LEAVE
An employee in the Bank may be granted what is called “Special Leave”. This is
intended to enable him to attend to his private affairs. This leave may be granted up to a
max. of 12 months. For the first 6 months, the employee is paid half average pay &
thereafter quarter average pay.
This leave is not admissible to temporary employees, nor can it be availed of.
ASSOCIATION:
They have demanded that this leave should be allowed to be commuted to one for 6
months leave with full pay & that the employee should be eligible therefore provided he
has put in 2 years of service including temporary service.
FEDERATION:
They have demanded that the limit of 12 months be raised to 18 months & that this leave
may be allowed to be combined with Ordinary leave.
Page | 42

4
3
 EXTRAORDINARY LEAVE
Extraordinary leave without pay & allowances is granted to an employee when no
Ordinary leave is due to him & Sick or Special leave over & above what is admissible is
not considered justified..
This leave is admissible up to 12 months during the entire service with a max. of 3
months on any one occasion.
Temporary employees are also given extra ordinary leave up to a max. of 3 months.
ASSOCIATION:
They have demanded that the period of Extraordinary leave should count for increments
& that this leave should not be imposed on the employee, if other forms of leave are due
to him.
FEDERATION:
Page | 43
They have demanded that this leave should be granted to employees in cases of
serious accident or sickness for a period extending up to 18 months during the entire 4
period of service. 4
 MATERNITY LEAVE
At present Maternity leave is granted to a female employee of the Bank for a period not
exceeding 3 months on any one occasion & 12 months during the entire period of service.
This leave is also admissible to temporary female employees having a min. of one years
continuous service.
ASSOCIATION:
They have demanded that the female employees may be allowed Maternity leave of 4
months on any one occasion & 12 months, in all.
All the demands of the association were rejected.
Page | 44
SUBSISTENCE ALLOWANCE DURING THE PERIOD OF

4
SUSPENSION 5
It is provided therein that the employee may be placed under suspension pending the
proceedings & that during the period of suspension he be paid a subsistence allowance
equal to his substantive pay.
UNION:
The Union had demanded the following demands:
 The subsistence allowance must be equal to substantive pay & dearness

allowance.
 The subsistence allowance should include 50% of dearness allowance.
 The subsistence allowance should include 50% of the allowances admissible.
 The subsistence allowance should consist not merely of basic pay in full but also
of the dearness & other allowances, either in whole, or in part.
It would be reasonable to award to the employee during the period of

suspension, the substantive pay in full as now & in addition, 25%, of the
substantive pay.
Page | 45
PROCEDURE FOR THE TERMINATION OF EMPLOYMENT &

4
TAKING OTHER DISCIPLINARY ACTION. 6
A. PROCEDURE FOR THE TERMINATION OF EMPLOYMENT:
UNION:
Clause 25(2) of the Reserve Bank of India(staff) Regulation, 1948 be completely deleted.
Clause 25(2) of the Staff Regulations runs as under:-
The Bank may determine the service of any employee after the expiry of the period of
probation on giving him-
(a) Three month’s notice or pay in lieu thereof, if he is in employee in Class I, and
(b) One month’s notice or pay in lieu thereof if he is an employee in any other class. The
power to determine the service of an employee shall be exercised by the Governor with
the prior approval of the Central Board in the case of an officer & by the Manager with
the prior approval of the Governor in the case of other employees.
This power should be taken away.
The contention of the Bank is that the words “Procedure for the termination of
employment” are controlled by the words “ other disciplinary action” & that apart from
such action, the question as to the validity or propriety of the power to terminate
employment under Regulation 25(2)(b) is not covered by the reference.
B. PROCEDURE FOR TAKING OTHER DISCIPLINARY ACTION:
i. RULES OF PROCEDURE AT THE ENQUIRY:
Page | 46
UNION:
4
They have demanded that the charges framed against the employee must be clear 7
& specific.
Any enquiry must be conducted in accordance with the rules of natural justice.
Supreme court has said:
An inquiry cannot be said to have been properly held unless-
o The employee proceeded against has been informed clearly of the charges
leveled against him
o The witness are examined-ordinarily in the presence of the employee-in

respect of the charges
o The employee is given a fair opportunity to cross-examine witnesses
o He is given a fair opportunity to examine witnesses including himself in

his defense if he so wishes on any relevant matter
o The enquiry officer records his findings with reasons for the same in his
report.
ii. A SECOND HEARING ON THE QUESTION OF PUNISHMENT:

Under the rule relating to the conduct of disciplinary proceedings as it now stands,
it is sufficient to hold one enquiry both as regards the charges against the
employee & the punishment to be imposed in case they are provided.
iii. THE OFFICER WHO IS TO CONDUCT THE ENQUIRY:

Regulation 47 of the Reserve Bank of India(Staff) Regulations 1948, provides that
the competent authority to hold the enquiry is the ‘Manager’, that he could
delegate that work to any Class I Officer but that he must himself, in all cases,
decide on the punishment to be imposed.
iv. PROVISION FOR DEFENDING THE EMPLOYEE:

