CIRCULAR NO 5 FROM GENERAL SECRETARY

CIRCULAR GS/2012/05 1^st February 2012

TO ALL OFFICERS

Dear Friends,

We reproduce hereunder the communication received from AIBOC for your information.

10^TH BIPARTITE NEGOTIATIONS-CHARTER OF DEMANDS

“The 9^th Bipartite settlement is to expire on 31.10.2012. The Executive Committee of the All India Bank Officers’ Confederation, which met at Kolkatta on 17^th and 18^th of January 2012, had an occasion to debate on the commencement of negotiations with the Indian Banks’ Association for the purpose of settling the 10^th Bipartite which will be due on 01.11.2012. The members of the Executive Committee had a lively debate on the subject and were of the view that the Confederation should take the leadership as usual and prepare its own strategy for commencement of the Negotiations on 10^th Bipartite with a view to ensure a fair and reasonable revision from 01.11.2012.

In the course of the deliberations, the members observed that, there is a need to be cautious in the background of several developments that are taking place in the Banking scenario, in particular the attempt of Dr.Khandelwal to bring into focus the issue of dividing the banks and injecting a sentiment amongst the rank and file that, there has to be freedom to the Management to have their own say in regard to the revision. It is a ploy as usual in order to create a confusion amongst the rank and file. Hence, the Confederation should be pro-active and go with a definite direction and commitment to ensure that, the banking industry will have the benefit of the industry level settlement. Any deviation from this time tested path is only meant to divide the movement by the Government and the Managements of the Banks.

The members also suggested that, the Confederation should independently come out with a comprehensive ‘Charter of Demands’ covering all aspects of the bipartite settlement as well as the general issues on the service matters, which are pending with the Indian Banks’ Association for a long time. The 6^th Pay Commission has thrown a lot of opportunity to the Civil Servants to better their compensation system as well as the superannuation schemes. There is a need to imbibe some of these aspects and come out with a clear document demanding similar benefits to our members as well.

Friends, the members also decided that, the Confederation should take the lead in the industry, in particular for the Bank Officers’ fraternity and hence we should prepare a comprehensive ‘Charter of Demands’ for submission to the Indian Banks’ Association in good time to compel the IBA to commence the negotiations, so that, we could reach a settlement without loss of much time. The Confederation is aware of the major demands that are to be flagged for the settlement during the current negotiations with the major emphasis on the rationalization of the Salary Scales, the allowances and the introduction of various compensation for the multifarious responsibilities, that are being undertaken by the members of our organisation across the country while serving their respective institutions. The Confederation also has a responsibility of taking care of our former members who are now retired and have been drawing pension without any improvement and similar other facilities as part of our gesture to our senior friends.

It is the duty of each and every member to rally round this great organization and march forward with determination to maintain solidarity and unity of this great movement, so that, we should be able to do justice to our rank and file in the ensuing bipartite negotiations.

In the meanwhile, members who are desirous of sending their views, suggestions and notes etc., in regard to the ‘Charter of Demands’ are requested to forward the same to the Head quarters immediately.”

We will keep our members advised of the developments from time to time in this regard.

With greetings,

Yours Sincerely,

(A.R.SAIFULLAH)

GENERAL SECRETARY

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OFFICERS’ UNITY- ZINDABAD A I B O C – ZINDABAD A I C B O F - ZINDABAD

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CIRCULAR NO 4 FROM GENERAL SECRETARY

CIRCULAR GS/2012/04 25^th January 2012

TO ALL OFFICERS

Dear Friends,

We are reproducing hereunder communications sent to the Management of our bank for your information :

“POLICY FOR PROVIDING FURNITURE & FIXTURES

AT THE RESIDENCE OF OFFICERS

We invite your kind attention to our earlier communication dated 15^th November 2012 on the subject, wherein we had drawn the attention of the management to the various discrepancies in the new scheme. We are bringing the following to your kind notice and request you to issue clarification to the Zonal/Regional Offices:

1. The eligibility and ceiling for furniture and fixtures has been revised for all scales. The department has also issued guidelines that the furniture and fixtures should be purchased from reputed firms and companies. The cost of such furniture also includes VAT and other taxes. Hence the real ceiling of eligibility for furniture gets reduced. As such, there is a necessity to exclude the VAT from the eligible ceiling.
2. Various categories of officers viz. Internal Auditors, officers posted for completion of rural/semi urban stint, officers posted to North Eastern States etc. have been permitted to keep their family at a place of their choice. Such officers who have been permitted to keep their family outside the head quarters should be permitted the furniture and fixtures facility at the place where the family has been permitted to reside.
3. In the earlier scheme, the Probationary Officers were also eligible for furniture and fixtures facility. In the new scheme announced, the directly recruited officers in Scale I/II/III on probation have been excluded from this facility. We request that the POs should be permitted the furniture and fixtures facility as was available prior to the revised scheme. It is not fair to make such Officers ineligible for the facility while revising the scheme.
4. A number of officers have been posted to far off centres on promotion/rotation within/outside the Zone. Some such officers have preferred to retain their family at another centre so as not to disturb the education of their children and for other cogent reasons. They have requested for permitting the furniture and fixtures facility at a different centre where the family has been kept. We request that such officers should also be permitted the facility where the family has been retained.”

