CBEU Manual On Service Conditions PDF

24th Triennial Conference Publication
CORPORATION BANK EMPLOYEES’ UNION (Regd.)

(Central Office : Mumbai)
MANGALURU OFFICE
CBEU Golden Jubilee Hall,
Opp. Sharada Vidyalaya, PVS Kalakunj Road,
Kodialbail, Mangaluru-575 003
This Booklet is for the use of the unit
CBEU MANUAL ON
SERVICE CONDITIONS
(Updated till January, 2016)
(24th Triennial Conference Publication)

Mangaluru Office: CBEU Golden Jubilee Hall,
Opp. Sharada Vidyalaya,
Kodialbail, MANGALURU - 575 003
FOREWORD
Education forms one of the strongest bonds in the society or economy. Education
makes man perfect and cultured. That is why it is said ‘Education is the
manifestation of perfection that is already in a man’. Education makes a person
knowledgeable. ‘Knowledge is power’ says an old adage. But ‘Knowledge used
in life is super power’ says the new adage.
Trade Unions are the Gymnasiums wherein due to trade union education, the
number becomes a true member. He will inculcate the true spirit of trade union
ideology in a society which is casteless and free from man-made exploitation.
Trade Unionism in our industry under the great banner of AIBEA, has elevated
the position of employees from slavery to a dignified and respectable position.
Awards & Bipartite Settlements and our internal settlements show us the evolution
of the service conditions of employees in the ascending order.
Compiling all the service conditions updated in one place would enable the
union leaders and functionaries right down to the grass-root level to understand
about the totality of service conditions, as well as their evolution over years and
decades. One has to bear in mind that most of the Branch union leaders are of
comparatively younger age and there can be no denying of the fact that providing
them the ready reckoner on our service conditions is of absolute necessity.
On the occasion of 24th Triennial Conference of our Union, on 21st and 22nd
February 2016, at Bengaluru, it was decided to update the book on Service
Conditions of Award Staff working in our Bank and this task was assigned to
Com. B.N.Rajaji, Vice President and Com. M.Nagaraja, Assistant Secretary of
our Union and they have accomplished this task on time.
I thank both of them for the onerous exercise undertaken for compiling this
book. Their efforts, energy and precious time will not go waste if all our Branch
Secretaries, activists and members, extensively use this book for enriching their
knowledge.
With Conference Greetings,
(VINCENT D’SOUZA)
General Secretary
NOTE
The Service Conditions of bank workmen are governed by various Awards,
Industry level Settlements, Central Government notifications/guidelines, Bank
level Settlements/Agreements etc.
PART- I OF THIS BOOK CONTAINS THE PREVAILING CLAUSES OF
FOLLOWING AWARDS, ACTS, CENTRAL GOVERNMENT NOTIFICATION
AND INDUSTRYWISE BI-PARTITE SETTLEMENTS.
1. The Sastry Award (1953)
2. The Labour Appellate Tribunal Decisions (1954)
3. The Industrial Disputes (Banking Companies) Decisions Act, 1955
incorporating the recommendations of Bank Award Commission.
4. The Industrial Disputes (Banking Companies) Decisions Amendment Act,
1957 in respect of the then ‘C’ Class Banks.
5. The Central Government’s notification, dated the 13th February, 1960 in the
matter of provision relating to calculation of dearness allowance.
6. The Desai Award (1962)
7. The First Bi-partite Settlement dt. 19-10-1966 - Covering A,B,C Class Banks
& Exchange Banks and their workmen represented by AIBEA.
8. The Second Bi-partite Settlement dt. 21-10-1970 - Covering A,B,C Class
Banks and their workmen represented by AIBEA.
9. The Bi-partite Settlement dt. 23-07-1971
11. The Third Bi-partite Settlement dt. 01-08-1979 & 31-10-1979 - A Class Banks
12. The Third Bi-partite Settlement dt. 22-11-1979 - B & C Class Banks
14. The Bi-partite Settlement dt. 08-09-1983 - Residual Issues
15. The Fourth Bi-partite Settlement dt. 17-09-1984 - A Class Banks
16. The Bi-partite Settlement dt. 28-02-1985 - B Class Banks
20. The Fifth Bi-partite Settlement dt. 10-04-1989 - A Class Banks
22. The Fifth Bi-partite Settlement (Supplementary Settlement) dt. 29-06-1990-
A Class Banks
24. The Bi-partite Settlement dt. 16-07-1991 - Residual Issues.
25. Settlement on Pension & Computerisation dt. 29-10-1993.
26. Minutes on HRA - Surat, Jaipur and Lucknow dt. 22-06-1994.
27. The Sixth Bi-partite Settlement dt. 14-02-1995
28. MOU on Relativity issues dt. 30-09-1996
29. Settlement dt. 14-12-1996.
30. Settlement on Residual Issues dt. 28-11-1997
31. The Seventh Bi-partite Settlement dt. 27-03-2000.
32. The Bi-partite Settlement dt. 10-04-2002 on Disciplinary Matters.
33. The Eighth Bi-partite Settlement dt. 02-06-2005.
34. Joint Note dt. 22-06-2005 on Pension Matters.
35. The Ninth Bi-partite Settlement dt. 27-04-2010
36. The Tenth Bi-partite Settlement dt. 25-05-2015
LIST OF ABBREVIATION USED IN THIS BOOK
L.A.T. : Labour Appellate Tribunal

S.A. : Sastry Award
D.A. : Desai Award
I.B.A. : Indian Banks’ Association
B.P.S. : Bi-partite Settlement
MOU : Minutes of Understanding
PART - II OF THIS BOOK CONTAINS VARIOUS BANK LEVEL SETTLEMENTS/

AGREEMENTS, CENTRAL GOVERNMENT GUIDELINES ETC.
INDEX
PART - I : AWARDS/BIPARTITE SETTLEMENTS
CHAPTER SUBJECT PAGE No.
I SCALE OF PAY 1-9
Pay Scales 1
Increment/Stagnation Increment 2
Definition of Pay 3
Increments for Educational Qualifications 4
Graduation Pay 4
Granting, Stoppage & General withholding of increments 6
Additional Increment 7
Fixed Personal Pay 8
FPP Table 9
II SPECIAL PAY 10 - 28
General Rules 10
Special Pay 12
Special Pay for clerical and subordinate staff 14
Graduation Pay/Professional Qualification Pay 15
Duties of clerical and subordinate staff w.e.f. 1.5.2010 16
Special Pay duties for Clerical cadre 17
Duties of erst-while special posts in clerical cadre 20
Special Pay duties for subordinate staff 25
III DEARNESS ALLOWANCE 28
IV HOUSE RENT ALLOWANCE 29 - 32
HRA Rates 29
HRA in Project Area 30
V SPECIAL ALLOWANCE 33
VI OTHER ALLOWANCES 34 - 49
Washing Allowance/Cycle Allowance/Hill & Fuel Allowance 34
Officiating Pay 35
Water Scarcity Allowance 36
Split Duty Allowance/Pass Book Allowance 37
Paradip Port Allowance/Special Area Allowance 38
Hindi incentive Allowance 38
Halting Allowance 45
Halting Allowance Rates 47
Project Area Compensatory Allowance/Project Area Allowance 48
Conveyance Allowance/Transport Allowance 49
Deputation Allowance 49
VII LEAVE RULES 50 - 61
General 50
Privilege Leave 52
Encashment of PL 53
Casual Leave 54
Sick Leave 55
Extra-ordinary Leave 57
Maternity Leave 57
Paternity Leave / Special Sick Leave / Special Leave 58
Quarantine Leave 59
Leave preparatory to retirement/Special Leave in case of
injuries on duty 60
Special CL for Blood Donation/Exercising
Franchise/ Non attendance of office due to curfew 60
Family Planning/ Special Leave for attending courts or
enquiries 61
VIII LEAVE FARE CONCESSION 62 - 69
Eligibility/Part-time Employees 62
Travel-Purpose/Distance & Option/Mode of Travel 63
Reimbursement of expenses on road travel 65
Travel & availment by dependents 66
Encashment of PL 67
Evidence of Travel/Journey Tickets - Advance/
Salary Advance 68
Encashment of LFC Facility/ Definition of Family 69
IX MEDICAL AID & EXPENSES 70 - 101
Quantum 70
Schedule for Reimbursement of Hospitalisation Expenses -
Medical Insurance Scheme 72
X HOURS OF WORK, OVERTIME, WEEKLY OFF,
STAGGERING, SPLIT DUTY 102 - 106
Hours of work 102
Staggering of working hours/ Change in the weekly
holiday/Overtime 103
General 105
Business hours 106
XI DISCIPLINARY ACTION AND PROCEDURE
THEREFOR 107 - 119
Gross Misconduct - Acts 108
- Punishments 110
Minor Misconduct - Acts 111
- Punishments 112
General 112
Utilisation of proceeds of fine/ Suspension &
Subsistence allowance 117
Voluntary cessation of employment 118
XII RULES REGARDING RECRUITMENT 120 - 121
XIII RULES REGARDING TRANSFER 122 - 127
Transfer on requests/Clarification on policy 122
Deployment of staff 123
XIV JOINING TIME ON TRANSFER 128
XV TRAVEL ON DUTY/TRANSFER/TOUR 129 - 132
General 129
Reimbursement of expenses on road travel/
Travel by dependents on transfer 130
Transportation of personal effects/
Compensation on transfer breakages 131
Employees on tour/duty 132
XVI UNIFORMS AND LIVERIES 133
XVII CLASSIFICATION OF EMPLOYEES 134
XVIII PROBATIONERS 135 - 136
XIX PART-TIME EMPLOYEES 137 - 140
XX DRIVERS 141 - 142
XXI WATCH AND WARD STAFF 143 - 145
XXII AGE OF RETIREMENT 146
XXIII RETIREMENT BENEFITS 147 - 159
Provident Fund 147
Gratuity 152
Gratuity Chart 155
Encashment of PL/Pension 156
XXIV COMPUTERISATION / MECHANISATION AND
TECHNOLOGICAL UPGRADATION 160 - 161
XXV MISCELLANEOUS PROVISIONS 162 - 170
Improvement in working in Bank’s Branches/Offices etc. 162
Improvement in Customer Service/Godown Inspectors 163
Conversion of Cashiers & Typists/Night Clearing/
Business Hours/Combined Designations 164
Standing orders/Retrenchment of superfluous workmen 165
Search/Temporary Stoppage of work/Maintenance of
service books 166
Redressal of grievances/Service certificate/ Issue of
Notices & Orders 167
Procedure for termination of employment 168
Temporary Godown Keepers 169
XXVI RESTRICTIVE PRACTICES 171 - 173
XXVII IBA CIRCULARS AND GUIDELINES 174 - 190
Stagnation increment on reversion/House Rent Recovery 174
Special Allowance/H & FA/PTEs 175
Gratuity/Business Hours/Sick Leave/Hospitalisation
Expenses/Reimbursement of HRA/LFC Reimbursement 176
Incentive for small family/Increment for period of suspension
upon reinstatement 177
Special / Special Casual Leave 178
Reimbursement of TA/DA to defence representatives/witnesses 179
HRA at semi-special places 180
Ex-servicemen-Refixation of Pay/Payment of Gratuity 181
Refixation of Pay of Ex-Servicemen Re-employed 182
IT Exemption - Air Travel 182
Appointment on Compassionate Grounds - Case of Suicide 183
Subsistence Allowance / Payment of HRA, CCA 184
Ex-servicemen Pay fixation / Compensatory facility -Kashmir valley 185
Payment of Gratuity - Definition of Pay 185
Computation of FPP 186
PTEs-Encashment of Leave 187
Milestone Award/Payment of Gratuity - Computation of wages 187 - 188
Deputation Allowance - RRBs/DICs/DRTs 188
Reimbursement of TA/DA to Serving / Retired / Dismissed
Employees 189
XXVIII BANK EMPLOYEES’ PENSION REGULATIONS,
1995 - NOTIFICATION 191 - 227
Preliminary 191
Application and Eligibility 194
The Fund 198
Qualifying Service 200
Classes of Pension 204
Rate of Pension 207
Family Pension 209
Commutation 216
General Conditions 220
Appendixs 227
XXIX NEW PENSION SCHEME 228 - 243
PART - II : BANK LEVEL SETTLEMENTS / AGREEMENTS /
GUIDELINES ETC.
I APPOINTMENTS 247 - 262
Permanent Subordinate Staff / PTS 247
Appointment of Armed Guards 252
Recruitment of Single Window Operators 254
Appointment of Special Assistants 257
II PROMOTIONS 263 - 280
Policy on promotion of Sub-staff to Clerical Cadre 263
Policy on promotion from Clerical to Officer’s Cadre 271
III FITMENT FORMULAE 281 - 289
On promotion from Sub-staff to Clerical cadre 281
On promotion from Clerical to Officer’s cadre 283
Pay Fixation of Ex-servicemen Award staff 286
IV FRINGE BENEFITS 290 - 307
Briefcase 290
Closing Allowance 290
Conveyance Expenses 291
Conveyance Allowance to Blind/OPH Employees 291
Cost of Newspaper 292
Concession on Locker Rent 292
Concession on Educational Loan Interest 292
Daily Conveyance 292
Entertainment Expenses 293
Fixed Personal Pay on Promotion 293
Incidental Expenses on Training / Deputation 294
Leave Fare Concession - Service Charges 294
Leave Fare Concession - Travel by Taxi 295
Leave Fare Concession - Travel by Own Car 296
Leave Fare Concession - Local Sight seeing 297
Leave Fare Concession - Conducted Tour 297
Lodging Expenses to Clerical Staff 297
Medical Expenses for Dog/Snake bite 298
Memento to Retirees 298
Permission to use two wheeler for cash remittance 298
Physically handicapped employees-Companion 299
Sabbatical Leave to Women Employees 299
Shifting expenses on superannuation 300
Sub-staff employees - Payment of Daftary 300
Salary in advance towards Festivals 300
Study Leave 300
Supply of Uniform - Arm Guards 301
Supply of Uniform - Sub-staff / PTS 303
Raincoats / Umbrellas 304
Shoes and Socks 304
Uniform Maintenance Expenses 305
Reckoning of past service (20.8 of BPS) 305
Special Assistant Allowance for Key Holding 305
Telephone / Mobile Expenses 305
Transfers - Reimbursement of Expenses 306
TA & other expenses on request transfer 306
TA on Transfers for Second Time 306
Transfers - Joining Time 306
Travelling Expenses while on official work 307
Unavailed Casual Leave without Medical Certificate 307
Unblemished Service - Silver Jubilee Award 307
Wishing members of the staff on their birthdays 307
V LOANS & ADVANCES 308 - 326
Festival Advance (FADL) 308
Employee Demand Loan (EDL) 308
Special Demand Loan 308
Employee Consumer Instalment Loan Scheme (CIL-Old) 309
Employee Consumer Instalment Loan Scheme (CIL-New) 309
Employee Secured Cash Credit Facility (ESCC) 309
Employee Clean Overdraft Facility (ECOD) 310
Employee Clean Term Loan (ECTL) 311
Conveyance Loan Scheme (EHPL) 311
Conveyance Loan to PTS for purchase of Bicycle 311
Additional Conveyance Loan for Award Staff (ASHPL) 312
Motor Car Loan for Clerical employees (EMCL) 312
Loan to employees under Corpmobile Scheme 312
Housing Loan Scheme for Award Staff (SHL) 313
Staff Supplementary Housing Loan Scheme (SSHL) 315
Enhanced Staff Housing Loan Scheme-New (ESHL-N) 315
New Staff Housing Loan Scheme (NSHL) 316
Modification in NSHL Scheme 324
Corphome Scheme in lieu of SSHL 326
Corphome Scheme for acquiring second house/flat 326
Corphome Loan for extension of the house 327
Corphome Loan alongwith SHL 327
Loans against term deposits of the Bank 328
Cheque Discounting Facility 328
Corp Vidya Scheme 328
Staff Provident Fund - Temporary Withdrawal 334
Staff Provident Fund - Non-repayable Withdrawal 335
VI STAFF WELFARE SCHEMES 337 - 372
Scholarship to Meritorious children of employees 337
Incentive for excellence in education 341
Financial relief to PH/MR children of employees 343
Educational grant to children of deceased employees 345
Medical Check up 346
Pre-natal Medical expenses 351
Death Relief 352
Subsidised Canteen Subsidy 353
Holiday Home 355
Encouragement in the fields of Sports, Arts & Culture 359
Honouring Senior Ex-servicemen employees 361
Medical expenses of retirees 363
Financial Relief to the surviving spouse
of pre-1986 retirees 364
Group Term Insurance Scheme 365
Scheme for Physically handicapped and visually
impaired employees 367
Savings Linked Insurance Scheme 368
Reimbursement of Cost of Spectacles 370
Holiday Home Facility to Retirees 371
VII SOCIAL SECURITY SCHEMES 373 - 423
Corporation Bank Employees’ Gratuity
Funds Regulations 373
Corporation Bank Staff Provident Fund Regulations 382
Scheme for compassionate appointment 400
Scheme for payment of ex-gratia amount 407
Insurance Cover for employees who have
availed Staff Housing Loans 411
Corporation Bank Employees’ Voluntary
Contribution Scheme for Death Relief 415
Personal Accident Insurance to the Employees of the Bank. 418
Compensation to the family of the persons
killed in Bank Robberies / Terrorist Incidents 422
VIII SCHEMES OF RECOGNITION 424 - 451
Support to Self Development Scheme 424
Facilities/concessions for learning Hindi 432
Incentives for promoting small family 439
Scheme for honouring senior employees on their
completing 25 years of unblemished service 440
Scheme for promotion of outstanding sportsmen /
sportswomen employees of the Bank 441
Training 451
IX OTHER SERVICE CONDITIONS 452 - 485
Guidelines on Transfer 452
Special Leave/ Special Casual Leave 454
Grievances Redressal Committee 457
Rotation of Duties at Branches 459
Monthly Staff meeting at Branches/Offices 461
Customer Service Committee 462
Constitution of Official Language Implementation
Committee at Branches/Offices 464
Chief Liaison Officer for SC/ST employees 466
Chief Liaison Officer for OBC/Minority
Community Employees 466
Felicitation on retirement 467
Sports Council of the Bank 467
Bringing External Pressure on Service Conditions 468
Gist of facilities/ relief available to Award staff on
retirement/ available to spouse/ legal heirs of award
staff who die in harness 469
Preventive Vigilance Leave 471
Officiating Allowance to SWO & Special Assistants 471
Identity cards to Employees 472
Check-off facility 473
Bonus 474
Presentation and Enforcement of Right to
Gender Quality of Working women 478
Cash Remittance orders on Escorts,
Quantum of cash and mode of transport 481
Terminal benefits to Workmen Employees’ 484
X MISCELLANEOUS 486 - 491
Recognition to Corporation Bank Employees’ Union 486
CBEU Welfare Fund 489
Notice Board to CBEU at Branches / Offices 491
PART - I
AWARDS
&
BIPARTITE SETTLEMENTS
CHAPTER - I
SCALE OF PAY
SCALES OF PAY
4/25-05-2015
In modification of Clause 4 of Bipartite Settlement dated 27th April 2010, with effect
from 1st November 2012 the scales of pay shall be as under:-
Clerical Staff
655 815 980 1145

11765 3 13730 3 16175 4 20095 7

2120 1310
28110 1 30230 1 31540 (20 years)

Subordinate Staff
325 410 490 570

9560 4 10860 5 12910 4 14870 3
655
16580 3 18545 (20 years)
Note:
(a) Fitment in the new scales of pay shall be on a stage-to-stage basis.
(b) There shall be no change in the dates of annual increments because of the
fitment.
1
INCREMENTS
INCREMENT, STAGNATION INCREMENT, INCREMENTS FOR EDUCATIONAL
QUALIFICATIONS, GRANTING, STOPPAGE & GENERAL WITHHOLDING OF
INCREMENT
INCREMENT
2/08-09-1983
In supersession of Clause 4.11 of the Settlement dated 19-10-1966 between IBA
and AIBEA, parties agree that the increment specified in the various scales of pay
applicable to workmen shall accrue on an annual basis and shall be given effect to
on the first day of the month in which it falls due.
However, where for any reason whatsoever the date of increment has to be postponed
under the service conditions, such postponement will be notionally made in the
actual date on which the increment accrues. If on such postponement either in the
first instance or on a cumulative basis such date of accrual of increment shifts to any
subsequent calendar month, the increment will be released on the first day of that
subsequent month.
STAGNATION INCREMENTS
In partial modification of Clause 5 of Bipartite Settlement dated 27th April 2010, both
clerical and subordinate staff (including permanent part-time employees on scale
wages) shall be eligible for eight stagnation increments w.e.f. 1st November 2012 at
the rate and frequency as stated herein under:
The clerical and subordinate staff including permanent part-time employees on
scale wages on reaching the maximum in their respective scales of pay, shall draw
eight stagnation increments at the rate of `1310/- and `655/- (pro rata in respect of
permanent part-time employees) each due under this settlement, and at frequencies
of 3 years and 2 years respectively, from the dates of reaching the maximum of
their scales as aforesaid except that in the case of clerical staff, sixth, seventh and
eighth stagnation increments will be released two years after receipt of fifth, sixth
and seventh stagnation increments respectively, provided that an employee who
has completed two years or more after receiving fifth stagnation increment as on
1st November 2012 shall receive the sixth stagnation increment as on 1st November
2012.
2
Provided further that a clerical / subordinate staff (including permanent part-time
employees on scale wages) already in receipt of seven stagnation increments shall
be eligible for the eighth stagnation increment on 1. May 2015 or two years after
receiving the seventh stagnation increment, whichever is later.
5(d)/27-03-2000
In supersession of Clause 1 (ii) (b) of Bipartite Settlement dated 8th September, 1983
read with ‘Note’ to Clause 4B of Bipartite Settlement dated 10th April, 1989,
(i) Refusal to accept promotion at any stage or reversion within a year of promotion,
wherever permissible under Bank’s rules will not dis-entitle an employee from
getting stagnation increment/s.
(ii) An employee shall not be eligible for stagnation increment/s, if he, after accepting
promotion seeks, and is granted, reversion after one year from the date of
promotion.
DEFINITION OF ‘PAY’
6(i)/27-03-2000
Allowances hitherto termed as Special Allowance, Graduation Allowance, Professional

Qualification Allowance and Officiating Allowance which are in the nature of ‘pay’,
attracting Dearness Allowance and ranking for superannuation benefits shall
henceforth be termed as Special Pay, Graduation Pay, Professional Qualification Pay
and Officiating Pay, respectively.
6/25-05-2015
In reiteration of Clause 6 of the Bipartite Settlement dated 27th April 2010, ‘Pay’ for the
purpose of Dearness Allowance, House Rent Allowance (HRA) and superannuation
benefits including for contribution to National Pension System (NPS) shall mean
Basic Pay, Stagnation increments, Special Pay, Graduation Pay, Professional
Qualification Pay and Officiating Pay, if any.
Note:
The increment component of Fixed Personal Pay as given in column 2 of Schedule

III shall rank for superannuation benefits.
3
INCREMENTS FOR EDUCATIONAL QUALIFICATIONS
23/12-10-1970
(A) Graduates and/or holders of