An employee must be defended by an representative of the trade union of the
Bank’s employees,& such representative should be treated as if on duty while he
is engaged in defending him.
Page | 47
An employee should be able to find a proper representative to defend him in his

own place & when he chooses to get one from another station, he must do so, at 4
his own cost. 8
CONFIRMATION OF TEMPORARY WORKMEN
Under the rules, as they now stand, there is no limit of time within which a
temporary employee of the Bank should be confirmed.
FEDERATION/ORGANIZATION:
6 months.
ASSOCIATION:
6 months-1 year.
It is desirable that after a temporary employee has put in three years

continuous service he should as far as possible be absorbed in the permanent
service of the bank.
HOURS OF WORK & OVERTIME
HOURS OF WORK:
Page | 48
The actual hours of week for whole time workmen employees in Classes II & III in the
Bank, at present, are 6.5 hours on week days exclusive of lunch recess & 3.5 hours on Saturdays 4
with no lunch recess, in all 36 hours per week. 9
FEDERATION:
They want that the hours of work should be reduced to 6 hours on week days.
ORGANIZATION:
They have demanded that the working hours should be raised to 7 on week days, that
there should be no work on Saturdays & that even working days there should be a cushioning of
half an hour, that is if the employee finishes his work half an hour earlier, he should be entitled
to leave his office.
The bank has said that the hours of work on week days should be 6.5 hrs &
that on Saturdays in tune with the commercial banks, the working hours
should be 4 instead of 3.5
HOLIDAYS:
The dispute relating to the holidays is really one as regards the admissibility of the claim
for overtime work on days declared as holidays. If it is a holiday for the Bank, an employee
working on that day would be entitled to overtime allowance. But if he is not, he will not be.
UNION:
They have demanded that the holidays declared under the Negotiable Instruments Act,
1881 should be given, which are given in all the commercial banks.
Page | 49
To declare at the very commencement of the year certain days as holidays.

5
even the holidays declared as under the negotiable instruments act, 1988 in
0
the course of the year, should be treated as holidays for the reserve bank.
STAGGERING OF DUTIES:
The hours of work for an employee in the Bank on week days are, as already stated,
6.5 hours. But there are certain types of work which can’t be performed continuously & must be
attended to as & when they arise & persons who are put on such work can perform it only when
the occasion for it arises.
In such cases the concept of work for a continuous period of 6.5 hours a day,
with lunch interval, becomes unworkable.
All that the employees can insist in that the work as a whole should not exceed
6.5 hours a day.
The Bank has got to regulate the periods when work of this nature has to be done
& it is this that is called staggering.
The demands are rejected.
COMPENSATION OF OVERTIME WORK:

At present, Class III employees are given overtime allowance at one & a half
times the hourly ‘pay’. Every month is deemed to consist of 150 working hours & so the
allowance payable on this account per hour is 1/150th of the monthly ‘pay’.
ASSOCIATION:
Page | 50
They want that the overtime allowance should be 150%, as at present up to the
first six quarter hours of overtime work & that thereafter it should be at 200%. 5
1
It also demands that overtime allowance for work on Sundays & holidays
should be at 200%.
ORGANIZATION:
They have demanded the overtime allowance be uniformly at the rate of 170%
on all days except Sundays & holidays for which allowance at 200%, is claimed.
FEDERATION:
They have asked for an allowance at the rate of 150% of the total emoluments for
the first two quarter-hours of the overtime work & thereafter at 200% & for overtime work on
Sundays & holidays 200% of the pay & allowances is claimed.
The UNION wanted that there should be no cushioning period at all. (Cushioning
period is 1hour)
The allowance for overtime work on Sundays & holidays, it should, in my opinion
be at 200% of hourly emoluments & rest all the demands are rejected.
A question has been raised as to how the period of overtime is to be calculated when it falls short
of an hour. At present overtime is reckoned in blocks of 15 minutes & work done for any period
less than 15 minutes shall count for a quarter-hour.
GRANT OF INCREMENTS OR SPECIAL PAY OR HONORARIA

FOR GRADUATES OR FOR COMPLETING THE INSTITUTE OF
BANKERS’ EXAMINATION OR FOR NATIONAL/GOVERNMENT
DIPLOMA IN COMMERCE OR FOR OPTIONAL SUBJECTS IN
THE INSTITUTE OF BANKERS’ EXAMINATION & HINDI
EXAMINATIONS.
Page | 51
All the members of Class III staff who are already in the service of the Bank who
5
are graduates, who have hitherto not received any increment be given a special pay
2
of Rs. 10 per month & that a special pay of Rs. 10 per month be given to all
members of class III staff who, at the time when they join the service of the bank,
are graduates of who, at a subsequent stage, become graduates of any university
irrespective of the class in which they pass the degree examination. no extra
amount will become payable for double graduation.
Problem in the year 1974:
A letter was sent from the General Secretary of Calcutta to the Governor of
Mumbai.
Provident fund & gratuity are not paid on Dearness Allowance, which is an
important part of the wage.
While payment of Gratuity Act, 1972 enjoins payment of gratuity on gross- wages
inclusive of Dearness Allowance.
Page | 52
5
3

(BANK DISPUTES)

Between

&
Their Class-III Workmen.

By Presiding Officer:
C. T. DIGHE ESQR. B.A.(Hons.) LLM
JUNE 1981.
Page | 53
5
4
NOTIFICATION
S.O. 1963.- In pursuance of section 17 of the Industrial Disputes, Act 1947(14 of

1947), the Central Government hereby publishes the following interim award of
the Central Government National Industrial Tribunal, Bombay, in the industrial
dispute between the employers in relation to the management of Reserve Bank of
India & their Class III workmen, which was received by the Central Government on
the 24-6-81.
Page | 54
5
5
Mr. DIGHE HAD PASSED AN ORDER ALLOWING THE

FOLLOWING APPLICANTS:
 All India Reserve Bank Karmachari Federation( hereinafter referred to as