“REIMBURSEMENT/PERQUISITE

We understand from circular No.CO/HRD/R&P/2011-12 dated December 7, 2011 issued by HRD to all Regional Offices that in case of necessity, the recently recruited Probationary Officers in Scale I with minimum service of one year may also be posted as Branch Managers. Such Scale I officers posted as Branch Managers shall be exercising the lending and non-lending powers of Scale II. In this regard, we would like to draw your attention to the following:

1. We are pleased to note that the Regional Offices have been advised to pay officiating allowance to Scale I officers so posted as Branch Managers.
2. A few years back, the management had made all Scale I officers eligible for conveyance reimbursement and furniture and fixture facility. The Probationary Officers in Scale I were to be provided conveyance reimbursement from the date of confirmation in the services of the bank.
3. In the earlier Joint Discussions with our Federation, when all Scale I officers were not eligible for conveyance reimbursement, it was agreed by the management to provide conveyance reimbursement to all Scale I officers posted as Branch Managers and accordingly circulars have been issued.
4. In the recently issued guidelines of GAD for providing the furniture and fixtures facility, a mention has been made that the Probationary Officers in Scale I will be eligible for this facility only after their confirmation in the services of the bank.
5. During our Joint Discussions in the past, the management has agreed to provide furniture and fixture facility to all Scale I Branch Managers, at a time when all the Scale I officers were not eligible for such facility.

Since the management has a taken a decision to post Scale I officers including Probationary Officers in Scale I (with minimum 1 year service) as Branch Managers, we request you to advise the Regional Offices that all such officers should be permitted Conveyance Reimbursement and also the furniture and fixture facility which will sure be an incentive to the Officers to work as Branch Managers with zeal and enthusiasm.”

The above issues will be followed up for its logical conclusion. We shall inform you the developments in due course.

WITH WARM GREETINGS

Yours Sincerely,

(A.R.SAIFULLAH)

GENERAL SECRETARY

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OFFICERS’ UNITY –ZINDABAD A I B O C ZINDABAD A I C B O F ZINDABAD

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NO ONE HAS EVER BECOME POOR BY GIVING

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Shri.A.R.Saifullah, General Secretary, CBOA, elected as General Secretary of AICBOF

We are very glad and proud to inform you of the election of Shri.A.R.Saifullah, General Secretary, CBOA, Tamilnadu, as General Secretary of All India Central Bank Officers’ Federation. The General Body Meeting of AICBOF held on 16.10.2011 at Ahmedabad elected the new team unanimously with Mr.A.R.Saifullah as General Secretary for the All India Body.

Shri.A.R.Saifullah started his sterling role in the Organisation as Regional Secretary of Tiruchirapalli Regional Unit in 2001. He was also the Deputy General Secretary of CBOA,Tamilnadu. In the conference of the Association held on 28.05.2006 at Tiruchirapalli, he was elected as the General Secretary of the Association. He was also a Joint Secretary of the Federation. Later, he became the Senior Vice-President of the Federation. When the vacancy of President arose, he was co-opted as President. Now, in the present Conference at Ahmedabad, he has achieved the crowning glory of General Secretary-ship. He is also Vice President of Tamilnadu unit of AIBOC and Deputy General Secretary of AIBOC.

Born on 12.02.1954 at Chidambaram, he graduated in Agriculture from Annamalai University. He was working as Deputy Agriculture Officer in T.N.Government before he joined the Bank. He was Welfare Secretary in Annamalai University and College Secretary of Agriculture students of the University. No wonder, he took to strong Trade Union activity in the Bank.



It is a matter of great pride for the Tamilnadu unit. Till 1984 it was a tiny unit. It was in 1999, it achieved majority, swimming against the current, facing intense fight from the workmen union and its surrogate officer outfit. We would have never imagined that one day it would give a General Secretary to the Federation itself. It should be a matter of immense satisfaction and fulfillment for all those who contributed to this mighty position of the Association in the last over two decades.
In the Association and Federation nothing counts except hard work, dedication and sincerity. That is why and how Shri.Saifullah could become the General Secretary of AICBOF. He is known for his devotion to duty, dignified conduct and disciplined approach. He richly deserves this coveted position and he, sure, will deliver.