National Diploma in Commerce 2 increments
in the scale
(B) Part I of CAIB/CAIIB Examinations 1 increment
(C) Part II of CAIB/CAIIB Examinations 2 increments
IX(a)/08-11-1973
In the case of a member of non subordinate staff, the acquisition of Diploma in Rural
Service of the National Council for Rural Higher Education is recognised as equivalent
to graduation for all purposes under the settlements.
4/29-06-1990
On and from 1st July 1990 Clause 10 of the Fifth Bi-partite Settlement shall stand
deleted and employees who are in receipt of graduation allowance in terms of this
clause shall be granted two additional increments in lieu of the allowance without
affecting their future date of annual increment. Graduate employees recruited or
promoted to clerical cadre or non graduates who acquire such qualification on or after
1st July 1990 shall also be granted two additional increments, as per the provision
existing prior to the Fifth Bi-partite Settlement.
Consequently, with effect from 1st July 1990 Note (a) to Schedule II(A) of the Fifth
Bi-partite Settlement on ‘Special Allowances’ for Clerical Staff, shall stand deleted.
While the provisions under Note (b) shall remain operative, the serial number thereof
i.e. (b) shall stand deleted.
11/10-04-1989
For the sake of clarity and to distinguish it from Graduation Allowance, the increments/
educational allowance now paid to the clerical staff for passing Part-I or both parts
of CAIIB/CAIB shall be called Professional Qualification Increments or Allowance as
the case may be.
GRADUATION PAY
34/02-06-2005
Non-Subordinate employee who acquire graduation / post graduation qualification
from Universities / Open Universities which are recognized by the University Grants
Commission will be considered as having acquired graduate qualification and would
4
be eligible for being granted the two additional increments for graduation or graduation
pay, as the case may be, as provided hereinabove subject however to the following
conditions:
i) Employees who registered under the Graduation / Post-Graduation courses
of Open University have either passed the foundation course or attended the
Bachelor’s Preparatory Programme; and
ii) They pursue the same course and take the same examination as the formal
stream students.
This provision shall take effect from the date of the Settlement.
11 (xvi) 27.04.2010
Graduation Pay/Additional Increment for Direct Post Graduation:
In partial modification of Clause 34 of Bipartite Settlement dated 2nd June 2005, while
non-subordinate employees who acquire graduation qualification from Universities/
Open Universities which are recognized by University Grants Commission will be
eligible for being granted two additional increments for graduation / graduation pay
as the case may be, those who acquire post graduate qualification without being a
graduate will be granted two additional increments for graduation / graduation pay
as the case may be subject to the following conditions:
(i) Employees who are registered under the Post Graduation courses of Open
University have either passed the foundation / entrance course or attended the
Bachelor’s preparatory Programme ; and
(ii) They pursue the same course and take the same examination as the formal stream
students.
These provisions shall have effect from the date of this settlement.
CLARIFICATIONS
1. PQP / Graduation Pay
Ref: Clause 11 (2) of 8th Bipartite Settlement dated 2nd June, 2005
a) A clerk on 19th Stage passing Graduation or CAIIB Part II will be granted

the 20th Stage increment immediately along with first instalment of PQP/
Graduation Pay of `410/- and Balance PQP - 4 instalments will be released
in one year interval thereafter.
5
Example:
In November, 2012, a clerk in 19th Stage passed Graduation or CAIIB Part
II. He will be immediately given one increment (20th Stage) and PQP-1 from
November, 2012 and balance 4 PQP in one year interval in November, 2013,
November, 2014, November, 2015 and November, 2016.
b) A clerk on 20th Stage in November, 2012 passed Graduation or CAIIB. He
will be given PQP-1 from the date of passing and remaining 4 PQP from
one year thereafter in the next 4 years.
Example:
A clerk who reached 20th Stage in say November, 2012, passed Graduation/
CAIIB in November, 2012. He will be immediately given PQP-1 from November,
2012 and balance 4 PQP in one year interval in November, 2013, November,
2014, November, 2015 and November, 2016.
c) A clerk has already reached 20th stage and later acquires qualification like
Graduation/JAIIB, he will be given in PQP-1 immediately on passing such
graduation /JAIIB and balance 4 PQP in one year interval in November,
2013, November, 2014, November, 2015 and November, 2016.
Example:
A clerk (matriculate) who reached 20th Stage say in November, 2012, passed
Graduation/CAIIB in December, 2012. He will be Immediately given PQP-1 from
December, 2012 and balance 4 PQP in one year interval in December, 2013,
December, 2014, December, 2015 and December, 2016.
GRANTING, STOPPAGE AND GENERAL WITHHOLDING OF INCREMENTS
85/S.A. AND 5.122/D.A.
Increments should normally be given and stoppage of increments by managements
should be only by way of punishment for proved misconduct or gross inefficiency. As
a working rule, if in the previous year there are three adverse remarks in the service
register of the workman entered against him as a result of the management’s enquiry
into his conduct and after consideration of any explanation given by him, it may be
taken as a prima facie case for stopping the increment at the next stage and for the
next year. If an employee’s increment is to be withheld it should only be done after a
proper charge sheet has been framed against him and he has been given adequate
opportunity to defend himself. The order in writing withholding the increment should
also mention whether it will have the effect of postponing future increments.
6
86/S.A. 183/LAT/5.122/D.A.
Annual increments for any particular year may be stopped at the discretion of the
Bank if the ratio of its gross profits to the working funds during the previous year is
less than 75% of the average of similar ratios for the four years immediately preceding
that previous year provided however:-
(1) No discrimination is made amongst the employees of the bank in the matter of
withholding the annual increment and that withholding of the increment applies
to the entire staff of the bank consisting of all its officers and the clerical staff
(subordinate staff being excluded)
(2) There shall not be any withholding of increments more than once in any
consecutive period of four years.
122/S.A.
It is desirable to make clear that the scale of pay and dearness allowance and special
allowance which we are laying down in our award represent only the minimum to which
a workman will be entitled. It is not our intention to fetter the discretion or power of any
bank to give its workmen or any of them higher salaries or wages or higher dearness
allowance or additional allowance or benefits not mentioned in our award. Similarly
even with reference to increments, the banks will have the liberty to give more than
one increment in any particular year.
ADDITIONAL INCREMENT FOR EMPLOYEES IN SERVICE AS ON 01-11-1993
10/29-10-1993
(i) This settlement is in supersession of all previous Industry level bipartite
settlements on computerisation and mechanisation referred to in para(a) of
the preamble of this settlement but will not affect any subsistent bank level
agreements/settlements/understandings entered on computerisation and
mechanisation between the concerned banks and their bank level unions
unless specifically agreed between the concerned banks and bank level
unions.
(ii) The banks and the unions which have entered into bank level agreements/
settlements/understandings on computerisation and mechanisation and
are also party to this settlement may computerise/mechanise as per the
provisions of this Settlement by terminating jointly the bank level agreement/
settlement/understanding. In such cases all the monetary benefits available
under the bank level settlements shall be substituted by the benefits available
7
under this settlement with effect from 1st November, 1993. Under no
circumstances dual monetary benefits shall be extended to the employees
of such banks.
Note: It is clarified that the following benefits available under this settlement
shall be available to employees in banks which terminate the bank level
settlements and adopt the industry level settlement with effect from 1st
November, 1993 notwithstanding anything contrary to it provided in the bank
level settlement.
INCREMENT
XIV 29-10-1993
All workmen employees who are in the bank’s permanent service and permanent
part-time employees drawing scale wages as on 1st November 1993 will get one
advance increment in the scale of pay with all consequential benefits, e.g. DA, HRA,
CCA, PF, Gratuity, Pension, etc., in terms of the Bipartite Settlements. Employees
who are on probation on 1st November, 1993 will get one advance increment one
year after confirmation.
There shall be no change in the date of annual increment because of the advance
increment. Annual increment will fall due on the normal anniversary date of increment.
An employee who is at the maximum of the scale or who is in receipt of stagnation
increment(s) as on 1st November, 1993 will draw a Fixed Personal Allowance from
1st November, 1993 which is equivalent to an amount of one increment of `120/- for
clerks and `50/- for subordinate staff plus dearness allowance payable thereon as on
1st November, 1993 plus house rent allowance, at the rates and ceilings as applicable
in terms of Bipartite Settlement dated 29th June, 1990 and 13th October, 1990 in case
of ‘A’ class banks and ‘B’ class banks respectively. The increment shall also rank for
super annuation benefits.
FIXED PERSONAL PAY
11/14-02-1995
In partial modification to Clause XIV of Bipartite Settlement dated 29th October, 1993
Fixed Personal pay shall be released one year after reaching maximum of the scale
in respect of those employees who were in service of the bank as on 1-11-1993
and have drawn one advance increment on account of industry level settlement on
Computerisation.
8
13/27-03-2000
The nomenclature of Fixed Personal Allowance shall be henceforth termed as Fixed
Personal Pay. There shall be no shifting in the date/s of release of Graduation Pay/
Professional Qualification Pay on account of payment of Fixed Personal Pay in the
same year.
13/25-05-2015
In partial modification of Clause XIV of Bipartite Settlement dated 29th October
1993, Clause 13 of Bipartite Settlement dated 27th March 2000, Clause 13 of the
Bipartite Settlement dated 2nd June 2005 and Clause 13 of Bipartite Settlement
dated 27th April 2010, the Fixed Personal Pay shall be revised with effect from
1st November 2012 as per Schedule III.
SCHEDULE III
FIXED PERSONAL PAY
Area of Posting Total FPP Total FPP Increment
payable payable Component
where banks where banks of FPP
accommodation accommodation
is not provided is provided
(1) (2) (3) (4)
CLERICAL STAFF
(i) Places with population 1585 1450 1310
of more than 45 lakhs
(ii) Places with population 1570 1450 1310
of 12 lakhs and above
including State of Goa
(iii) Other places not 1550 1450 1310
covered in (i) and
(ii) above
SUBORDINATE STAFF
(i) Places with population 790 730 655
of more than 45 lakhs
(ii) Places with population 790 730 655
of 12 lakhs and above
including State of Goa
(iii) Other places not 780 730 655
covered in (i) and
(ii) above
9
CHAPTER - II
SPECIAL PAY
1. GENERAL RULES
5.5/19-10-1966
Where a workman falls within more than one category, he shall be entitled to receive
the special allowance at the highest rate applicable to him provided however, that
special allowance(s) for educational qualifications, if any, shall be payable in addition
to any other special allowance to which he may be entitled.
5.6/19-10-1966
The special allowances prescribed are intended to compensate a workman for
performance or discharge of certain additional duties and function requiring greater
skill or responsibility, over and above the routine duties and functions of a workman in
the same cadre. In order to be entitled to a special allowance such additional duties
and functions should constitute the normal part of the duties and functions performed
or discharged by a workman. Special allowances are not intended to be paid for
casual or occasional performances or discharge of such duties/functions. It would,
however, not be necessary that a workman should continue to perform such duties
or discharge such functions, whole time, in order to be entitled to such allowance.
5.7/19-10-1966
The additional duties and functions involving greater skill or responsibility, which would
entitle a workman to special allowance are more particularly enumerated for each
category of workmen. Special allowances will be payable for all or any of the duties
listed except where it is specially provided therein that for a particular category the
additional duties entitling him to a special allowance, include or involve all the duties
listed under that category.
5.8/19-10-1966
A workman will be entitled to a special allowance if he is required to perform duty/duties
and/or undertake the responsibilities listed against the category, irrespective of his
designation/nomenclature or any general authority vested in him.
5.9/19-10-1966
A workman will be entitled to a special allowance only so long as he is in charge of
such work or the performance of such duties which attract such allowance. Whether
a workman can be asked to cease to do such work or discharge such duties and
10
consequently cease to draw such allowance will depend upon the terms of his
employment. For instance a workman who is employed permanently as a Head
Clerk or Stenographer cannot be deprived of his special allowance by asking him to
work as an ordinary clerk or asking him not to work as Head Clerk or Stenographer.
If however, a recipient of special allowance wants to give up the work or duties which
entitle him to the special allowance, he shall if his request is granted, cease to draw
the special allowance.
5.10/19-10-1966
The special allowance would continue to be drawn by a permanent incumbent while
on leave. A workman who is asked to work temporarily in a post carrying a special
allowance would be entitled to such a special allowance prorata for such period during
which he occupies that post.
5.11/19-10-1966
Wherever a bank requires a workman to work in post carrying a special allowance it
will normally be done by an order in writing.
5.12/19-10-1966
Bank will, as early as possible use, in all their records, correspondence etc., the
nomenclature used hereto for the appropriate duties.
5.13/19-10-1966
In specifying the duties it is not the intention that in each office/branch post should be
created in each category for which special allowance has been agreed to.
5.14(ii)19-10-1966
The duties and responsibilities now agreed to for special assistants shall not be
regarded as supervisory duties and the employees required to perform these duties
and discharge these responsibilities shall be regarded as ‘Workmen’ for all purposes
irrespective of their emoluments, designations or nomenclatures in different banks.
20.2/19-10-1966
An employee with combined designations will be entitled to the appropriate
special allowance if an allowance is provided for in this settlement for either of his
designations.
VI/17-09-1984
Without prejudice to Clause 5.14(ii) of the First Bi-partite Settlement, dated 19th
October, 1966, with effect from the date of this Settlement, in the matter of filling up
11
posts of Special Assistants in the Clerical Cadre, suitability be determined in member
banks having the post of Special Assistants by interview of senior employees with
weightage for qualifications. Where such suitability is assessed only on the basis
of interview, there shall be a period of probation for 6 months. Where the written
test system already exists in any bank on the date of Settlement the same may
continue.
XVII/29-10-1993
For computer related allowances carrying positions selection will be made from
amongst the clerical cadre staff as per the existing or future policy/settlements in
different banks which shall include passing of an aptitude test. The Management will
provide training facilities as deemed necessary.
XVIII/29-10-1993
It is clarified that the Computer Operators may be assigned any other routine duties
of their cadre as already provided in subsisting bipartite settlements.
XIX/29-10-1993
Where a female operator who is in the family way desires to discontinue working on
Computer during the period of her pregnancy, she will be exempted at her written
request from operating the Computer. The special allowance shall not be paid to her
for the period during which she is on duty but exempted from operating the Computer,
but shall be paid during the period of her leave of any kind subject to her acceptance
to perform duties as Computer Operator on resumption.
SPECIAL PAY
11/25-05-2015
Inmodification of Clause 11 of the Bipartite Settlement dated 27th April 2010, with
effect from 1st November 2012:
(i) The Special Pay payable to the clerical staff and subordinate staff in banks other
than State Bank of India, shall be as mentioned under Part-A in Schedule II to
this Settlement.
(ii) In all other aspects, the general rules and provisions contained in Chapter V of
the Bipartite Settlement dated 19th October 1966 relating to special pay carrying
posts, as modified from time-to-time, shall continue to apply.
(iii) With effect from 1st November 2012, Graduation Pay and Professional
Qualification Pay payable to the clerical staff in banks shall be as mentioned in
Part B of Schedule II to this Settlement.
12
(iv) The Special Pay, Graduation Pay and Professional Qualification Pay as
mentioned in Part B of Schedule II shall rank for superannuation benefits.
(v) The rates of Special Pay and the duties of Special Pay carrying posts for workmen
staff in State Bank of India may be reviewed and settled at the bank level.
(vi) In reiteration of sub-clause (xv) of Clause 11 of the Bipartite Settlement dated
27th April 2010, a member of the non-subordinate cadre acquiring a Graduate/
National Diploma in Commerce or JAIIB/CAIIB (either or both parts) qualification/s
at a time when he/she does not have the requisite number of increments in the
scale to be earned as advance increments shall in the first instance be released
increments for such qualification(s) acquired to the extent available in the scale
and in lieu of the remaining increments(s) not available for being so released as
advance increments be granted / released the first installment of Graduation Pay
or PQP, as the case may be. Release of subsequent installments of Graduation
Pay or PQP shall be with reference to the date of release of Graduation Pay or
PQP under this clause.
Provided that in the case of an employee acquiring such qualifications after
reaching the maximum of the scale of pay, he shall be granted from the date of
acquiring such qualification the first installment of Graduation Pay or PQP, as
the case may be and the release of subsequent installments of Graduation Pay
or PQP shall be with reference to the date of release of Graduation Pay or PQP
under this clause.
Provided further that in case where the non-subordinate employee as on the
date of this Settlement, has already acquired JAIIB (Part-I) or CAIIB (Part-
II)/ Graduation after reaching maximum of the scale of Pay (in case of JAIIB/
CAIIB/ Graduation) or after reaching 19th stage of scale of Pay (in case of CAIIB/
Graduation), and has not earned increment(s), otherwise entitled on account of
acquiring such qualification, when there were no increments to provide in the
scale of pay of those employees, the stagnation increment in such cases may
be advanced by one year or two years as the case may be.
(vii) Graduation Pay / Additional increment for Direct Post Graduation:
In partial modification of Clause 34 of Bipartite Settlement dated 2nd June 2005,
while non-subordinate employees who acquire graduation qualification from
Universities / Open Universities which are recognized by University Grants
Commission will be eligible for being granted two additional increments for
graduation / graduation pay as the cases may be, those who acquire post
graduate qualification without being a graduate will be granted two additional
13
increments for graduation / graduation pay as the case may be subject to the
following conditions:
(i) Employees who are registered under the Post Graduation courses of
Open University have either passed the foundation / entrance course or
attended the Bachelor’s preparatory Programme ; and
(ii) They pursue the same course and take the same examination as the
formal stream students.
These provisions shall have effect from the date of this settlement.
SCHEDULE - II
PART A
SPECIAL PAY
For Clerical Staff (w.e.f. 1.11.2012)
Sr. No. Post Special Pay (`)
1. Single Window Operator ‘B’ 820
2. Head Cashier -II 1280
3. Special Assistant 1930
For Subordinate Staff (w.e.f. 1.11.2012)
Sr. No. Post Special Pay (`)

1. Armed Guard 390
2. Bill Collector 390
3. Daftary 560
4. Head Peon 740
5. Electrician 2040
6. AC Plant Operator 2040
7. Driver 2370
8. Head Messenger in IOB 1630
14
SCHEDULE - II
PART B
GRADUATION PAY/ PROFESSIONAL QUALIFICATION PAY
For those workmen who hereafter reach or have already reached 20th stage of
the scale and have got increments in consideration of educational qualification(s),
Graduation Pay/ Professional Qualification Pay shall be payable as under:
1. Those who are graduates and/or NDC - `410/- p.m. after they complete 1 year
`800/- p.m. after they complete 2 years
2. Those who have passed JAIIB or Part I of CAIB/CAIIB - `410/- p.m. after they
complete 1 year
3. Those who have passed JAIIB and CAIIB or Both Parts of CAIB/CAIIB -
`410/- p.m. after they complete 1 year
`800/- p.m. after they complete 2 years `1210/- p.m. after they complete 3 years
4. Those who are graduates/NDC and have passed JAIIB or Part I of CAIB/
CAIIB – `410/- p.m. after they complete 1 year
`800/- p.m. after they complete 2 years `1210/- p.m. after they complete 3 years
5. Those who are graduates/NDC and have passed JAIIB or Both Parts of CAIB/
CAIIB –
`410/- p.m. after they complete 1 year
`2010/- p.m. after they complete 5 years.
Note: Refer to Clause 11 of this Settlement
15
PART C
[Refer to Clause 11 (v) (a) and (b) and 11 (vi) of this Settlement]
(a) Duties of Clerical Staff w.e.f. 1st May, 2010
All members of the clerical staff who do not get aany special pay as on 30th April 2010
on regular basis shall be designated as Single WIndow Operator ‘A’. The following
duties shall inter alia form part of their normall duties:
(i) Acknowledgements of inward mail received.
(ii) Receipt of cheques, drafts, dividend warrants, pay orders and other like
instruments other than bills and giving acknowledgements in the counterfoil.
(iii) Delivery of cheque books subject to authorisation by competent authority.
(iv) Issue of cash receipts.
(v) Issue of E.S.I. stamps wherever applicable or many become applicable.
(vi) Recounting of currency notes by cash department staff.
(vii) Ensuring the proper contents in covers and envelopes including registered ones
before despatch.
All clerks shall also perform all duties and functions of their cadre, either online or
manually, which does not involve any passing or supervisory function of an officer of
the bank. He will, wherever required, function as a single window operator where he
will also receive and pay cash.
In addition, his duties will include -
a. Passing and cash payment of all cheques/withdrawal forms/bankers’ cheques/
gift cheques, etc. upto and including `10,000/-
b. Passing independently clearing and transfer cheques, vouchers, etc. (whether
credits or debits) upto and including `15,000/-
c. Receipts of cash and issuance of pre-signed drafts / gift cheques / travellers’
cheques / pay orders / bank orders, etc. upto and including `15,000/-
(b) Duties of Subordinate Staff w.e.f. 1st May, 2010
All the normal and routine duties of the subordinate staff cadre and for performance
of which no speecial pay shall be payable. In addition they shall also be required to
perform the following duties.
1) To take money orders, to buy stamps etc., which involves carrying of cash not
exceeding `5,000/- and to carry insured letters, etc. to post office.
2) To stitch currency note bundles
3) To stitch and seal parcels and packets containing currency notes ;
4) To transit cash from the bank to an office outside or vice versa, if unaccompanied
by a watchman / Armed Gurad.
16
SPECIAL PAY DUTIES
Schedule III/27-4-2010
GENERAL
The special pay duties do not include the routine duties of the cadre (clerical/
subordinate) which a workman has to normally perform; but merely refer to those
special pay duties which if performed in addition to the routine duties will entitle a
workman to a special pay on the terms and conditions provided in Chapter V of the
First Bipartite Settlement as modified.
For removal of doubts it is clarified that the workman entrusted with duties attracting
special pay can be required to perform routine duties of his cadre and that the following
duties shall inter alia form part of the normal duties of the clerical cadre and for the
performance of these duties no special pay shall be payable.
i. Acknowledgements of inward mail received.
ii. Receipt of cheques, drafts, dividend warrants, pay orders and other like
instruments other than bills and giving acknowledgements in the counterfoil.
iii. Delivery of cheque books subject to authorisation by competent authority.
iv. Issue of cash receipts.
v. Issue of E.S.I. stamps wherever applicable or may become applicable.
vi. Recounting of currency notes by cash department staff.
vii. Ensuring the proper contents in covers and envelopes including registered
ones before despatch.
DUTIES OF SPECIAL PAY CARRYING POSTS IN CLERICAL CADRE

Single Window Operator ‘B’
In addition to the duties of Single Window Operator ‘A’, their duties will include -
(a) Passing and cash payment of all cheques/withdrawal forms/bankers’ cheques

gift cheques, etc. upto and including `20,000/-
(b) Passing independently clearing and transfer cheques, vouchers, etc. (whether
credits or debits) upto and including `25,000/-
(c) Receipts of cash and issuance of pre-signed drafts/gift cheques/travellers’

cheques/pay orders / bank orders, etc. upto and including `25,000/-
17
Head Cashier II
Their duties involve:
Holding the bank’s cash, key and/or other valuables in safe custody jointly with an
officer and being accountable for them and being responsible for the running of the
cash department;
1. Opinion compilation ;
2. Verification of vernacular signature/endorsements ;
3. Countersigning cheques and / or drafts (on selves or correspondents), payment
orders, deposit receipts etc.,
4. Attending to Government Treasury work ;
5. Discharging/endorsing bills, cheques etc. ;
6. Being in charge of clearing and godown departments, etc. ;
7. Passing independently clearing and transfer cheques, vouchers, etc. (whether
credits or debits) upto and including `50,000/- and cash vouchers upto
`50,000/- jointly with an authorized person.
Special Assistants
Special Assistants will be accountable and responsible for running of the department/
section under them and their duties will involve looking after and checking the work
of other clerk or clerks and substaff and will include:
1) Passing independently, manually or online, cash instruments upto `35,000/- and
clearing and transfer cheques vouchers etc., (whether credits or debits) upto
and including `1,50,000/-. Passing will include verification of signatures and
scrutiny as to the correctness of endorsements on and other particulars of such
instruments. There shall be no limits for verification of signatures, passing of
authenticated credit vouchers/entries and for verifying authenticated vouchers
in the ledgers, books, computer print-outs etc.
2) Accept, verify and post cash/ transfer/clearing cheques and other instruments,
as the case may be, in appropriate books of accounts/ledgers, either manually
or online, and give due acknowledgements.
3) Signing vouchers, cheques, drafts, mail transfers, pay orders, advices, bill
schedules, demand notices, statements, certificates etc.
4) Checking all vouchers, advices, statements, cheques, drafts etc., bills and books
of accounts including current savings and other ledgers, cash postal and revenue
stamps, franking machine balances, exchange, discount, brokerage calculations
and initialing by way of authenticating them for accuracy /correctness.
18
5) Checking, manually or online, current, savings and other accounts.
6) Checking the coding and decoding of telegrams (excluding check symbols or
cyphers).
7) Discharging, endorsing cheques, bills, etc.,
8) Perform, when required in a computerised set up, system control functions,
either jointly with an officer or independently, upon specific authorisation in this
regard;
9) Briefly explain, the features of Bank’s various products and services to
customers, to reply their queries and to refer interested customers to appropriate
personnel;
10) Inspecting godown (only in banks where such work is already being done by
workmen).
For the purpose of efficient and effective functioning of the section or department the
special assistant shall ensure that all acts, things and steps necessary therefor are
taken by himself or by the clerks placed under him and shall ensure that, wherever
necessary :
a) Reminders are sent on time and followed up
b) Pass sheets/books are filled up and issued promptly
c) Deposits are renewed on due dates or reminders sent to the parties
d) Standing instructions are complied with
e) Bills are accepted and due dates diarised/advised and followed up
f) Interest, commissions and service charges are collected
g) Proceeds of bills are received or remitted promptly;
h) Confirmation of balance of accounts of the customers and its follow up..
i) All securities relating to the department/section of which the special assistant
is in charge are secured and/or kept in proper custody and properly handed to
the authorized person at the close of the day.
j) Balances promptly taken, tallied and reported and followed up and also returns
submitted;
k) Advices and/or duplicate advices/summaries are issued/responded promptly,
whenever called for;
l) Checking the proper recording of entries and all relevant particulars in regard
to accounts opened under due authorisation.
19
Notes:-
(i) In respect of the above special pay carrying posts in clerical cadre–
✦ Countersigning would mean signing in a manner whereby the primary

responsibility for ensuring that all the formalities are complete rests with
the other signatory.
✦ Checking/verifying would mean verifying that the instrument/material

checked is in order in all respects and also includes verification of signature
irrespective of the amount of the instrument and authenticating the same
on the instrument/material, initialing the relative entries in the respective
books of accounts, manually and/or on line.
✦ Passing includes verification of signatures and scrutiny as to the correctness

of endorsement on and other particulars of such instruments. It will also
include checking and authenticating the relative entries in the respective
books of accounts / ledgers / computer sheets and/or on line.
(ii) Henceforth, selection of staff for being entrusted with special pay carrying posts
shall be on the basis of their suitability for the specialised function, norms for
which shall be decided at the bank level.
DUTIES OF SPECIAL POST IN CLERICAL CADRE (ERSTWHILE POSTS)

