CHAPTER - V1

WAGE AND SALARY ADMINISTRATION This chapter focuses on wage and salary administration,

employee statutory, non-statutory welfare measures an

incentive programmes that are presented in the bank

WAGE AND SALARY ADMINISTRATION

Wage and Salar) Administn~tion is one o f the most important arcas o f tiunuin

Resource Management. Eker? hullran resource niani~ger is entrusted \\it11 the

responsibility of establishing equitahlc wage and sularj structure on one lintid arid

mainlaining an equitable labour cost structure on the other. \h!ape arid sislarics rcprcscnt 13

substantial part o f totitl cost in the most u f thc organilntion. I{um:tir rcswrcr mrulngcr o f

present age is surrounded between the cc~ntlictinp interests o f the e~nplo?ecs nnd the

employers. For the successfi~l function ofthe organiz,atic)n wcsgr snd salar! adrnirlistrutior~

is essential.

Wage and Salaries arc somc ~ i ~ n e s considcrcd s) nonynous but ttic) havc bliglitl>

d i f i rent nleaning. Wages are paid on daily basis or even on ho~jr ly biasis and is used most

frequently fbr production and maintaining employee, gcncrally know11 as "blue collar

workers" where as salaries are paid on monthly basis who provide mcrrtal labour to the

employer such as clcrical, professional, sales and management ernployecs ycnerally

known as "white collar workers".

6.1. NEED AND IMPORTANCE OF WAGE AND SAI,ARY ADMINISTRATION

Wage and salary adrninistration play a vital area in humi~n resourcc mariagcmenl.

Proper wage & salary policies and programmes: help I~urnan resources managcmcnt to

maintain and develop productive and efficient human resources. Organization n\ornle curt

not be promoted and sustained at a higher level without a fair. equitable and sound

remuneration A number o f theoretical considerations like public policy and

legal frame work. company ohjcctivcs, labour market situation, prcssurcs Ikon1 uniotis and

competition etc. afier the p l ic ies and programmes concerning reward Ilnclion. The

reward structure needs to be evolved carefully to provide Ibr meaningful wage difTcrences

and salary progression. Since 1930 a number o f behavioural scientists have tried to

examine relationships between work, rewards and motivatirln by ftxusing on the

objectives o f the reward system, the content o f the reward and processes o f rewarding.

According to these theories rewards could be intrinsic or extrinsic, but they need to satisfy

a four-fold criteria if they are to motivate the people for superior performance. The

criteria are;

(i) Equity (wages , should be equitable);

(ii) Valence (they must be valued) ;

(iii) Salience (they should be make significant difference to the employees)

and

(iv) Contingent (they should be contingent upon performances) .

Therefore, organi~ations are searching for means to find innovative approaches

which give the desired flexibility and provide a measure of harmonization that contributes

to positive attitudes and better performance besides making rewards simple fair and

equitable2.

Fair wages and salaries are important for the most of the employees, despite,

morale studies which show that wages are thc seventh or the eighth in the scale of job

satisfkction. If wages or salaries are adequate, other needs are felt to be more important; if

wages or salaries are considered inadequate or unfair, they tend to become first in

importance for many people'.

Wage and salary administration refers to the establishment and implementation of

sound policies and practices of e~nployee's co~npensation. It includes areas such as job

evaluation, surveys of wage and salaries, analysis or relevant organizational problems,

development and maintenance of wage structure, establishing rules for administering

wages, wage payments incentives, protit sharing wage changes and adjustments,

supplementary payments, control of compensation costs and other related items4.

6.2. OBJECTIVES OF WAGE AND SALARY ADMINISTRATION

A sound wage and salary administration tries to achieve the I i > I l o ~ ing ohiectives.

For employees

a) Employees are paid according to the recrultnients oftheir jobs.

b) The chances o f f ivor i t is~n are greatl) minimized.

c) Job sequences and lines o f prvmotion are established uchenever they art

applicable.

d) Employees morale and motivation are increased.

To Employers

a) They can systematically plan and control their labour costs.

b) In dealing with trade union. they can explain thc basis o f their ufage prograrnmc.

c) A wage and salary administration reduces the likelihood of friction and grievances over

wage inequities.

d) It enhances the employecs rnorale and motivation.

e) It attracts qualified emploj.ecs h) ensuring an ad~c~uiitc payment for ill1 the jobs'.

Reward to eniplojees can be broadly divided into

i) Pay (basic wage /salary arid allowances)

ii) Incentives

i i i ) Benefits

Pay (WageISalary)

The term 'wage' and 'salary' are some times considered as synonyniously but they

are slightly different from each other.

I L O defined the term wage and salary as "the rcmuncration paid by the employer

for the services o f hourly. daily, weekly and lbrtnightly employees"". I t also nicans that

remuneration paid for production and maintenance or to blur collar employecc.

The term salary is defined as the remuneration paid to the clerical and managerial

personnel employed on monthly or annual basis. The distinction bctwecn wagc and salary

do not seem to be valid in these days o f human resource approach where all employees are

treated as human resource and are viewed at par. t laice two terms can be used

interchangeably. As such, the term wage andlor salary can be defined "as the direct

remuneration paid to an employee compensating his services to an organization7.

b) Incentives

An 'incentive' or 'reward' can be any thing that attracts a employees' attention and

stimulates him to work. In the words of Burack and Smith, "an incentive scheme is a plan

or programme to motivate individual or group performance. An incentive programme is

most frequently built on monetary rewards (incentive pay or monetary bonus), but may

also include a variety of non-monetary rewards or prizes"8.

An incentive plan may consist of both the 'monetary 'and 'non-monetary'

elements. The timing, accuracy and frequency of incentives and provision for

encouragement individual performance are pre-requisites of a successful incentive plan.

c) Benefits

Management is concerned with attracting and keeping the employees performance

to meets at least minimum levels of acceptability ; and at keeping 'absenteeism' and 'turn

over' to tolerable levels. The provision of 'benefits' and 'services' can be and are

important in maintaining the employees and reducing or keeping turnover and absenteeism

low.

It is important to note that 'financial' incentives are paid to specific employees

whose work is above standard. The employee's benefits and services on the other hand,

are available to all the employecs based on their membership in the organization. The

purpose of such benefits and services are to retain people in the organization and not to

stimulate them to greater effort and higher performance. They foster loyalty and act as a

security for the worker. These benefits are usually known an 'fringe benefits'-as they are

offered by the employer to the employee as a 'fringe'. The term 'fringe benefits' refers to

various extra benefits provided to the employees in addition to the compensation paid in

the form of wage or salary. Balcher defines these benefits as wage cost not directly

connected with the employees, productive efforts, performance, service or sacrifice9.

Different terms are used to denote fringe benefits such as are welfare measures,

social charges, social security measures supplements, sub-wages, employee benefits, etc.

The term 'fringe benefits' covers bonus, social security measures, retirement benefits like

provident fund, gratuity, pension, workmen's compensation, housing, medical, canteen,

co-operative credit, consumer stores, educational facilities, recreational facilities, financial

advice and so on lo. Thus, 'fringe benefits' covers a number of employees' services and

facilities provided by an employer to his employees and in some cases to their family also.

6.3. WAGE AND SALARY ADMlNlSTKATlON AND EMPLOYEE

WELFARE MEASURES IN SVGB

RRBs are initially promoted in 1974 as low cost and low profile institutions k ~ r

providing rural credit". As the result. Ceritral Governtnerit Ibrtituluted as separate reward

structure for URB eriiplo~ees Lrhich was quite ditTerertt from that spplicahle to

commercial banks' employees. At that time thc pa? scalrs. allo\rances etc ur KKH

employees were equated with the corresponding scales, nllowancrs etc of'uoncerned stilte

government's employees. Thus, emoluments o f the KKB rtrnplo)ees mere relntivel! lo\vcr

than their counter parts in comtnercial banks, 'The K1113 elnployecs f'elt that thcir.johs and

responsibilities are not tiifrerent from those o f their cotrnter purls in cnlnmcrcisl hanks.

Therefore, since inception. o f RUB. all the KKB employees liave been demanding to

fringe about parity between cmployees o f KRBs and commercial b;~nks h i th regard to pay

scales, allowances. etc. Thus the de~niuid firr 'equal pity I i ~ r cqual work' can nlsu be

,justified on thc basis o f Stacy J.Adarn's equity theory which states that persons arc

concerned not only with thr absolutc amount they receive but also with the rclitticlnships

o f their arnount to what othcrs reccivc ".