‘The Karmachari federation’)
 All India Reserve Bank Employees’ Co-ordination Committee
( hereinafter referred to as ‘The Co-ordination Committee’)
 Reserve Bank Ex-Servicemen Employees’ Welfare Association
( hereinafter referred to as ‘The Ex-Servicemen Association’)
 All India Reserve Bank Cash Department Staff Union
( hereinafter referred to as ‘The Cash Department Union’)
Page | 55
 All India Reserve Bank Scheduled Caste/Tribe Employees’ Federation

5
( hereinafter referred to as ‘The S.C/S.T Employees’ Federation’) 6
PARTIES TO THE SETTLEMENT
The three agreements of settlement one of 28th September, 1979, the other of
21st November, 1979, & the third supplemental agreement of 12th March, 1980,
are signed on the one hand by the Reserve Bank of India & on the other hand by
All India Reserve Bank Employees’ Association.
It is a settlement between the Union & the management. But the Tribunal can
make an award in terms of the private settlement, binding on all the employees of
the Reserve Bank if certain judicial tests are satisfied. For that purpose each item
of the settlement may have to be looked into.
Page | 56
5
7
OPINION POLL
From the foregoing discussion it is clear that a settlement must be just & fair if an
award is to be passed in terms of it. Acceptance of the settlement by the workers
concerned is one of the criterions for finding whether the settlement is just & fair.
It was claimed by the Association that they were representing an overwhelming
majority of Class-III workers & as such the settlement arrived at by the Association
must be taken as accepted by an overwhelming majority of persons & hence
decidedly fair, reasonable & just.
However the claim of the Association to represent the overwhelming majority

was in the first place not accepted by the Organization, the Karmachari
Federation & Others, who were allowed to address the Tribunal.
Mr. Dighe found it convenient to go to the concerned workmen direct. He also

decided that they should have the chance to express their opinion confidently.
Consequently, he thought upon the idea of taking an opinion poll under which
each worker, given a paper to say yes or no regarding the acceptance of the
settlement would cast his vote in a sealed box & the Tribunal would be in a
Page | 57
position to know from all over India as to how many workers were in fact in favor
5
of the acceptance of settlement.
8
THE SCHEDULE FOR THE HOLDING OF THE POLL WAS AS FOLLOWS:
21st April 23rd April 25th April 26th April
1980 1980 1980 1980
Nagpur Calcutta Bhubaneswar Bombay

New Delhi Gauhati Jammu
Kanpur Lucknow Patna
Ahmadaba Jaipur Trivandrum
d
Madras Cochin Pune
Hyderabad Bangalore
Indore Bhopal
The poll at Gauhati was scheduled on 23rd April, 1980, but due to disturbances in
that city it was held on 3rd May, 1980.
Page | 58
VOTES IN FAVOUR - 10261

5
VOTES AGAINST - 7049 9
VOTES INVALID - 35
----------------
17345
----------------
MATTERS OF DISPUTE
HOUSE RENT Karmachari Federation: House Rent Allowance of the
ALLOWANCE higher rent centre’s is 12.5% of
They have demanded that the House Rent Allowance pay with a min. of Rs. 60/- &
should be 20& of the pay with a minimum of Rs. 100/-. with a max. of Rs. 150/- per
They have also stated that there has been an unfair month.
discrimination in the case of new employees getting For the lower rent centre’s, the
quarters as the senior employees are occupying percentage is 7.5% of pay with
quarters having low rent & they are not prepared to a min. of Rs. 50/- & a max. of
vacate the same. Rs. 90/- per month.
It is said that the quarters which are allotted to them Rest all the demands are
may have a min. rent which is more than the House rejected.
Rent Allowance to which a new employee is entitled
so that the rent to be paid is more than the allowance.
FAMILY Organization: The rate of payment is 5% till

ALLOWANCE the pay reaches Rs. 940 &
They have demanded that the rate of Family thereafter the rate of payment
Allowance should be 7.5% uniform. is 6.5%.
Karmachari Federation/Cash Dept.: There is a further provision
The Family Allowance is inadequate & that it should that those who are drawing
be at a flat rate of 7.7% & that those practicing family Family Allowance on per child
planning having no child or one child should be given basis will be allowed to draw
10% of pay, those having two children 8% of pay. Family Allowance on the basis
Page | 59
They are also saying that the limit of 5 years should indicated above but their
be done away with i.e. Family Allowance should be present Family Allowance 6
granted right from the date of entry in service. would be protected so that in 0
case they happen to receive
something less than what they
were getting immediate before
the implementation of the
Settlement, the amount they
were getting will be protected.
Karmachari Federation:
TRAVELLING & Higher mazdoor charges of Rs. 2.50 per package for So far as Field Staff, Travelling
HALTING additional four packages. Allowance is concerned, the
ALLOWANCE revised rates under the
Federation: settlement are Rs. 205/- for the
It has demanded an increase in terms of Rs. 25/- & Rs. Field Investigators & Rs. 225/-
35/- per diem. per month to Field Inspectors,
instead of the corresponding
Organization: Rs. 120/- & Rs. 150/- in the
bilateral settlement.
They have demanded that the rates for Field
Investigators, Inspectors & Building Overseers at As per Halting Allowance is
project places should be raised to Rs. 300/- per concerned, the normal rate is
month. raised to Rs. 20/- per diem,
enhanced rate for places listed
under category ‘A’ to Rs. 25/-
per diem. Enhanced rate for
category ‘B’ is retained at Rs.
27/- per diem.
Organization: The rate of dearness allowance

is 1.5% up to 31st August, 1980
DEARNESS The merger(D.A merging with the basic salary) has to & 1.58% from 1st September
ALLOWANCE be at 100% & the D.A therefore should have been 1980 onwards, for every slab of
1.6%, to maintain the status quo. 4 points beyond 200 points of
They also opposed to tapering, ceiling & freezing of the All India average working
D.A, because it means further erosion in wages. They class Consumer Price Index.
contend that under the settlements there is only a (General Base being 1960=100)
meager rise in the emoluments. Class-IV staff is granted 100%
neutralization & only 75%
Page | 60
Co-ordination Committee: neutralization for Class-III staff.