REF. CLAUSE 11 (IV)/27-04-2010
TELEPHONE OPERATORS:
Their work involves operating a Telephone PBX/EAPBX Board with a minimum of

three external lines on regular assignment.
AUDIT CLERKS - CATEGORY ‘A’:
Clerks in the Internal Audit Department whose work involves audit checking of
completed vouchers, entries, statements, balance, books of accounts, etc., with a
view to confirming their correctness and ascertaining whether office procedures and
rules are being correctly followed. The irregularities detected by them are reported to
the head of the Audit Department and/or his immediate superior, who is responsible
for taking necessary action.
Note: Checking of returns and statements from branches by other than Internal Audit
Department clerks would not be covered by ‘Audit checking’.
20
AUDIT CLERKS CATEGORY ‘B’ :
Audit clerks Category ‘B’ would be audit clerks attached to inspectors on tours and
will perform all routine checking functions and generally assist the inspector in the
functions including preparation and typing of reports.
Their duties include:
1. Assisting in the counting of cash balances, securities, etc., in the presence of

the inspecting officials;
2. Assisting the inspecting officers in checking the quantities and values of the
securities charged to the Bank;
3. Checking the balancing of various deposit account ledgers and verifying the
outstandings in inter-branch/sub-office(s) items-in-transit, suspense sundry
deposits, draft payable, term deposits and deposits at call accounts;
4. Checking items of stationery and marking off vouchers and acknowledgements
and assisting in the examination of vouchers other than those of inter-branch/
sub-office(s) items-in-transit, suspense charges, sundry deposits and stationery
accounts;
5. Assisting in preparing the audit returns/reports and typing and generally assisting
the inspecting officer in his functions as may be required.
TELLER - CATEGORY ‘B’:
Passing and cash payment of all cheques/withdrawal forms/travellers’ cheques/gift

cheques/demand drafts/pay orders/bank orders, etc., upto and including `10,000/-.
Receipt of cash and issuance of pre-signed drafts/ gift cheques/travellers’ cheques,
pay orders, bank orders, etc. both against cash and transfer upto and inclusive of
`15,000/-.
STENOGRAPHERS:
Employees required to take dictation in shorthand and/or type letters, statements,

documents etc., and attend to secretarial work.
ASSISTANT HEAD CASHIER:
Their job is to assist the head cashier in looking after and checking the work of clerks
in the cash department.
21
HEAD CASHIER - I
Their duties involve:
(1) Holding the Bank’s cash, key and/or other valuables in safe custody jointly with
an officer and being accountable for them and being responsible for the running
of the cash department;
(2) Opinion compilation;
(3) Verification of vernacular signatures/endorsements;
(4) Countersigning cheques and/or drafts (on selves or correspondents), payment
orders, deposit receipts, etc.;
(5) Attending to Government Treasury work;
(6) In banks where the practice of discharging bills/hundies, for payment received
only, is in existence, it may be continued to be done by this category.
AGRICULTURAL ASSISTANT:
(i) To assist in the Bank’s lending and/or operations for agricultural development
and/or financial assistance to small enterprises (other than small scale industries)
such as vegetable/fruit vendors, artisans, self-employed persons including
beneficiaries under the Differential Rate of Interest scheme;
(ii) To distribute and collect application forms and assist the farmers/small borrowers
in filling up the forms;
(iii) To scrutinise application forms, title deeds, farm plans etc. to ensure that
application are complete in all respects and the particulars furnished in the
form are prima facie in order and for this purpose he may be required to visit
the farms for verification and for collection of relevant data.
(iv) To take necessary steps to ensure that the periodical details, as called for, are
received from the farmers/small borrowers in time;
(v) To keep in constant touch with farmers and to bring any adverse features to the
management’s notice.
(vi) To verify farms/all farms machinery/equipments, live stock/tractors, etc.;
(vii) To verify proper utilisation of the Bank’s loans or the progress in work in respect
of which loans are granted and to furnish reports on such verifications.
22
(viii) To make efforts and effect recoveries upto amounts not exceeding
`15,000/- from farmers/small borrowers from their place of work/residence,
subject to the necessary arrangements being made with regard to fidelity and
transit insurance and personal risk insurance by the Bank;
Note: Bank will evolve appropriate procedure about issuance of provisional receipts,
etc., of the cash not exceeding `15,000 collected on a day by an agricultural assistant
from the agricultural/small borrowers/depositors.
(ix) To assist in the deposit mobilisation efforts by encouraging farmers/small

borrowers to deposit their savings in the Bank;
(x) To collect information about the conditions of crops in the villages;
(xi) To collect necessary data for determination of village adoption for financing
of agriculture like farmers’ land holdings, availability of infrastructure facilities,
source of irrigation, use of tractors, pump sets, etc., credit facilities available in
village, recovery performance and the like;
(xii) To maintain liaison with Land Record and Registration Officers and other
Governmental/Developmental agencies for expeditious handling of the Bank’s
work.
Note: With a view to making optimum use of the technical skill of the agricultural/
development assistant, normally he may not be entrusted with usual clerical work,
but where necessary, he may be asked to do the clerical work.
COMPUTER OPERATOR ‘A’ (without passing powers):
Computer Operator will perform all duties and functions of clerical cadre, either online
or manually, which does not involve any passing or supervisory function of an officer
of the bank. He will, wherever and whenever required, function as a single window
operator where he will also receive and pay cash.
COMPUTER OPERATOR ‘B’ (with passing powers):
In addition to the duties of Computer Operator ‘A’, their duties will include -
(a) Passing and cash payment of all cheques/withdrawal forms/bankers’ cheques,

etc. upto and including `20,000/-.
(b) Passing independently clearing and transfer cheques, vouchers, etc. (whether
credits or debits) upto and including `25,000/-.
23
(c) Receipts of Cash and issuance of pre-signed drafts/gift cheques/travellers’
cheques/pay orders/bank orders, etc. upto and including `25,000/-.
Notes:
(i) In respect of the above special pay carrying posts in clerical cadre -
• Countersigning would mean signing in a manner whereby the primary
responsibility for ensuring that all the formalities are complete rests with
the other signatory.
• Checking/verifying would mean verifying that the instrument/material
checked is in order in all respects and also includes verification of signature
irrespective of the amount of the instrument and authenticating the same
on the instrument/material, initialing the relative entries in the respective
books of accounts, manually and/or online.
• Passing includes verification of signatures and scrutiny as to the correctness
of endorsement on and other particulars of such instruments. It will also
include checking and authenticating the relative entries in the respective
books of accounts/ledgers/computer sheets and/or online.
(ii) Henceforth, selection of staff for being entrusted with special pay carrying posts
shall be on the basis of their suitability for the specialised function, norms for
which shall be decided at the bank level.
24
DUTIES OF SPECIAL PAY CARRYING POSITIONS IN SUBORDINATE CADRE
POST DUTIES
Cash Peon Persons required
1) To take money orders, to buy stamps etc.,
which involves carrying of cash not exceeding
`5,000/- and to carry insured letters, etc., to
post office
2) To stitch currency note bundles
3) To stitch and seal parcels and packets containing

currency notes ;
4) To transit cash from the bank of an office

outside or vice versa, if unaccompanied by a
watchman / Armed Guard.
Liftman Persons required to operate the lifts on regular

assignment.
Watchman Persons other than “Armed Guards” who are

required to perform watch and ward duties i.e. to
watch or look after the premises or a department,
for the purposes of its safety, security and guard
against infiltration and against removal of the
bank’s property by any unauthorised person AND/
OR to watch and guard as above, the movement
of cash from one place to another inside the bank
premises or outside where an Armed Guard is not
employed at the Branch / Office.
Armed Guard Persons required to perform watch and ward

duties i.e. to watch or look after the premises or
department for the purposes of its safety, security
and guard against attack or assault or infiltration
and against removal of the bank’s property by any
unauthorized persons AND/OR to watch and guard
as above the movement of cash from one place
25
to another whether inside or outside the Bank, for
which purpose they are required by the bank to
carry any of the following weapons:
(i) Gun, Pistol or any other fire arm ; or
(ii) Dagger, sword, khukri or spear ; or
(iii) any other licensed weapon
Note: ‘Retainers’ Peons (other than watchman)
whose names are registered in the Bank’s licence
as Retainers will, when they perform “Armed
Guard” duties, be entitled to special pay for “Armed
Guards” pro rata.
Bill Collector Their work involves:

1) Obtaining acceptance of bills of exchange,
hundies etc., drawn on local parties or banks
and / or collecting payments thereof.
2) Collecting payments for cheques or postal
order etc. from banks or post office counters.
They may also be required to collect cash not
exceeding `4,000/- at a time against various
instruments.
Daftary Their work involves:

1) Obtaining acceptance of bills of exchange,
hundies etc., drawn on local parties or banks
and / or collecting payments thereof.
2) Collecting payments for cheques or postal
order etc., from banks or post office counters.
They may also be required to collect cash not
exceeding `5,000/- at a time against various
instruments.
3) Simple binding of books and registers;
4) Press coping ;
5) Filing independently letters and other papers
in respective files as per indications marked
thereon;
26
6) Assisting in issuing stationery ;
7) Stacking under guidance old records in orderly

manner and assisting in giving them out when
required; and
8) Undertaking the whole process and sorting,

arranging, numbering, tallying the total number
or stitching the vouchers
Head Peon Persons required to assist in supervision of various

matters pertaining to subordinate staff like:
(i) Cleanliness of the office premises ;
(ii) Cleanliness of uniforms ;
(iii) Leave arrangements ;
(iv) Arrangements for safekeeping of keys; and
(v) Distribution of duties amongst the subordinate

staff
Air-Conditioning Semi skilled persons who under the supervision

Plant Helper of the technician attend to routine maintenance of
and minor repairs to air conditioning plants.
Electrician Their work involves carrying out semi-skilled

electrical work like routine maintenance of electrical
equipments, effecting minor repairs of electrical
fixtures and appliances.
Drivers Persons required to drive, maintain and effect minor

repairs (not requiring a technician’s skill) to motor
cars, motor vans, station wagons, scooters, motor
cycles or other motor vehicles.
Head Messenger As per bank level agreements.

in IOB
27
CHAPTER - III
DEARNESS ALLOWANCE
7/25-05-2015
Dearness Allowance
In substitution of Clause 7 of Bipartite Settlement dated 27th April 2010 with effect
from 1st November 2012, the Dearness Allowance shall be payable as per the
following rates:-
Clerical and Subordinate Staff
0.10% of ‘pay’
Note:
Dearness Allowance in the above manner shall be paid for every rise or fall of 4
points over 4440 points in the quarterly average of the All India Average Working
Class Consumer Price Index (General) Base 1960=100.
(a) It is clarified that there shall be no ceiling on Dearness Allowance
(b) Dearness Allowance shall be calculated and paid on Basic Pay, Special Pay,
Graduation Pay, Professional Qualification Pay and Officiating Pay, if any,
payable under this settlement in respect of both clerical and subordinate staff.
(c) All other existing provisions relating to Dearness Allowance Scheme shall
remain unchanged.
Clause II/17-09-1984
(ii) Note: Such of those members of the Clerical staff who are in receipt of a “non-
adjustable personal allowance” of `19.80 at the maximum of the scale of pay on
or prior to 1st August, 1979 will continue to draw the same allowance which shall
rank for such benefits as Dearness Allowance shall rank. (Refer IBA circular
No. PD/CIR/76/90/937).
(iii) For the purpose of calculating dearness allowance ‘Quarter’ shall mean the
period of three months ending on the last day of March, June, September or
December.
(iv) Final index figures as published in the Gazette of India or the Indian labour
Journal, whichever is earlier, shall be the index figures which shall be taken for
the purpose of calculation of dearness allowance.
28
CHAPTER - IV
HOUSE RENT ALLOWANCE
8/25-05-2015
House Rent Allowance
In substitution of Clause 9 of the Bipartite Settlement dated 27th April 2010
with effect from 1st November 2012, the House Rent Allowance payable shall be
as under:
Area Rate as percentage of Pay
[No Minimum/ No Maximum]
(i) Places with population of more 10.00%
than 45 lakhs and Project Area
Centres in Group ‘A’
(ii) Places with population of 12 lakhs 9.00%
and above including State of Goa
and Project Area Centres in
Group ‘B’
(iii) Other places not covered in (i) and 7.50%
(ii) above
Note:
(1) Where quarters are provided, HRA shall not be payable and the rent to be
recovered shall be 0.3% of the first stage of the Scales of Pay.
(2) All other existing provisions relating to House Rent Allowance shall remain
unchanged.
PAYMENT OF HOUSE RENT ALLOWANCE

3/15/16-04-1980
For the purpose of payment of house rent allowance, parties agree that all places
constituting an urban agglomeration will be taken as a unit and the house rent
allowance will be paid on the basis of population of urban agglomeration given. e.g.,
Dehradun, Urban Agglomeration has a population of 2,03,464 and all places coming
within the urban agglomeration will be taken as part of Dehradun for house rent
allowance payable at the rate of 6 per cent. Similarly, house rent allowance payable
at Cuttack - population 2,65,759 is 6 per cent.
29
It is also agreed that when a Government by notification declares a place as forming
part of the town municipality on the basis that the place (as per 1971 Census) is above
10,000 all places coming within such town municipality will be taken together for the
purpose of payment of house rent allowance.
HOUSE RENT ALLOWANCE IN PROJECT AREAS
8. (1) It is clarified that w.e.f. 01-01-1990
(i) House Rent allowance at project area centres Group ‘A’ and ‘B’ shall be
paid at the following rate:-
(Revised as per IBA Cir. No. PD/CIR/76/E(iv) 2529 dt. 14-3-1991)
3 Revised House Rent Allowance payable from 1-11-1999 at Project Area Centres
shall be as under:-
(i) Project Area : 8.5% of pay
Centres - Group A (No Minimum/No Maximum)
(ii) Project Area : 7.5% of pay
Centres - Group B (No Minimum/No Maximum)
(Revised as per IBA Cir. PD/CIR/76/90/2018 dt. 30-3-2000 - Annexure-G

para 3 (i), (ii) & para 4)
(Consequent upon 9th Bipartite Settlement, IBA has clarified that in respect of
HRA to Workmen posted in Project Areas, pending review of the list of centres
presently classified as Project Areas and the Project Area Compensatory
Allowance and HRA payable at these centres, the Workmen Employees posted
in Project Area Centers Group ‘A’ and Group ‘B’ may be paid HRA at 10% and
9% of Pay respectively, w.e.f. 1st November, 2007)
8(ii)/05-01-1987
(ii) If at a centre both City Compensatory Allowance and Project Area

Allowance are payable, only the higher of the two shall be paid.
6.25/D.A.
Where employees occupy residential quarters provided by the bank they will not be
entitled to any house rent allowance.
30
6.26/D.A.
Where an employee is on leave of any kind without pay, he will not be entitled to
draw any house rent allowance. Where an employee is on leave/other than leave
of any kind without pay, he will be entitled to be paid house rent allowance provided
he satisfies the bank that he has continued to retain the residential accommodation
occupied by him. Incase where separate residential quarters are not provided by the
bank, but an employee is allowed to sleep on the bank’s premises he will be entitled
to receive house rent allowance.
8.3/19-10-1966
House Rent Allowance in project areas is agreed on the basis that residential
accommodation is not available in these areas. Accordingly, house rent allowance
in these areas shall be payable until such time as a bank is in a position to offer
residential accommodation. The continuance of house rent allowance in project areas
after the expiry date of this settlement will be subject to fresh review of the housing
situation in these places.
(Refer IBA Cir. PD/CIR/76/90/937 Dt. 16-08-1989)
8.4/19-10-1966
In supersession of paragraph 6.27 of the Desai Award, for the purpose of house rent
allowance, the latest available official figures of the All India Census shall be taken
into account effectively. (e.g. 01-03-1971, 01-03-1981, 01-03-1991.............)
8.1/19-10-1966
(d) “Project Areas” - Group ‘A’ shall comprise of (i) Jamshedpur (ii) Bhilai (iii) Bokaro
(vi) Rourkela and (v) Durgapur.
(e) “Project Areas” - Group ‘B’ shall comprise of (i) Nangal Township (ii) Talwara
(iii) Khetri (vi) Nagarjunasagar and (v) Neyveli
II/08-11-1973
(c) In addition to the places mentioned in Clause 8.1 (d) of the Bipartite Settlement
dated 19-10-1966, the following places shall be treated as Project Areas Group
‘A’ with effect from the date mentioned against their names:
1. Burnpur (W.Bengal) ..... From 01-01-1969
2. Durg (M.P.) ..... From 01-08-1971
3. Visakhapatnam (A.P.) ..... From 01-07-1971
31
(d) In addition to the places mentioned in Clause 8.1(e) of the Bipartite Settlement
dated 19-10-1966, the following places shall be treated as project areas Group
‘B’ with effect from the dates mentioned against their names.
1. Bhopal Heavy Electricals (M.P.) ..... From 01-01-1969
2. Ankleshwar (Gujarat) ..... From 01-01-1969
3. Cambay (Gujarat) ..... From 01-01-1970
4. Mandi (Himachal Pradesh) ..... From 01-01-1970
5. Ranchi (Bihar) ..... From 01-08-1971
6. Pophali (Maharashtra) ..... From 01-08-1971
7. Kargal (Mysore) ..... From 01-07-1971
8. Pochampadu (A.P.) ..... From 01-07-1971
9. Sileru (A.P.) ..... From 01-07-1971
32
CHAPTER - V
SPECIAL ALLOWANCE
With effect from 1.11.2012, workmen employees shall be paid Special Allowance at
7.75% of the Basic pay with applicable DA thereon.
Note : The Special Allowance with applicable DA thereon shall not be reckoned for
superannuation benefits viz., pension including contribution to NPS, PF & Gratuity.
33
CHAPTER - VI
OTHER ALLOWANCES
WASHING ALLOWANCE
24/25-05-2015
In supersession of Clause 25 of Bipartite Settlement dated 27th April 2010, with effect
from 1st June 2015, washing allowance shall be payable at `150/- p.m., where the
washing of livery is not arranged by the bank.
VII 1/17-09-1984
(ii) No washing allowance would be payable ....

(a) Where washing arrangements are made by the bank;
(b) For the period of leave where such leave exceeds 30 days.
(iii) All members of the staff who are supplied with uniform shall wear them while
on duty and in clean condition.
CYCLE ALLOWANCE
25/25-05-2015
In supersession of Clause 26 of Bipartite Settlement dated 27th April 2010, w.e.f.

1st November 2012, cycle allowance is payable to the members of the subordinate
staff who are required to use a cycle on regular assignment for outdoor duties at
`100/-p.m. at all centers.
Cycle allowance would not be paid to workman member of the subordinate staff
entitled to the allowance for the period of leave where such leave exceeds 30 days.
HILL & FUEL ALLOWANCE
9.3 & 9.4/19-10-1966/Clause 15/10-04-89/6(i)/27-03-2000
Pay for this purpose will mean basic pay and will include special pay and officiating
pay, if any.
12/25-05-2015
In partial modification of Clause 12 of the Bipartite Settlement dated 27th April 2010,
the Hill and Fuel Allowance shall be payable at the following rates with effect from
1st November 2012:
34
a. At places situated at a height of 3000 metres 8% of pay
and above (Max. `1500/-p.m.)
b. At places situated at a height of and over 4% of pay
1500 metres but below 3000 metres (Max. `600/-p.m.)
c. At places situated at a height of over 1000 metres 3% of pay
but less than 1500 metres and Mercara Town (Max. `500/-p.m.)
Note: All other existing provisions shall remain unchanged.
15/10-04-1989
(b) At places which have a height of not less than 750 metres and which are
surrounded and accessible only through hills with a height of 1000 metres and
above, the Hill & Fuel Allowance shall be paid as is payable at places situated
at height of 1000 meters and above but less than 1500 metres.
(c) Hill & Fuel Allowance paid at any place not covered by (a) (i), (ii), (iii) and
(b) above in terms of existing provisions, decisions, orders, bank level/local
settlements or practices shall cease to be payable with effect from 10-04-1989
irrespective of the reason for or name by which it is now paid. The employees
at such places presently in receipt of such an allowance, however shall continue
to draw the then allowance as was drawn by them with their March, 1989 salary
by way of a Fixed Personal Allowance so long they are posted at that places
as workmen employees.
OFFICIATING PAY
9.10/19-10-1966
Wherever a bank requires a workmen to officiate in a post in a higher cadre, it will do
so by an order in writing.
29/02-06-2005
In partial modification of paragraph III (f) of Bipartite Settlement dated 8th November,
1973, if a workman other than subordinate staff officiates in a post in higher cadre
either for a continuous period of 7 days or more or an aggregate of 7 days in a calender
month. He shall be paid with effect from 1st June, 2005 officiating pay at the rate
laid down in Clauses 9.11(a) (i) or 9.11(a) (ii) of the Bipartite Settlement dated 19th
October, 1966.
35
9.11/19-10-1966 Modified by III (f) / 08-11-1973/6(i)/27-03-2000
(a) (i) Where the basic pay of the permanent incumbent exceeds the basic pay
of the person officiating, the officiating pay shall be 15% of the basic pay of
the person officiating or difference between the two basic pays whichever
is less, provided that in no case will the officiating pay be less than 72%
of the basic pay of the person officating.
(ii) Where the basic pay of the permanent incumbent is equal to or less than
that of the person officating, the officating pay shall be 72% of the basic
pay of the person officiating.
(b) If a member of the subordinate staff officiates in the clerical cadre he shall be
paid the officiating pay at the rates mentioned in sub clause (a) above or the
difference between his basic pay and starting basic pay of the clerical scale in
that area, whichever is higher. Such officiating pay will be payable pro-rata for
each day of work in the clerical cadre without any limitation as to the number of
days for which he officiates.
(Refer IBA Cir. PD/CIR/76/90/2018 dt. 30-03-2000 - Annexure-G Para 5)
WATER SCARCITY ALLOWANCE
9.9/19-10-1966 modified by III (e)/08-11-1973
In partial modification of 9.9 of Bipartite Settlement dated 19-10-1966 water scarcity
allowance of `10/- for non-substaff and `8/- p.m. for subordinate staff will be payable
subject to the following conditions from 01-01-1972 wherever it is payable.
(i) the allowance will be paid by banks to such of their workmen who have
actually been working in the areas for which water scarcity allowance is paid
by Central or State Government to their employees. The period of payment
of such allowance being the same as in the case of such Government
employees.
(ii) Workmen who have actually been working in the following places will be
paid water scarcity allowance for the period from April to July (both inclusive)
each year, if they are not already covered under sub-clause (i) above. The
continuance of the water scarcity allowance at these places will be subject
to fresh review, by banks, of the water supply situation after the expiry date
of this settlement.
In Punjab & Haryana Sonepat, Bhatinda, Rohtak, Hissar, Kaithal
In Rajasthan Jaisalmer, Marwar, Degana, Makrana, Lachhmangarth,
Nawalgarh, Sri Madhopur and Jhunhunu
In Gujarat Ghandhidham, Surendranagar, Dharangadhra
In Andhra Guntakal, Adoni, Cuddapah.
36
SPLIT DUTY ALLOWANCE
9.7/19-10-1966
In supersession of paragraph 6.44 of the Desai Award a Split Duty Allowance will be
payable as under:-
(i) At branches where business hours are split with a minimum break of two
hours all full time workmen (Excluding (a) watch and ward staff (b) drivers,
(c) sweepers, (d) those who reside in the premises of such branch and
(e) any workman whose hours of work, apart from normal lunch recess are
not split) are entitled for split duty allowance.
(ii) At other branches all full time pass-book writers, day book writers and
despatchers if their working hours are in two shifts with a minimum break
of two hours are entitled for split duty allowance.
13/31-10-1979
Provided that no such allowance will be payable to workmen, who subsequent to the
date of this settlement are, at their request, transferred to Branches where business
hours are split as in item (i) above.
It is also clarified that even where business hours are not split, banks are free to
split the duty hours of (a) watch and ward staff and (b) sweepers without payment of
allowance. In respect of drivers where the duty hours are split, they shall be eligible
for payment of split duty allowance.
26/25-05-2015
Split Duty Allowance
w.e.f. 1st November 2012, Split Duty Allowance shall be payable at all centers at
`150/- p.m.
XI (2) 17-09-1984
It is confirmed and clarified that the provisions contained in clause 13 of the third
Bipartite Settlement, dated 31st October, 1979 relating to staggering of working hours
and split duty allowance will continue to apply to Drivers also.
PASS BOOK ALLOWANCE
9.8/19-10-1996
Status quo in respect of the duties and any allowance paid to full-time workmen of
this category will be maintained in each bank concerned.
37
PARADIP PORT ALLOWANCE
29/27-03-2000
In supersession of Clause 7 of the Bipartite Settlement dated 28th November, 1997

employees posted and working in branches situated in Paradip Port Town shall be paid
with effect from 1st November, 1999 Paradip Port Town Allowance @ 5% of Basic Pay.
(Note: There is no change or modification of the above in the 8th Bipartite Settlement.
Hence Paradip Port Allowance shall continue to be payable at 5% of the basic pay
based on the revised basic pay w.e.f. 01.11.2002)
(House Rent Recovery: Refer IBA Circular No. PD/CIR/76/90/937)
HINDI INCENTIVE ALLOWANCE FOR TYPISTS/STENOGRAPHERS.