In order to achievc their demand for 'equal pay fbr equal work' the IIKl3

employees made a series of'representations to Central Ciovernnicnt through their naticilial

level associations like A l l India Regional Rural t3ank Eniployces Association

(A IRKHEA) and also through their state and the hank level associations. AIKKI3I3l went

for a legal battle also for this purpose by filling a number of' writ petitioris and submissions

in Supreme Court between 1982 and 1987. As the result of this legal battle i ~ n d in

pursuance o f Suprcmc Court orders. dated 1-9- 1987: Cc~ilral Govcrnnicnt (Ciovl. ol'lndia)

appointed a national industrial tribunal (NII') on 26-1 1 - 1987 undcr the chairmanship ol'

honourable justice Qbul Reddy. NI'T' rcpurt was given on 30-4-1990 which slated 111111 llie

pay structure of RKB c~nployees should be equal to that o f commercial banks' cmployees

and ordered implementation o f the same with efkct from 1-9- 1987.

For implementatio'n NII' award, Central Governmenl appointed evaluation

committee on 5-10-1990 to work out modalities for evaluation of po\ts of'RKB staff with

that o f sponsor banks' staff for fixation o f pay scales, tvaluation committee suhmitted its

report to Central Government on 16-1 - 199 land it had been accepted by Government u f

India.

Subsequently, NABARD also constituted a working group (Gupta Committee) in

August, 1991to go in to the operational problems that have cropped up in implementing

NIT award (1990) and Evaluation Committee Report (1991). The working group

examined the issues regarding evaluation of posts, fitrnent in revised pay scales extension

of allowances and benefits, payment arrears on account of implementation of revised

scales of pay, changes to be brought about in service regulations, promotion and

recruitment policy, and other matters pertaining to RRB employees. Gupta Committee

submitted its report incorporating the above matters in February 1992.

Based on the NIT award, Equation Committee Report and Gupta Committee

Report the pay scales, allowances and benefits of the RRB officers and other employees

were brought on a par with corresponding pay scales applicable to the officers and the

employees of sponsor banks with effect from 1-9-87. Accordingly, in the first instance the

RRB staff were fined in the pay scales as per IV Bipartite settlement applicable to

commercial bank employees with effect 1-9-1987. Later in they were fitted in the pay

scales as per V Bipartite settlement with effect from 1-1-1987. Detailed gi~idelincs relating

fitrnent formula on change over to new scales of pay and other related matters have also

been clarified by government of India and NABARD through various circulars issued

from time to time.

Even then, the struggle for parity in pay scales did not end as the RRB staff could

not get further benefits due to them on account of revisions in pay scales of commercial

banks' employees as per V1 and VII Bipartite settlements. Ilence, they again approached

Supreme Court through their local, state level and All India Association for implementing

pay scales allowances and benefits as per VI and V11 Bipartite settlements as applicable to

sponsor banks employees. Thus, they continued their legal battle up to 2001 to achieve

revisions in pay scales as per VI and VI1 Bipartite settlements. Ultimately afier a

protracted legal battle, the RRBs staff could achieve their demand for implementing scale

of pay as per V1 and VII Bipartite settlements.

The above description of events shows, that reward (wage and salary

administration and welfare measures) function in SVGB (RRBs) has under gone a change

with effect from 1-9-97after implementation of NIT award and Bipartite settlements. The

designations of SVGB staff (RRB staff) also have been changed suitably by grouping the

staff into three categories -Group -A otficers scale-1, scale I! , and scale Ill; Group-B

clerical and Group-C Subordinate staff. The erstwhile field supervisors categor\ has been

merged into officers scale-I. junto; clerk-cum-cash~er and smlar clerb-cu~ii-cashiers

categories are merged into a single category vir; clerh-cuni-cashiers. A l l part time

messengers in sub staffcategor) who were in service on 77""'ehruary . 1991 and \ ~ h o

completed 240 days o f continuous sen ice after 22" FFCruar> . 1991 were regarded a5 n

regular messengers from that date Chart 6 1 sholrs clariticut~on of the ofl icer.~ and other

employees o f SVGB at present after equation \kith thc post5 in \pimsor comrnercit~l bunk

(Indian Bank).

CHART-6.1 CLASSIFICATION OF OFFICERS AND OTHER EMPLOYEES OF SVGB

AND THEIR DESIGNATIONS AT PRESENT (After Equat ion with Posts in Sponso r Bank)

2. Senior ~ a n a ~ e r s -- 3. Branch Managers1 I

Scale of sponsor Bank

I . Area Managers Officers Scale I1 & Scale Ill / sponsor bank I As applicable to

Pay Scale Designations

As applicable to corresponding cadre in

Equation in Bank for the Purpose of fitment in the pay

cum-messengers with effect from that date.

Officers (~hebos t of field supervisors are merged with officers scale - I) p-

B. Clerical Cadre Clerk-Cum-Cashiers (The post of senior clerk-cum-cashiers and junior-clerk cashiers are merged in to single cadre) C. Sub Staff I . Messenger-Cuin-

Sweepers * 11. Driver-Cum-

Messenger *

-. - - 111. Part time

Messenger, C ! L _ ~ -

Source: i) RRB Guide Rook, 2004, AIRRBEA, Kolkata, 2004.

ii) Revised Staff Service Regulations 2004. Sri Venkateswara Grameena Bank,

Chittoor.

From the above chart it is evident that various categories of SVGB staff have been

equated with corresponding posts in sponsor bank (Indian Bank)for the purpose of fitment

in pay scales as applicable to sponsor bank (Indian Bank).In what follows pay scales.

allowances ,etc applicable to SVGB staff as per Bipartite Settlements (VI and VI1

settlements)are discussed.

Part-time messenger -cum-sweepers and dr~vers -cum-messengers, drivers who

were in service on 22'ld February ,1991 and who completed 240 days of continuous service

after 22" February 199 I ,were regarded as regular messenger <urn-sweepers and drivers -

Officers Scale - I

-. .-

Clerk-Cum-Cashiers

.- .. .. - ,. .

Sub stalf - ~ .. .

Sub staff

Part time regular sub staff A!eZY!&.~,. .. _.-

corr&ponding cadre in sponsor bank (with production of seniority branch managers visa-a-vis. field supervisors) As applicable to corresponding cadres in sponsor bank (with protcction of seniority of senior-clerk-cum-cashier vis- a-vis junior clerk-cum- cashiers)-. ..... . . As applicable to corresponding cadres in sponsor bank As applicable to corresponding cadres in sponsor bank (with special allowance for driving) Rs.50 of wages as applicable to messengers.

6.4. PAY SCALES AND ALLOWANCES OF SVG BANK ITNDER VI AND VII BIPARTITE SETTLEMENTS

Pay Scales

The remuneration of an officer or an employee shall be / may he determined h> the

central government under the second provision to suh sec ( I ) of the 17 o f Act. Chnrt 6.2

Shows pay scales, minimum and maximum pay fbr olliccrs. clerical and subordinate staff

under VI and V I I Bipartite settlements. It is cvident tiom the chart that as per V I Bipariitc

Settlements pay range varied between Rs 4.250 arid Rs 8.050 for oliicers scale - 1. hctwcen

Rs 6,210 and 8,740 for oflicers scale-ll and between Rs 8.050 and Us '5.700 fur oliiccrb

scale-Ill. The minimum and maximum pay for clerical s~atl 'n~nountrd tu Rs 1.750 und Rs

5,500 where as the minimum and masirnum pay fbr suhordinnre sti~fl'aniountcd Us 1.600

and 3,010 basing on the time span o f these scales. average annual incrcase in pay (br

officers-scale I, scale 11, scale Ilt clerical staft' and subordinate stamworked out to about

Rs 224. Rs 2 1 I, Rs 206, Rs 188 and Rs 7 1 rt.specrively.

As per VI1 Uipartite settle~nent . which is in force at present . i t is observed that

officers scale-I, scale-ll and scale-Ill have pay scales in the range ol' Us 7.100-12.550.

Rs9,820-13,560, and Rs12.540- 15,000 respectively. O n the othcr hand. clcrical and

subordinate staff are in the pay range of' Rs 3.020-8.980and Us 2.750-5.000 respeclively.