6
IT also argues that ceiling on D.A. results in lesser D.A. 1
than the existing quantum of D.A. They are also
opposed to tapering of D.A.
Karmachari Federation:
They have pointed out that 75% neutralization is not

adequate. According to them, there should have been
cent per cent neutralization.They further said that, as
in the case of Class-IV Staff, neutralization for Class-III
staff also should be at 100%. It is suggested that 50%
of the D.A. should be merged in the basic salary when
the index reaches 100 points.
OFFICIATING Karmachari Federation/ Organization: Pay in the higher grade for 10

days officiation in the higher
ALLOWANCE They have demanded that in other departments grade including intervening
excluding Cash dept. Officiating pay for even 1 day’s Sundays & holidays &
officiation should be granted. authorized Casual Leave.
In case of Cash dept. even if

the officiation is less than 10
days the higher pay &
allowances will be allowable to
the employees for the days of
officiation.
SHIFT Federation/ Organization: As per the supplementary

agreement dated 21-11-1979
ALLOWANCE They have demanded Rs. 200/- per month. According persons working in the evening
to them , transportation charges, change of food shift in the Machine section will
habits etc. are the factors to be taken into account. be paid an allowance of Rs.
They have also demanded Rs. 200/- per month for the 75/- per month & also for them
Telegram Section staff. who are required to attend the
shift at odd hours.
Page | 61
6
2
PROMOTION
ORGANIZATION:
They have complained that there is severe discontent amongst the employees & the suggestion to
consult only the Association for making any changes is against the interest of the employees.
They have argued that in some offices the employees with 6 months service is called for the test
of staff officer grade ‘A’. In other offices this opportunity does not come across persons with 18
years standing.
KARMACHARI FEDERATION:
They have opposed the separated seniority for the employees recruited in the Cash Department
prior to 1973. They submit that there should be one cadre of Coin/Note Examiners grade II, clerk
grade II for all the purpose including seniority, confirmation & promotion, irrespective of
whether they are graduates or not & without any loss of service for the purpose counting
seniority.
Promotions for Coin/Note Examiners grade II should be on the basis of common seniority & free
mobility from non-clerical cadre to the clerical cadre irrespective of whether they are graduates
or not & their total service Class III employees should be taken into account for seniority.
Page | 62
6
3
This settlement deals with the Cash department & other non-clerical categories.
According to it:
a) Assistants to Tellers at the public counters are to be upgraded from grade II to grade I of
the Coin/Note Examiners. Their duties remain unchanged & on days when counters are
closed they would perform other work in the Cash department.
b) Assistants to Dy. Treasurers will also be similarly upgraded from grade II to grade I ,
their work remaining unchanged.
c) There will be 28 new posts of tellers in lieu of Coin/Note Examiners grade I entrusted
with station duty, postal duty etc.
d) The tellers assisting the Treasurers will be upgraded to the post of Assistant Treasurers.
e) Creating 28 additional regular long-term posts of Assistant Treasurers in addition to 14

posts already sanctioned on short term basis.
CONFIRMATION
They have demanded that the staff should be confirmed on completion of 1 year’s service.
This settlement provides that the temporary employees will be confirmed in

the Bank’s service on completion of 2 years of service subject to the existing
rules even if no permanent positions are available.
Page | 63
In short, therefore, by the settlement, there is an improvement that even if

6
there are no permanent positions available, after 2 years by treating the posts
4
as supernumerary, the incumbents would be confirmed.
AGE OF SUPERANNUATION
KARMACHARI FEDERATION/ORGANIZATION:
They have demanded that the retirement age should be 60 years.
The demand was rejected.
SUPERANNUATION BENEFITS SUCH AS PROVIDENT FUND,

GRATUITY & PENSION
PROVIDENT FUND:
They have stated that the present quantum of contribution should continue with interest at 1%
above the Bank rate.
ORGANIZATION:
Page | 64
They accepting the principle of 10% contribution, said that the Dearness Allowance should also
be included in it. 6
5
The minimum compulsory subscription is 5% & maximum is 10% of the pay &
there is an obligation on the part of the Bank to contribute equal amount, that looks
essentially equitable.
UNDER PARAGRAPH 9(d) OF THE SUPPLEMENTARY AGREEMENT DATED 12-3-1980,

THESE PROVIDENT FUND BENEFITS ARE ALSO ALLOWED TO PART TIME
EMPLOYEES.PART TIME EMPLOYEES ARE DIVIDED INTO 3 CATEGORIES:
1) THOSE WORKING FOR MORE THAN 13 HOURS A WEEK BUT LESS THAN 19
HOURS  ½ OF THE SCALE OF PAY WITH ANNUAL INCREMENT.
2) THOSE WORKING FOR MORE THAN 19 HOURS BUT LESS THAN 29 HOURS A
WEEK3/4 OF THE SCALE OF WAGES WITH PROPORTIONATE INCREASE.
3) THOSE WORKING FOR MORE THAN 29 HOURS A WEEKFULL WAGES.
GRATUITY:
At present, no gratuity is payable for the service of less than 10 years or if the employee is
dismissed from service for misconduct.
ORGANIZATION:
They have said that the payment of Gratuity Act, 1972 should be extended for payment of
gratuity under the Bank’s Rules also & enhanced gratuity payable to the employees should be
increased to Rs. 40,000.
Page | 65
An employee who has put in 30 years of service should be entitled to 20 months’