(Refer IBA Cir. PD/CIR/76/597/1344 dt. 07-12-1998)
COMPENSATORY FACILITIES - EMPLOYEES WORKING IN KASHMIR VALLEY

(Refer IBA Cir. PD/Cir/76/746/1491 dt. 04-01-1999)
SPECIAL AREA ALLOWANCE
28/25.05.2015
In partial modification of Clause 29 of Bipartite Settlement dated 27th April 2010, in

view of revision in ‘Pay Scale’, w.e.f. 1st November 2012, the Pay referred to under
Columns (3) and (4) of Schedule VI of Bipartite Settlement dated 27.4.2010, shall
be read as `24,000/- instead of `14,700/-, the rates, other details and conditions
remaining unchanged.
38
SCHEDULE - VI
25.05.2015
SPECIAL AREA ALLOWANCE FOR WORKMEN
Sl. Area Allowances (`)
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
1. Mizoram
a) Chimptuipui District and Areas beyond

25 kms. from Lungeli Town in Lunglei District 2000 2600
b) Entire Lunglei District excluding Areas
beyond 25 kms from Lunglei Town 1600 2100
c) Entire Aizawl District 1200 1500
2. Nagaland 1600 2100
3. Andaman & Nicobar Islands:
„ North Andaman, Middle Andamans, 2000 2600

Little Andaman, Nicobar & Narcondum
Islands
„ South Andaman (including Port Blair) 1600 2100
4. Sikkim 2000 2600
5. Lakshadweep Islands 2000 2600
6. Assam 320 400
7. Meghalaya 320 400
8. Tripura
a) Difficult areas of Tripurra 1600 2100
b) Throughout Tripura except difficult areas 1200 1500
9. Manipur 1200 1500
39
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
10. Arunachal Pradesh

a) Difficult areas of Arunachal Pradesh 2000 2000
b) Throughout Arunachal Pradesh other
than difficult areas 1600 2100
11. Jammu & Kashmir
1) Kathu District: Niabat Bani, Lohi, Malhar 2000 2000

and Machhodi
2) Udhampur District:
a) Dudu Basantgarh, Lander Bhamag, Illaqa,
Thakrakote and Nagote, all areas 2000 2600
in Mahore Tehsil other than those
included in Part 2(b)
b) Areas upto Goel from Kamban Side 1600 2100
and areas upto Arnas from Keasi side
in Tehsil Mohre
3) Doda District:
Illaquas of Padder and Niabat Nowgam 2000 2000
in Kishwar Tehsi
4) Leh District:
All places in the District 2000 2000
5) Barmulla District
a) Entire Gurez-Nirabat, Tangdar
Sub-Division and Keran Illaqua 2000 2000
b) Matchill 1600 2100
6) Poonch and Rajouri District:

Areas in Poonch and Rajouri District
excluding the towwns of Poonch and
Rajouri and Sunderbani and other urban
areas in the two Districts.
40
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
7) Areas not included in (1) to (6) above,

but which are within the distance of 8 kms.
from the line of Actual Control or at places
which may be declared as qualifying for
border allowance from time-to-time by the
State Government for their own staff. 1200 1500
12. Himachal Pradesh
(1) Chamba District

a) Pangi Tehsil, Bharmour Tehsil,
Panchayats : Badgaum, Bajol,
Deol Kugti, Nayagam and Tundah,
Villages: Ghatu of Gram Panchayat
Jagat, Kanarsi of Gram Panchayat
Chauhata 2000 2000
b) Bharmour Tehsil, excluding
Panchayatsand Villages included
in (a) above. 1600 2100
(2) Kinnaur District:

a) Asrang, Chitkul and Hango Kuno/
Charang Panchayats, 15/20 Area
comprising the Gram Panchayats of
Chhota Khamba, Nathpa and Rupi,
Pooh Sub-Division, excluding the
Panchayat Areas specified above 2000 2000
b) Entire District other than Areas
included in (a) above 1600 2100
(3) Kullu District:

a) 15/20 Area of Nimand Tehsil,
comprising the Gram Panchayats
of Kharga, Kushwar and Sarga 2000 2000
41
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
b) Outer-Saraj (excluding villages of

Jakat - Khana and Burrow in
Nirmand Tehsil) and wentire District
excluding outer Seraj area and Pargana
of Pandrabis but including villages Jagat-
Khana and Burrow of Tehsil Nirmand 1200 1200
(4) Lahaul and Spiti District :

Entire area of Lahaul and Spiti 2000 2600
(5) Shimla District:

a) 15/20 area of Rampur Tehsil
comprising of Panchayats of Koot,
Labana-Sadana, Sarpara and
Chadi-Branda 2000 2600
b) Dora-Kawar Tehsil, Gram
Panchayat of Darkali in Rampur,
Kashapath Tehsil and Munish,
Ghori Chaibis of Paargana Sarahan 1600 2100
c) Chopal Tehsil and Ghoris, Panjgaon,
Patsnau, Naubis and Teen Koti of
Pargana Sarahan, Deothi Gram
Panchayat of Taklesh Area, Pargaana
Barabis, Kasba Rampur and Ghori
Nog of Pargana Rampur of Rampur
Tehsil, Simla Town and its
suburbs (Dhalli, Jatog Kasumpti,
Mashobbra, Taradevi and Tutu) 1200 1500
(6) Kangra District:
(a) Areas of Bara Bhangal and

Chhota Bhangal 1600 2100
42
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
b) Dharmshala Town of Kangra

District and the following offfices
but included in Dharamshala Town-
Women’s ITI, Dari, Mechanical
Workshop, Ramnagar, Child
Welfare and Town and Country
Planning Offices, Sakoh, CRSF
Office at lower Sakoh, Kangra Milk
Supply Scheme, Dugiar, HRTCC
Workshop, Sadher, Zonal Malaria
Office, Dari, Forest Corporation
Office, Shamnagar, Tea Factory,
Dari, I.P.H. Sub-Division, Dan,
Settlement Office, Shamnagar,
Hinwa Project, Shamnagar 1200 1500
Palampur Town of Kangra District
including HRKVV Campus at
Palampur and the following offices
located outside its municipal limits
but included in Palampur Town
H.P. Krishi Vishwavidhalaya Campus,
Cattle Development Office/Jersey
Farm, Banuri, Sericulture Office/Indo-
German Agriculture Workshop/
HPPWD Division, Bundla, Electrical
Sub-Division, Lohna, D.P.O.
Corporation, Bundla, Electrical
HESEE Division, Ghuggar
(7) Mandi District:

Chhuhar Valley of Jogindernagar Tehsil,
Panchayats in thunag Tehsil-of-Bagraa,
43
No.
Pay below Pay above
`24,000/- `24,000/-
1 2 3 4
Chatri, Chhotdhar, Garagushain, Gatoo,

Garyas, Janjehli, Jargar, Johar, Kalhani,
Kalwan, Kholanal, Loth, Silibagi,
Somachan, Thachdhar, Tachi, Thana 1200 1500
Panchayats of Dharampur Block-Binga,
Bagra, Gopalpur, Khajol, Mahog, Mehudi,
Manj, Pekhi, Sainj, Sarahan and Teban,
Panchayats of Sundernagar Tehsil - Bohi,
Batwara, Dhanyara, Paura-Kothi, Seri
and Shoja
(8) Simaur District :
Panchayats of Bani, Bakhali (Pachhad
Tehsil), Bharog Bheneri (Paonta Tehsil),
Birla (Nahan Tehsil), Dibber (Pachhad 1200 1500
Tehsil) and Thana Kasoga (Nahan Tehsil)
and Thansgin Tract
(9) Solan District:
Mangal Panchayat 1200 1500
(10) Remaining areas of Himachal Pradesh
not included in (1) to (9) above 320 400
13. Uttarakhand
Area under Chamoli, Pithoragarh, Uttar Kashi,

Rudraprayag and Champavat Districts 2000 2600
44
HALTING ALLOWANCE
549/SASTRY AWARD
Halting Allowance is a payment made to an employee in addition to other emoluments

for any day during which an employee is absent from headquarters on duty and is
intended to cover the ordinary daily expenses incurred by him consequence of such
absence.
6.84 (2)/D.A.
For the purpose of halting allowance ‘a day’ shall mean each period of 24 hours or any
part thereof reckoned from the time the employee leaves his headquarters, provided
the duration of absence from headquarters covers at least one night.
6.84(3)/D.A.
Halting Allowance is payable in addition to the class of fare to and fro to which the
employee is entitled for travel as on tour
III(h)/08-11-1973
Provided further that drivers required to drive the vehicles on outstation duty shall be
paid overtime wages for the period of actual driving beyond normal working hours in
addition to batta/halting allowance at the rates payable to them.
III(g) B, C, D/08-11-1973
B-In partial modification of Clause 9.13 of the Bi-partite Settlement dated

19-10-1966, where the workman is required to travel within the municipal limits,
municipal Corporation including cantonment or panchayat limits, no Halting Allowance
is payable. Where the place is outside such limits, the workman will be entitled to
batta, provided the place of outstation duty is more than 5 kilometers from the Branch
or Office where he is working.
C- For the purpose of entitlement of Halting Allowance, it is herby clarified that, places
covered under Clause 3.2A(i) to (viii) of Bipartite Settlement, dated 19-10-1966, which
consist of more than one municipality/panchayat limits no halting allowance/batta is
payable for travel within such places.
Illustration: Delhi comprises of New Delhi, Old Delhi, Delhi Shahdra, Delhi Cantonment
and Loni. Though New Delhi and Delhi are different municipal areas, no halting
allowance/batta will be payable for travel from New Delhi to old Delhi or vice versa
as it is one place under Clause 3.2A (iii) of Bi-partite Settlement dated 19-10-1966.
45
7/16-07-1991
In partial modification of Clause 3.1 of the Memorandum of Settlement dated

19th October, 1966, with effect from 1st June, 1989, Delhi will also comprise of areas
covered by Gurgaon Urban Agglomeration.
Note:
For all administrative purposes including payment of halting allowance all places
forming part of Delhi including Gurgaon (U.A.) shall be treated as one composite area.
III (g)D/08-11-1973
If a workman is temporarily transferred to a nearby place where batta is payable as

per sub-clause ‘B’ above and can return to his place everyday, he will be entitled to
travelling expenses as per entitlement under rules in addition to batta.
DEPARTMENTAL ENQUIRY-DEFENCE REPRESENTATIVE - HALTING

ALLOWANCE
4/08-09-1983
If the representative defending the employee is an employee of the same bank at

an outstation branch within the same state, he shall be relieved on special leave (on
full pay and allowances) to represent the employee and be paid one to and fro fare.
The class of fare to which he will be entitled would be the same as while travelling on
duty. In case of any adjournment at the instance of the bank/Enquiry Officer, he may
be asked to resume duty and if so, will be paid fare for the consequential journey.
He shall also be paid full halting allowance for the period he stays at the place of the
enquiry for defending the employee as also for the days of the journeys which are
undertaken at the Bank’s cost.
EXPLANATION
“State” for the purpose, shall mean the area which constituted a political state as
on 19th October, 1966, but this explanation will not apply to SBI. (Reimbursement of
TA/DA-Ref: IBA Cir. No. PD/CIR/76/E(ix) /797 Dt. 02-09-1993).
46
HALTING ALLOWANCE
23/25-05-2015
In modification of Clause 24 of the Bipartite Settlement dated 27th April 2010, with
effect from 1st June 2015, halting allowance shall be payable at the following rates
for the days spent on duty outside the headquarters:
(A) (B) (C)
Places with population Places with population Other Places

of 12 lakhs and above of 5 lakhs and above,
and States of Goa State Capitals/ Capitals
of Union Territories not
covered in column (A)
Clerical Staff `700/-per diem `600/-per diem `450/-per diem
Subordinate
Staff `500/-per diem `400/-per diem `250/-per diem
JOURNEY COMPLETED ON THE SAME DAY
9.13/19-10-1966
In supersession of paragraph 6.84(4) of the Desai Award, where the work entrusted
to a workman is such that it does not involve night stay and enables him to return to
headquarters the same day he shall be entitled:-
(i) If he is not a member of the subordinate staff:

(a) to a single second class (now first class) fare to and fro for himself, and
(b) to batta at one-half the rates set out as applicable to him, and
(ii) If he is a member of the subordinate staff:
(a) to a single third class (now second class) fare to and fro for himself, and
(b) to batta at one-half the rates set out as above applicable to him.
Provided, however, that where the period between the time when a workman
commences work on that day and the time at which he returns to his place of work
from outstation duty exceeds his normal working hours plus recess interval, full
halting allowance at the above rates, applicable to him shall be paid. In such cases
the workman concerned shall not be entitled to any overtime allowance.
47
PROJECT AREA COMPENSATORY ALLOWANCE
27/25-05-2015
w.e.f. 1st November 2012, workmen in project areas shall be paid project area
compensatory allowance as under :
Project Area Group ‘A’ Project Area Group ‘B’
Clerical Staff - `250/- p.m. Clerical Staff - `200/- p.m.
Sub-Staff - `200/- p.m. Sub-Staff - `175/- p.m.
BASIS TO FINALISE PROJECT AREAS

12(2)/31-10-1979
(iii) Parties agree to discuss and finalise additions/deletions to the list of Project
areas. This will be on the basis of the following 4 principles being satisfied.
(a) Place is declared as a project area by Government;
(b) The branch of the Bank is situated in the project area;
(c) It should be far away from a town/city; and
(d) All the land is acquired by the project authorities as a result of which
housing is not available.
PROJECT AREA ALLOWANCE

2/15/16-04-1980
Parties agree that the project area allowance payable for Group ‘B’ under the Bipartite
settlement dated 31st October, 1979 will be paid at the following places:
i. Ambika Nagar (Karnataka) ii. Donimalai (Karnataka)
iii. Srisailam (Andhra Pradesh) iv. Haldia (West Bengal)
v. Jog Falls (Karnataka) vi. Maithon (Bihar - DVC Project)
vii. Dandeli (Karnataka) viii. Chattargarh (Rajasthan - Rajasthan Canal)
ix. Mahi (Rajasthan - Dam Project)
Continuation of the payment of Project Area Allowance at these and other places
under the Bipartite Settlement will be reviewed periodically.
9(iii)/05-01-1987
If at a centre both City Compensatory Allowance and Project Area Allowance are
payable, only the higher of the two shall be paid.
48
CONVEYANCE ALLOWANCE
548/S.A. & 6.39/D.A.
Conveyance Allowance meaning thereby the expenses for going from employee’s
residence to office or vice versa must be deemed to be included in our pay scale.
The only direction that we give is that where an employee incurs expenditure in the
performance of bank’s work he should be reimbursed to the extent that the expenditure
is fairly and legitimately incurred.
TRANSPORT ALLOWANCE
10/25-05-2015
Transport Allowance shall be paid as under, with effect from 1st November, 2012:
Clerical and Subordinate Staff
Upto 15th stage of the scale of Pay - `425/- per month
16th stage of the scale of Pay and above - `470/- per month
Provided that a sub-staff drawing transport allowance at `470/- per month, on being
promoted to clerical cadre is fitted at a stage lower than 16 stage, he shall continue
to be paid the same Transport Allowance of `470/- per month.
Note:
(i) All permanent part time employees including those on probation and drawing
scale wages shall be paid transport allowance on pro rata basis as under:
Upto 15 years of service- Pro rata @`425/- per month
Above 15 years of service- Pro rata @`470/- per month
(ii) This provision by itself will not preclude the payment of any existing allowance
of this nature paid as a result of Government guidelines/bank level settlements.
DEPUTATION ALLOWANCE
Consequent upon the 8th Bipartite Settlement dated 2nd June, 2005, the rates
of Deputation Allowance payable to workmen employees deputed to RRBs/
District Industrial Centres/Debt Recovery Tribunal has been revised as below w.e.f.
01-11-2005.
For Deputation within the 4% of Basic Pay
same station Max.`375
For Deputation to an 7.75% of Basic Pay
Outstation Max.`775
(Refer IBA Circular no. CIR/PAD/76/E15/2005-06/813 dt. 09-01-2006)
49
CHAPTER - VII
LEAVE RULES
GENERAL
13.1 to 13.7/19-10-1966
13.1 From the date of operation of this settlement the following leave rules shall apply
uniformly to all workmen.
13.2 An employee who desires to obtain leave of absence other than casual leave,
shall apply in writing to the manager or any other officer appointed for the
purpose. Such application for leave shall be made not less than one month
before the date from which the leave is to commence, except in urgent cases
or unforeseen circumstances including illness when it is not possible to do so.
The Manager or the Officer empowered by him in this behalf shall issue orders
on such application as soon as practicable and in cases of an urgent nature
immediately. If the leave asked for is granted, an order showing the date of
commencement of the leave and the date on which the employee will have to
resume duty shall be issued to him.
13.3 If an employee after proceeding on leave desires an extension thereof, he shall
make an application in writing to the Manager or other officer appointed for the
purpose. Such application shall state the full postal and telegraphic address of
the employee and shall be made in sufficient time to enable the management
to consider the application and send a reply to him before the expiry of the
leave desired to be extended. A written reply either of the grant or refusal of
extension shall be sent to the employee at the address given by him, if such
reply is likely to reach him before the expiry of the leave originally granted to
him.
13.4 If the leave is refused or postponed, the reason for the refusal or postponement,
as the case may be, shall be mentioned in the order, and a copy of the order
given to the applicant.
13.5 No leave or extension of leave shall be deemed to have been granted unless an
order to that effect is passed and communicated to the employee concerned.
13.6 Leave of all kinds cannot be claimed as of right. When the exigencies of the
service so require, discretion to refuse or revoke leave on any description is
reserved to the authority granting it, and an employee already on leave may
be recalled by that authority when it considers this necessary in the interest of
50
the service. When an employee is called back from leave, the bank will pay his
travelling expenses to and from the place where he was spending is holidays.
The employee will also be entitled to claim travelling expenses of his wife and
children provided they have accompanied him while going to such place or have
gone to such place within a week of his going there and have accompanied him
whilst returning from such place or have returned to the place of work within a
week of his return to that place.
13.7 Gazetted holidays [that is Bank Holidays under the Negotiable Instruments Act]
other than Sundays shall not be prefixed or suffixed to any leave without the
sanction of the competent authority having been first obtained.
12/05-01-1987
An employee who overstays his leave (except under circumstance beyond his control
for which he must tender explanation) shall not be paid his pay and allowance for the
period he over stays and shall further render himself liable to such disciplinary action
as the management may think fit to consider.
13.8 to 13.16/19-10-1966
13.8 Leave earned by an employee lapses on the date on which he ceases to be in
service. Where an employee’s services are terminated owing to retrenchment
he shall be paid his pay and allowances for the period of privilege leave at his
credit.
13.9 Unless he is permitted to do so by the authority which granted him leave, an
employee will not be entitled to return to duty before the expiry of the period
of leave granted to him.
13.10 The first day of an employee’s leave is the working day succeeding that upon
which he makes over charge. The last day of an employee’s leave is the
working day proceeding that upon which he reports his return to duty.
13.11 An employee shall, before proceeding on leave, intimate to the competent
authority his address while on leave and shall keep the said authority informed
of any change in the address previously furnished.
13.12 An employee on leave shall, unless otherwise instructed to the contrary, return
for duty to the place at which he was last stationed.
13.13 The competent authority may require an employee who has availed himself of
leave for reasons of health to produce a medical certificate of fitness before he
resumes duty even though such leave was not actually granted on a Medical
Certificate.
51
13.14 Leave may not be granted to an employee under suspension or against whom
proceedings are pending.
13.15 For the purposes of this Chapter the term “Substantive Pay” wherever it occurs
means the aggregate of (i) basic pay, (ii) dearness allowance, (iii) House rent
allowance, (iv) Special and other allowance, if any (but excluding special pay
drawn as locum tenens and officiating pay, if any) which the workman would
have drawn had he been on duty.
13.16 For the purpose of the chapter, calendar year means the period 1st January
to 31st December, each year.
PRIVILEGE LEAVE
13.17/19-10-1966
The amount of privilege leave earned which shall be on substantive pay, shall be one
month for completed service of 11 months for banks in classes A and B.
V(i)08-11-1973
In partial modification of Clause 13.17 of the Bi-partite Settlement, dated 19-10-1966

calculation of privilege leave earned shall be done @ one day for 11 days of active
service. Provided that fraction of a day of earned leave if any shall be taken as full
day. Such calculation has to be done only for the limited purpose of calculation of
entitlement. The workmen will be eligible for such leave only after the completion of
11 months’ service as laid down in Clause 13.17 of the Bi-partite settlement, dated
19-10-1966 and for calculating privilege leave, all types of leave availed except casual
leave will be excluded.
25/27-03-2000
The following proviso may be added to Clause V(i) of Bipartite Settlement dated 8th
November, 1973:-
Provided that fraction of a day of earned leave, if any, shall be taken as a full day.
The above provision will apply for crediting privilege leave from the Calendar Year 2001.
13.18 to 13.21/19-10-1966
13.18 If leave applied for by an employee has been refused such employee will be
entitled to accumulate leave in excess of the maximum prescribed until such
time when the bank is in a position to grant him leave.
52
13.19 The privilege leave due to an employee is the period which he has earned
diminished by the period of leave actually taken.
13.20 An employee other than a member of the Executive Committee of a registered
trade union of bank employees will not be entitled to take privilege leave on
more than 4 occasions in a calendar year, but there will be no limitations as to
the minimum number of days for which leave may be taken on these occasions.
In determining the number of such occasions the following occasions shall
not be included.
(i) When an employee has proceeded on privilege leave and is recalled to
duty by the bank;
(ii) When an employee has been granted privilege leave on grounds of
sickness in terms of Clause 13.21 below.
13.21 In special circumstances an application may be made for the grant of such
leave on more than four occasions in a calendar year and it will then be in
the absolute discretion of the bank concerned whether to grant such leave or
not.
An employee may avail of privilege leave for a period of more than 4 days at
a time on grounds of sickness on production of medical certificate.
30/25-05-2015
Privilege Leave should be applied not less than 15 days before the proposed date of
commencement of such leave.
In partial modification to Clause 8 of Bipartite Settlement dated 29.6.1990, Privilege
Leave accruing to an employee on or after the date of this settlement, shall be
allowed to be accumulated beyond 240 days up to a maximum of 270 days. However,
encashment of privilege leave shall be restricted up to a maximum of 240 days.
ENCASHMENT OF PRIVILEGE LEAVE
15/31-10-1979
(i) Parties agree that workmen would be entitled to encash the accumulated
leave to his credit at the time of retirement.
(ii) Parties further agree that if a workman dies in service, his heirs will be paid
salary for the leave accrued to him at the time of the death.
9/29-06-1990
It is clarified that with effect from 1st January 1990 in terms of clause 15 of the
settlement, dated 31st October, 1979 a workman at the time of his retirement, or his
53
heirs, in the event of his death would be entitled to encash the accumulated privilege
leave upto the maximum of 240 days.
Note: IBA guidelines -
(i) The benefit of PL Encashment is extended to workmen employees resigning from
the Bank’s service after complying with rules/regulations governing resignation with
effect from 01-04-2004 to the extent of half of such PL standing to the credit of the
employees as on date of cessation of service subject to a maximum of 120 days.
While arriving at half of such PL the fraction so arrived is to be rounded off to preceding
lower number of full days.
(ii) Workmen employees imposed with the punishment of compulsory retirement
interms of the Bipartite Settlement would not be entitled for the benefit of encashment
of accumulated PL to his / her credit with effect from 01-12-2002.)
6 (iii)/16-07-1991
In partial modification of Clause 23(iv) of the Memorandum of settlement, dated
31st October 1979 encashment of privilege leave while proceeding on leave fare
concession shall be permitted as under:-
(a) for availment of LFC under 2 year block - Maximum 15 days either in each block
or 30 days in one block.
(b) for availment of LFC under 4 year block - Maximum 30 days.
(Refer IBA Cir. PD/CIR/76/90/2018 dt. 30-03-2000)
CASUAL LEAVE
33/25-05-2015
Casual Leave
In supersession of Clause 13.22 of Bipartite Settlement dated 19.10.1966 (in case
of State Bank of India, Clause 7.22 of the Settlement dated 31st March 1967), an
employee shall be entitled to Casual Leave upto a maximum of 12 days in each
calendar year, provided that not more than 4 days may be taken continuously. It is
reiterated that holidays and weekly offs prefixing/suffixing or falling within the period
of Casual Leave will not be treated as part of Casual Leave.
13.23/19-10-1966
Casual leave shall be non-cumulative except as provided in Clause 13.31 under
sick leave. Ordinarily the previous permission of the sanctioning authority shall be
obtained before taking such leave. When this is not possible, the said authority
54
shall be informed as soon as practicable, in writing or if writing is not possible orally
or through any person of the employee’s absence from work, reason thereof and of
the probable duration of such absence. In any event a written application shall be
submitted to such authority latest on the day the employee resumes duty. In no case
will an employee take casual leave on frivolous grounds.
13.24/19-10-1966
Casual leave is only intended to meet special or unforeseen circumstances for which
provision cannot be made by exact rules. Holiday except Saturdays and Sundays
shall not be prefixed or suffixed to casual leave without the previous permission of
the officer granting such leave.
13.25/19-10-1966
Holidays and weekly offs falling within the period of casual leave will not be treated
as a part of casual leave.
13.26/19-10-1966
Casual leave may be taken on grounds of sickness without production of a medical
certificate, provided the total period of sickness does not exceed 4 days.
13.27/19-10-1966
Any absence from duty without satisfying the requisite conditions under which leave
may be taken or obtaining such leave on false grounds would justify any bank, after
giving the employee an opportunity to explain, in not treating the employee as on
casual leave but as being absent without leave on loss of pay and allowances.
13.28/19-10-1966
A workman on casual leave shall be entitled to pay and allowances as if he was on

duty.
4/31-10-1979
It is hereby clarified that casual leave shall be earned by an employee during the
first calendar year of his service on a pro-rata basis at the rate of one day for each
completed month or part thereof.
SICK LEAVE
IX/17-09-1984
In supersession of Clauses 13.29, 13.30, 13.31, 13.32 and 13.33 regarding provision
of Sick Leave in the First Bi-Partite Settlement, dated 19th October 1966 and in
55
supersession of similar provisions, if any regarding sick leave that are existing in banks,
the following provisions of sick leave shall apply with effect from 1st July 1983.
(1) An employee shall be granted sick leave at the rate of one month for each year
of service subject to a maximum of 18 months during his entire service provided
that where an employee has put in service of 24 years, he shall be eligible to
additional sick leave at the rate of one month for each year of service in excess
of 24 years, subject to three months of additional sick leave
6/28-11-1997
In partial modification of Clause (IX) (2) of the Memorandum of Settlement dated 17th
September, 1984, with effect from 1st April, 1997 sick leave admissible for service in
excess of 24 years of service shall be on half substantive pay but shall be permitted
on request on full substantive pay, such leave on full substantive pay being entered
as twice the amount of leave taken in his sick leave account.
34/25-05-2015
In partial modification of Para IX (3) of Bipartite Settlement dated 17th September,

1984, the following provisions shall apply with effect from the date of this
Settlement.
Casual leave not availed by an employee in a Calendar Year shall be converted

into Sick Leave on full substantive pay and such leave shall be over and above the
maximum period provided in Para IX Sub-Paras (1) and (2) of Bipartite Settlement
dated 17-9-1984.
In partial modification to Clause 27 of Bipartite Settlement dated 27.3.2000, Casual

Leave converted into Sick Leave may also be availed without production of medical
certificate for 4 days at a time once in a year or two days at a time, twice a year.
IX/17-09-1984
(4) All sick leave shall be granted on production of a medical certificate acceptable to
the bank. “An employee may be sanctioned sick leave if the medical certificate
is given by a practitioner of medicine other than allopathic provided he is a
registered medical practitioner”
(IBA Circular No: PD/CIR/76/90/937 Dated 16-08-1989)
56
EXTRAORDINARY LEAVE
36/25-05-2015
Extraordinary leave may be granted to an employee when no ordinary leave is due

to him. Except in exceptional circumstances the duration of extraordinary leave shall
not exceed 3 months on any one occasion and 24 months during the entire period
of an employee’s service.
13.35/19-10-1966
A competent authority may grant extraordinary leave in combination with or in

continuation of leave of any other kind admissible to the employee.
13.36/19-10-1966
No pay and allowances are admissible during the period of extraordinary leave and
the period spent on such leave shall not count for increments.
Provided that in cases where the sanctioning authority is satisfied that the leave was
taken on account of illness or for any other cause beyond the employee’s control it
may direct that the period of extraordinary leave may count for increments. Provided
further that in the case of employees who are office bearers of registered trade unions,
increments may be deferred only to the extent that extraordinary leave exceeds
2 months in any incremental year.
MATERNITY LEAVE
31/25-05-2015
Clause 30 of Bipartite Settlement dated 27th April 2010 shall be substituted by the
following:
(a) Maternity leave, which shall be on substantive pay, shall be granted to a female
employee for a period not exceeding 6 months on any one occasion and 12
months during the entire period of her service.
(b) Within the overall period of 12 months, leave may also be granted in case of
miscarriage/abortion/MTP.
(c) Within the overall period of 12 months, leave may also be granted in case of
hysterectomy upto a maximum of 60 days
(d) Leave may also be granted once during service to a childless female employee
for legally adopting a child who is below one year of age, for a maximum period
57
of six months, subject to the following terms and conditions:-
(i) Leave will be granted for adoption of only one child.
(ii) The adoption of a child should be through a proper legal process and the
employee should produce the adoption-deed to the Bank for sanctioning
such leave.
(iii) The permanent part-time employees are also eligible for grant of leave
for adoption of a child.
(iv) The leave shall also be available to biological mother in cases where the
child is born through surrogacy.
(v) The leave shall be availed within overall entitlement of 12 months during
the entire period of service.
13.38/19-10-1966
A competent authority may grant leave of any other kind admissible to the employee
in combination with or in continuation of maternity leave if the request for its grant is
supported by sufficient medical certificate.
PATERNITY LEAVE
32/25-05-2015
With effect from the 1st June 2015, male employees with less than two surviving
children shall be eligible for 15 days Paternity Leave during his wife’s confinement.
This leave may be combined with any other kind of leave except Casual Leave. The
leave may be availed upto 15 days before or upto 6 months from the date of delivery
of the child.
SPECIAL SICK LEAVE