The average annual increase in pay for oflicers scale-l nflicers scale-I1 ofricers scale- 111,

clerical and subordinate staff works out to about Ks 320. Rs 3 12, Ks 308. Rs 298 and 1 13

respectively.

CHART-6.2

PAY SCALES OF SVGBANK STAFF AS PER V 1 & V11

BIPARTILE SETTLEMENTS

VI Bipartite Settlement VII Bipartite Settlement Difference

6 .-

Source: VI and VII Bipartite Allotments AIRRBEA, Kolkata 2001.

CHART- 6.3 PAY SCALES OF SVGB STAFF AS PER V1 AND VII

Scale - I Scale - I I

Clerk-cum- cashiers

Messenger Cum-sweeper Driver- cum.

BIPARTITE SETTLEMENTS ---..----- -

V1 Scales of Pay VII Scales of Pay 1. I I

Source: V I and V I I Bipanite Allotments. AIKKBEA, Kolkata, 2001

Comparative analysis ol' V I and V I I Bipartite pay scnles reveals that rhe

differences in lnini~i iuni pay for officers scale-I, oflicers scale-ll, oficers scale -111

clerical and subordinate staff are Ks?,850,Ks 3,610, Rs 4,490. Its 1,270 and Ks 1150

respectively. The corresponding dimcrences in maximum pay are Us 4.490, KS 4,820, Ks

5,300. Rs 3,480 and Rs 1980. Under V I and V [ I settlements, thc employees in clerical and

subordinate staff categories are given stagnatio~i increments. Thesc stagnation incretnenls

are given to these two categories eniployces to avoid discontentment among thcm sincc

they have limited opportunities for promotion when compared to employees in oflictrs

cadre.

Even though at the lime o f revision of pay scales, a portion of' dearness ollowancc

drawn under earlier pay scales, is merged in fixing revised pay scales, employees yo1

considerable monetary benefit on account of every revision. Therefore, it can be

concluded that implememation o r Bipartite Senlement scales has resulted in substan~ial

improvement in pay o f SVGB employees.

6.5 DEARNESS ALLOWANCE (D.A)

DA is second important component of pay of an employee. It is a monetary

compensation given to an employee for neutralizing the effect of increase in cost of living

in India, for bank employees (including RRB employees) as per Bipartite settlements, DA

is increased at a fixed percentages on quarterly basis every year in the months of February,

May, August and November by taking in to account average raise in consumer price index

(Industrial workers) chart 6.4 shows formula for calculating DA rates for SVGB staff both

under VI and VII settlements. Also actual rates of DA as on 1-7-1993and 1-4-1998 under

these settlements are given. Under both the settlements the rates of DA are higher for

employees in lower pay range when compared lo those in higher pay range. Under VI

settlement as on 1-7-1993 the lowest and highest rates of DA are 1.08 per cent (applicable

to those drawing above Rs 8,200) and 4.2 per cent (applicable to those drawing up to Rs

4,80O).AS on 1-4-1998 as per VII bipartite settlements rates of DA have varied between

1.92 per cent (applicable to these drawing above Rs 12025) and 7.68 per cent (applicable

to those drawing up to Rs 7100).

CHART--6.4 FORMULA FOR CALCULATING DEARNESS ALLOWANCES OF

SVG BANK STAFF AS PER VI AND VII BIPARTITE SETTLEMENTS

implementation For Officers Scale - 1, I 1 and 111 from 1-7- 1 999 For Clerical

m i p a r t i t e Settlement r

and subordinate staff from

Date of

, Salary Range I Rs.

Up to 4800 4800 to 7700 7700 to 8,200 above 8200

-- VII Bipartite Settlement

For officers from 1-4-1 998

For Clerical and sub staff from I - I 1 - 1997

--- Rate of D.A%.-

0.35 0.29 0.17 0.09

Salary Range Rs. Up to 7,100 7100to11300 11300to12025 above 12025

Remarks Rate of DA %

0.24 0.20 0.12 0.06

- Of basic pay for every wise or fall of 4 points above I00 in quarterly average of All lndia consumer price index (Industrial works) Base: 1960 : 100) quarterly Average is calculated every year in February, May, August and November

1-1 1-92 I-/ Note: Based on the above formula the actual rates of DA Paid to SVGB Staff were as

follows.

Formula for Calculating Dearness Allowances of SVGB Staff as per VI and VII Bipartite Settlements.

-- VI Bipartite scales of Pay

DA Rates as on 01-07-93 4.2% o f Basic pay for those drawing up to Rs:4,800 3.48% o f Basic Pay for those drauting between Us: 4801 and Us. 7700 2.04% o f Basic pay for those drawing between Rs. 770 arid 8200 1.08% o f Basic pay for thosed drawing above Rs. 8200. .... - - -- . - .

/ VII Bipartite Scale of Pay - -~ DA Rates as on 1-4-98 7.68% o f Basic I'ay for those drawing up to Rs.7100 6.4??0 o f Basic pa) fi)r those drawing bctweon Rs.700 1 and Rs: l 1,300 2.04% o f Basic I'R! for thokc drawing between Us. I 130 I orid Rs. 12025.

1 2 04% o f Basic I'a) for tho\c d r a ~ i n g ahovfis: 12025 -

Source: V I and VI I Bipartite Settlemcnis. AIRRDF.A. Kolkata, 2001.

6.6. HOUSE RENT ALLOWANCE (HKA)

The third important elenierit of pay is I-IRA. 71iis a~ablcs IN nnploycc to rntd the

expnditun: on rentud mommodation. It is p i d a a tisd pyc~mltlgc :em basic pay dcperdinp cm the

place o f work o f an employee. Ernplclyccs wthing in hip citics spt~ial p lam get higher rate ot'k1RA

when cornpad to those who work in othm places. Fmm c b 6.5 it is ohsL.ncll that under both h c

settlements Kata of I-IRA applicable to oficen: an. slightly higher thnn clerical wid subodindle fcti

wid alm in the rdtts o f tiRA arc reduced for all categories of emplo~yc~s iri VII xltlonalt. ?htt

reduction in mtes varied kh%een 2 per cent w d 4 p r cmt. Since SV(;B \7att'work in uItMIJl,

m i - u h and rwal areas, they get IHRA at lower ratn i, e 9.5 and 8.5 per m t as per VI setllrmnir

and 7 and 6.5 p r cent as per Vl l settlement.

HOUSE RENT ALLOWANCE O F SVGB STAFF AS PER VI AND VIJ

Category of Staff

A. Omcers Scale - I Scale - I1 Scale - 111

Class cities cities I Other Places 1 I2 1 8

BIPARTITE SETTLEMENT

01.07.1992 1 in Area - I Other places in Area I1 and 1 1 )*real

VI Bipartite Settlement

Sub - Staff

VII Bipartite Settlement Date of

implemen- tation

State, VI capitals, - 10.5 Area I 1 and State area 111 9.5 Capitals Special 12 Special places 21

Cadre places lakhs & above Clerk-cum cashiers 1,00,000 to 2lakhs

Driver-cum. Below - Messenger

8

7 8.5 7.5

% on Pay

9

Location

Major A

Date of Implemen-

tation

Note : There is no minimum or maximum unit for HKA.

Source: VI and VII Bipartite Statements. AIRRBEA, Kolkata, 2001.

YO on pay 13

Location

Major A class

9.5

Messenger 1.11.97

Cum-sweeper

8.5 Bellow - 10,000

Opinion of Respondents on Salary in Terms of Qualifications

Table 6.1 reveals that 45.24 per cent of the total employees, irrespective of their

cadres, have stated the salary in terms of their qualification is good, 25.71 per cent said

average, 22.86 per cent opined very good and 6.19 per cent of respondents as poorivery

poor. Very negligible per cent of respondents have stated that their current salaries are not

in consummate with their qualifications. As a whole, majority of the employees of both

the categories have confessed that their salary is equal to that of their qualifications.

6.5

TABLE - 6.1

OPINION ON SALARY IN TERMS OF QUALIFlCATlONS

i - T - .-

No of Respondents - - - - - I - *

Opinion Oliicers clerical Sub staff Total

I I 48

1'7.501 1??,8(?1 Good 16 95

Average

Poor 2 I '1

.- 1' SU] Verq I'oor

--. - - 40

1 ' 901

Total 210

Note : Figures in brackets are percentages to colurii~i totals

Source: Primary data.