6
pay with a maximum of Rs. 30,000.
6
COMPASSIONATE GRATUITY:
Sub-rule 2 of Rule 5 of the Reserve Bank of India(Payment of Gratuity to Employees) Rules
1947, contemplates such gratuity when an employee dies in service & even when he retires or
has been made to retire or his services are terminated by the Bank for reasons other than
reduction of establishment or dismissal for misconduct.
However, as regards compassionate gratuity, the objections is that the same should be not linked
with the period of service rendered by the deceased employees as it restricts the scope & extent
of its applicability. They also said that the maximum amount of compassionate gratuity should
be increased to Rs. 10,000.
The payment would be 1 months’ pay at the rate drawn by the deceased at the time
of death for every completed year of service subject to a minimum of 2 months’
pay & allowances & a maximum of Rs. 5,000.
PENSION:
Settlement provides only for the setting up of a Study Group by the Bank within one month from
the date of settlement to examine the depth & feasibility of introducing a Pension Scheme. The
Study Group should give its findings. In view of there being no finality, provision cannot be
included in the award based on the settlement.
Page | 66
6
7
LEAVE TYPE QUANTUM
The Settlement says that the existing rules will continue subject to three improvements.
The existing rules are found at page 31 of Chapter 6 of the Reserve Bank of India(Staff)
Regulations, 1948. The improvements are :
 Grant of special casual leave for the purpose of sports will be raised from 30 to 40 days in a year
 In case of employees dying in harness, leave salary admissible in respect of earned leave
standing to his credit will be paid to his heirs/nominees.
 There is a further provision that calculations for this purpose are to be made on the last pay
drawn & not on the average pay as was earlier provision.
 An employee will be eligible for special leave/commutation of sick leave on completion of 3

years of service including temporary service in substitution of the period of 5 years.
 By reason of the agreement dated 12-3-80 these leave facilities are extended to part time
employees. They will be treated on par with the whole time temporary employees.
They have demanded that the casual leave should be credited to the ordinary leave account,
special casual leave should be granted for 45 days in a year to trade union office bearers
members for attending seminars/Conference meeting in India or abroad sponsored by any of the
trade unions.
Sick leave should be increased to 24 months, unavailed leave of any type of deceased person
should be encashable by the heirs/nominees of the deceased employee & special casual leave to
sportsmen should be unlimited.
All the demands of the karmachari federation are rejected.
Page | 67
6
8
Under the Bipartite Settlement of the year 1970, an employee was allowed to travel in a lower or
higher class, including travel by air, provided the actual amount of reimbursement did not exceed
the actual fare payable to him if he had travelled a distance of 1208 kms.
It was provided that under that Settlement, that dependent parents staying in the same city or
suburb, although not staying with the employee in his house, would be entitled to the concession
& that while allowing leave fare concession, there will be no limit to the number of fares in the
family.
There was a further improvement that if the employee opted to have the concession once in 3
years, then he would be eligible to travel by first class & the concession would be granted on that
basis.
Similarly, it was clarified that even if the wife of an employee was employed elsewhere & was
eligible for a similar concession from her employer, she would not be deprived of the concession
available to her as the wife of the employee, provided however, that she gave a declaration that
she was not availing of the concession given by her own employer. These are extended to part
time employees.
ORGANIZATION:
They have demanded that the distance limit to be raised to 2000 kms. by first class once in 2
years with conversion facilities respecting any class or transport.
They also want that taxi & bus fares should be reimbursed against easily available documents.
They also demand the tour expenses should be reimbursed.
They also want that blood relations should be eligible for leave fare concession. They do not
want any limit to the number of fares payable to the family.
Leave fare concession should be income-tax free & unutilized sets should be allowed to be
carried over indefinitely. The min. period of leave to be taken for availing of leave fare
concession should be reduced to 1 week.
Page | 68
KARMACHARI FEDERATION/CASH DEPT. STAFF UNION:

6
They have demanded that the leave fare concession rules should be liberalized to enable the 9
employee & his family to enjoy the facility according to their convenience.
They also argue for first class fare once in 2 years to the extent of 4000 kms., taxi fare from
residence to railway station, fixed amount of Rs. 50 for luggage charges & extension of
convertibility scheme for journeys to visit place of domicile.
Only the eligibility distance has been raised from 1208 kms. to 1500 kms. each
way & rest all the demands are rejected.
MEDICAL FACILITIES
Under the proposed Settlement of 1979, elaborate improvements have been made, to state briefly
they are:
The quantum of annual limits under the existing private treatment scheme was raised from Rs. 50
to Rs. 100 & from Rs. 100 to Rs. 250. These changes are elucidated by the subsequent
agreement dated 12-3-80 with retrospective effect from 1st September 1978.
Dispensary facilities are also extended to dependent parents, & with retrospective effect from 1st
September 1978.
Then there is liberal provision for maternity expenses & also a provision for grant of Rs. 75 for
caesarean operation with effect from 1st September 1978.
It is specifically provided that the cost of vitamins prescribed for curative purposes will be
reimbursed. One more improvement is that if the treatment is taken outside the headquarters,
either by the employee or by the members of his family, he is entitled to get the same benefit as
available under the private treatment scheme at the place where he is staying.
Correspondingly for indoor treatment outside the headquarters, hospitalization facilities, as