35/25-05-2015
With effect from the 1.6.2015, Special Sick Leave up to 30 days may be granted
to an employee once during his/her entire period of service for donation of kidney/
organ.
SPECIAL LEAVE
35/02-06-2005
In supersession of para 13.39 of the 1st Bipartite Settlement dated 19-10-1966,
with effect from the date of the Settlement, Special leave will be allowed to certain
58
employees for attending meetings and conferences of trade unions of bank employees
as provided below:
a) Principal Office Bearers of All India Upto 21 days in a

Workmen Unions / Associations calendar year
subject to a maximum of -
i) 20 such members in the case of
unions having more than 25% membership.
ii) 15 such members in the case of unions
having less than 25% membership
b) Central Committee Members of All India Upto 17 days in a

Unions / Associations calendar year
subject to a maximum of -
i) 40 such members in the case of
unions having more than 25% membership
c) Office Bears of the executive Committee of the Upto 7 days in a

State or Regional Level Units of All India Workmen calendar year
Unions/ Associations subject to a maximum of -
i) 20 such members in the case of unions
having more than 25% membership.
The benefit of special leave as above shall be available only to those office bearers
nominated for the purpose by the All India Workmen Unions / Associations who are
parties to the Settlement and signing it.
QUARANTINE LEAVE
13.41/19-10-1966
In case an employee is absent from duty on account of quarantine, the bank may, at
the request of the employee, treat such absence upto a maximum of three months
as privilege or sick leave if such leave is otherwise permissible.
59
LEAVE PREPARATORY TO RETIREMENT
13.42/19-10-1966
An employee shall be paid on retirement the pay and allowance for such period for
which the privilege leave was withheld.
SPECIAL LEAVE IN CASE OF INJURIES ON DUTY
18(IV) 31-10-1979
In case of injuries sustained by a workman in course of his duty he shall be fully
reimbursed the medical cost and treatment and / or hospitalisation over and above
his normal entitlement. He shall also be treated on special leave for the period of his
absence required for treatment.
NOTE: PL Encashment to Part-time Employees : Refer Chapter XIX
SPECIAL/SPECIAL CASUAL LEAVES AS PER IBA GUIDELINES (Refer IBA Cirs
PD/MISC/41 dt. 14-09-1982 & PD Cir/76/II(v)2101 dt. 17-01-1991)
A) FOR BLOOD DONATION
One day special casual leave on the day of donation. Employee has to produce a
certificate from the medical officer of the hospital where he has donated blood.
B) FOR EXERCISING FRANCHISE - ELECTION
Where ever the Central or State Government has advised granting of special casual
leave to its employees for exercising their franchise in connection with Parliamentary
or Assembly Elections, special casual leave on the same terms and conditions may
be allowed to the employees of the banks.
C) FOR NON-ATTENDANCE OF OFFICE DUE TO CURFEW
i) Where an employee was not able to attend the Office on account of imposition
of curfew either at the place of residence or at the place of work, the absence
should be treated as special casual leave.
ii) If the curfew was imposed only for a part of the working hours either at the
place of residence or at the place of work, the employees who attended the
office during the non-curfew part of working hours should be treated as having
attended for the full day and the absence of those employes who did not attend
during the non-curfew hours should be adjusted against their usual leaves.
iii) This special casual leave is provided only where it is physically impossible to
attend office. This leave is also granted when it is impossible to reach office
from curfew bound area which falls between the route from residence and office
60
of the employees and it is also not possible to reach office even avoiding such
route and the Government authorities have not permitted employees to travel
through curfew bound areas.
D) FOR FAMILY PLANNING
Special casual leave is granted in the following cases as per Govt. directives to
promote family planning:
i) 6 days special casual leave to male employees for undergoing sterilisation
(Vasectomy Operation)
ii) 14 days special casual leave for female employees who undergo non puperal/
puperal tubectomy operation.
iii) 1 day special leave to female employees who had IUD insertions.
iv) 7 days special casual leave to male employee whose wife undergoes non-
puperal tubectomy operation subject to the production of medical certificate
from the doctor who has performed the operation, to the effect that the presence
of the employee is essential for the period of leave to look after the wife during
her convalescence after the operation.
v) An employee developing post-operative complication after sterilisation may
be granted special casual leave to the extent of the period for which he or she
is hospitalised for such post operative complications, subject to production
of necessary certificate from the concerned hospital authorities/authorised
medical attendant.
vi) An employee is not entitled to special casual leave after maternity leave, if the
sterilisation operation/recanalisation was done during the maternity leave.
vii) The special casual leave connected with sterilisation, recanalisation under family
welfare programme may be suffixed as well as prefixed to regular leave or casual
leave. However special casual leave cannot be prefixed both to casual leave
and regular leave. Special casual leave may either be prefixed to regular or to
casual leave and not both. Similarly, special casual leave may be suffixed either
to regular leave or to casual leave and not both. The intervening holidays and/
or Sundays be prefixed/suffixed to regular leave as the case may be.
E) FOR ATTENDING COURTS OR ENQUIRIES
Special leave should be granted to employee who is summoned to attend Courts or

departmental enquiries outside the Bank for giving evidence on behalf of the Bank.
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CHAPTER - VIII
LEAVE FARE CONCESSION
ELIGIBILITY
10.1/19-10-1966
In supersession of paragraph 6.94 of the Desai Award. ‘A’ and ‘B’ Class Banks will
give to full time permanent workmen employed by them leave Fare Concession,
provided they have completed at least 11 months’ active service.
18.2(d)/10-04-1989
Permanent part-time employees drawing scale wages shall be eligible for

leave fare concession and leave encashment on pro-rata basis with effect from
01-04-1989.
PART-TIME EMPLOYEES
The block for leave Fare Concession should begin from 01-11-1987 or date of joining
the service whichever is later. The concept pro rata should apply with reference to
the scale wages at the time of availment.
Leave Fare Concession on Pro rata basis to permanent part-time employee drawing
scale wages would mean prorata distance and not pro rata period of time.
Leave encashment for part-time employee in scale wages will be the same as the
wages drawn by him, i.e. 1/3, 1/2 or 3/4 of the full pay and allowances for the period
the leave is encashed as the case may be
(AS PER IBA CIRCULAR NO : PD/CIR/76/90/937 DATED 16 08-1989)
10.13 (iii)/19-10-1966
If a workman and his wife are employed in the same bank, although each will be entitled
to Leave Fare Concession in his/her own right, the ‘family’ including the husband and
wife taken together shall not be eligible for Leave Fare Concession more than once
in (block period) period.
6(a)/08-11-1983
For the purpose of leave fare concession, the condition of 15 days leave will not
be applicable and it is clarified that the concession will be permitted to the eligible
employees even when they proceed on leave of any kind.
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TRAVEL-PURPOSE
10.2/19-10-1966
Actual return railway fare and steamer fare incurred by the workman for himself and
members of his family (as defined in clause below) for:-
(a) travel from the place of work to the place of his domicile if situated within India
(provided, however, that in the case of those subordinate workmen on the watch
and ward staff, whose domicile is situated in Pakistan, Bhutan, Sikkim or Nepal,
the Leave Fare Concession payable will be the actual return railway fare or
steamer fare from his place of work to the place on the Indian borders nearest
to his place of domicile)
(b) Travel for rest and recuperation from the place of work to any place in India
situated at not more than the under mentioned distances.
DISTANCE AND OPTION
8(i) iv/05-01-1987
(i) An employee shall be permitted to avail of Leave fare concession only once in
every two years to his place of domicile.
(ii) An employee shall be given an option to avail of the LFC once in every 2 years
or 4 years.
LEAVE FARE CONCESSION
19/ 25-05-2015
(i) In modification of Paragraph 19 of Bipartite Settlement dated 27th April 2010,
with effect from the date of this Settlement, leave fare concession payable will
be the actual return railway fare or steamer fare incurred by the workman and
members of his family subject to the following:
a) For availment of leave fare concession under a 2 year block for visit to
any place within India, the maximum permissible distance shall be 2500
kms. (one way), for the subordinate staff and 2000 kms. (one way) for
non-subordinate staff.
b) For availment of leave fare concession under a 4 year block for visit
to any place in India, the maximum permissible distance shall be 5000
kms. (one way) for subordinate staff and 4000 kms. (one way) for non-
subordinate staff.
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(ii) With the effect from 1st June 2015, the class of fare to which the workman and
the members of his family would be entitled, shall be as follows:
Subordinate Staff :
AC III Tier for the journey by mail/express train. By Steamer – II Class Cabin
Non-subordinate Staff :
II AC for the journey by mail/express train. By Steamer – I Class Cabin
Note: The above entitlement shall also be applicable for travel on duty.
Provided further that where the non-subordinate employee and / or members

of his family undertake travel by air either to his place of domicile or to any other
place for rest and recuperation within India, he shall be entitled to be reimbursed
the actual air fare so incurred or the II AC class fare by train by a direct route in
case of travel to place of domicile or to the extent of the maximum admissible
distance in case of travel to any other place for rest and recuperation, during
the two year/four year block respectively, whichever is less.
(iii) An employee and/or members of his family, when availing leave fare concession
may undertake travel by any mode of surface transport between places and
the employee will be eligible to claim in respect of such journey his actual
expenditure or the notional train fare by the entitled class for the admissible
distance, whichever is less, within his overall entitlement.
For the purpose of this sub-clause, travel by any approved mode of surface
transport would mean such travel undertaken through any public transport or
transport (including taxi) operated by agencies / tour operators approved by
appropriate Government authorities or motorcar owned by the employee with
permission of the Bank.
(iv) By exercising an option anytime during a block of 2 years or 4 years, as the

case may be, an employee can either undertake travel availing of leave fare
concession and claim reimbursement upto his entitlement or to encash the
facility for the concerned block. The option so exercised shall be irrevocable
for the block concerned. On opting to encash the facility, he will be entitled
to receive a lump sum equivalent to notional train fare for the admissible
distance (depending on a 2 year or 4 year block) by the entitled class, subject
to deduction of admissible tax at source. Leave Fare Concession for travel to
place of domicile is not encashable. An employee opting to encash his LFC
64
shall prefer the claim for himself and his family members only once during the
block / term in which such encashment is availed of. The facility of encashment
of privilege leave while availing of Leave Fare Concession is also available
while encashing the facility of LFC.
(v) All employees will be given an opportunity to exercise an option within 90 days
from the date of this Settlement to avail LFC under two years/four years block
as the case may be. If no option is exercised within the stipulated period, the
earlier option will continue to be operative
6/29-06-1990
From 1st July 1990 a member of subordinate staff may travel by First Class Rail, while
availing of the Leave Fare Concession; reimbursement for the same, however, shall
be restricted to the overall entitlement calculated on the basis of second class fare
for the eligible distance.
10.3/19-10-1966
Provided that if the place of destination is accessible by train or steamer, the cheapest
fare shall be payable, and if it is accessible partly by train or steamer and partly by
road then the cheapest over all fare shall be payable.
IV(iv)/08-11-1973
“Provided further that workmen travelling between Goa, Cochin and Mumbai may
travel by rail or road at their option, even if sea route is available, in which case he
will be paid at the appropriate rate”.
REIMBURSEMENT OF EXPENSES ON ROAD TRAVEL
29/25-05-2015
In substitution of Clause 31 of Bipartite Settlement dated 27th April 2010, w.e.f.

z1st June 2015, where an employee has to travel on duty / LFC between two places
he shall be reimbursed actual road mileage cost or at `6/- per k.m., whichever is less.
6(vi)/16-07-1991
Conveyance expenses within the prescribed rates, from residence to nearest railway
station/bus stand/airport/docks and vice-versa as also similar expenses at the place of
destination shall be reimbursed under leave fare concession facility within the overall
entitlement of the employee.
65
10.5/19-10-1966
If a Workman incurs, in case of a journey by train, any reservation or sleeping berth
charges, these will be reimbursed to him in addition to his other entitlements under
Leave Fare Concession.
IV(v)/08-11-1973
Clause 10.7 of the Bipartite Settlement, dated 19-10-1966 is modified to read as
follows:
A member of the non-subordinate staff and/or his family when availing of the Leave
Fare Concession laid down under 10.2(b) as modified herein, may travel beyond
the maximum permissible distance laid down therein by a class lower than that to
which he is entitled, in which case he will be paid the actual fare incurred including
reservation and sleeping berth charges, if any (irrespective of the number of stages
in which the journey is undertaken) or the first class fare for the distance permissible
under Clause 10.2(b) as modified herein, whichever is less.
(Refer IBA Circular No:- PD/CIR/76/F/1267 dt. 16-11-1994)
TRAVEL AND AVAILMENT BY DEPENDENTS
8(iii)/05-01-1987
Leave Fare Concession may be availed of by the workman’s family for travel without
the attendance of workman. The workman and/or members of his family may visit the
same place or different places of their choice within the permissible distance (Refer:
IBA Cir No. PD/CIR/76/90/187/27-04-1991)
10.8/19-10-1966
Leave Fare Concession may be availed of by the workman’s family for travel prior to
or after the date on which the workman himself avails of the Leave Fare Concession;
provided that, the period between the date of commencement of the journey by the
family and the date on which the workman himself commences his journey does
not exceed four months. On expiry of such period of four months and Leave Fare
Concession not availed of by the workman for himself (unless in the meantime his
leave is refused by the bank) or his family, will lapse.
6(c) 08-09-1993
The Leave Fare Concession may be availed of by the workman’s family for travel
without attendance of workman on either journey, provided that the period between
the date of commencement of the journey and that of return journey shall not exceed
four months. The entitlement of the workman to avail of Leave Fare Concession in
such event of independent journey by the family shall continue to operate.
66
10.9/19-10-1966
A Workman may claim leave fare concession for members of his family (if they do not
ordinarily reside with him at the place of work) for travel from his place of domicile to
the place of work and return with the workman and vice-versa.
6(vii)/16-07-1991
In terms of Clause 5(A) (i) of the Memorandum of Settlement dated 5th January, 1987,
it is clarified that the dependent parents, inter alia, shall ordinarily reside with the
employee to be eligible for availment of LFC. An employee may, however, claim LFC
in respect of dependent parents not ordinarily residing with the employee by giving a
suitable declaration and satisfactory evidence of such dependency.
23(e)/31-10-1979
An employee may undertake the whole or part of the journey by air either to his place
of domicile or to a place for rest and recuperation and he will be eligible to claim
his actual expenditure, provided it is less than or equivalent to actual fares by his
entitlement in case of journey to his place of domicile by a direct or regular route or
to the extent of the permissible maximum distances.
10.4/19-10-1966
Each workman shall, if he has not already done so, furnish to the Bank a written
declaration of his place of domicile.
8(iv)/05-01-1987
In case of physically handicapped employee who is appointed under such category
and is eligible for payment of conveyance allowance in terms of the Government
guidelines, a companion may accompany the employee provided he/she does not
have any member of the family in respect of whom he/she can claim the LFC.
(LFC - Tax Exemption - Refer IBA Cir. PD/CIR/76/746/1839 dt. 18-02-1998)
6(iii)/16-07-1991
In partial modification of Clause 23 (d) of the Memorandum of Settlement dated
31st October, 1979 encashment of privilege leave while proceeding on leave fare
concession shall be permitted as under
(a) For availment of LFC under 2 year block maximum 15 days either in each block
or 30 days in one block.
(b) For availment of LFC under 4 year block maximum 30 days.
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8(v)/05-01-1987
It is clarified that encashment of privilege leave upto a maximum limit of one month,
while proceeding on Leave Fare Concession once in four years is a travelling
concession intended to augment cost of Leave Fare Concession otherwise payable.
EVIDENCE OF TRAVEL
10.10/19-10-1966
For the purpose of availment of Leave Fare Concession the workman shall produce
satisfactory evidence of the actual expenditure incurring either by way of tickets or
money receipts giving full details.
5/31-10-1979
It is hereby clarified that an employee claiming reimbursement under Leave Fare
Concession shall produce money receipts as evidence and if the money receipts are
not available, any other satisfactory evidence to travel along with a suitable explanation
for the non-production of money receipts.
JOURNEY TICKETS-ADVANCE
10.11/19-10-1966
The fare permissible under Leave Fare Concession will be advanced to the workman
on the following conditions:-
i) In the case of outward journey on his undertaking to produce tickets before
the commencement of the journey or within 7 days from the date of advance,
whichever is earlier. On such evidence being produced the fare for the return
journey will also be advanced subject to the condition that evidence of the return
journey shall be produced to the Bank within 7 days of the resumption of duties
by the workman.
ii) In case members of the workman’s family avail of the Leave Fare Concession
before or after he himself avails of the concession, the appropriate outward fares
will be advanced against his undertaking to produce evidence of travel within
30 days from the date of the advance. The return fare will also be advanced
subject to the condition that evidence of the return journey is produced to the
bank not later than 30 days from the date of the advance.
SALARY ADVANCE
10.12/19-10-1966
A workman availing of the Leave Fare Concession will, if he so requests, be advanced
any salary falling due during his leave period.
68
DEFINITION OF FAMILY
18/25-05-2015
In substitution of Clause 18 of the Bipartite Settlement dated 27th April 2010, for
the purpose of medical facilities and for the purpose of leave fare concession, the
expression ‘family’ of an employee shall mean :-
(i) the employee’s spouse, wholly dependent unmarried children (including step
children and legally adopted children) wholly dependent physically and mentally
challenged brother/ sister with 40% or more disability, widowed daughters
and dependent divorced/ separated daughters, sisters including unmarried/
divorced/ abandoned or separated from husband/ widowed sisters, as also
parents wholly dependent on the employee.
(ii) The term wholly dependent family member shall mean such member of the
family having a monthly income not exceeding `10,000/- p.m. If the income of
one of the parents exceeds `10,000/- p.m. or the aggregate income of both the
parents exceeds `10,000/- p.m., both the parents shall not be considered as
wholly dependent on the employee.
(iii) A married female employee may include her natural / legal parents or parents-
in-law under the definition of family, but not both, provided that the parents/
parents-in-law are wholly dependent on her.
Note: For the purpose of medical expenses reimbursement scheme, for all
employees, any two of the dependent parents/ parents-in-law shall be
covered.
69
CHAPTER - IX
MEDICAL AID & EXPENSES
MEDICAL AID (Quantum)
17/25-05-2015
with effect from 1st November 2012, the reimbursement of medical expenses under
medical aid scheme shall be restricted to an amount of `2200 /- per annum.
For the year 2012, the reimbursement of medical expenses under the medical
aid scheme shall be enhanced proportionately for two months i.e. November and
December 2012.
MEDICAL AID FOR PART TIME EMPLOYEES
XI(c) 08-01-1973
It is agreed that permanent part-time workmen whose normal total hours of work per
week are 6 hours or more will be granted full medical aid with effect from 01-01-1972.
18(2)(a)10-04-1989
Permanent part-time employees drawing scale wages are eligible for leave, medical
aid & uniforms.
20(ii)/27-03-2000
In partial modification of Clause 18.2 of the Bipartite Settlement dated 10th April, 1989,
with effect from 1st November, 1999, Part Time employees drawing scale wages shall
also be eligible for reimbursement of Hospitalisation Expenses on pro-rata basis.
15.1 (b)/19-10-1966
In supersession of sub-clause (8) of paragraph 450 of the Sastry Award all workmen
shall submit any bills, etc., against which medical aid is claimed, within six weeks
of the expenses being incurred or of the workmen’s return to duty from sickness,
whichever is later. Banks shall make payment of the bills, if otherwise in order and
within the workman’s entitlement, within four weeks of their presentation to the bank.
18(iii)/31-10-1979
Employees on suspension will be entitled to reimbursement of medical expenses

under medical aid scheme.
70
XII. 1/17-09-1984
The amount of total expenses from January to December of each calendar year will be
allowed to be accumulated so as not to exceed at any time three times the maximum
amount provided under this settlement, subject to explanation below:
EXPLANATION
(i) A workman will qualify for medical aid at the higher rate effective from the same
calendar year if he completes fifth year of service on or before 30th June of that
year and with effect from the next calendar year if he completes the fifth year
of service on or after the 1st July of the year.
For Ex-servicemen employee, their past service is to be added to qualify for the
higher amount.
(IBA Circular dated 16-04-1985)
XII. 2/17-09-1984
In partial modification of the Sastry Award paragraph 450(9) and paragraph 11.20
of the Desai Award and Clause 15.1(b) of the First Bipartite Settlement dated
19th October 1966, reimbursement of medical expenses of a workman and his family
may be made on the strength of the concerned workman’s certificate of having incurred
such expenses duly supported by a Statement of accounts for the amounts claimed.
11.17/D.A.
It was urged that provisions relating to medical aid and expenses should be available
not merely when a workman falls ill but also when he meets with any accident. In
order to avoid any controversy on the subject, I direct that the provisions of this award
in connection with medical aid and expenses will extend to cases where a workman
meets with an accident and is in need of medical aid.
450 - S.A.
2) Wherever existing facilities in any bank or banks are superior to the provisions
hereinafter made, such facilities should be continued.
3) Wherever possible, banks should appoint or nominate a whole time or part-
time medical practitioner (hereinafter called “authorised doctor”) who shall
be available for consultation and for treatment at stated hours either in his
dispensary or in the premises made available to him by the bank.
4) An employee claiming the benefit of these facilities shall go to an authorised
doctor or such other doctor as he may recommend in writing, providing that
71
where there is no such authorised doctor appointed by the bank for any place,
the employee can choose any registered medical practitioner practising in the
locality or nearby.
5) Except where an authorised doctor treats the workman, all medical bills shall, in
the first instance, be paid by the workman. He can thereafter recover whatever
amounts are permissible from the bank. Bills of authorised doctor shall be paid
by the bank itself.
6) Banks are at liberty to have the bills for treatment submitted by other medical
practitioner where authorised doctor’s are not available for scrutiny and approval
by the banks’ doctors and only the amounts so recommended by them need be
paid.
7) Every workman shall during illness (whether he is on duty or on leave) be entitled
free of charge and upto the limits (provided) to attendance and treatment by
the bank’s authorised doctor or where there is no such doctor, by a registered
medical practitioner of his choice as stated above.
8) All bills submitted for payment shall be accompanied by a certificate from the
doctor concerned for the treatment.
HOSPITALISATION
In substitution of Clause 20 of the Bipartite Settlement dated 27th April 2010,
the reimbursement of hospital expenses shall be as per the Medical Insurance
Scheme detailed in Schedule IV to this Settlement.
SCHEDULE IV
SCHEDULE FOR REIMBURSEMENT OF HOSPITALISATION EXPENSES
MEDCIAL INSURANCE SCHEME
Having regard to the need to extend better coverage and reimbursement of
hospitalization and medical expenses incurred by the officers / employees/dependent
family members, the demand for full reimbursement of expenses connected with
hospitalisation and medical treatment including domiciliary hospitalization and
domiciliary treatment was discussed by and between the parties and a new scheme
for reimbursement of medical expenses has been formulated.
The salient feature of the Scheme is as under:
The scheme shall cover expenses of the officers / employees and dependent
family members in cases he/she shall contract any disease or suffer from any
illness (hereinafter called DISEASE) or sustain any bodily injury through accident
72
(hereinafter called INJURY) and if such disease or injury shall require any employee/
dependent family member, upon the advice of a duly qualified Physician/Medical
Specialist/Medical practitioner (hereinafter called MEDICAL PRACTITIONER) or
of a duly qualified Surgeon (hereinafter called SURGEON) to incur hospitalization/
domiciliary hospitalization and domiciliary treatment expenses as defined in the
Scheme, for medical/surgical treatment at any Nursing Home/ Hospital / Clinic (for
domiciliary treatment)/ Day care Centre which are registered with the local bodies in
India as herein defined (hereinafter called HOSPITAL) as an inpatient or otherwise
as specified as per the scheme.
The Scheme covers Employee + Spouse + Dependent Children + any two of the
dependent Parents /Parents-in-law.
• No age limit for dependent children (including step children and legally adopted
children).
• A child would be considered dependent if his/her monthly income does not
exceed `10,000/- per month;
• Widowed Daughter and dependent divorced / separated daughters, sisters
including unmarried / divorced / abandoned or separated from husband/ widowed
sisters and
Crippled Child shall be considered shall be considered as dependent for the purpose
of this policy.
• Physically challenged Brother / Sister with 40% or more disability shall also be
covered as Dependent.
• No Age Limits for Dependent Parents. Any two, i.e. either dependent parents or
parents-in-law will be covered as dependent.
• Parents would be considered dependent if their monthly income does not exceed
`10,000/- per month or as revised by Indian Banks’ Association in due course,
and wholly dependent on the employee as defined in this scheme.
All the existing permanent officers / employees of the Banks which are parties
to this Settlement shall be covered by this Scheme from the date of introduction/
implementation of this Scheme. All New Officers / employees shall be covered from
the date of joining as per their appointment in the bank.
Till the new scheme is made effective and gets implemented, the existing provisions
as per Bipartite Settlement/ Joint Note dated 27.4.2010 will continue to operate.
The new Scheme as applicable to the officers/ employees in service would be
continued beyond their retirement / superannuation / resignation, etc. subject to
payment of stipulated premium by them.
73
The new Scheme would also cover the existing retired officers/ employees of the
Banks and dependent spouse subject to payment of stipulated premium by them.
In the event of any claim becoming admissible under this scheme, the Bank
will reimburse the amount of such expenses as would fall under different heads
mentioned below and as are reasonably and medically necessary incurred thereof
by or on behalf of such employee.
Reimbursement shall cover Room and Boarding expenses as provided by the