Opinion of Respondents on Salary in Terms of Experience

Regarding the respondents' opinion about the salnry in terriis oftheir experience. it

is found from table 6.2, 37.62 per cent o f the respotidents have said that their salary is

adequate corresponding to their experience on the job. 32.38 per cent has average, 22.38

per cent of the respondents have stated that salary is very good, 7.62 per cent of'

respondents as poorlverq poor in relation to their espcricncc. Very Sew pcrcentagc o f

respondents have stated that there is no rclationbhip bctweeri the salary and their

experience and hence, they rated it as poor and very poor.

It can be concluded frorn [he abovc analysis that niajitrity of' the oflicers arid

clerical staff o f the SVGB have the favourable out look that thcir present salaries arc in

accordance with their experience.

TABLE - 6.2 OPINION ON SALARY IN TERMS OF EXPEKrENCE

1 1 No of Respondents Opinion

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Good

O'K

Poor

Very Poor --

Opinion of Sample Employees on Salary in Terms of Responsibility

Responses regarding salary in response to responsibilities are shown in table 6.3. It

discloses clearly that 34.77 per cent of the respondents have stated that their salary and

entrusted responsibilities are equated, and said as good, 30.95 per cent as average, 20.95

per cent said as very good. 10 per cent as poor, and 3.33 per cent have disclosed that the

relationship between their salaries and responsibilities are not related fairly. In this regard,

majority of the clerical staff are satisfied fairly with their salaries and their responsibilities.

While, more than one fourth of the officers have felt that there is a wide variation with

their present salary and attached responsibilities on their job.

Though he may not live on bread alone, he does work for his bread. His attitude

towards his organization and job, will be determined usually by the extent to which he is

satisfied with emoluments he is paid. With this mind, the selected employees of SVGB are

Total Ofticers

Scale - 1 I Scale - I1

2 1 [28.77]

32 [43.83]

4 - 15.481

2 (2.741 -- -

73 1 0

asked to give their opinion about the present salary and their responses, are found in table

6.4.

Clerical staff

13 [39.39]

9 [27.27]

2 1 6 . 0 7 1 . -

I p.031

33 1 0

Sub staff

3 1 [48.44]

5 0 [23.44]

3 l4.681

1

JV56J- - 64

1 0 0

14 [35.00]

12 [30.00]

3 i7.501

-- - -- 40

[loo]

79 137.621

68 [32.38]

12 15 .71~

4 (1.911 2 10

[loo]

TABLE - 6.3 OPINION ABOUT SALARY IN TERMS OF RESPONSIBILITY

I -- .- -- - .-

Opinion --

- --- .

I I 9 I I 44 very [I 5 071

L24.?$ 2 I .881 - 17.501 -. L2nPY- Good 24 73

132 881 136.371 _122111- --14_000] - -184,17J

Average 26 9 I? 65 -- __._ [>? 621 -J7272] I 0 [3_0 US1

10 2 I 2 1 Poor [ I3 691 UZ.SO]

_ " 12 5[)1 QO (LO1 Very Poor 2 2 7

-.-EX . 16 021 -_ _13!?J - lz.~q Total 73 33 64 40 2 M)

-- -- A -- - A ! 11!Ql- _ ll001 1~El Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Respondents on Remuneration Situation

On the whole. 37.15 per cent o f the selected eniployees are undcr Ihe opinion (hat

their present pay is neither too good nor too low but average. I4owever. 30.48 per cent of

the respondents have felt that the~r present pay is good and 15.71 per cent have ratcd that it

is considered to be very good. 16.60 per cent o f the respondents are poorlvery poor.

Further, the analysis of the tablc 6.4 clearly reveals the same mode o f opinion across the

officers, clerical cadres and sub-staff.

Incentives whether monetary or non monetary influences the work hehavior of'

employees. irrespective o f the nature o f organiration. As on now, the monetary incentives

such as increments for passing CAl lB course are made available to the crrlployces in the

SVGB and also non-monetary incentives like gifts in the form o f home appliances, fans,

calculators are being given to the employees who% performance are considered to be high

in the particular sphere of activity. It can be assumcd that the higher tllc opinion o f Ihe

employees towards these incentive schemes, the higher their participation in thc work and

the higher participation the higher performance on the job. Therefbre, employees in the

SVGB are asked to rate their opinion about incentives that are made available to them and

their responses are stated in the following the table6.5.

TABLE - 6.4

OPINION ON REMUNERATION SITUATION

I No of Respondents

Note : Figures in brackets are percentages to column totals

Total

Source: Primary data.

Opinion of Respondents on Incentives as Applicable

73 [loo[

The responses as depicted in the above table 6.5 revealed that majority of the

respondents from both the officers and clerical staff opined that incentives in the bank are

from 'average' to 'very poor' and the opinion about incentives in the bank are 'very good'

is negligible. Thus, it can be obviously inferred that the incentives that are being extended

in SVGB are not attracted by the employees.

Along with the job content, employees are often being attracted and remained in

the organizations because of prerequisites associated with the job both individual and

family oriented. As such, the respondents in the study are asked to give their responses

about individual perks being provided by the bank and the same are shown in table given

bellow.

33 [la01

64 [loo]

40 IlOO]

210 loo]

TABLE - 6.5 OPINION ON INCENTIVES AS APPLICABLE NOW

Very good

Good

Very Poor

Total

Note : Figures in brackers are percentages to colunin totals.

Source: Primary data.

Opinion of Respondents on Individual perks of the Bank

It is vividly noticed in the table 6.6. 44.77 per cent o f respondents have said that

the individual perks are poor and 27.14 per cent have rated as very poor. Rut, very few

respondents responded that perks are good. Hence. it can be understood tioni the analysis

that majority o f the respondents, irrespective of thc i r cadres stated a poor opinion about

the individual perks of the hank.

TABLE - 6.6

OPINION ON INDIVIDUAL PERKS OF THE BANK

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Respondents of Family Oriented Perks.

Responses about family oriented perquisites of bank are shown in the table 6.7. It

can be known from the table that 80.47 per cent of the respondents of both the category of

employees selected in the study have stated that the family oriented perquisites being

extended by the bank are 'poorivery poor' and 1 1.90 per cent of the respondents opined

that such perks are 'average', about 7.63 per ccnt the respondents however, rated that

family perks are' very good' and 'good'.

Efficiency of the job depends not only on the expertise of the individual employee

but also equally rely on the incentives associated with the job. Incentives even should

differ from the nature and work load of the job. It can be assumed that the higher the job in

the organizational hierarchy, the more the risk and responsibility there in and hence,

incentives should accordingly be attached. Either absence of such incentives are incentives

which are not in accordance with the eficiency and work load of the job may result a

sense of dissatisfaction among the employees and such ill-feeling will effect the work

performance. The respondents in the study are asked to give their opinion on such

incentives of the bank and details are found in the table given below.

TABLE - 6.7

OPlNlON ON FAMILY ORIENTED PERKS

Note : Figures in brackets are percentages to colutlln totals

Source: Primary data.

Opinion of Sample Employees on incentives for Efficiency and Work Load

It is clear from the figures o f the table 6.8 that 46.67 per cent of'the respondents

have said that the i~lcentivcs for work efficiency and \vurk load are poor in the bank urid

3 1.90 per cent have stated that such incenlive are very poor and 1 1.43 per cent have staled

as average 7.14 per cent have opined as good and only 2.86 par cent o f the cmployces

have rated as very good. More or less the same trend o f opinion is \vitnessed among thc

officers, the clerical and the sub-staff.

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

TABLE - 6.8 OPINION ON INCENTIVES FOR EFFICIENCY AND WORK LOAD.

Opinion of Respondents on Methods of Wage Fixation

r-

Opinion of the respondents about the method of wage and salary fixation in the

bank is elicited and the responses are reflected though table 6.9.

No of Respondents

It is evident from the table that 35.1 9 per cent of the respondents of all the category

are unaware of the wage and salary fixation methods of the bank and hence, they stated

that they are poor and 23.33 per cent have said that the method of salary and wage fixation

is very poor, 22.86 per cent have opined as average, 11.91 per cent as good. However,

5.71 per cent of the respondents have said that the method of wage and salary fixation is

very good. With a little difference as of opinions, all the categories of employees in the

bank have expressed the same opinion about the method of wage and salary fixation in the

SVGB.