shown therein, have been extended, so much so that such facilities could be allowed even when
the employee & his family are on tour or on leave.
ORGANIZATION/ KARMACHARI FEDERATION:
Page | 69
In their objections in this respect, are generally speaking of the desire to have uniformity
between the medical facilities extended to the officers & to the Class III employees. They want 7
to wipe off the difference between the officers & the Class III staff, at least so far as medical 0
facilities are concerned.
The other demands put forward by the Organization in this respect are that “family” should have
the extended meaning to include brothers, sisters, children irrespective of their places of
residence outside the headquarters, & unrestricted reimbursement for treatment of longstanding
ailment & or chronic ailment, which are unethically & often unscientifically disqualified under
the facility.
Normal labor charges are asked to be given at the rate of Rs. 500/- per labor & Rs. 1000/- where
there is caesarean operation. It also demanded that hospitalization expenses should be
reimbursed in full on the strength of the prescriptions of the hospital authorities, without
subjecting the claims to curtailments or restrictions.
These have been extended to part time employees & they will get medical aid to
this extent of Rs. 250 per annum with no dispensary facilities in respect of their
family . all the demands are rejected.
HOUSING LOAN, FESTIVAL ADVANCE & MARRIAGE

ADVANCE
In the agreement of 21st November, 1979 it is decided that the existing basis for grant of housing
loans on the basis of 60 times of pay will continue. Regarding the minimum, the negotiating
parties have not arrived at a definite understanding or commitment but have left it to the review
to be carried out by the Bank in consultation with the Association.
Now this type of settlement cannot be embodied in the Award for 2 reasons. Firstly, there is no
definite understanding, & secondly as stated in respect of other items, talks only with the
Association cannot be counted by the Tribunal when other employees & their Unions have been
given an audience.
ORGANIZATION:
Page | 70
They have demanded that the maximum Housing Loan should be 80 times of the total
emoluments, the outstanding loan should be ensured under insurance scheme & the premium 7
should be borne by the Bank. 1
The demand is rejected.
As regards Festival Advance, it is said that the quantum of festival advance will be increased to a
lump sum of Rs. 600 recoverable in 10 equal monthly installments.
As been stated by the Scheduled Caste/ Scheduled Tribe Employees’ Federation, recognizing
some more days for grant of festival advance has not been considered.
According to the Settlement, Provident Fund Regulations, already provide for grant of advance
or withdrawal for marriage purposes. No convincing case was made for making any change in
the existing rules where under marriage advance is received.
PART-TIME EMPLOYEES
PART TIME EMPLOYEES ARE DIVIDED INTO 3 CATEGORIES:
1) THOSE WORKING FOR MORE THAN 13 HOURS A WEEK BUT LESS THAN 19
HOURS  ½ OF THE SCALE OF PAY WITH ANNUAL INCREMENT.
2) THOSE WORKING FOR MORE THAN 19 HOURS BUT LESS THAN 29 HOURS A
WEEK3/4 OF THE SCALE OF WAGES WITH PROPORTIONATE INCREASE.
3) THOSE WORKING FOR MORE THAN 29 HOURS A WEEKFULL WAGES.
It is further stated that the part-time employees will also have the following facilities:
 MEDICAL AID
Page | 71
 LEAVE FARE CONCESSION

