Central Government Employees and Bank Employees salary – A Comparison

bankingsolutions.com has reported the following comparitive chart of central government and banking employees salaries

We are publishing below some comparative charts on the eve of forthcoming negotiations between UFBU and IBA which are reported to be held on 12th August, 2013.   Union leaders are shy to discuss such charts as these tables expose the capabilities of such leaders to get an honourable settlement for the bankers.   These charts have not been prepared by me but are sent to us by one of readers (V Subramanian) who has time and again taken keen interest in putting the truthful facts before the bankers.   We give below two charts for perusal by bankers and for drawing their own conclusions :-


Various Components of Monthly Pay Central Govt. Staff (in Pay Band –1) Sub-staff in Banks Central Govt. Staff (in Pay Band – 2) Clerical staff in Banks
Basic Pay 4,860 5,850 8,700 7,200
Grade Pay 1,800 N I L 4,200 N I L
Special Pay (at the minimum for bank staff) N I L 340 N I L 500
Total 6,660 6,190 12,900 7,700
Dearness Allowance 5,994 (@90%) 5,506 (@88.95%) 11,610 6,849
H.R.A. 1,998 (@30%) 619 (@10%) 3,870 770
C.C.A. N I L N I L N I L N I L
Education Allowance (maximum for 2 children) 2,500 500 2,500 500
Transport Allowance 1,140 (600+90% DA) 225 3,040 (1,600+90% DA) 225
Staff Welfare/Provisions N I L 500 N I L 500
Newspaper N I L 100 N I L 100
Gross Monthly salary 18,292 13,640 33,920 16,644
Various Componentsof Monthly Pay Central Government Officers (in Pay Band – 3 –Stage I) Bank Officersin JMGS I Central Government Officers (in Pay Band – 3 –Stage II) Bank Officersin MMGS II Central Government Officers (in Pay Band – 3 –Stage III) Bank Officersin MMGS III
Basic Pay 15,600 14,500 18,930 19,400 21,900 25,700
Grade Pay 5,400 N I L 6,600 N I L 7,600 N I L
Total of Basic + Grade Pay 21,000 14,500 25,530 19,400 29,500 25,700
Dearness Allowance 18,900(@90%) 12,898(@88.95%) 22,977 17,256 26,550 22,860
H.R.A. 6,300(@30%) 1,233(@8.5%) 7,659 1,649 8,850 2,185
C.C.A.(Maximum@4% for bank officers) N I L 540 N I L 540 N I L 540
Education Allowance(maximum for 2 children) 2,500 N I L 2,500 600 2,500 1,000
Transport Allowance / Monthly Conveyance 6,080(3,200+90% DA) 2,200(30 litres of petrol) 6,080(3,200+90% DA) 3,000(40 litres of petrol) 6,080(3,200+90% DA) 3,750(50 litres of petrol)
Staff Welfare N I L 500 N I L 500 N I L 500
Staff Entertainment Expenses(prorata) N I L 300 N I L 400 N I L 500
Gross Monthly salary 54,780 32,171 64,746 43,345 73,480 57,035
Note:1.   As regards Education Allowance, Staff Welfare/Maintenance Expenses and Newspaper subscription paid to bank staff, the average prevailing at the industry level has been taken into account, to have a fair and reasonable comparison.

2.   In some banks, cost of 15 litres of petrol is reimbursed as ‘Conveyance Allowance’ to award staff, besides the above.  At the present prices, this will be Rs.1,100 extra.
3.   If we compare the limited working hours a day and 5 day week for the central government staff, bank staff  need to be paid additional amount of compensation for the extra hours worked (15% more than the central government staff).
4.   The volume and varieties of work handled by a bank staff are beyond comparison.
5.   If someone moots the topic of concessional loans for bank staff, ask them to consider these points so far as the bank employees are concerned:(a)  There is no tax liability on the perquisites paid to the government staff.

(b) Number of transfers of a government staff is far less compared to his counterpart in a bank.

(c)  If the amount of risks and responsibilities is any criterion, the bank employees (other than officers) must be paid not less than 150% of the salaries paid to the central government staff.

(d) Central government staff enjoy stagnation-free running scale, throughout their career.

(e)  Whenever the pay scales of central government staff are revised, their pension also undergoes automatic revision, for all types of pensioners.

6.     If we look at the statistics given above, clerical staff working in banks are the worst affected.
7.     In fact, a clerk in Central Government service earns a monthly salary of Rs.33,920, whereas the monthly salary of JMGS I officers in a bank is Rs.32,471 (both at the beginning of the scale).  This is the mother of all injustice.