TABLE - 6.9

Note : Figures in brackets are percentages tu colunin tolals

OPINION ON METHOD OF WAGE FIXATION

Source: Primary data.

Opinion

Verygmd

Good -- -

Average

Poor

Very I'oor _ _ . _ -

Total ---

Summary of Opinions of Respondents o n Var ious Aspects o f Employee Wage

and Salary Administrat ion i n SVG Bank

_--_- ---__7

No of Respondents

The Table 6.10 summaries the opinions o f the selected employces on wagc w d

salary administration policies o f the bank. Chi-square test has been calculated to test the

--.-T---- .

'Total

----

. -15 2 I ? 711 5

LI-I.~IJ 48

[22,86_[ 76

136 121 49

121-331 210

I 1 "01

-- -- -- -" Oliicers

Clerical sub staff Scale -'I- Scale - 11 staff

significance o f relationship between wagc and salary administration policies based on

sample employees. 'The chi-square test results stated 1.2926 that the opinion of' four

categories (officers scale-I, officers scale-ll. Clerical category and sub-taff) ol'emplr~yees

on wage and salary administration policies ol'the bank is satisfactory.

- -- -- - T4 I2 ?L rr A? !fiL 1 5 I 17,501 4 ' _

I 1 - 17.811__ 28 8

(3832L_ -L l516 ] - - " l @ l L O l _ 16 29

[2 1 921 [4242 L45.3 I] 13 19

L!7-801 -124-241 _ QY 791 _ 73 64

__POI- - - Lo91,1. _ . . l!Yl- -

_ 11n.cq 7

[17.50] _ 17

142.501 -- 9

_ p"2!s01 - 40

. _. ll!'U

TABLE - 6.10 SUMMARY OF OPWION OF RESPONDENTS ON VARIOUS ASPECTS OF WAGE AND SALARY

ADMINISTRATION POLICIES OF BANK

I denotes positive responses 2 denotes neutral responses and 3 denotes negative responses

SI

No

1

2

3

4

6

7

8

9

h~erh

Sala~intermsOf Qualification Sala"lintermsof experience Sala~intermsOf responsibility Pay asapplicablenow

S i n g d v e s s applicable now Individualperks

Family oriented perks

Incentives for efticiencyandwo& load Methdsofpay fixation

Total

Ofliters

OBW ~ e a ~ t - I Clerical StaN

1

Sub Staff Offinn Scale. 11

1

21

25

27

23

7

2

3

5

1

126

II

8

5

8

16

196

1

51

35

35

27

1

21

21

20

20

1

44

45

35

28

I7

6

2

19

32

26

33

3

3

6

12

2

16

I5

18

24

34

1 1

3

4

4

11

12

I3

47

24

56

48

219

2

11

11

12

1 1

I6

6

3

6

Tolal

73

73

73

2

7

Toiai

64

64

64

64

64

64

64

64

64

576

8

I

8

194

7

3

5

3

1

3

1

6

I 7

32

34

29

13

Mi32

31

5

8

163

31

33

33

33

33

291

Total

33

Totai

40

40

40

40

4 0 1

40

40

40

I4

5

7

5

5

70

13

IS

11

8

28

202

7 3 1 1

33

33

33

8

2 2 ,

' 22

23

22

113

9

9

9

50

57

57

29

259

73

73

73

13

657

I 3

4

4

6

4

5

6

114

6.7. EMPLOYEE WELFARE MEASlJRES

Labour welfare or employee's welfare is one o f the major aspects o f national

programmes to better tlte condition o f labour and to create a life and, decent work

environment for this class o f populatiori'3. I t is an important face Ibr industrial relations.

the extra dimension, gives satisfhctioti to the worker in a way which even a good wngc

cannotI4 The whole filled o f welfare is one in which much can he done to crmhat the

sense o f frustration of the industrial worker. to relieve him o f personal and family worries.

to improvi his health, offer him a means o f self.-exprcs~ion to ofler him sotile sphcrc in

which he can excel all others. to help him to a wider conception o f life". It is asiomatic

that in all pursuits. a high standard o f etticiency can be expec~ed orily from persuns who

are physically tit and free fiorn mental worries. that is; only fionl pcrscrns. who sire

properly trained, properly housed. properly fcd arid properly clothed"'.

The need for labour welfare arises frorri the very nature o f the industrial system.

which is characterized into two hasic Sactors : one. tlie conditions under which work is

clarified on are not corlgenial for health, and second. when a labour joins in industry. hc

has to work in an entirely strange atmosphere, which creates prnblems o f adjustment. An

author calls these two factors, "'I he long arm o f the job" and "the social invasion o f the

fac~ory."~.

The 'labour welfare acttv~ties' o f the employees in particular and o f the statc in

general are not only conductive for tlie iniprovetnent in thc corrditions o f t l ~ c working clash

but are the best kind o f investment for the employers to promote industrial efficiency

besides, labour welfare. has trctnendous potentialities for fostering good industrial

relations.

6.8 THE CONCEPT O F LABOUR OR EMPLOYEE WELFARE

MEASURES

The oxford dictionary defines labour welfare as "efforts to make Iifc worth living

for workmen". These efforts have made either in some stutute framed by the state in the

same local custom or in a collective agreement or in the employees own initiation.

The Labour Investigation Committee preferred to include labour welfare "Any

thing done for the intellectual, physical. morale and economic betterment o f the workers,

whether by employers, by government or by other agencies over and above what is laid

down by low or what is normally expected of the contractual benefits for which workers

may have bargained"".

Such services, facilities and amenities as may be established in or in the vicinity of

under takings to enable the persons employed in them to perform their work in healthy,

congenial surroundings and provided with amenities conductive to good health and high

morale may be termed as labour welfare".

Thus, labour welfare includes housing, medical and educational facilities, nutrition

(including provision of canteens) facilities for rest and recreation, co-operative societies,

day nurseries and crkches provision of sanitary accommodation, holidays with pay. Social

insurance measures under-taken voluntarily, by employees alone or jointly with workers,

including sickness and maternity benefit schemes, provident funds, gratuities and pensions

etc2'.

6.9. EMPLOYEE WELFARE MEASURES IN SVGB.

Subject to the provisions of the regulations of the bank the following kinds of

leave may be granted to the employees.

i) Casual leave

ii) Privilege leave

iii) Sick leave

iv) Extra ordinary leave

v) Maternity leave

The power to grant leave shall vest in the chairman, in the case of officers and

subject to such general directions as may be issued by him. in the officer authorized for the

purpose on in the manager as the case may be in case of employees.

i) Casual leave

An officer or an employee in the bank shall be eligible for causal leave on full

emolument for12 working days in a year provided that not more than 4days causal leave

may be availed of at anylone time. Causal leave may not be granted in contribution with

any other kind of leave.

i i ) Privilege leave

a) Application for privilege leave shall be suhrnined hy an ofticer or nn employee at

least one month before the daw from n hich leave is wquired.

b) An officer or an emplo\ee shall be eligible for privilege leabe computed at 1 duq

for every 11 days o f service on dut! probided that at the beg~ntiing ot'service, no

privilege leave ma) be akatled of: before completion ot' I I months scrvicc on dut)"'.

Privilege leave may be accumi~lated up to not more than 180 dajs. The rnaxirnlrm

privilege leave that ma! be granted to an oflicer or an crnp1o)ce at a time shall bc I20

days. An ofticer or an employee on prikilege Ieavc shall he entitled to drub leave ealur!

equal to the emoluments drawn hy him imrnrdiotely hrfbrc proccedi~~g such lrrnve.

iii) Sick leave

An oflicer or employee shall be rl igiblc f'or 20 days o f sick leave for each

completed years o f service. Strch leave can be acc~~rnulated up to 180 days end may be

availed o f only on production of medical certificate by a niedicul practitioricr ucccplahle to

bank or at the bank's direction no~iiinated by i t i i t its cost.

During the period of' sick leave. an otlicer or an eniployee shall he eligible to draw

leave salary equal to half' the amount a specified regulation. Provided that i f an officcr or

an employee desires. the bank, may permit him to draw full emolu~iients in respect ofany

position o f sick leave granted to him twice the amount of' such period on full enioluments

being debited against his sick leave account. The bank may rcquire any officer or iln

employee desiring to resume duty on thc expire of' the sick Icavc, to produce mcdical

certificate saying that he is fit to resume duty.

iv) Extra-ordinary leave

I t may be granted to an offjcer or an employee when no ordinary leave is due to

him and when having regard to his health, sick leave is not considered. justificd by thc

competent authority except in exceptional circumstances. the duration o f extra ordinary

leave shall not exceed 3 months on anylone occasion and 12 months during the certain

period of his services. N o pay and allowances are admissible during the period of extra-

ordinary leave and this period spent on such leave shall not count for increments.