RESULTS=PROMOTION PROCESS-SPECIALIST CATEGORY

http://www.scribd.com/fullscreen/62308430?access_key=key-1wzd7bbfhlk0in4o3k9p

INDEPENDENCE DAY WISHES TO ALL

CENTRAL BANK RETIRED OFFICERS' ASSOCIATION FORMED

A new Association for Retired Officers of the Bank in Tamil Nadu is born, kindling new hopes for a better tomorrow for officers who have already retired and who would be retiring in the days to come.

All the retired officers are requested to fill up the application form and send it with a cheque for Rs.1600/- favouring Central Bank Retired Officers' Association, towards one time admission fee and membership fee to

Mr.A.R.Saifullah, Central Bank Of India, Addison Buildings Branch, Anna Salai, Chennai 2 OR to Mr.I.Albert Alphonse Raj, 21 Mullai Street, Shanthi Nagar, Madurai-18

A list of Officer bearers is given hereunder for further contacts and activities,

Chairman :D.Visvanathan (Rtd.GM)
President :D.Doraisamy
Sr.Vice President :S.Venkatavaraghavan (Rtd.AGM)
Vice President :S.Govindarajulu
Vice President :R.Suriyanarayanan

General Secretary:
I.Albert Alphonse Raj

Secretaries :

G V Ganesan - Chennai
K Mohan - Madurai
A P Ramesh kumar -Coimbatore
N Srinivasan - Trichy

Treasurer :
C K Vaidyanathan

Asst. Treasuerer :
K Vedachalam

TAX EXEMPTION ON AMOUNT DEDUCTED TOWARDS PENSION FUND

We reproduce herewith the circular no:18 dt.17.2.2011 issued by AIBOC for our readers

CIRCULAR NO. 18 DATE: 17.02.2011

TO ALL AFFILIATES /MEMBERS

TAX EXEMPTION ON AMOUNT

DEDUCTED TOWARDS PENSION FUND

Please refer to our Circular No 17 dated 14.02.2011.

2. We have to day once again taken up the issue with the Finance Ministry Government of India and also IBA on the issue of exemption of amount contributed towards 2^nd option on Pension out of arrears of salary and allowances and 56% of the P.F. amount by the retirees. A copy of our communication is annexed.

3. We shall advise the developments in due course.

With greetings

Sd

(G.D.NADAF)

GENERAL SECRETARY

No./1452/120/11 17.02.2011

To,

The Chairman,

The Indian Banks’ Association,

World Trade Centre Complex,

Centre 1, 6^th Floor, Cuffe Parade,

MUMBAI – 400 005.

Dear Sir,

9^TH BIPARTITE SETTLEMENT

2^ND OPTION ON PENSION CONTRIBUTION TOWARDS PENSION CORPUS FUND BY CPF OPTEES

We invite your kind attention to the Memorandum of understanding dated 27.11.2009 on Salary Revision and Joint Note dated 27.04.2010 on another Option for Pension, signed by the Indian Banks’ Association and All India Bank Officers’ Confederation, where it was agreed that:

(i) In case of existing employees, the amount that is receivable as arrears on account of settlement by which they are permitted the option to avail the Pension Scheme on withholding 2.8 times of their revised basic pay as at 01.11.2007, towards the pension corpus.

(ii) Retired employees and the families of deceased employees, have to refund additional amount of 56% of Bank’s contribution to PF towards the Pension Fund, to be eligible for Pension Option.

2. In respect of existing employees the amount of 2.8 times of Revised Basic Pay appropriated towards Pension Corpus, is not available to them at any time. As per the prevailing Tax law it is only the amount that is due to the employee after the amount appropriated towards pension corpus, that can be taken as “Salary” within the definition of Section 17 of the Income Tax Act, 1961.

3. For the purpose of deduction of tax at source the law is transparent that, tax deduction is required under section 192, in respect of “Salary”, which has to be made on the income chargeable under the head “Salaries” at the time of payment so that even the amount chargeable becomes tax deductible only at the time of payment.

4. Since the amount retained towards the corpus is not paid to the employees the question of tax deduction at source doest not arise in respect of with-held amount for the Pension Corpus.

5. Similarly, in respect of retired employees or families of employees who died during the relevant period, who have to refund additional amount of 56% of Bank’s Contribution to PF the amount so refunded should also be treated as investment in the Pension Corpus and the amount should be allowed to be deducted from the arrears of Pension payable to this category of employees, for arriving at the taxable income.