7
 LEAVE FACILITIES 2
 PROVIDENT FUND BENEFITS.
TABULATIONS & STATEMENTS FILED BY DIFFERENT

PARTIES
SECTION 1 REGARDING SALARY & OYHER EMOLUMENTS

All the parties given audience have in support of the various arguments filed different statements
illustrating their points. Most of them relate to the scales of pay, Dearness Allowance & other
allowances & are drawn with a view to point out whether the present Settlement is beneficial or
not. Consideration of these statements, at this stage would give us a compact view of how the
Settlement stands in relation to the existing conditions of services & in relation to others such as
employees in the ”A” plus Commercial Banks & sometimes also employees belonging to other
Classes. In these statements, comparison has been made sometimes with Class IV staff as well as
officers of Reserve Bank & sometimes with the Class III & Class IV employees of Commercial
Banks.
EXHIBIT NO. 1 of the Reserve Bank shows different categories of Class III employees & the
groups in the Bank before & after the settlement. In other words, it illustrates how the 9 groups
which previously existed have now been turned into 4 groups.
EXHIBIT NO. 2 of the Reserve Bank shows the basic pay of Class III employees in the Reserve
Bank, Commercial Banks & Govt. of India. The chart shows, that the basic salary has been
raised from Rs. 210 to Rs. 400 at the first stage & from Rs. 590 to Rs. 1120 at the last stage. This
brings out the contrast with the Commercial Banks where the respective increases are Rs. 325 &
Rs. 1040. In the Central Govt. services a lower division clerk gets Rs. 260 minimum & 400 at the
maximum in a span of 20 years; at the Upper Division clerical level, it is Rs. 330 at the minimum
& Rs. 560 at the maximum with a span of 23 years.
EXHIBIT NO. 3 of the Reserve Bank concerned with the Dearness Allowances shows a
comparison between Reserve Bank & Commercial Banks in respect of Dearness Allowance. The
present settlement, it may be noted merged Dearness Allowance at 200 points & thereafter it is
paid at the rate of 1.5% per slab up to 31st August, 1980 & from 1st September, 1980 at the rate of
Page | 72
1.58% per slab, though in the Commercial Banks upon similar absorption, the Dearness
Allowance paid was 1.5% & afterwards 1.58% per slab. This would show that the clerical world 7
has accepted 1.58% not an improper improvement. 3
EXHIBIT NO. 4 of the Reserve Bank deals with the Provident Fund contribution. In the Reserve
Bank under the Reserve Bank of India Employees Provident Fund Regulations’ the employees
are contributing 10% of the basic salary with the obligation on the Bank to contribute equally. It
is worth noting that in the Commercial Banks, this maximum limit of compulsory contribution
by the Bank is restricted to 8.33%.
EXHIBIT NO. 5 of the Reserve Bank is a statement showing the comparative position of the
House Rent Allowance payable to the employees in the Reserve Bank & the Commercial Banks
as well as the Govt. of India. In the Commercial Banks, House Rent Allowance is payable at
7.5% at centre’s like, Bombay, Calcutta, New Delhi & Madras where City Compensatory
Allowance is also payable. House Rent Allowance of the higher rent centre’s is 12.5% of pay &
at lower centre’s it is 7.5% at Reserve Bank. IN case of Govt. servants, it is very low as
compared to the Reserve Bank & Commercial Banks.
EXHIBIT NO. 6 filed by the Reserve Bank relates to Family Allowance which is peculiar to the
Reserve Bank. Under the revised settlement, no option to claim Family Allowance on per child
basis is available as under the old system, but those who are drawing Family Allowance on a per
child basis are given the option of retaining it subject to a maximum of Rs. 75.
EXHIBIT NO. 7 filed by the Reserve Bank relates to Travelling Allowance & Halting
Allowance payable to the Reserve Bank employees & Commercial Banks & Govt. of India. The
amount of Travelling Allowance paid to Government employees is more or less comparable to
the employees of the Reserve Bank & Commercial Banks. Similarly, it will have to be noted that
the enhanced rate paid for places in Arunachal Pradesh, beyond Inner line to the employees in
Reserve Bank is not available even to the Commercial Banks employees.
SECTION 2 REGARDING OTHER BENEFITS
Page | 73
EXHIBIT NO. 8 of the Reserve Bank deals with Leave Fare Concession. The eligible distance
has been enhanced to 1500 Kms each way. The employees’ dependents are also allowed to avail 7
of Leave Fare Concession. The minimum period of leave to avail such concession has been 4
reduced from 15 days to 10 days. In case of Commercial Banks, the limit is 1000 Kms. each
way. It is available once in two years & the employee & the dependents are not allowed to travel
to separate destinations. The minimum period of leave to avail such concession is 15 days. This
will illustrate how the conditions in Reserve Bank are much more beneficial.
EXHIBIT NO. 9 given by the Reserve Bank is a statement showing the medical facilities
available to the employees in Reserve Bank, Commercial Banks & the Govt. of India. To speak
in short, the medical facilities in the Reserve Bank under the revised settlement have been
liberalized. The quantum of amount for private treatment has been raised, the amount of
reimbursement for maternity expenses has also been raised. The facilities are more favorable in
comparison with other Banks & Govt. offices.
SECTION 3 REGARDING SCHEDULE CASTES/ SCHEDULE TRIBES
& EX-SERVICEMEN
EXHIBITS NO. 16 & 17 are filed by the Reserve Bank of India to show the concessions granted
to the S.C/S.T candidates. Relaxation is made in the qualifying age limit & concession is also
given to the Ex-servicemen for the period of service rendered by them in combatant force.
Concession is also given by way of lesser speed in typing for being taken up as a Typist.
SECTION 4 REGARDING CASH DEPARTMENT
Page | 74
The Cash Department has filed its exhibits with a view to showing the bleak promotional
chances of the employees in the Cash Department. The exhibits 1,2,3 in general are calculated to 7
show that the normal time taken by the Cash Department employees to get promotion as Officers 5
is 29 years while on the general side employees get that promotion in 10 years.
Exhibit 21 filed by the Reserve Bank of India is in relation to the range of service of junior most
clerical employees in the Bank, Bombay office admitted to the test of promotion & test of Staff
Officer Grade ‘A’ from 1972 onwards. The chart shows that nearly 10 years time was required
for such promotion & that it is now showing a tendency of reduction by one or two years.
Exhibit 24 is the circular dated 8th October, 1973 regarding the scheme of promotion from Class
IV to Class III. A Class Iv employee can participate in the written test even when he is merely a
matriculate, & even without English being one of the subjects for his matriculation. Incidentally,
exhibit 26 filed by the Bank would show that although Class Iv employees have an opportunity
to go to Class III, all over India, very few such employees are in fact taken up in Class III. This
shows that either they did not try or they were unsuccessful.
There was a Memorandum of Settlement dated 1st June, 1990 between:
1. Management of RBI, Kanpur & its sub-office situated at Lucknow &
2. Reserve Bank ‘D’ class employees Union, Kanpur & Reserve Bank Workers
Union, Lucknow.
Page | 75
PROBLEM:
7
Have discussed on the topic of separation of seniority of class-IV 6
employees attached to the Bank’s Kanpur & Lucknow Sub-office.
There was a Memorandum of Settlement dated 23rd July, 1993:
In this Settlement there was a Recruitment Procedure:
Removing of “Ticcas”(persons on daily wages purely on temporary & ad-hoc basis

in Class-IV)
Recruitment was done in the following three departments:
a)Maintenance Staff: Sweepers, Farashes including Van cleaners.
b)Service Staff: Peons, Mazdoors, etc.
c)Other Staff: Durwans, Assistant Cooks.
NAYAK COMMITTEE
Named after Shri. P. R. Nayak(the then Deputy Governor)
This committee was formed to go into various issues arising in the area of
Currency Management.
PROBLEMS:
Page | 76
 Enormous rise in the volume of note circulations & problems

