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Monday, 29 April 2024

Wage Revision Issue Reaches a Satisfactory Conclusion Notification Expected Anytime Now

The LIC management called an Information Sharing Session today at 2:30 PM through Video Conference mode. This session was in continuation of the one that was held on 15th of March, 2024. Sri Siddhartha Mohanty, Chairperson LIC, Sri Satpal Bhanoo, Managing Director, Sri A. Sarkar, Executive Director (Personnel) and other officials of Personnel Department were present. Com. Shreekant Mishra, General Secretary, Com. T.V.N.S. Ravindranath, Joint Secretary and Com. B.S. Ravi, Treasurer, represented the AIIEA.

The Chairperson profusely thanked the employees for their magnificent contribution to the growth of the institution. He said that LIC has become the number one Insurance Brand at the global level according to the Brand Finance Insurance 2024 due to the commitment of the workforce. The Chairperson said that LIC has done admirably well in the just concluded financial year despite fierce competition in the market and myriad regulatory challenges. He called upon the unions and associations to help the organisation in augmenting LIC's market share and improving customer servicing as per the aspirations of our policy holders. He pointed out that manpower rationalization and proper utilization of human resources were of paramount importance in the present times. Talking about the new initiatives being planned by LIC, he threw some light on the Ananda App, DIVE initiative and HRMS. The Chairperson finally informed that the wage revision was being finalized in keeping with the hopes and aspirations of the employees. The Chairperson's address was followed by a brief presentation on the wage proposals by Sri Anirban Sarkar, Executive Director (Personnel).

The major points of the wage proposals, as announced by the LIC management are being given below:

  • 1)
    17% Wage Hike on the wage Bill as on 01.08.2022.
  • 2)
    AICPI points merged at 8456 points
  • 3)
    Neutralization of 100% DA as on 01.08.2022
  • 4)
    DA linked to AICPI (Base 1960=100)
  • 5)
    New DA Rate after Wage Revision - 0.06%
  • 6)
    Construction of Pay Scales:
  • Pay Scales are prepared with a weightage of 16% on the existing Basic Pay after merging DA as at 01.08.2022
  • 7)
    Increase in Allowances linked to Wage Revision:

Consequential hike 16% increase after 100% DA neutralization

  • 8)
    Increase in Cadre Based Special Allowance:
  • Additional 20% hike after giving consequential hike. (This works out to almost double the existing amount)
  • 9)
    Increase in Special Area Allowance: 50%.
  • 10)
    Increase in Special Allowance for in-house development Actuarial Capability: 33%.
  • 11)
    Consequential hike given to Minimum and Maximum limits of HRA and CCA
  • 12)
    Management's contribution to the NPS account of those employees who have joined the Corporation after 01.04.2010 will be enhanced from the present 10% of Basic Pay and DA to 14%.
  • 13)
    Ex-gratia single lump sum to Pensioners/ family pensioners/ family members aged 70 years and above (Management informed that the details are still being worked out and approval will come separately).

Responding on behalf of the AIIEA, the General Secretary appreciated the management for making a good wage offer commensurate with the expectations of the employees and in tune with the broad suggestions made by the AIIEA. He said that the management could have been more forthcoming so far as the exact scales of pay are concerned. He said that some issues like AIIEA's demand for some more Stagnation Increments for Assistants, reduction in the span of Stagnation Increments for HGAs from 3 to 2 years, Stagnation to Stagnation fitment etc. are crying for solution since long and some solution had to be found to these issues. The General Secretary demanded that the management should call the Unions for Individual discussions to sort out the long pending issues of the employees with an open mind.

Speaking on the issue of Ex-gratia lump sum for Pensioners and family pensioners, the General Secretary responded that LIC management had come out with a proposal of exgratia payment. He, however, said that the intention of the management to give 'Ex-gratia single lump sum' rather than regular payments does not match the expectations of the pensioners and family pensioners. Similarly the scheme should be applicable to all the pensioners irrespective of age. He demanded that there should be a thorough discussion with the AIIEA before finalizing the Ex-gratia scheme so that the pensioners' community does not feel let down. The management informed that they would examine the suggestions given by AIIEA.

We thank the employees for the patience shown and confidence reposed in the organisation in very trying situations. We congratulate the employees for securing another spectacular wage revision.

With Greetings,

Comradely Yours

General Secretary

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