Maternig leave

A female officer or an employee of the bank may be granted maternity leave for a

period which may extend up to the end of the 3 months from the date of its

commencement.

Loan facilities

The board may at its discretion grant loans for cycles, motor cycles and scooters

for its officer/employce on terms and conditions permitted by the state government to the

comparable level of its employees.

Retiremen f

If in the opinion of the chairman the efficiency of an officer/ employer is found

having been impaired after giving 3 months notice.

An officcrl employee may voluntarily retire at the age of 55 years with three

months notice to the chairman.

Promotion

At the discretion of the bank no officer / employee will be appointed or promoted to

any particular post or grade.

Record of service

Maintained by the bank from time to time

Seniori!y

a) Reckoned with reference to the date of his appointment in that grade or scale.

b) Two or more officers / employees of the same length of service in that grade

reckoned with reference to seniority in the immediate proceeding grade or scale.

c) Rank allotted to them at the time of such recruitment

d) Employee whose probation has been extended, reckoned below the officer1

employee if any recruited or promoted in the same bank along with other.

Conflrma! ion

Officer/employee has to complete his probation 6 weeks from the date of

conferment which ever is earlier. During such period he/she shall be paid leave salary

equal to the emoluments drawn immediately before proceeding on such leave.

a) The leave does not exceed 6weeks and si~pported by medical certificate.

b) Maternity leave shall not be debited against the leave account o f the ofticer or

employee.

Leave Fare Concession (LFC)

Officers

I. In a leave fare concession block o f 4 years ot'ficers along u i t h eligible member o f

the family are eligible to avail leave Sarc concessio~r to go to n a ~ i \ c placc.\horilc

town or place or domicile. once in n sub block 01'2 ycars each h) the slic~rtcst

route. Alternatively in a 4 years block. he ma) travel in one sub-block o f 2 years

to his home town and in the other block to any place in 11idii1 by the shonest route.

2 . Family includes spouse, children. parents. brothers. sistcrs. having n ~iionthly

income not esceeding Ks 500p.m

3. Eligible to travel by I" class, A.C sleeper train by the shones~ route.

4. Reimbursement o f actual fare incurred or as per eligibility by the shortest route

from the place o f work to the place ofdeniny.

5. Encashment: Once in a black o f 4 years encaslinient o f privilege lewvc not

exceeding one month.

ClericaV Sub Staff

1. Once in two years. to any place within India or to the place o f do~nicilc up to the

maximum limits ol' 1.500 Kin.

2. Option is also given to avail the facilily once in 4 ycars up to a l imi l o f 3.000 Km.

in one way

3. Family means spouse: also children, parents, brothers, sisters having a monthly

income not exceeding Rs.5001- per month.

4. Entitlement: First class train fare up to a maximuin distance perniissible.

5. Encashment: Once in a block of' 4 ycars encashrnent of privilege lcave nut

exceeding one month.

6. Leave fare concession facility is available with e lkct from 1-3-91.

Leave Fare Concession in SVG Bank

Medical Aid From I - 1 I - l9990n wards a fixed maximum allowances is paid as follows:

For officers at Rs 2,025 per annum subject to production of bills. For other employees at

the rate of Rs 1,000 per annum for those who have service up to five years and Rs 1,200

per annum for those who have service above five years subject to production of bills.

Medical Reimbursement

I) 90% Medical reimbursement is available to the officers 90% in case of self

and 60% of in case of dependents for all ailments requiring hospitalization.

2) For other employees for self 100%. For dependents 75%

3) This facility has been available since 1-1 1 - 1993.

Medical claims in SVGB over a period of time 1995to 2004-05

Incentive Benefit for Adoption of Small Family Norms

I ) Rs.5001- cash incentive will be released to those who adopt small family in

lumpsum.

2) The scheme is with effect from 1-3-1991 to 1-4-96 to till date 30 cases

RS 15,0001-

3) Special incentive for small family

Note : Rs 500 per family as a consolidated amount.

Mileage Allowance/ Conveyance Allowance

1 . The Ofiicers are permitted to use their own vehicle for official duties up to a

maximum distance coverage of 200 km per month.

2. This is pennissible only with in the service area of concerned offices1 branches.

3. Reimbursement of Rs 170 per kilometer for motor cycle / scooter and Rs 1.00 per

kilometer for mopeds.

4. The Officers/clerks/sub staff are eligible for actual bus fareltrain fare.

5. The Officers are eligible for reasonable rickshawl auto charges from the place of

work to bus stand /railway station and vice versa.

Fired Personal Allowance (FPA)

Fixed personal allowance is an additional trlcrernenr granted to all permanent

employees on accourlt o f cotnputrrtration u i i h effect from OI - l 1-1903 In terms of

Bipartite settlements. This FPA iricrenlent is granted to an emplo)ee one year attcr an

employee reaches mavimum in his scale o f pay. FPA is considered us pa! for the purposes

o f calculation o f DA, I iUA. PF. (iratuit) and pension benetits with c f i c t from 01-1 1 - 1999.FPA is as follows.

For Officers scale - 111 Us. 380 p.ni

For Officers scale -I and scale II Us 310 p m

For Clerical slaw Rs. 380 p.m

For Sub-Stan' Us. 170 p rn

OSficiating A110 wance

Etnployees who ofliciate in higher cadrc ill ilbscncc of' regular incumbent are

eligible to draw otliciating allowance. prokided such ofliciatirig period is not less than 7

days at the same rates as given to spcmsor bunk ernployecs for which additional duties.

Professional Qualification Allownncr(PQA) for Officers

This is an incenttve increment given for otlicers who have passed CAI113

examination.

PQA effective from 1-1 1-1999 is as fo1lows

Officers who have passed only part- I C'AIIH examination wi l l yet at1 iricrernenl o f

Rs 135p.m after one year on reaching masirnurn in tlic scale of' pay and Rs 340 p.m aAcr

two years on reaching maximum in the scale o f pay.

Note: Since FPA is given a,Fter one year on reaching maximum in the scale o f pay, PQA

increment wi l l be get postponed by one more year on rcachiny maximum i n the scale of

pay.

Graduate Allowance (GA) and Professional Qualification Allowance (PQA) for

other employees

It is an incentive increment granted to employees other than officers who are

graduates or who have passed National Diploma in Commerce (NDC) examination. The

amount of increment with effect from 0 1-04-1 998 was as follows

i- Rs 12 1 per month granted after completion of one year on reaching the maximum

in the pay scale

i- Rs 242p.m granted after completion of two years on reaching the maximum in the

pay scale.

Professional Qualification Allowance (PQA) for Clerical StafS

This is an incentive increment granted to clerical staK for passing CAllR

examination. From 1-4-1 998 onwards the amount of PQAis as follows.

i) For passing CAIIB part-l -

P Rs 129p.m after completion of one year on reaching the rnaxirnum in the scale of

Pay.

For passing both parts of CAIlB

P RS 129p.m after completion of one year on reaching maximum in the scale of pay.

k Rs 258p.m after completion of two years on reaching maximum in the scale of pay.

k Rs 387p.m after completion of three years on reaching maximum in the scale of

Pay.

PQA for clerical cadre employees are graduates/ NDC and have passed part-l

CAllB examination will get with effect from 1-4-1998.

Incentive increments as follows

k Rs 12 1 p.m after completion of one year on reaching maximum in the scale of pay.

k Rs 242p.m after completion of two years on reaching maximum in the scale of pay.

> Rs 371p.m after completion of three years on reaching maximum in the scale of

Pay.

PQA for clerical cadre employees rcho are graduates / NLX' and have passed both

the pans o f C A I l B examination wi l l gt increment / incentive with the effect fmm 1-4-

1998.

The Incentive increments as follows:

Us 121 p.m after con~pletion o f one year on reaching ~ i i a h i ~ n u ~ n in thc scale of'paq.

b Rs 242 p.m after completion o f two years on reaching rnalirnum in the scale of'

Pay.