6. It may please be noted that the Pension amount paid out of the corpus fund is always taxable in the respective years.

7. The contributions made by the employees towards the superannuation benefits such as Provident Fund; Pension Fund etc. are eligible for tax exemption as per the Income Tax rules and treated as Investments in the eligible securities for all practical purposes. Thus, the money contributed to the Pension Fund Corpus either 2.8 times or 56% of Bank’s contribution to PF as indicated herein above, should be exempted from the payment of Income Tax or should be allowed as deduction from the total income received as the case may be.

8. Keeping the foregoing in view, we request you to take-up the matter with the Minister of Finance, Govt. of India and the Chairman, Central Board for Direct Taxes, Govt. of India, New Delhi for providing relief/exemption from payment of tax as indicated hereinabove.

9. This will go along way in providing substantial relief to the employees working in the Banking Industry and also the retired employees and families of deceased employees.

10. We once again request you to take-up the issue with the concerned at your earliest convenience and provide the necessary relief to the employees.

Thanking Yoy

Yours faithfully,

(G.D.NADAF)

GENERAL SECRETARY

No.1410/121/11 17.02.2011

To,

Sri. Pranab Kumar Mukherjee,

Hon’ble Finance Minister,

Government of India,

South Block, Parliament House,

New Delhi.

Respected Sir,

9^TH BIPARTITE SETTLEMENT AND ANOTHER OPTION ON PENSION FOR BANK EMPLOYEES

CONTRIBUTION TOWARDS PENSION CORPUS FUND BY CPF OPTEES

With your kind intervention, the 9^th Bipartite Settlement on Salary Revision and also an agreement for another option on Pension was signed on 27.11.2009 by way of Memorandum of understanding between Indian Banks’ Association and All India Bank Officers’ Confederation (AIBOC). The final settlement was signed on 27.04.2010 and the long cherished dream of Bank employees to get another option for Pension was realised.

2. As per the Settlement it was broadly agreed that:

(i) The existing employees will contribute 2.8 times of the Basic Pay as at 01.11.2007 to the Pension Corpus Fund, out of the arrears of salary, to be received by them, to become eligible for Pension Scheme.

(ii) Retired employees and the families of deceased employees have to refund additional amount of 56% of Bank’s contribution to PF towards the Pension Fund; to be eligible for Pension Option.

3. In respect of existing employees the amount of 2.8 times of Revised Basic Pay out of arrears of salary and allowance, appropriated towards Pension Corpus is not available to them at any time. As per the prevailing Tax rules it is only the amount that is due to the employee after the amount appropriated towards Pension Corpus, that can be taken as “Salary income” within the definition of the Income Tax Act, 1961.

4. For the purpose of deduction of Tax at source, the law is transparent that tax deduction is required under section 192, in respect of “Salary” which should be made on the Income chargeable under the head “Salaries” at the time of payment so that, even the amount chargeable becomes tax deductible only at the time of payment.

5. Since the amount retained towards the Pension Corpus is not paid to the employees, the question of tax deduction at source does not arise in respect of withheld amount for the Pension Corpus.

6. Similarly, in respect of retired employees or families of employees who died during the relevant period (between 29.09.1995 and 27.04.2010) who have to refund 56% of Bank’s contribution to PF, the amount so refunded, should also be treated as investment in the Pension Corpus and the amount should be allowed to be deducted from the arrears of Pension payable to this category of employees, for arriving at the taxable income.

7. It may please be noted that the monthly Pension amount paid out of the Corpus fund is always taxable in the respective years.

8. The Income Tax Law provides that the contributions made by the employees towards the superannuation benefits such as Provident Fund, Pension Fund etc. are eligible for tax exemption, as these are treated as Investments in the eligible securities for all practical purposes. Thus, the money contributed to the Pension Fund Corpus either 2.8 times of Revised Basic Pay as at 01.11.2007 in case of existing employees or 56% of Bank’s contribution to PF in respect of retired employees or families of employees who died during the period should be exempted from the payment of Income Tax or should be allowed as deduction from the total income received by way of Pensionary benefits, as the case may be.

9. Keeping the foregoing in view we request you to extend tax benefit to the above category of Offices/employees working in the Banking Industry. This will go a long way in providing substantial relief to the employees, who have opted for Pension in the wake of the Agreement on implementation of another option for Pension.

10. We have the confidence that our request will be considered favourably.

Thanking you,

Yours faithfully,

(G.D.NADAF)

GENERAL SECRETARY