Hospital/Nursing Home not exceeding `5000 per day or the actual amount whichever
is less. Intensive Care Unit (ICU) expenses not exceeding `7500/- per day or
actual amount whichever is less. Surgeon, team of surgeons, Assistant surgeon,
Anaesthetist, Medical Practitioner, Consultants, Specialists Fees, Nursing Charges,
Service Charges, IV Administration Charges, Nebulization Charges, RMO charges,
Anaesthetic, Blood, Oxygen, Operation Theatre Charges, surgical appliances, OT
consumables, Medicines & Drugs, Dialysis, Chemotherapy, Radiotherapy, Cost of
Artificial Limbs, cost of prosthetic devices implanted during surgical procedure like
pacemaker, defibrillator, ventilator, orthopaedic implants, Cochlear Implant, any other
implant, Intra-Occular Lenses, infra cardiac valve replacements, vascular stents, any
other valve replacement, laboratory/ diagnostic tests, X- ray CT Scan, MRI, any other
scan, scopies and such similar expenses that are medically necessary or incurred
during hospitalization as per the advice of the attending doctor.
Hospitalization expenses (excluding cost of organ) incurred on donor in respect

of organ transplant to officers/ employee/dependent would also be covered for
reimbursement.
Pre and Post Hospitalization expenses payable in respect of each hospitalization

shall be the actual expenses incurred subject to 30 days prior to hospitalization and
90 days after discharge.
Alternative systems of treatments other than treatment under Allopathy or modern

medicine shall include Ayurveda, Unani, Siddha, Homeopathy and Naturopathy in
the Indian context, for Hospitalization and Domiciliary treatment.
CASHLESS FACILITY: The scheme also includes the benefit of cashless treatment
facility in hospitals under a scheme worked by the Banks and the hospitals under a
common insurance scheme.
CONTRIBUTION: The officers / employees shall not be required to share the cost of
such benefits under the new scheme. However, in the case of officers / employees
74
retiring from the Banks after the scheme is introduced and those who are already
retired from the services of the banks and who opt to avail the benefits of the scheme,
the amount of contribution by such persons shall be decided at the respective Bank
level.
Day care Treatments shall be covered under the scheme and would refer to medical
treatment and or surgical procedure which is
i. under general or local anaesthesia in a hospital/day care centre in less than

a day because of technological advancement, and
ii. which would have otherwise required hospitalisation of more than a day.
Treatment normally takundertakenen on an out patient basis is not included
in the scope of this definition.
DOMICILIARY HOSPITALIZATION: Domiciliary Hospitalization shall be covered

under this scheme and would mean medical treatment for an illness/disease/injury
which in the normal course would require care and treatment at a hospital but is
actually taken while confined at home under any of the following circumstances :
a) The condition of the patient is such that he/she is not in a condition to be

removed to a hospital or
b) the patient takes treatment at home on account of non-availability of room in

a hospital.
DOMICILIARY TREATMENT shall also be covered under this scheme i.e. treatment
taken for specified diseases which may or may not require hospitalization as
mentioned herein below.
Domiciliary Hospitalization / Domiciliary Treatment : Medical expenses incurred in

case of the following diseases which need Domiciliary Hospitalization /domiciliary
treatment as may be certified by the recognized hospital authorities and bank’s
‘medical officer shall be deemed as hospitalization expenses and reimbursed to the
extent of 100%.
Cancer, Leukemia, Thalassemia, Tuberculosis, Paralysis, Cardiac Ailments,
Pleurisy, Leprosy, Kidney Ailment, All Seizure disorders, Parkinson’s diseases,
Psychiatric disorder including schizophrenia and psychotherapy, Diabetes and
its complications, hypertension, Asthma, Hepatitis - B, Hepatitis - C, Hemophilia,
My asthenia gravis, Wilson’s disease, Ulcerative Colitis, Epidermolysis bullosa,
Venous Thrombosis (not caused by smoking) Aplastic Anaemia, Psoriasis, Third
75
Degree burns, Arthritis, Hypothyroidism, Hyperthyroidism, expenses incurred on
radiotherapy and chemotherapy in the treatment of cancer and leukemia, Glaucoma,
Tumor, Diphtheria, Malaria, Non-Alcoholic Cirrhosis of Liver, Purpura, Typhoid,
Accidents of Serious Nature, Cerebral Palsy, Polio, all Strokes leading to Paralysis,
Haemorrhages caused by accidents, all animal/reptile/insect bite or sting, chronic
pancreatitis, Immuno suppressants, multiple sclerosis / motor neuron disease, status
asthamaticus, sequalea of meningitis, osteoporosis, muscular dystrophies, sleep
apnea syndrome(not related to obesity), any organ related (chronic) condition, sickle
cell disease, systemic lupus erythematous (SLE), any connective tissue disorder,
varicose veins, thrombo embolism venous thrombosis/ venous thrombo embolism
(VTE), growth disorders, Graves’ disease, Chronic Pulmonary Disease, Chronic
Bronchitis, Physiotherapy and swine flu shall be considered for reimbursement
under domiciliary treatment.
The cost of medicines, investigations, and consultations, etc.in respect of domiciliary
treatment shall be reimbursed for the period stated by the specialist in Prescription.
If no period stated, the prescription for the purpose of reimbursement shall be valid
for a period not exceeding 90 days.
HOSPITAL / NURSING HOME: A Hospital under this scheme would mean any
institution established for in-patient care and day care treatment of illness and/
or injuries and which has been registered as a Hospital with the local authorities
under the Clinical establishments (Registration and Regulation) Act, 2010 or under
the enactments specified under the Schedule of Section 56(1) of the said Act OR
complies with all minimum criteria as under:
- Has qualified nursing staff under its employment round the clock.
- Has at least 10 in-patient beds in towns having a population of less than 10
lacs and at least 15 in-patient beds in all other places;
- Has qualified medical practitioner(s) in charge, round the clock;
- Has a fully equipped Operation Theatre of its own where surgical procedures
are carried out;
- Maintains daily records of patients and makes these accessible to the
insurance company’s authorized personnel.
This clause will however be relaxed in areas where it is difficult to find such hospitals.
The term ‘ Hospital / Nursing Home ‘ shall not include an establishment which is a
place of rest, a place for the aged, a place for drug-addicts or place for alcoholics, a
hotel or a similar place.
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HOSPITALIZATION: Hospitalization would mean admission in a Hospital/ Nursing
Home for a minimum period of 24 consecutive hours of inpatient care except for
specified procedures/treatments, where such admission could be for a period of less
than a day,
ID CARD: In terms of the scheme arrived at between the Banks and insurance
companies, ID Cards would be issued to all the officers / employees/ dependent
family members/retired officers / employees/their dependents for the purpose of
availing cashless facility in network hospitals.
PRE-EXISTING DISEASE: Pre Existing Diseases would be covered for
reimbursement under this scheme.
PRE–HOSPITALISATION MEDICAL EXPENSES: Medical expenses incurred

immediately 30 days before the insured person is hospitalized will be considered
as part of a claim provided that such medical expenses are incurred for the same
condition for which the insured person’s hospitalization was required.
POST HOSPITALISATION MEDICAL EXPENSES: Relevant medical expenses

incurred immediately 90 days after the employee/ dependent/ retirement employee
is discharged from the hospital provided that such medical expenses are incurred
for the same condition for which the Insured Person’s Hospitalization was required.
Additional Ex-Gratia for Critical Illness: In addition to the reimbursement covered

under this scheme, officers / employees (only officers / employees and not their
dependents or retired officers / employees) shall be provided additional ex gratia
of `1,00,000/-. In case an employee contracts a Critical Illness as listed below, the
sum of `1,00,000/- shall be paid. This benefit shall be provided on first detection/
diagnosis of the Critical Illness.
• Cancer including Leukemia

• Stroke
• Paralysis
• By Pass Surgery
• Major Organ Transplant/Bone marrow transplantation
• End Stage Liver Disease
• Heart Attack
• Kidney Failure
• Heart Valve Replacement Surgery
Hospitalization is not required to claim this benefit.
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Expenses on Hospitalization for minimum period of a day are admissible. However,
this time limit shall not be applied to specific treatments, such as:
1 Adenoidectomy 19 Haemo dialysis
2 Appendectomy 20 Fissurectomy / Fistulectomy
3 Auroplasty not Cosmetic 21 Mastoidectomy
in nature
4 Coronary angiography /Renal 22 Hydrocele
5 Coronary angioplasty 23 Hysterectomy
6 Dental surgery femoral hernia 24 Inguinal/ventral/umbilical
7 D&C 25 Parenteral chemotherapy
8 Excision of cyst/granuloma/ 26 Polypectomy
lump/tumor
9 Eye surgery 27 Septoplasty
10 Fracture including hairline 28 Piles/fistula
fracture /dislocation
11 Radiotherapy 29 Prostate surgeries
12 Chemotherapy including 30 Sinusitis surgeries
parental chemotherapy
13 Lithotripsy 31 Tonsillectomy
14 Incision and drainage of 32 Liver aspiration
abscess
15 Varicocelectomy 33 Sclerotherapy
16 Wound suturing 34 Varicose Vein Ligation
17 FESS 35 All scopies along with biopsies
18 Operations/Micro surgical 36 Lumbar puncture
operations on the nose,
middle ear/internal ear,
tongue, mouth, face, tonsils 37 Ascitic Pleural tapping
& adenoids, salivary glands
& salivary ducts, breast,
skin & subcutaneous tissues,
digestive tract, female/male
sexual organs.
78
This condition will also not apply in case of stay in hospital of less than a day provided
the treatment is undertaken under General or Local Anesthesia in a hospital / day
care centre in less than a day because of technological advancement and which
would have otherwise required hospitalization of more than a day.
MATERNITY EXPENSES BENEFIT EXTENSION: Hospitalization expenses in

respect of the new born child can be covered within the Mother’s Maternity expenses.
The maximum benefit allowable under this clause will be up to `50000/- for normal
delivery and `75,000/- for Caesarean Section.
Baby Day one Cover: New born baby is covered from day one. All expenses incurred
on the new born baby during maternity will be covered in addition to the maternity
limit and up to `20,000/-.
Ambulance Charges: Ambulance charges are payable up to `2500/- per trip to

hospital and / or transfer to another hospital or transfer from hospital to home if
medically advised. Taxi and Auto expenses in actual maximum up to `750/- per trip
will also be reimbursable.
Ambulance charges actually incurred on transfer from one center to another center
due to Non availability of medical services/ medical complication shall be payable in
full.
Congenital Anomalies: Expenses for Treatment of Congenital Internal / External

diseases, defects anomalies are covered under the scheme.
Psychiatric diseases: Expenses for treatment of psychiatric and psychosomatic

diseases shall be payable with or without hospitalization.
Advanced Medical Treatment: All new kinds of approved advanced medical

procedures for e.g. laser surgery, stem cell therapy for treatment of a disease is
payable on hospitalization /day care surgery.
Treatment taken for Accidents can be payable even on OPD basis in Hospital.
Taxes and other Charges : All Taxes, Surcharges, Service Charges, Registration
charges, Admission Charges, Nursing, and Administration charges to be payable.
Charges for diapers and sanitary pads are payable,if necessary, as part of the
treatment.
Charges for Hiring a nurse / attendant during hospitalization will be payable only
79
in case of recommendation from the treating doctor in case ICU / CCU, Neo natal
nursing care or any other case where the patient is critical and requiring special care.
Treatment for Genetic Disorder and stem cell therapy shall be covered under the
scheme.
Treatment for Age related Macular Degeneration (ARMD), treatment such as

Rotational Field Quantum magnetic Resonance (RFQMR), Enhanced External
Counter Pulsation (EECP), etc. are covered under the scheme. Treatment for all
neurological/ macular degenerative disorders shall be covered under the scheme.
Rental Charges for External and or durable Medical equipment of any kind used for
diagnosis and or treatment including CPAP, CAPD, Bi-PAP, Infusion pump etc. will
be covered under the scheme. However purchase of the above equipment to be
subsequently used at home in exceptional cases on medical advice shall be covered.
Ambulatory devices i.e., walker, crutches, Belts, Collars, Caps, Splints, Slings, Braces,
Stockings, elastocrepe bandages, external orthopaedic pads, sub cutaneous insulin
pump, Diabetic foot wear, Glucometer (including Glucose Test Strips)/ Nebulizer/
prosthetic devise/ Thermometer, alpha / water bed and similar related items etc., will
be covered under the scheme.
Physiotherapy charges: Physiotherapy charges shall be covered for the period

speci•ed by the Medical Practitioner even if taken at home.
While reimbursement to the officers / employees shall be made by the Banks

as hitherto, the Scheme shall be administered by the Banks through a scheme
worked out between IBA/Banks and Insurance companies and officers / employees
would in no way be directly bound by the terms and conditions of such scheme or
arrangements.
However, for the purpose of clarity and information, the details of the Scheme worked
out between IBA/Banks and insurance companies is appended herein as Appendix
I & II.
The above stated scheme would not supersede the continuation of any bank-level
arrangement or scheme providing for reimbursement of medical expenses, which is
not covered herein, that may be in operation in any Bank.
80
Appendix I
Medical Scheme for the Officers/ Employees of IBA Member Banks,
parties to the Bipartite Settlement/ Joint Note dated 25th May 2015 in
lieu of the Existing Hospitalization Scheme
The scheme covers expenses of the officers / employees and dependent in cases
he/she shall contract any disease or suffer from any illness (hereinafter called
DISEASE) or sustain any bodily injury through accident (hereinafter called INJURY)
and if such disease or injury shall require any such insured Person, upon the advice
of a duly qualified Physician/Medical Specialist/Medical practitioner (hereinafter
called MEDICAL PRACTITIONER) or of a duly qualified Surgeon (hereinafter called
SURGEON) to incur hospitalization/domiciliary hospitalization and domiciliary
treatment expenses as defined in the Scheme, for medical/surgical treatment at any
Nursing Home/Hospital / Clinic (for domiciliary treatment)/ Day care Centre which
are registered with the local bodies, in India as herein defined (hereinafter called
HOSPITAL) as an inpatient or otherwise as specified as per the scheme, to the
extent of the sum insured + Corporate buffer.
1.1. The Scheme Covers Employee + Spouse + Dependent Children + 2

dependent Parents / parents-in-law.
l No age limit for dependent children. (including step children and legally
adopted children) A child would be considered dependent if their monthly
income does not exceed `10,000/- per month; which is at present, or revised
by Indian Banks’ Association in due course. Widowed Daughter and dependant
divorced / separated daughters, sisters including unmarried / divorced /
abandoned or separated from husband/ widowed sisters and Crippled Child
shall be considered as dependent for the purpose of this policy. Physically
challenged Brother / Sister with 40% or more disability.
l No Age Limits for Dependent Parents. Either Dependent Parents or parents-

In-law will be covered. Parents would be considered dependent if their monthly
income does not exceed `10,000/- per month, which is at present, or revised
by Indian Banks’ Association in due course, and wholly dependent on the
employee as defined in this scheme.
(The definition of family shall undergo a change as decided in due course in

the negotiations).
81
1.2.1 All New Officers / employees to be covered from the date of joining as per their
appointment letter. For additions /deletions during policy period, premium to be
charged /refunded on pro rata basis.
1.2.2 Continuity benefits coverage to officers / employees on retirement and also to

the Retired Officers / employees, who may be inducted in the Scheme.
1.3 Sum Insured: Hospitalization and Domiciliary Treatment coverage as defined

in the scheme perannum Officers: `400000 Clerical Staff : `300000 Sub
Staff: `300000 Change in sum insured after commencement of policy to be
considered in case of promotion of the employee or vice versa.
1.4 Corporate Buffer: `100,00,00,000/- Corporate buffer may be appropriated as

per the premium of the bank. If the Corporate buffer of one bank is exhausted,
the remaining amount can be claimed from the unutilized corporate buffer of
the other banks. Corporate Buffer can be authorized by the Management,
through an Authorized person / Committee as decided by IBA / Bank, and
informed directly to the THIRD PARTY ADMINISTRATOR by keeping the
insurance company in the loop.
1.5 In the event of any claim becoming admissible under this scheme, the company
will pay through Third Party Administrator to the Hospital / Nursing Home or
insured the amount of such expenses as would fall under different heads
mentioned below and as are reasonably and medically necessary incurred
thereof by or on behalf of such insured but not exceeding the Sum Insured in
aggregate mentioned in the schedule hereto.
A. Room and Boarding expenses as provided by the Hospital/Nursing Home
not exceeding `5000 per day or the actual amount whichever is less.
B. Intensive Care Unit (ICU) expenses not exceeding `7500 per day or
actual amount whichever is less.
C. Surgeon, team of surgeons, Assistant surgeon, Anesthetist, Medical
Practitioner, Consultants, Specialists Fees.
D. Nursing Charges, Service Charges, IV Administration Charges,
Nebulization Charges, RMO charges, Anaesthetic, Blood, Oxygen,
Operation Theatre Charges, surgical appliances, OT consumables,
Medicines & Drugs, Dialysis, Chemotherapy, Radiotherapy, Cost of
Artificial Limbs, cost of prosthetic devices implanted during surgical
82
procedure like pacemaker, Defibrillator, Ventilator, orthopaedic implants,
Cochlear Implant, any other implant, Intra-Occular Lenses, infra cardiac
valve replacements, vascular stents, any other valve replacement,
laboratory/diagnostic tests, X-ray CT Scan, MRI, any other scan, scopies
and such similar expenses that are medically necessary, or incurred
during hospitalization as per the advice of the attending doctor.
E. Hospitalization expenses (excluding cost of organ) incurred on donor in
respect of organ transplant to the insured.
1.6 Pre and Post Hospitalization expenses payable in respect of each hospitalization
shall be the actual expenses incurred subject to 30 days prior to hospitalization
and 90 days after discharge.
2. DEFINITIONS:
2.1 ACCIDENT: An accident is a sudden, unforeseen and involuntary event caused
resulting in injury -
2.2 A. “Acute condition” – Acute condition is a disease, illness or injury that is
likely to respond quickly to treatment which aims to return the person to
his or her state of health immediately before suffering the disease/illness/
injury which leads to full recovery.
B. “Chronic condition” – A chronic condition is defined as a disease, illness,
or injury that has one or more of the following characteristics :
i. It needs ongoing or long-term monitoring through consultations,
examinations, check-ups and/or tests
ii. It needs ongoing or long-term control or relief of symptoms
iii. It requires your rehabilitation or for you to be specially trained to
cope with it
iv. It continues indefinitely
v. It comes back or is likely to come back.
2.3 ALTERNATIVE TREATMENTS: Alternative Treatments are forms of

treatment other than treatment “Allopathy” or “modern medicine and includes
Ayurveda, unani, siddha homeopathy and Naturopathy in the Indian Context,
for Hospitalisation only and Domiciliary for treatment only under ailments
mentioned under clause number
3.1 (Ref: 3.4 Alternative Therapy)
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2.4 ANY ONE ILLNESS:
Any one illness will be deemed to mean continuous period of illness and it
includes relapse within 45 days from the date of last consultation with the
Hospital / Nursing Home where treatment has been taken. Occurrence of the
same illness after a lapse of 45 days as stated above will be considered as
fresh illness for the purpose of this policy.
2.5 CASHLESS FACILITY:
Cashless facility “means a facility extended by the insurer to the insured where
the payments, of the cost of treatment undergone by the employee and the
dependent family members of the insured in accordance with the policy terms
and conditions, or directly made to the network provider by the insurer to the
extent pre-authorization approved.
2.6 CONGENITAL ANOMALY:
Congenital Anomaly refers to a condition(s) which is present since birth, and
which is abnormal with reference to form, structure or position.
a. Internal Congenital Anomaly which is not in the visible and accessible
parts of the body
b. External Congenital Anomaly which is in the visible and accessible parts
of the body
2.7 CONDITION PRECEDENT:
Condition Precedent shall mean a policy term or condition upon which the
Insurer’s liability under the policy is conditional upon.
2.8 CONTRIBUTION:
The Officers / employees will not share the cost of an indemnity claim on a
ratable proportion from their personal Insurance Policies.
2.9 DAYCARE CENTRE:
A day care centre means any institution established for day care treatment
of illness and/ or injuries or a medical setup within a hospital and which has
been registered with the local authorities, wherever applicable, and is under
the supervision of a registered and qualified medical practitioner AND must
comply with all minimum criteria as under:
- has qualified nursing staff under its employment
- has all qualified medical practitioner(s) in charge
84
- has a fully equipped operation theatre of its own where surgical procedures
are carried out.
- maintains daily records of patients and will make these accessible to the
insurance companies authorised personnel.
2.10 DAY CARE TREATMENT:

Day care Treatment refers to medical treatment and or surgical procedure
which is
iii. undertaken under general or local anesthesia in a hospital/day care
Centre in less than a day because of technological advancement, and
iv. Which would have otherwise required a hospitalisation of more than a
day.
Treatment normally taken on an out patient basis is not included in the scope
of this definition.
2.11 DOMICILIARY HOSPITALIZATION:

Domiciliary Hospitalization means medical treatment for an illness/disease/
injury which in the normal course would require care and treatment at a
hospital but is actually taken while confined at home under any of the following
circumstances:
c) The condition of the patient is such that he/she is not in a condition to be
removed to a hospital or
d) The patient takes treatment at home on account of non-availability of
room in a hospital.
2.12 DOMICILIARY TREATMENT

Treatment taken for specified diseases which may or may not require
hospitalization as mentioned in the Scheme under clause Number 3.1.
2.13 HOSPITAL / NURSING HOME:
A Hospital means any institution established for in-patient care and day care
treatment of illness and/or injuries and which has been registered as a Hospital
with the local authorities under the Clinical establishments (Registration and
Regulation) Act, 2010 or under the enactments specified under the Schedule
of Section 56(1) of the said Act OR complies with all minimum criteria as under
- Has qualified nursing staff under its employment round the clock.
- Has at least 10 in-patient beds in towns having a population of less than 10
lacs and at least 15 in-patient beds in all other places;
85
- Has qualified medical practitioner(s) in charge round the clock;
- Has a fully equipped Operation Theatre of its own where surgical procedures
are carried out;
- Maintains daily records of patients and makes these accessible to the
insurance company’s authorized personnel.
The term ‘Hospital / Nursing Home’ shall not include an establishment which
is a place of rest, a place for the aged, a place for drug-addicts or place for
alcoholics, a hotel or a similar place.
This clause will however be relaxed in areas where it is difficult to find such
hospitals.
2.14 HOSPITALIZATION:
Hospitalization means admission in a Hospital/Nursing Home for a minimum
period of 24 consecutive hours of inpatient care except for specified procedures/
treatments, where such admission could be for a period of less than a day, as
mentioned in clauses 2.9 and 2.10.
2.15 ID CARD:
ID Card means the identity card issued to the insured person by the THIRD
PARTY ADMINISTRATOR to avail cashless facility in network hospitals.
2.16 ILLNESS:
Illness means a sickness or a disease or pathological condition leading to the
impairment of normal physiological function which manifests itself during the
policy period and requires medical treatment.
2.17 INJURY:
Injury means accidental physical bodily harm excluding illness or disease
which is verified and certified by a medical practitioner.
However all types of Hospitalization is covered under the Scheme.
2.18 IN PATIENT CARE:
In Patient Care means treatment for which the insured person has to stay in a
hospital for more than a day for a covered event.
2.19 INTENSIVE CARE UNIT:
Intensive Care Unit means an identified section, ward or wing of a Hospital
which is under the constant supervision of a dedicated medical practitioner(s)
86
and which is specially equipped for the continuous monitoring and treatment
of patients who are in a critical condition, or require life support facilities and
where the level of care and supervision is considerably more sophisticated and
intensive than in the ordinary and other wards.
2.20 MATERNITY EXPENSES:

Maternity expenses/treatment shall include:
a) Medical treatment expenses traceable to childbirth (including complicated
deliveries and caesarean sections incurred during hospitalization).
b) Expenses towards medical termination of pregnancy during the policy
period.
c) Complications on Maternity would be covered up to the Sum Insured
plus the Corporate Buffer.
2.21 MEDICAL ADVICE:
Any consultation or advice from a medical practitioner/doctor including the

issue of any prescription or repeat prescription.
2.22 MEDICAL EXPENSES:
Medical Expenses means those expenses that an insured person has

necessarily and actually incurred for medical treatment on account of illness or
accident on the advice of a medical practitioner, as long as these are no more
than would have been payable if the insured person had not been insured.
2.23 MEDICALLY NECESSARY:
Medically necessary treatment is defined as any treatment, test, medication or

stay in hospital or part of a stay in a hospital which
- is required for the medical management of the illness or injury suffered by
the insured;
- must not exceed the level of care necessary to provide safe, adequate and
appropriate medical care in scope, duration or intensity;
- must have been prescribed by a medical practitioner;
- must confirm to the professional standards widely accepted in international
medical practice or by the medical community in India.
87
2.24 MEDICAL PRACTITIONER:
Medical Practitioner is a person who holds a valid registration from the Medical
Council of any State or Medical Council of India or Council for Indian Medicine
or the homeopathy set up by the Government of India or a State Government
and is thereby entitled to practice medicine within its jurisdiction; and is acting
within the scope and jurisdiction of his license. The term medical practitioner
would include physician, specialist and surgeon.
(The Registered practitioner should not be the insured or close family members
such as parents, parents-in-law, spouse and children.)
2.25 NETWORK PROVIDER:
Network Provider means hospitals or health care providers enlisted by an

insurer or by a Third Party Administrator and insurer together to provide medical
services to an insured on payment by a cashless facility.
The list of network hospitals is maintained by and available with the THIRD
PARTY ADMINISTRATOR and the same is subject to amendment from time to
time.
2.26 NEW BORN BABY:
A new born baby means baby born during the Policy Period aged between one
day and 90 days, both days inclusive.
2.27 NON NETWORK :
Any hospital, day care Centre or other provider that is not part of the network.
2.28 NOTIFICATION OF CLAIM
Notification of claim is the process of notifying a claim to the Bank, insurer or