RS 371 p.m after conlpletioti of' three )ears on rcaching rnahi~l~rrril in the bcnlc of'

Pay.

i. Rs 500 p.m after cotnpletion of' four years on reaching ma l i~num in the scale rif

Pay.

b Us 629 p.m after completiorl of' five years on reaching maxiltrurn in the scalc ol

Pay.

Note: Since FPA is granted, after one year, on ret~ching the ~iiakinium in the scrtlc (it'puy.

GA1PC)A gets postponed by one niorc year on reaching the lnaxlnlum in the scale of' pay.

A l l these allowances wi l l be takcn in to account in calculating [)A. IRA, PF:. gratuity and

pensionary benefits.

Traveling Allowance (TA), Halting Allowance (HA & Dnily Allowance)

Whenever employees under taken travel for office purpuscs, they are eligible for

traveling allowances as per rates applicable to employees o f sponwr benh in the silnilur

cadre . They are also paid halting allowance as follows.

High class IAW class Other places

-City areas city areas

Oflicers Rs 200 per day Rs I75 per day Rs l SO per day

Clerical cadre Rs 190 per day Rs 145per day Ks 125 per day

Sub staff Rs 150 per day Rs I OOpcr day Rs 80 per day

Other Special Allowancer for Clerical and Subordinate Staff

The following are other special allowances (special pay) for clerical and

subordinate staff.

a) For clerical and sub staff

Fixed transport allowance at Rs 65 per month.

b) Clerical staff

i) Key allowance for clerical who is in-charge of keys Us 351p.m

ii) Computer operator Rs.633 p.m

iii) Data entry operator Rs.440 p.m

c) Subordinate staff

i ) Daftary illlowance for messengers who are entrusted with work of daftary in head

office and branches Rs 352p.m

ii) Cash peon allowance Rs 178p.m

iii) washing allowance Rs 5Op.m

iv) Cycle allowance Rs 35p.m

v) Driver allowance Rs 923p.m

All these above allowances expect cycle allowance and washing allowances shall

rank for DA, HRA, and I'F and retirement benefits.

Scheme for Appointment of Dependents of the Deceased Employees on

Compassionate Grounds

When a permanent employee dies in service, there is a scheme for appointment of

his/ her dependents on compassionate grounds.

Facility of Loans and Advances

i) Festival advance

Festival advance can be granted to permanent SVGB employees subject to the

following maximum limit officers up to Rs 5,500; clerical cadre up to Rs 4,500; and sub

staff up to Rs 3,500.

ii) House building loan

It is granted to all regular employees subject to n~aximllrn of Rs 2.5 lakh for the

officers and the clerical statrand Ks .I .5 lakh for the sub stat?:

iii) Conveyance loan

a) For purchasing two wheelers. permanent employxs o f all categories arc

granted a loan up to a rnaxilnum of Rs 30.0011.

b) For purchasing rliotor car all officer cadre cl~ipluyees are grnnted loan up lo

a maximum o f Rs. l .h0.000.

iv) Consumer loan

For Purchase ofdomestic colisuliier durables or meeting mitrriitpe expct~scs o f sell?

departments all regular employees arc granted loan up lo a maximum o f Ks 15000.

Opinion of Sample Respondent on Working Timings of Bank

Regarding the opinior~ about the ivorking hours of the bank, mosl o f the

respondents have stated in the tahle 6 . I I that the working timings of the hank i.e.. from

10.00 AM to 5.00pm are suitable and convenient. Rur, negligible percentage of

respondents have said that the timings are not convenient atid hcncc, i~ must be changed.

About 14.77 per cent o f respondents heve under dilemma and responded that [he ~imings

are O.K. Ftlrther, it is clear that there i s no much difference o f opinions between the

ofticers and the clerical staff.

TABLE 6.1 I

OPINION ON WORKING TIMINGS O F TI,IE HANK

Note: Figures in brackets are percentages to column totals.

Source: Primary data

Opinion of Respondents on work Environment

Opinion regarding work environment of the branches like spacing, lighting,

ventilation, toilet facilities. More than 44 per cent of the respondents have favourable

feelings and 32.86 per cent have opined that working environment of the branches are

moderately 0 . K and above 21.91 per cent have a negative feeling saying that such

facilities are poor and need to be considered for betterment. Details can be seen in the

table 6.12.

Along with work timings and work environment of the bank, supportive services

such as canteen, recreation facilities, and supply of water at the branches influence the

readiness and willingness of the mind towards the work and also for its effective

execution. With this in mind, the personnel of the SVGB are asked to express their opinion

about such supportive services and their responses, can be witnessed through the

table 6.13.

TABLE 6.12

OPINION ON WORK ENVIRONMENT

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Respondents on Supportive Services Bank

i t is witnessed from the table that. 71 44 per cent of the hank penonnel, selected

for the stud). have opined that the rupportl\e services o f the hank are pcwrfver> poor and

about 18.09 per cent o f respondents opinlons just 0.K and 10.47 per ccnt have u fakorable

opinion 'good', very good Opinion across all the cadre o f ernplo?ces. in this rcgard is

observed to be sini~lar and not much drk~ated fro~n.

It 19 known from the records o f the bank that uhen the cmplo)ces are sent on

official duty, thc? wi l l be given conveyance allowance as p c ~ the norliis of the bunk.

Opinlons are sorted on such allowances from the respondents a n ~ i deinlls are incorporated

in the table given below.

TABLE - 6.13 OPINION ON SUPPORTIVE SERVIC'ES

Note: Figures in brackets are percentages to column totals.

Source: Primary Data.

Opinion of Sample Employees on Conveyance Allowance Facility

It can be seen from the table 6.14, more than 43.33 per cent of the bank employees

under study have said that conveyance allowance Ifactlities arc not attractive. Only 4 1.42

per cent o f respondents are o f the opinion that such allowancc i s just 0.K and 15.24 per

cent have said that conveyance allowances are good and attractive.

TABLE 6.14

OPINION ON CONVEYANCE ALLOWANCE FACILITY

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Sample Respondents on Education, Health, Recreation Facilities

It was stated, the employees of the SVCB are eligible for reimbursement of

medical bills, leave travel concession facilities as per the norms of the bank. The

employees responses on such facilities are collected and stated in the table 6.15. It can be

learnt from the table that 29.52 per cent and 27.62 per cent of the respondents have stated

that such facilities are very poor and poor respectively and 3 1.90 per cent have said they

are just 0.k. and 10.96 per cent have said they are very good. On the whole, the responses

imply that of the respondents have not convinced within the wealth and the recreational

facilities of the bank.

TABLE - 6.15

OPINION ON EDUCATIONAL, HEALTH, RECREATION FACILITIES -----

- No. of H-ponpents- ___-------- - Opinion -

Scale - l_ Scale - 11 Staff Sub Staff Total

Very good 3 - - --- ? 50 - -- - -13.l4.-- - _-_ L - A - - .__llk!l.-

Good 4 2 0 p81 _ 6 . 0 112.5Uj 1 lO.0Oj - 19,2531 Just OK I2 67

2 1 1 - 1 - 1 -_ I.!! !?!I _ Poor 18 13 58

c24.661 F.331 - - - - 1 2 5 . 0 0 1 - -- -- - . 132.50J _1?7,621 -

Very poor 28 10 62 t 3 8 . 3 3 p . 3 9 1 125.001 (29.5?]

Total 73 3 3 64 40 210 m - "l!~~-- _ _L~"OI-. A l!Y'l -- l'!!Ol"

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Sample Respondents on Compensations Leave and

Medical Leave

I t is also observed in the sludy that the SVGB is estcndiriy thc provisions likc

compensatory leave and medical leave with pay to its employces. Accordingly, the

respondents are asked to give their opinions on such provisions. In tablc 6.16 sbout 54.77

per cent of the total respondents irrespective of their cadres have conferred that -they arc

satisfied highly about compensatory arid n~edical loaves of the dark and 30 per cent,

however, mentioned net sum provisions are just ok and 15.28 per cent of' respondents'

opinions are not satisfactory.