7
arising there from.
7
 The existing systems & procedures were found to be
inadequate to cope with the increased volume.
SETTLEMENT DATED 1ST NOVEMBER, 1994
-Grant of advance increment/fixed personal allowance on effecting improvement

in productivity in the Bank.
SETTLEMENT DATED 12th OCTOBER, 2000
-Three settlements reached between the Bank & All-India Reserve Bank Workers
Federation on:
 Revision of the scales of pay & allowances, etc. of the Class-IV employees.
 Systems & Procedures etc. aimed at enhanced productivity in the Bank.
 Improvement of promotional avenues for Class-IV staff of the Bank.
NEW:
Conveyance allowance to Blind & Physically Handicapped Employees.
SETTLEMENT DATED 31st MAY, 2004
This settlement has come into existence due to the introduction of the VRS
scheme.
Two settlements entered into between the Bank & All India Reserve Bank
Employees Association(AIRBEA) & All India Reserve Bank Workers
Federation(AIRBWF) on the following issues:
Page | 77
 Changes in Systems & Procedures i.e. technology upgradation.

7
 Rationalization of Staff requirements of departments/sections. 8
 Outsourcing of IT & related activities & services & other issues.
NEW:
Special Compensatory Allowance(SCA) given to all the grade officers.
This SCA was given to all employees in full-time regular service of the Bank as on
31st May, 2004 at the rates indicated below, effective from 1st Oct, 2001:
Class Pay Range Amount of SCA
Class III Upto 8400 Rs. 400/-p.m.
Above 8400 Rs. 500/-p.m.
Class IV Upto 4250 Rs. 200/-p.m.
4251-5000 Rs. 250/-p.m.
5001-6650 Rs. 250/-p.m.
6651-6900 Rs. 250/-p.m.
Above 6900 Rs. 250/-p.m.
SETTLEMENT DATED 24th OCTOBER, 2005
Page | 78
7
Various settlements reached between the Bank & AIRBWF on: 9
 Revision of scales of pay & allowances & other service conditions of

workmen employees in Class-IV &
 Reduction/Merger of categories
 Introduction of New-Designations
 Time-Bound Promotion Scheme
 Revised Scheme of Switchover &
 Recruitment.(Interview-Screening of service record by Committee of

Officers not less than three).
Page | 79

"Industrial Relations-Awards On Industrial Disputes": Mr. Parag Bhimrao Lonare

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INDUSTRIAL RELATIONS

MR. PARAG BHIMRAO LONARE

Under the guidance of

Internal Guide: MR. CHANDRASHEKHAR THAKAR

External Guide: MR. ANUJ RANJAN

Rajeev Gandhi College of Management Studies

GUIDED BY: Presented by:

This is to certify that this report entitled

(MR. CHANDRASHEKHAR THAKAR)

This acknowledgement is not merely a catalogue of names but a deep sense of

The person I would like to acknowledge is Prof.Chandrashekhar Thakar, for his

SR. PARTICULARS PAGE NO

2 National Industrial Tribunal(Desai Award) 9

2.2 Matters of the Dispute 12

3 Revision of Scales of Pay & Allowances 27

(Agreement dated 7th Feb, 1967)

4.2 Matters of the Dispute 32

5 Problem in the year 1974 52

6 National Industrial Tribunal(Dighe Award) 53

7 Memorandum of Settlement dated 1st June, 1990 76

8 Memorandum of Settlement dated 23rd July, 1993 76

10 Settlement Dated 1st November, 1994 77

11 Settlement Dated 12th October, 2000 77

12 Settlement Dated 31st May, 2004 78

13 Settlement Dated 24th October, 2005 79

Institution: It includes government, employers, trade unions, union federations or 9

Methods: Methods focus on collective bargaining, workers’ participation in the industrial

AWARD on the INDUSTRIAL DISPUTES

RESERVE BANK OF INDIA

SHRI JUSTICE KANTILAL T. DESAI

GENESIS OF THE DISPUTE

 It was established under the Reserve Bank of India Act,1934.

 Due to Second World War.

 1948 & 1953.

LOCAL Association(class II & class III): The Local pay was

Above 5 lacs: 10% of the basic pay

Rs. 10 & 15 per month as per the centre.

HOUSE RENT Association: Association:

COMPENSATORY Association: The demands of the both

All employees should be paid 33.33% per month of

DISCOMFORT Association: The demand is rejected.

FUEL ALLOWANCE Union: The demand is rejected.

CONVEYANCE Union: The demand is rejected.

FAMILY ALLOWANCE Association: The demands of the both

The family allowance should be paid at the rate of

TRAVELLING & Association: The rates were fixed for

Class IV staff should be paid second class fare while

DEARNESS Association: The dearness allowance

rise of one point over 105. provided under

In the case of Class IV staff

LEAVE FARE CONCESSION

The concession is available for going to the place of domicile or up to 750miles(1208kilometres)

750 miles to 1000 miles.

PENSION SCHEME,PROVIDENT FUND & GRATUITY

Demanded the formulation of Pension Scheme as follows:

Normal pensionable age should be fixed at 60.

Proportionate Pension(above 10 years but less than 25 years).

No changes in the existing pay.

MEDICAL AID AND EXPENSES

CONFIRMATION OF TEMPORARY EMPLOYEES ON

FIXATION OF PAY ON PROMOTION TO HIGHER GRADES

EXTENT TO WHICH STAFF CANTEENS SHOULD BE