Third Party Administrator as well as the address/telephone number to which it
should be notified.
2.29 OPD TREATMENT:
OPD Treatment is one in which the insured visits a clinic/hospital or associated

facility like a consultation room for diagnosis and treatment based on the
advice of medical a practitioner. The insured is not admitted as a day care or
in-patient.
88
2.30 PRE-EXISTING DISEASE:
Pre Existing Disease is any condition, ailment or injury or related condition(s)

for which you had signs or symptoms, and/or were diagnosed, and/or received
medical advice/treatment, prior to the first policy issued by the insurer.
2.31 PRE – HOSPITALISATION MEDICAL EXPENSES:
Medical expenses incurred immediately 30 days before the insured person is

hospitalized will be considered as part of a claim as mentioned under Item 1.2
above provided that;
i. such medical expenses are incurred for the same condition for which the
insured person’s hospitalization was required and
ii. the inpatient hospitalization claim for such hospitalization is admissible

by the insurance company.
2.32 POST HOSPITALISATION MEDICAL EXPENSES:
Relevant medical expenses incurred immediately 90 days after the Insured

person is discharged from the hospital provided that;
a. Such Medical expenses are incurred for the same condition for which the
Insured Person’s Hospitalization was required; and
b. The In-patient Hospitalization claim for such Hospitalization is admissible

by the Insurance Company.
2.33 QUALIFIED NURSE:
Qualified Nurse is a person who holds a valid registration from the Nursing
Council of India or the Nursing Council of any state in India and/or who is
employed on recommendation of the attending medical practitioner.
2.34 REASONABLE AND CUSTOMARY CHARGES:
Reasonable Charges means the charges for services or supplies, which are
the standard charges for the specific provider and consistent with the prevailing
charges in the geographical area for identical or similar services, taking into
account the nature of the illness/injury involved.
2.35 ROOM RENT:
Room Rent shall mean the amount charged by the hospital for the occupancy
of a bed on per day basis.
89
2.36 SUBROGATION:
Subrogation shall mean the right of the insurer to assume the rights of the
insured person to recover expenses paid out under the policy that may be
recovered from any other source. It shall exclude the medical / accident policies
obtained by the insured person separately.
2.37 SURGERY:
Surgery or surgical procedure means manual and/or operative procedure(s)

required for treatment of an illness or injury, correction of deformities and
defects, diagnosis and cure of diseases, relief of suffering or prolongation of
life, performed in a hospital or day care Centre by a medical practitioner.
2.38 Third Party Administrator
Third Party Administrator means a Third Party Administrator who holds a

valid License from Insurance Regulatory and Development Authority to act
as a THIRD PARTY ADMINISTRATOR and is engaged by the Company for
the provision of health services as specified in the agreement between the
Company and Third Party Administrator.
2.39 UNPROVEN/EXPERIMENTAL TREATMENT:
Unproven/Experimental treatment is treatment, including drug Experimental

therapy, which is not based on established medical practice in India.
3. COVERAGES:
Domiciliary Hospitalization / Domiciliary Treatment : Medical expenses incurred

in case of the following diseases which need Domiciliary Hospitalization /
domiciliary treatment as may be certified by the attending medical practitioner
and / or bank’s ‘medical officer shall be deemed as hospitalization expenses and
reimbursed to the extent of 100% Cancer, Leukemia, Thalassemia, Tuberculosis,
Paralysis, Cardiac Ailments, Pleurisy, Leprosy, Kidney Ailment, All Seizure
disorders, Parkinson’s diseases, Psychiatric disorder including schizophrenia
and psychotherapy, Diabetes and its complications, hypertension, Hepatitis –
B, Hepatitis - C, Hemophilia, Myasthenia gravis, Wilson’s disease, Ulcerative
Colitis, Epidermolysis bullosa, Venous Thrombosis(not caused by smoking)
Aplastic Anaemia, Psoriasis, Third Degree burns, Arthritis, Hypothyroidism,
Hyperthyroidism expenses incurred on radiotherapy and chemotherapy in the
90
treatment of cancer and leukemia, Glaucoma, Tumor, Diptheria, Malaria, Non-
Alcoholic Cirrhosis of Liver, Purpura, Typhoid, Accidents of Serious Nature,
Cerebral Palsy, Polio, All Strokes Leading to Paralysis, Haemorrhages caused
by accidents, All animal/reptile/insect bite or sting, chronic pancreatitis, Immuno
suppressants, multiple sclerosis / motorneuron disease, status asthamaticus,
sequalea of meningitis, osteoporosis, muscular dystrophies, sleep apnea
syndrome (not related to obesity), any organ related (chronic) condition,
sickle cell disease, systemic lupus erythematous (SLE), any connective tissue
disorder, varicose veins, thrombo embolism venous thrombosis/venous thrombo
embolism (VTE)], growth disorders, Graves’ disease, Chronic obstructive
Pulmonary Disease, Chronic Bronchitis, Asthma, Physiotherapy and swine flu
shall be considered for reimbursement under domiciliary treatment.
The cost of Medicines, Investigations, and consultations, etc.in respect of

domiciliary treatment shall be reimbursed for the period stated by the specialist
and / or the attending doctor and / or the bank’s medical officer, in Prescription.
If no period stated, the prescription for the purpose of reimbursement shall be
valid for a period not exceeding 90 days.
3.2 Critical Illness : To be provided to the employee only subject to a sum insured
of `1,00,000/- . Cover starts on inception of the policy. In case an employee
contracts a Critical Illness as listed below, the total sum insured of `1,00,000/-
is paid, as a benefit. This benefit is provided on first detection/diagnosis of the
Critical Illness.
l Cancer including Leukemia

l Stroke
l Paralysis
l By Pass Surgery
l Major Organ Transplant
l End Stage Liver Disease
l Heart Attack
l Kidney Failure
l Heart Valve Replacement Surgery
Hospitalization is not required to claim this benefit. Further the Employee can
claim the cost of hospitalization on the same from the Group Mediclaim Policy
as cashless / reimbursement of expenses for the treatment taken by him.
91
3.3 Expenses on Hospitalization for minimum period of a day are admissible.
However, this time limit is not applied to specific treatments, such as
1 Adenoidectomy 20 Haemo dialysis
2 Appendectomy 21 Fissurectomy / Fistulectomy
3 Ascic / Plueral tapping 22 Mastoidectomy
4 Auroplasty not Cosmec 23 Hydrocele
in nature
5 Coronary angiography /Renal 24 Hysterectomy
6 Coronary angioplasty 25 Inguinal/ ventral/ umbilica/
femoral hernia
7 Dental surgery 26 Parenteral chemotherapy
8 D&C 27 Polypectomy
9 Excision of cyst/ 10 Eye surgery 28 Septoplasty
granuloma/lump/tumor
11 Fracture including hairline 29 Piles/ fistula
fracture /dislocaon
12 Radiotherapy 30 Prostate surgeries
13 Chemotherapy including 31 Sinusis surgeries
parental chemotherapy
14 Lithotripsy 32 Tonsillectomy
15 Incision and drainage 33 Liver aspiraon
of abscess
16 Varicocelectomy 34 Sclerotherapy
17 Wound suturing 35 Varicose Vein Ligaon
18 FESS 36 All scopies along with biopsies
19 Operaons/Micro surgical operaons
on the nose, middle ear/internal
ear, tongue, mouth, face, tonsils & 37 Lumbar puncture
adenoids, salivary glands & salivary
ducts, breast, skin & subcutaneous
ssues, digesve tract, female/male
sexual organs.
This condition will also not apply in case of stay in hospital of less than a day
provided –
a. The treatment is undertaken under General or Local Anesthesia in a
92
hospital / day care Centre in less than a day because of technological
advancement and
b. Which would have otherwise required hospitalization of more than a day.
3.4 Alternative Therapy: Reimbursement of Expenses for hospitalization or

domiciliary treatment (under clause 3.1) under the recognized system of
medicines, viz, Ayurvedic, Unani, Sidha, Homeopathy, Naturopathy, if such
treatment is taken in a clinic /hospital registered, by the central and state
government.
3.5 MATERNITY EXPENSES BENEFIT EXTENSION
The hospitalization expenses in respect of the new born child can be covered
within the Mother’s Maternity expenses. The maximum benefit allowable
under this clause will be up to `50,000/- for Normal Delivery and `75,000/- for
Caesarean Section.
Special conditions applicable to Maternity expenses Benefit Extension:
I. 9 months waiting period under maternity benefit will be waived from the
policy.
II. Pre-natal & post natal charges in respect of maternity benefit are covered
under the policy up to 30 days and 60 days only, unless the same requires
hospitalization.
III. Missed Abortions, Miscarriage or abortions induced by accidents are
covered under the limit of Maternity
IV. Complications in Maternity including operations for extra uterine
pregnancy ectopic pregnancy would be covered in the up to the Sum
Insured + Corporate Buffer
V. Expenses incurred for Medical Termination of Pregnancy
VI. Claim in respect of delivery to be given irrespective of the number of
children
3.6 Baby Day one Cover: New born baby is covered from day one. All expenses
incurred on the new born baby during maternity will be covered in addition to
the maternity limit up to `20,000/-.
However if the baby contacts any illness the same shall be considered in the
Sum Insured + Corporate buffer. Baby to be taken as an additional member
within the normal family floater.
93
3.7 Ambulance Charges: Ambulance charges are payable up to `2500/- per trip to
hospital and / or transfer to another hospital or transfer from hospital to home if
medically advised. Taxi and Auto expenses in actual maximum up to `750/- per
trip.
Ambulance charges actually incurred on transfer from one center to another

center due to Non availability of medical services/ medical complication shall
be payable in full.
3.8 Pre- Existing Diseases / Ailments: Pre-existing diseases are covered under the
scheme.
3.9 Congenital Anomalies: Expenses for Treatment of Congenital Internal / External

diseases, defects anomalies are covered under the policy
3.10 Psychiatric diseases: Expenses for treatment of psychiatric and psychosomatic

diseases be payable with or without hospitalization.
3.11 Advanced Medical Treatment: All new kinds of approved advanced medical
procedures for e.g. laser surgery, stem cell therapy for treatment of a disease
is payable on hospitalization /day care surgery.
3.12 Treatment taken for Accidents can be payable even on OPD basis in Hospital
up to Sum Insured.
3.13 Taxes and other Charges: All Taxes, Surcharges, Service Charges, Registration
charges, Admission Charges, Nursin, and Administration charges to be
payable.
Charges for diapers and sanitary pads are payable if necessary as part of the
treatment Charges for Hiring a nurse / attendant during hospitalization will be
payable only in case of recommendation from the treating doctor in case ICU /
CCU, Neo natal nursing care or any other case where the patient is critical and
requiring special care.
3.14 Treatment for Genetic Disorder and stem cell therapy is covered under the
scheme.
3.15 Treatment for Age related Macular Degeneration (ARMD), treatment such as
Rotational Field Quantum magnetic Resonance (RFQMR), Enhanced External
Counter Pulsation (EECP), etc. are covered under the scheme. Treatment for
all neurological/ macular degenerative disorders shall be covered under the
scheme.
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3.16 Rental Charges for External and or durable Medical equipment of any kind
used for diagnosis and or treatment including CPAP, CAPD, Bi-PAP, Infusion
pump etc. will be covered under the scheme. However purchase of the above
equipment to be subsequently used at home in exceptional cases on medical
advice shall be covered.
3.17 Ambulatory devices i.e., walker, crutches, Belts, Collars, Caps, Splints, Slings,
Braces, Stockings, elastocrepe bandages, external orthopaedic pads, sub
cutaneous insulin pump, Diabetic foot wear, Glucometer (including Glucose
Test Strips)/ Nebulizer/ prosthetic devise/ Thermometer, alpha / water bed and
similar related items etc., will be covered under the scheme.
3.18 Physiotherapy charges: Physiotherapy charges shall be covered for the period
specified by the Medical Practitioner even if taken at home.
All claims admitted in respect of any/all insured person/s during the period
of insurance shall not exceed the Sum Insured stated in the schedule and
Corporate Buffer if allocated.
4. EXCLUSIONS:
The company shall not be liable to make any payment under this policy in
respect of any expenses whatsoever incurred by any Insured Person in
connection with or in respect of:
4.1 Injury / disease directly or indirectly caused by or arising from or attributable

to War, invasion, Act of Foreign enemy, War like operations (whether war be
declared or not).
4.2 a. Circumcision unless necessary for treatment of a disease not excluded

hereunder or as may be necessitated due to an accident.
b. Vaccination or inoculation.
c. Change of life or cosmetic or aesthetic treatment of any description is not
covered.
d. Plastic surgery other than as may be necessitated due to an accident or
as part of any illness.
4.3 Cost of spectacles and contact lenses, hearing aids. Other than Intra-Ocular
Lenses and Cochlear Implant.
4.4 Dental treatment or surgery of any kind which are done in a dental clinic and
those that are cosmetic in nature.
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4.5 Convalescence, rest cure, Obesity treatment and its complications including
morbid obesity, treatment relating disorders, Venereal disease, intentional self-
injury and use of intoxication drugs / alcohol.
4.6 All expenses arising out of any condition directly or indirectly caused to or
associated with Human T-Cell Lymphotropic Virus Type III (HTLB -III) or
lymphadinopathy Associated Virus (LAV) or the Mutants Derivative or Variation
Deficiency Syndrome or any syndrome or condition of a similar kind commonly
referred to as AIDS.
4.7 Charges incurred at Hospital or Nursing Home primarily for diagnosis x-ray
or Laboratory examinations or other diagnostic studies not consistent with or
incidental to the diagnosis and treatment of positive existence of presence of
any ailment, sickness or injury, for which confinement is required at a Hospital/
Nursing Home, unless recommended by the attending doctor.
4.8 Expenses on vitamins and tonics unless forming part of treatment for injury or
diseases as certified by the attending physician.
4.9 Injury or Disease directly or indirectly caused by or contributed to by nuclear

weapon / materials.
4.10 All non-medical expenses including convenience items for personal comfort
such as charges for telephone, television, /barber or beauty services, died
t charges, baby food, cosmetics, tissue paper, diapers, sanitary pads,
toiletry items and similar incidental expenses, unless and otherwise they are
necessitated during the course of treatment.
5. CONDITIONS:
5.1 Contract: the proposal form, declaration, and the policy issued shall constitute
the complete contract of insurance.
5.2 Every notice or communication regarding hospitalization or claim to be given

or made under this Policy shall be communicated to the office of the Bank,
dealing with Medical Claims, and/or the THIRD PARTY ADMINISTRATOR
office as shown in the Schedule. Other matters relating to the policy may be
communicated to the policy issuing office.
5.3 The premium payable under this Policy shall be paid in advance. No receipt
for Premium shall be valid except on the official form of the company signed
by a duly authorized official of the company. The due payment of premium
and the observance and fulfillment of the terms, provisions, conditions and
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endorsements of this Policy by the Insured Person in so far as they relate to
anything to be done or complied with by the Insured Person shall be a condition
precedent to any liability of the Company to make any payment under this
Policy. No waiver of any terms, provisions, conditions and endorsements of
this policy shall be valid unless made in writing and signed by an authorised
official of the Company.
5.4 Notice of Communication: Upon the happening of any event which may give
rise to a claim under this Policy notice with full particulars shall be sent to the
Bank or Regional Office or THIRD PARTY ADMINISTRATOR named in the
schedule at the earliest in case of emergency hospitalization within 7 days
from the time of Hospitalisation/Domiciliary Hospitalisation.
5.5 All supporting documents relating to the claim must be filed with the office of
the Bank dealing with the claims or THIRD PARTY ADMINISTRATOR within 30
days from the date of discharge from the hospital. In case of post•hospitalisation,
treatment (limited to 90 days), (as mentioned in para 2.32) all claim documents
should be submitted within 30 days after completion of such treatment.
Note: Waiver of these Conditions 5.4 and 5.5 may be considered in extreme cases
of hardship where it is proved to the satisfaction of the Bank that under the
circumstances in which the insured was placed it was not possible for him
or any other person to give such notice or deliberate or file claim within the
prescribed time-limit. The same would be waived by the TPA without reference
to the Insurance Company.
5.5.1 The Insured Person shall obtain and furnish to the office of the Bank dealing
with the claims / THIRD PARTY ADMINISTRATOR with all original bills, receipts
and other documents upon which a claim is based and shall also give such
additional information and assistance as the Bank through the THIRD PARTY
ADMINISTRATOR/Company may require in dealing with the claim.
5.5.2 Any medical practitioner authorised by the Bank / Third Party Administrator /
shall be allowed to examine the Insured Person in case of any alleged injury or
disease leading to Hospitalisation, if so required.
5.6 The Company shall not be liable to make any payment under this policy in
respect of any claim if such claim be in any manner fraudulent or supported by
any fraudulent means or device whether by the Insured Person or by any other
person acting on his behalf.
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5.7 DISCLOSURE TO INFORMATION NORM
The claim shall rejected in the event of misrepresentation, mis-description or
non-disclosure of any material fact.
5.8 Claims will be managed through the same Office of the Bank from where it is
managed at present. The Insurance Companies third party administrator will
be setting up a help desk at that office and supporting the bank in clearing all
the claims on real time basis.
5.9 In case of rejection of claims it would go through a Committee set up of the
Bank, Third Party Administrator and United India Insurance Co Ltd. unless
rejected by the committee in real time the claim should not be rejected.
5.10 There would be a continuity of this Scheme / benefits to the Retiring Officers/
employees and their family and also to the Retired Officers / employees and
their family.
Appendix II
Mapping the underwriting, process, servicing and claims for the Medical
Scheme of the Employees and their family members of Member Banks of
Indian Banks’ Association
1. The policy will be issued in the name of Indian Banks’ Association Member
Banks and the list of the member banks would be mentioned giving the data of
the employees bifurcated into:-
a) Officers with the data of their dependent family members.
b) Clerical staff with the data of their dependent family members.
c) Sub staff with the data of their dependent family members.
The premium is decided by the number of employees uniformly but not based on
the number of dependent family members. The collection of data of dependent
family members at the initial stage may take long time. In such cases claims
pertaining to dependent family members of employees pending collection of
data may be settled on certification and recommendation of the appropriate
authority of the respective bank.
2. The policy will commence on a uniform date for all the member banks to
ensure they get the benefit of the large number of employees which has been
instrumental in the procurement of the most competitive premium quote and
would eventually also reflect in a positive claim ratio.
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3. The member banks will submit their data and pay the premium to the lead
Insurance Company viz. United India Insurance Co. Ltd., in proportion to their
employee strength.
4. The insured name of Indian Banks’ Association is used for getting the benefit
of mass scale underwriting and a positive claim ratio that would benefit all the
member Banks. All underwriting, process and claim servicing will be done by
the member Banks’ directly with United India Insurance Co. Ltd. and K. M.
Dastur Reinsurance Brokers Pvt. Ltd.
5. The Corporate Buffer of all the member banks will be in proportion to the
percentage of their premium contribution.
6. The allocation and use of this Corporate Buffer would rest with the individual
management of the member bank. At the end of the year we would have a
joint review on how many banks have totally utilized their Corporate Buffer
and how many other member banks have not utilized their Corporate Buffer
totally. The unutilized Corporate Buffer of the member banks would now be
proportionately available to the member banks whose Corporate Buffer has
been totally utilized. This would be one of the major benefits of the Group
underwriting of all the member banks under one policy and at the same time
individual underwriting of each member banks for data processing, servicing
and claims.
7. The claim settlement of the member banks would be done in the same process
as followed in the past, by each individual member banks.
8. The Third Party Administrator, appointed by the lead insure viz United India
Insurance Co. Ltd. will station their representative at the banks regional/ nodal
offices from where these banks have been settling medical claims of their
employees.
9. The Third Party Administrator, would have a Dedicated Office, Server and a
24 X 7 Call Centre for the Member Banks of the Indian Banks’ Association.
10. The employees would submit the claims to the same regional / nodal offices
where they have been submitting in the past and the Third Party Administrator
representative will be the backup support and ensure claim settlement is
completed in thirty minutes.
11. (The Third Party Administrator should ensure placement of representative in
all the regional/nodal offices of the member banks where the employees have
been submitting their claims in the past).
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12. No claims would be rejected by the insurance company / Third Party
Administrator unless the same is rejected by the committee comprising of the
Bank management, Insurance Company, Third Party Administrator and K. M.
Dastur Reinsurance Brokers Pvt Ltd.
13. All the employees and their family members would be issued ID cards by the
Third Party Administrator, of the Insurance Company ie. United India Insurance
Co. Ltd. In case the employee or his family member gets admitted in any of the
preferred Provider Network of hospitals on production of ID card, the hospital
authority in turn shall notify by fax / mail the details of hospitalisation along with
ID card number and Name of the employee to the Third Party Administrator,
who would again revert by fax / mail a confirmation to the hospital to proceed
with the claim. This would even enable them to claim from anywhere in India
and they would be able to admit themselves in hospitals anywhere in India by
merely calling the dedicated call centres of the Third Party Administrator, which
would be working on a 24x7 basis. The Third Party Administrator, would even
be able to advise the employees on the nearest hospital available in their area.
In case of an emergency admission to a hospital which is not in PP Network,
the employees also have a benefit to get himself admitted on a cashless basis
by intimating the Third Party Administrator, call centre number, mentioning his
ID card No and name. The hospital authority would fax / mail the details of
hospitalisation to the Third Party Administrator, who would again revert by fax/
mail a confirmation to the hospital to proceed with the claim.
14. Most of the claims would be cashless; which would be paid directly to the
hospital concerned.
15. The reimbursement claims of pre and post hospitalisation or in a few cases
of actual hospitalisation would be paid to the employees through the banks
regional/ nodal offices or directly credited to the employees account.
16. In case of reimbursement claim where the employee has not informed the
banks Regional / Nodal offices; they may phone the 24 X 7 call centre of the
Third Party Administrator giving the details of their card ID number and name.
In such cases the reimbursement claim should be submitted on completion
of hospitalisation and not later than 30 days of discharge from the hospital.
In case of post•hospitalisation treatment, all claim documents should be
submitted within 30 days after completion of such treatment. Wherever the
hospitals are not in the approved list of Third Party Administrator, the Third
100
Party Administrator should take necessary action for addition of those hospitals
on their network hospital list in consultation with bank. In an emergency the
claim payment would be paid to the hospital account and empanelment of the
hospital would be considered.
17. All the addition and deletion of the employees and dependents of the various
member banks would be done on a monthly basis. A newly recruited employee
would automatically be admitted in the medical scheme from the date of his
appointment letter. This has to be reflected in the addition / deletion statement
to be sent to the Third Party Administrator/ K. M. Dastur Reinsurance Broker
Pvt. Ltd., before the 10th of the beginning of every month.
18. ID cards will be prepared within 10 working days from the date of receipt of
data. These cards can be couriered to the respective branch office in which
the employee is located. The cards can be distributed by at the branch office
by the bank’s branch manager / any other person who is made responsible for
the same. Corrections in cards, if any can be e-mailed to an exclusive id which
will be exclusive for cards correction errors. This cards will be corrected and
resent within 2 working days from the receipt of correction mail.
19. An adequate deposit premium have to be placed by the member banks for
this addition, as this is a regulatory compliance under section 64 V B of the
Insurance Act; wherein no insurance can be initiated without the payment of
the premium.
20. At the same time refund premium of all deletions would be credited in the
deposit account of the member banks.
21. All additions / deletions of employees and family members would be on prorata
basis. In case, some member banks joined the scheme sometime after the
main master policy has been incepted, they would also be joining on a prorate
premium.
*****
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CHAPTER - X
HOURS OF WORK, OVERTIME, WEEKLY OFF,
STAGGERING, SPLIT DUTY
HOURS OF WORK
14.2/19-10-1966
Subject to the provisions of Clauses 14.3 and 14.12 below, the actual hours of work
of full-time workmen exclusive of recess period shall be as specified below:
Week days
(excluding
Saturdays) Saturdays
(Hours per day)
(a) Workmen other than members of he
Subordinate staff (excluding Category
(b) below) 62 4
(b) Godown-keepers engaged solely
for that work other than those
required to remain in attendance
at the bank during office hours 8 8
(c) Members of the subordinate staff
other than Drivers and Watch and
Ward Staff 7 42
(d) Drivers 72 5
14.3/19-10-1966
(a) The provisions regarding hours of work and overtime shall not apply to godown-
keepers and godown-watchmen who are similarly excluded by the Labour
Appellate Tribunal in paragraphs 194 and 195 of its Decision dated 28th April,
1954. Such workman shall be paid an “Other Allowance” of `25/- per month, if
he is a godown-keeper and `15/- per month, if he is a godown-watchman.
(b) At places where an enactment governing working hours and over time of
godown-keepers and godown-watchmen is in force, or subsequently comes into
force, such workmen shall be governed by the provisions of such enactment
and the “Other Allowance” mentioned is sub-clause (a) of this Clause shall not
be payable to them.
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14.5/19-10-1966
(c) The hours of work of a member of the watch and ward staff shall be 8 hours in
a period 24 hours PROVIDED that the hours of work of a ‘Watchman-cum peon’
for the period during which he is required to work as a peon, as also of a peon,
for the period during which he is required to work as a ‘Watchman’ or ‘Armed
Guard’ shall be the same as those laid down in Clause 14.2(c) above.
STAGGERING OF WORKING HOURS/CHANGE IN THE WEEKLY HOLIDAY
11.1/17-09-1984 and 14.5/19-10-1966
The banks will be at liberty to fix at their discretion the actual timings of work, provided
the maximum number of hours of work applicable are being observed. It is agreed
that any change made by the bank in the actual timings of work of any workman
for staggering purposes as also any change in the weekly holiday of any workman
consequent upon a change made by the bank in the weekly holiday of a branch/office
will not require a notice of change under Section 9-A of the Industrial Disputes Act,
1947. Sufficient advance intimation of such change in actual timings of work will,
however, be given to the workman concerned.
OVERTIME
14.6/19-10-1966
The banks can require a workman, without his consent, to work beyond the aforesaid
hours of work prescribed for him (called overtime work for the purposes of this
Settlement) subject, however that such overtime work shall not exceed 175 hours in
any calendar year. As far as possible, prior intimation for overtime work will be given
to the workman concerned, before overtime work is to begin.
14.7/19-10-1966
To regulate the proper distribution of such overtime work the management may in
their discretion, prescribe from time to time, within aforesaid overall annual limit of 175
hours, a monthly or quarterly limit beyond which a workman shall not be required to
do overtime work. No bank shall pay to any workman Overtime Allowance in excess
of 175 hours.
14.10/19-10-1966
For the first one-quarter of an hour of overtime work (herein after called the cushioning
period) on any working day, there shall be no payment for the workmen other than
members of the Subordinate staff. If, however, the overtime work extends beyond the
cushioning period, overtime payment shall be made for the whole period of overtime
103
work including the cushioning period. There will be no such cushioning period for
work done on Sundays and holidays, there will be no such cushioning period for
members of the subordinate staff.
14.11/19-10-1966
The first quarter of an hour of overtime work, if not paid for as provided above, shall
not be taken into account for the purpose of the prescribed annual overtime limit of
175 hours.
14.12/19-10-1966
Part-time workmen, bank workmen engaged in domestic service, gardeners and