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

TABLE 6.16

OPINION ON COMPENSATORY LEAVE AND MEDICAL LEAVE

Opinion of Respondents on Medical and Maternity Relief

Opinion

Quit Satisfactory -

Satisfactory .--- -

Just OK

Dissatisfactory

Quit Dissatisfactory

Total

Medical and maternity benefits are also being extended to the employees in the

bank. Regarding employees opinion on such benefits are collected and exhibited in the

table6.17. More than 53 per cent o f the employees are satisfactory and 38.58 per cent have

rated that medical and maternity benefits are just 0 . K and very few respondents have

responded as not satisfactory. Opinion across the officers. clerical staff and sub staff

regarding these benefits are not much deviated rather more or less similar.

No. of Respondents

Sub Staff

4 [ I 0.001

18 145.001

14 [35.00]

4 [10.00]

- - 40

[loo]

Staff 6

[9.38] 32

[50.00] 17

[26.57] 7

[10.93] 2

[3.12] 64

- [loo]

Ofticers Total

19 [9.05]

96 145.721

63 [30.00]

25 [ I 1.901

7 [ 3 . 3 L 2i o

I l O O ]

Scale - I 6

[8.22] 32

143.831 24

[32.88] 8

110.961 3

4, 73

[lUOJ

Scale - I1 3

[9.09J 14

l42.421 8

[24.24] 6

[18.19] 2

[6.06] 33

[loo]

.sjyauaq

I U ~ W ~ N ~ J I Bu!p~vfia~ slas!llo sq) uatp lo1 B pspualuos ahaq jjals leq1a13 aql la41 punoj

F! I! 'saaK~ldu~a 11s usamlaq apow e s! uos!~vdwo;, c uaqM .~ood JaqIeJ Inq an!lsvlue IOU

am sl!gauaq IuautaJ!la 141 'a>uatI . Alan!lnadsal ~ o o d A J ~ A '~ood a18 uo!u!do sluapuodsa~

ay) jo luas a d 8 ~ 3 1 'b0.81 puv uo!u!do a3e1ane a ahaq ium lad gg.[ E pua uo!u!do q%!q

as yuaq ay1.10 sl!lauaq ~U~UI~I!I~J ley) UO!IOU a y l j o a ~ w u a 3 lad 16.1 f Inoqc saaKoldu3

'$1.9 alqal ayl u! pun01 ;ue slijauaq qsns uo suo!u!do .saa/(oldua sl! 01 aneal pauma

j o Iitaluysasua *Xl!nle~3 luauXnd ay!l svlauaq luaulaJ!lal auos Bu!~sa%%ns osla s! yuaq

"I 'qof uo saaColdura ayl (11 papualsa slgauaq pire sas!hdas aules a41 q ) ! ~ Buolv

TABLE - 6.18

OPlNION ON RETIREMENT BENEFITS

Note: Figures in brackets are percentages to column totals.

Source: Primary data.

Opinion of Sample Employees on Accident Relief Compensation for Self &

Family

The respondents' responses are solicited with the accident relief, compensation for

self and family are being met by the bank to its employees 44.29 per cent of the

respondents have disclosed that such families are moderately 0.K and 22.86 per cent as

good, 12.85 per cent rated as poor and12.39 per cent as very poor and 7.61 per cent as

very good. Here also the clerical staff have a favourable attitude than officers towards

accident relief, cotnpensation for self and family. All these responses can be seen in the

table 6.19.

TABLE -6.19

O P I N I O N ON A C C I D E N T RELIEF, C O M P E N S A T I O N F O R SELF A N D F A M I L Y

- - - . - - - -- - -. - - - - - - . - - - - -- No. of Resfi_ndentmSSS SS --

Opinion Officers Sub Stan Total

Scale - 1 Scale - I1 Stan - - - -. . - -- . -

Very good 2 4 5 16

Good b 13 I I 48 1 .- l1AZL ... "12? 2 1 "- 1*"?.8()1

Just OK 28 17 93

Poor -

76 Very poor

Total 73 64 40 210

Note : Figures in bracket5 are percentages to column total>.

Source: Primary data.

Op in ion of Sample Employees on Vehicle Loan

Along with other loans, the elnployees of' SVGB are provided with vehicle loan

facility. The opinions about thc amount of' vehicle loan and terms and conditions are

shown in the table 6.20. ?'he figures in the table clearly show that 41.42 per ccnt ol'

respondents have felt just 0.K. 27.61 per cent o f elnplnyees have heerr satisfied. 12.39 pcr

cent have been dissatisfied and I0 per ccnt have hecn quite satisfactory 8.58 per cent have

been highly satisfied; clerical staf f have a high opinion on the vehicle loans than the

officers and sub-staff.

TABLE - 6.20

OPINION ON VEHICLE LOAN

Note : Figures in brackets are percentages to column totals.

Source: Primary data.

Summary of Opinions of Respondents on Various Aspects of Employee Welfare Measures of the Bank

Summary of opinions on employee welfare measure are shown in the table 6.21. It

can be understood that there is no satisfactory opinion towards these measures. Chi-square

test has been calculated results 0.0757 that opinions on employee welfare measures in

SVG Bank are not satisfactory.

TABLE - 6.1 1

SUMMARY OF OPINIONS OF RESPONDENTS ON VARIOUS ASPECTS OF EMPLOYEE WELFARE MEASURES

I denores p i t i k e respondents 1 denotes neulral respondents 3 denoles neglive respondents

$1.

No A S W ~

Oficers

Olcers Scale-l 1 Offirers kale-II

? Work environment IS

Clerical Staff Sub s(aM

T o t a l I 1 I 3 T o t a l I

Total 1 I 1 1 3 1 1 3 J Total

REFERENCES

1. Rudra Basavaraj, M.N., Dynamic Personnel Administration, Himalaya

Publishing House, Bombay, 1979.

2. Venkataratnam,C.S., Srivastava S.K; Personnel Management and Human

Relations, 'l'ata McCiraw Hill Publishing Company Ltd, New Delhi, 1999,

PP169- 170 & 199.

3. Edward E. Lawler, Pay and Organizational Effectiveness - A Psychological

View, Mc- Graw Hill Book Co., New York, 1971.

4. Beach, D.S., Personnel: The Management of People at Work, Macmillan

Publishing Company Limited, New Yark, 1970, P.642.

5. Ibid., P.642.

6. P. SubbaRao, Essentials of Human Resource Management and Industrial

Relations, Himalaya Publishing House, Mumbai, 1999, P.402.

7. lbid P. 403.

8. Burack, E.H., Personnel Management: A Human Resource Systems Approach,

1977, P.32 1 .

9. Balcher D.W; "Fringe Benefits" in Longsner Adolf and Zollitch H.O., Wage

and Salary Administration, South Western Publishing Co., Ohio, 1961, p.488

10. Op Cit. p. 423.

1 1 . (a) RRB Guide book, 2000, All lndia Regional Rural Bank Employees

Association, Kolkata, containing orders, circulars and notifications

issued by Government of India, ROI, and NABARD and Committee

Reports since 1975 on matters pertaining to RRBs Staff service

regulations and RRB operations,

(b) Government of India, RRBs Act, 1976, Eleventh Edition, 200 1,

Eastern Book Company, Lucknow.

(c) VI&VlI Bipartite settlements, All lndia Rural Bank Employees

Association, Kolkata, 200 1.

(d) Revised Service Regulations, (Officers and Employees), 2005.

(e) Grnmeena Bank Employees, 100th issue, May-July, 2002(Bi-Monthly

Journal, Published by All l n d i Regional Rural Bank Employees Association).

12. RRB Guide Book, AIRRBEA, Kolkata, 2000.

Dr. T.N. Bhagol i~a l . Economic o f Labour and Industrial Relations. Sahitp

Bhavan . Agra. 1995. p.495.

Arun Monappa, Industrial Relations. Tala hlcGrau t l i l l Publishig Co I.ld..

New Delhi. I l l rd Print, 1989, p.242

Kirkaldy. H.S.. The Spirit o f Industrial Kelntivtis (Ohford), 1947. pp.77-78.

Kudchedkar. l..S.. " Aspects o f Personriel Management of' Industrial Relatio~is".

1979, p. 10

Op.Cit .p.499-500.

Main Report o f Labour lnvcstigatiori C'ommirlw. 1946, p345.Vuoled by C.B.

Memoria and Satish Menloria.

1LO Report 11. Provision of I.'acililitts Ibr thc I'rornol~ori 01' Workers' Wclfhrc

Quoted by C.B. Memoria and Satish Metnoria.

1-abour Investigation Committee. 10.10. p.345, Qunted hy C'.H. Mcnloria and

Sarisli Memoria.