sweepers are excluded from the scope of the provisions regarding working hours
and overtime contained in this Chapter.
14.14/19-10-1966
Overtime work shall be paid for at the rates mentioned below:-
% of hourly emoluments
Weekdays Saturdays
(excluding Saturdays (excluding
and holidays) holidays)
Workmen other than members

of Subordinate Staff:
First two quarter hours of overtime work @100 @100
next four quarter hours of overtime work @170 @170
rest of the overtime work @200 @200
Subordinate Staff:
First four quarter hours of overtime work @150 @150
rest of the overtime work @200 @200
14.15/19-10-1966 and XI.1/17-09-1984
For the work done on Sundays or any other weekly off day and holidays, to which he
may be entitled, a workman (including a peon who is asked to work as a watchman on
such days) will be paid for the entire period of work at 200% of his hourly emoluments,
unless any such day happens to be a working day for him.
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14.16/19-10-1966
For the purpose of calculating the amount payable for overtime work
(a) Work done for less than full quarter of an hour shall be deemed to be work done
for quarter of an hour;
(b) the expression “emoluments” shall mean aggregate of basic pay, special pay
(if any), officiating pay (if any) and dearness allowance.
(c) every month shall be deemed to consist of 150 working hours so that the monthly
emoluments payable per hour will be deemed to be 1/150th of the monthly
emoluments for all workmen.
14.17/19-10-1966
A workman who is guilty of any mistake which has resulted in his doing overtime work
will not be entitled to receive payment for such overtime work. Before, however, a
workman is held not to be so entitled, he must be given an opportunity at a suitable
time to explain his lapse and to show cause why he should not be considered to be
disentitled to receive such payment.
14.18/19-10-1966
Where the work entrusted to a workman on outstation duty is such that it does not
involve night stay and enables him to return to headquarters the same day, but the
“spread-over” of his work (i.e. the period between the time when he commences
work on that day and the time at which he returns to his place or work from outstation
duties) exceeds his normal working hours including the recess interval, appropriate
allowance has been provided in the proviso to Clause 9.13 of this Settlement.
In such cases the workmen concerned shall not be entitled to overtime allowance.
GENERAL
14.4/19-10-1966
There shall be a recess for lunch which shall not be less than half an hour and
not more than one hour on week days (excluding Saturdays) subject, however,
to the requirements of any statutory provisions like the Shops and Commercial
Establishments Act. Primarily it will be for the workmen to decide the actual length
of recess within the limit fixed as aforesaid and the majority decision of the workmen
in any branch or establishment shall be adopted in case of difference of opinion with
the management. Where, by any arrangement with the Bank, recess is availed of
by any workman or workmen on Saturdays, such recess shall be duly marked in the
Attendance Register.
105
14.8/19-10-1966
Normally, the total period of work including overtime shall not, on any day, exceed,
in the case of workman other than members of the subordinate staff, 82 hours, and
in the case of the members of the subordinate staff, 9 hours, excluding the period of
recess. In the case, however, of an emergency, of which a responsible officer of the
bank concerned shall be the sole judge, or when in the case of the subsidiaries of the
State Bank of India, the exigencies of Government work at the close of the financial
year so require, a workman can be required to work in excess of the aforesaid hours.
The provisions herein shall be subject to the provisions of any law relating to the
ceiling on the hours of work or overtime applicable to the establishment concerned.
14.9/19-10-1966
Any days declared as holidays under the Negotiable Instruments Act, 1881 for half-
yearly and yearly closing of accounts shall be deemed to be normal working days for
all workmen employed in all banks.
14.19/19-10-1966
The provisions of this Chapter shall be subject to the provisions made by or under
any enactment applicable to the establishment concerned.
PAYMENT OF OVERTIME ALLOWANCE
14/27-04-2010
The overtime allowance paid to the employees for the overtime work performed uptil
the date of this settlement shall not be recalculated on account of this Settlement.
BUSINESS HOURS
31/27-03-2000
In supersession of clause 22(b) of the Bipartite Settlement dated 10th April, 1989, it
is agreed that it is the managements’ prerogative to introduce extended business
hours, shift system in branches, and seven day banking modules depending upon
business potential, the needs and aspirations of the customers, etc. without affecting
the total working hours of employees subject to statutory provisions of Shops and
Establishments Act, wherever applicable.
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CHAPTER - XI
DISCIPLINARY ACTION AND PROCEDURE THEREFOR
MOS/10-04-2002
I. The provisions of the said Awards, the First Bipartite Settlement dated 19.10.1966
and/or other subsequent Settlements dated 11.11.1966, 14.12.1966, 23.12.1966,
31.10.1979, 22.11.1979, 28.11.1981, 8.9.1983, 17.9.1984 and 14.2.1995
hereinafter collectively referred to as the said Settlements shall stand superseded
and substituted by and in the manner detailed hereunder :-
DISCIPLINARY ACTION AND PROCEDURE THEREFOR
1. A person against whom disciplinary action is proposed or likely to be taken shall

in the first instance, be informed of the particulars of the charge against him and
he shall have a proper opportunity to give his explanation as to such particulars.
Final orders shall be passed after due consideration of all the relevant facts and
circumstances. With this object in view, the following shall apply.
2. By the expression “offence” shall be meant any offence involving moral turpitude
for which an employee is liable to conviction and sentence under any provision
of Law.
3. a) When in the opinion of the management an employee has committed an

offence, unless he be otherwise prosecuted, the bank may take steps to
prosecute him or get him prosecuted and in such a case he may also be
suspended.
b) If he be convicted, he may be dismissed with effect from the date of his
conviction or be given any lesser form of punishment as mentioned in
Clause 6 below.
c) If he be acquitted, it shall be open to the management to proceed against
him under the provisions set out below in Clauses 11 and 12 infra relating
to discharges. However, in the event of the management deciding after
enquiry not to continue him in service, he shall be liable only for termination
of service with three months’ pay and allowances in lieu of notice. And he
shall be deemed to have been on duty during the period of suspension,
if any, and shall be entitled to the full pay and allowances minus such
subsistence allowance as he has drawn and to all other privileges for the
period of suspension provided that if he be acquitted by being given the
benefit of doubt he may be paid such portion of such pay and allowances
107
as the management may deem proper, and the period of his absence
shall not be treated as a period spent on duty unless the management so
directs.
d) If he prefers an appeal or revision application against his conviction and is
acquitted, in case he had already been dealt with as above and he applies
to the management for reconsideration of his case, the management shall
review his case and may either reinstate him or proceed against him
under the provisions set out below in Clauses 11 and 12 infra relating to
discharge, and the provision set out above as to pay, allowances and the
period of suspension will apply, the period up-to-date for which full pay
and allowances have not been drawn being treated as one of suspension.
In the event of the management deciding, after enquiry not to continue
him in service, the employee shall be liable only for termination with three
months’ pay and allowance in lieu of notice, as directed above.
4. If after steps have been taken to prosecute an employee or to get him prosecuted,
for an offence, he is not put on trial within a year of the commission of the
offence, the management may then deal with him as if he had committed an
act of “gross misconduct” or of “minor misconduct”, as defined below; provided
that if the authority which was to start prosecution proceedings refuses to do
so or comes to the conclusion that there is no case for prosecution it shall be
open to the management to proceed against the employee under the provisions
set out below in Clauses 11 and 12 infra relating to discharge, but he shall be
deemed to have been on duty during the period of suspension, if any, and shall
be entitled to the full wages and allowances and to all other privileges for such
period. In the event of the management deciding, after enquiry, not to continue
him in service, he shall be liable only for termination with three months’ pay
and allowances in lieu of notice as provided in Clause 3 above. If within the
pendency of the proceedings thus instituted he is put on trial such proceedings
shall be stayed pending the completion of the trial, after which the provisions
mentioned in Clause 3 above shall apply.
GROSS MISCONDUCT
5. By the expression “gross misconduct” shall be meant any of the following acts
and omissions on the part of an employee:
a) engaging in any trade or business outside the scope of his duties except
with the written permission of the bank;
108
b) unauthorised disclosure of information regarding the affairs of the bank
or any of its customers or any other person connected with the business
of the bank which is confidential or the disclosure of which is likely to be
prejudicial to the interests of the bank;
c) drunkenness or riotous or disorderly or indecent behavior on the premises
of the bank;
d) willful damage or attempt to cause damage to the property of the bank or
any of its customers;
e) willful insubordination or disobedience of any lawful and reasonable order
of the management or of a superior;
f) habitual doing of any act which amounts to “minor misconduct” as
defined below, “habitual” meaning a course of action taken or persisted
in, notwithstanding that at least on three previous occasions censure or
warnings have been administered or an adverse remark has been entered
against him;
g) willful slowing down in performance of work;
h) gambling or betting on the premises of the bank
i) speculation in stocks, shares, securities or any commodity whether on his
account or that of any other persons;
j) doing any act prejudicial to the interest of the bank or gross negligence or
negligence involving or likely to involve the bank in serious loss;
k) giving or taking a bribe or illegal gratification from a customer or an
employee of the bank;
l) abetment or instigation of any of the acts or omissions above mentioned.
m) Knowingly making a false statement in any document pertaining to or in
connection with his employment in the bank.
n) Resorting to unfair practice of any nature whatsoever in any examination
conducted by the Indian Institute of Bankers or by or on behalf of the bank
and where the employee is caught in the act of resorting to such unfair
practice and a report to that effect has been received by the bank from
the concerned authority.
o) Resorting to unfair practice of any nature whatsoever in any examination
conducted by the Indian Institute of Bankers or by or on behalf of the bank
in cases not covered by the above Sub-Clause(n) and where a report to
109
that effect has been received by the bank from the concerned authority
and the employee does not accept the charge.
p) Remaining unauthorisedly absent without intimation continuously for a
period exceeding 30 days.
q) Misbehaviors towards customers arising out of bank’s business.
r) Contesting election for parliament / legislative assembly / legislative
council / local bodies / municipal corporation / panchayat, without explict
written permission of the bank.
s) Conviction by a criminal Court of Law for an offence involving moral
turpitude.
t) Indulging in any act of ‘sexual harassment’ of any woman at her workplace.
Note : Sexual harassment shall include such unwelcome sexually determined

behaviour (whether directly or otherwise) as
a) physical contact and advances;
b) demand or request for sexual favours;
c) sexually coloured remarks;
d) showing pornography; or
e) any other unwelcome physical verbal or non-verbal conduct of
a sexual nature.
u) (For State Bank of India)
The giving or taking or abetting the giving or taking of dowry or demanding

directly or indirectly from the parents or guardians of a bride or bridegroom,
as the case may be, any dowry.
Explanation - For the purpose of sub-clause (u) the word ‘dowry’ has the
same meaning as in the “Dowry Prohibition Act, 1961”
6. An employee found guilty of gross misconduct may:

a) be dismissed without notice; or
b) be removed from service with superannuation benefits i.e. Pension and /
or Provident Fund and Gratuity as would be due otherwise under the Rules
or Regulations prevailing at the relevant time and without disqualification
from future employment; or
110
c) be compulsorily retired with superannuation benefits i.e. Pension and / or
Provident Fund and Gratuity as would be due otherwise under the Rules
d) Be discharged from service with superannuation benefits i.e. Pension and /
or Provident Fund and Gratuity as would be due otherwise under the Rules
e) be brought down to lower stage in the scale of pay up to a maximum of
two stages; or
f) have his increment/s stopped with or without cumulative effect; or
g) have his special pay withdrawn ; or
h) be warned or censured, or have an adverse remark entered against him;
or
i) be fined.
MINOR MISCONDUCT
7. By the expression “minor misconduct” shall be meant any of the following acts
and omissions on the part of an employee:
a) absence without leave or overstaying sanctioned leave without sufficient
grounds;
b) unpunctual or irregular attendance;
c) neglect of work, negligence in performing duties;
d) breach of any rule of business of the bank or instruction for the running of
any department;
e) committing nuisance on the premises of the bank;
f) entering or leaving the premises of the bank except by an entrance provided
for the purpose ;
g) attempt to collect or collecting moneys within the premises of the bank
without the previous permission of the management or except as allowed
by any rule or law for the time being in force;
h) holding or attempting to hold or attending any meeting on the premises of
the bank without the previous permission of the management or except
in accordance with the provisions of any rule or law for the time being in
force;
111
i) canvassing for union membership or collection of union dues or subscriptions
within the premises of the bank without the previous permission of the
management or except in accordance with the provisions of any rule or
law for the time being in force;
j) failing to show proper consideration, courtesy or attention towards officers,
customers or other employees of the bank, unseemly or unsatisfactory
behaviour while on duty;
k) marked disregard of ordinary requirements of decency and cleanliness in
person or dress;
l) incurring debts to an extent considered by the management as excessive;
m) resorting to unfair practice of any nature whatsoever in any examination
conducted by the Indian Institute of Bankers or by or on behalf of the
bank in cases not covered by sub-clause (n) under ‘Gross Misconduct’
and where a report to that effect has been received by the bank from the
concerned authority and the employee accepts the charge;
n) refusal to attend training programmes without assigning sufficient and valid
reasons;
o) Not wearing, while on duty, identity card issued by the bank;
p) Not wearing, while on duty, the uniforms supplied by the bank, in clean
condition.
8. An employee found guilty of minor misconduct may :
a) be warned or censured ; or
b) have an adverse remark entered against him; or
c) have his increment stopped for a period not longer than six months.
9. A workman found guilty of misconduct, whether gross or minor, shall not be

given more than one punishment in respect of any one charge.
10. In all cases in which action under Clauses, 4, 6 or 8 may be taken, the
proceedings held shall be entered in a book kept specially for the purpose, in
which the date on which the proceedings are held, the name of the employee
proceeded against, the charge or charges, the evidence on which they are
based, the explanation and the evidence, if any, tendered by the said employee,
the finding or findings, with the grounds on which they are based and the order
112
passed shall be recorded with sufficient fullness, as clearly as possible and such
record of the proceedings shall be signed by the officer who holds them, after
which a copy of such record shall be furnished to the employee concerned if so
requested by him in writing.
11. When it is decided to take any disciplinary action against an employee such
decision shall be communicated to him within three days thereof.
12. The procedure in such cases shall be as follows:-
(a) An employee against whom disciplinary action is proposed or likely to be

taken shall be given a charge-sheet clearly setting forth the circumstances
appearing against him and a date shall be fixed for enquiry, sufficient time
being given to him to enable him to prepare and give his explanation as
also to produce any evidence that he may wish to tender in his defence.
He shall be permitted to appear before the Officer conducting the enquiry,
to cross-examine any witness on whose evidence the charge rests and to
examine witnesses and produce other evidence in his defence. He shall
also be permitted to be defended -
(i) (x) by a representative of a registered trade union of bank employees

of which he is a member on the date first notified for the
commencement of the enquiry.
(y) where the employee is not a member of any trade union of

bank employees on the aforesaid date, by a representative of a
registered trade union of employees of the bank in which he is
employed :
OR
(ii) at the request of the said union by a representative of the state
federation or all Indian Organisation to which such union is affiliated;
OR
(iii) with the Bank’s permission, by a lawyer.
He shall also be given a hearing as regards the nature of the proposed

punishment in case any charge is established against him.,
(b) Pending such inquiry or initiation of such inquiry he may be suspended, but
if on the conclusion of the enquiry it is decided to take no action against
him he shall be deemed to have been on duty and shall be entitled to
113
the full wages and allowances and to all other privileges for the period
of suspension; and if some punishment other than dismissal is inflicted
the whole or a part of the period of suspension, may, at the discretion of
the management, be treated as on duty with the right to a corresponding
portion of the wages, allowances, etc.
(c) In awarding punishment by way of disciplinary action the authority

concerned shall take into account the gravity of the misconduct, the
previous record, if any, of the employee and any other aggravating or
extenuating circumstances, that may exist. Where sufficiently extenuating
circumstances exist the misconduct may be condoned and in case such
misconduct is of the “gross” type he may be merely discharged, with or
without notice or on payment of a month’s pay and allowances, in lieu of
notice. Such discharge may also be given where the evidence is found
to be insufficient to sustain the charge and where the bank does not, for
some reason or other, think it expedient to retain the employee in question
any longer in service. Discharge in such cases shall not be deemed to
amount to disciplinary action.
(d) If the representative defending the employee is an employee of the same

bank at an outstation branch within the same State, he shall be relieved
on special leave (on full pay and allowances) to represent the employee
and be paid one return fare. The class of fare to which he will be entitled
would be the same as while travelling on duty. In case of any adjournment
at the instance of the bank/enquiry officer, he may be asked to resume
duty and if so, will be paid fare for the consequential journey. He shall also
be paid full halting allowance for the period he stays at the place of the
enquiry for defending the employee as also for the days of the journeys
which are undertaken at the bank’s cost.
Explanation;
‘State’ for the purpose, shall mean the area which constitutes a political State,
but this explanation will not apply to SBI.
(e) An enquiry need not be held if:
(i) the bank has issued a show cause notice to the employee advising
him of the misconduct and the punishment for which he may be liable
for such misconduct;
114
(ii) the employee makes a voluntary admission of his guilt in reply to the
aforesaid show cause notice; and
(iii) the misconduct is such that even if proved the bank does not intend
to award the punishment of discharge or dismissal.
However, if the employee concerned requests a hearing regarding the nature
of punishment, such as hearing shall be given.
(f) An enquiry need not also be held if the employee is charged with minor
misconduct and the punishment proposed to be given is warning or
censure. However,
(i) The employee shall be served a show cause notice advising him of
the misconduct and the evidence on which the charge is based ; and
(ii) The employee shall be given an opportunity to submit his written
statement of defence, and for this purpose has a right to have access
to the documents and material on which the charge is based;
(iii) If the employee requests a hearing such a hearing shall be given
and in such a hearing he may be permitted to be represented by a
representative authorised to defend him in an enquiry had such an
enquiry been held.
(g) Where an employee is charged with a minor misconduct and an enquiry
is not held on two previous occasions, an enquiry shall be held in respect
of the third occasion.
13. Where the provisions of this Settlement conflict with the procedure or rules
in force in any bank regarding disciplinary action, they shall prevail over the
latter. There may, in such procedure, or rules, exist certain provisions outside
the scope of the provisions contained in this Settlement enabling the bank to
dismiss, warn, censure, fine an employee or have his increment stopped or have
an adverse remark entered against him. In all such cases also the provisions
set out in Clauses 10 and 11 above shall apply.
14. The Chief Executive Officer or the Principal Officer in India of a bank or an
Alternate Officer at the Head Office or Principal Office nominated by him for
the purpose shall decide which officer (i.e. the disciplinary authority) shall be
empowered to take disciplinary action in the case of each office or establishment.
He shall also decide which officer or body higher in status than the officer
authorized to take disciplinary action shall act as the appellate authority to deal
with or hear and dispose of any appeal against orders passed in disciplinary
115
matters. These authorities shall be nominated by designation, to pass original
orders or hear and dispose of appeals from time to time and a notice specifying
the authorities so nominated shall be published from time to time on the bank’s
notice board.
It is clarified that the disciplinary authority may conduct the enquiry himself or
appoint another officer as the Enquiry Officer for the purpose of conducting an
enquiry.
The appellate authority shall, if the employee concerned is so desirous, in a case
of dismissal, hear him or his representatives before disposing of the appeal. In
cases where hearings are not required, an appeal shall be disposed of within two
months from the date of receipt thereof. In cases where hearings are required
to be given and requested for, such hearings shall commence within one month
from the date of receipt of the appeal and shall be disposed off within one month
from the date of conclusion of such hearings. The period within which an appeal
can be preferred shall be 45 days from the date on which the original order has
been communicated in writing to the employee concerned.
15. Every employee who is dismissed or discharged shall be given a service
certificate, without avoidable delay.
16. Any notice, order, charge sheet, communication or intimation, which is meant
for an individual employee, shall be in a language understood by the employee
concerned. In the case of an absent employee notice shall be sent to him by
registered post with acknowledgment due. If an employee refuses to accept
any notice, order, charge-sheet, written communication or written intimation in
connection with disciplinary proceedings when it is sought to be served upon
him, such refusal shall be deemed to be good service upon him, provided such
refusal takes place in the presence of at least two persons including the person
who goes to effect service upon him. Where any notice, order, charge-sheet,
intimation or any other official communication which is meant for an individual
employee is sent to him by registered post acknowledgement due at the last
recorded address communicated in writing by the employee and acknowledged
by the bank, the same is to be deemed as good service.
DATE OF EFFECT
The provisions under this Memorandum of Settlement shall come into effect from
the date of the Settlement and shall continue to govern and bind the parties until
the Settlement is terminated by either party giving to the other a statutory notice as
prescribed in law for the time being in force.
116
UTILISATION OF PROCEEDS OF FINE
565/SA
1. No fine shall be imposed on a workman until he has been given an

opportunity of showing cause against the fine.
2. Every Bank must keep a register of fines and make the appropriate entries
therein. Such register shall contain a brief note of the charge against the
employee, the explanation offered by him, the finding and the amount of
the fine levied on him.
3. The total amount of fine which may be imposed in any one calendar month
on any workman shall not exceed an amount equal to `2 anna in the rupee
of the salary and allowances payable to him in respect of that period.
Explanation - Punishment in the form of stoppage or postponement of

increments does not fall under this head.
SUSPENSION AND SUBSISTENCE ALLOWANCE DURING SUSPENSION
SUSPENSION
14.3/17-09-1984
Pending or initiation of such enquiry, an employee may be suspended, but if on

the conclusion of the enquiry it is decided to take no action against him he shall be
deemed to have been on duty and shall be entitled to the full wages and allowances
and to all other privileges for the period of suspension; and if some punishment other
than dismissal is inflicted, the whole or a part of the period of suspension, may, at the
discretion of the management, be treated as on duty with the right to a corresponding
portion of the wages allowance, etc.
18/31-10-1979
(iii) It is also agreed that employees on suspension will be entitled to the facility of
medical aid and hospitalisation.
SUBSISTENCE ALLOWANCE DURING SUSPENSION
05/08-09-1983
In Partial modification of Para 557 of the Sastry Award and Para 17.14 of the Desai
Award, the following provisions shall apply in regard to payment of subsistence
allowance to workmen under suspension.
117
a. Where the investigation is not entrusted to or taken up by an outside agency
(i.e. Police/CBI), subsistence allowance will be payable at the following rates:
i. For the first 3 months 3 of the pay and allowance which the workman
would have got but for the suspension.
ii. Thereafter 2 of the pay and allowances.
iii. After one year full pay and allowances if the enquiry is not delayed for
reasons attributable to the concerned workman or any of his representatives.
Where the investigation is done by an outside agency and the said agency
has come to the conclusion not to prosecute the employee, full pay and
allowances will be payable after 6 months from the date of receipt of report
of such agency, or one year after suspension, whichever is later and in the
event the enquiry is not delayed for reasons attributable to the workman
or any of his representatives.
(Subsistence Allowance upon salary revision Refer IBA Cir. PD/CIR/76/528/586/
Dt. 11-08-1998)
VOLUNTARY CESSATION OF EMPLOYMENT
33/02-06-2005
i) When an employee absents himself from work for a period of 90 or more

consecutive days without prior sanction from the Competent Authority or beyond
the period of leave sanctioned originally including any extension thereof or
when there is satisfactory evidence that he has taken up employment in India
or outside, the management at any time thereafter may give a notice to the
employee at his last known address as recorded with the Bank calling upon him
to report for work within 30 days of the date of notice.
Unless the employee reports for work within 30 days of the notice or gives
an explanation for his absence within the period of 30 days satisfying the
management inter alia that he has not taken up another employment or
avocation, the employee shall be given a further notice to report for work within 30
days of the notice failing which the employee will be deemed to have voluntarily
vacated his employment on the expiry of the said notice and advised accordingly
by registered post.
In the event of the employee submitting a satisfactory reply, he shall be permitted
to report for work thereafter within 30 days from the date of expiry of the aforesaid
notice without prejudice to the bank’s right to take any action under the law or
rules / conditions of service.
118
If the employee fails to report for work within this 30 days period, then he shall
be given a final notice to report for work within 30 days of this notice failing which
the employee will be deemed to have voluntarily vacated his employment on
the expiry of the said notice and advised accordingly by registered post.
ii) If an employee again absents himself for the second time within a period of
30 days without submitting any application and obtaining sanction thereof,
after reporting for duty in response to the first notice given after 90 day’s of
absence or within the 30 days’ period granted to him for reporting to work on
his submitting a satisfactory reply to the first notice, a further notice shall be
given after 30 days of such absence giving him 30 days’ time to report. If he
fails to report for work or reports for work in response to the notice but absents
himself a third time from work within a period of 30 days without prior sanction,
his name shall be struck off from the rolls of the establishment after 30 days of
such absence under intimation to him by registered post deeming that he has
voluntarily vacated his appointment.
iii) Any notice under this clause shall be in a language understood by the
employee concerned. The notice shall be sent to him by registered post with
acknowledgement due. Where the notice under this clause is sent to the
employee by registered post acknowledgement due at the last recorded address
communicated in writing by the employee and acknowledgement by the bank,
the same shall be deemed as good and proper service.
119
CHAPTER - XII
RULES REGARDING RECRUITMENT
493/S.A.
We direct that in the case of all permanent vacancies the candidate must produce a
satisfactory medical certificate before the appointment is made.
498/S.A.
We direct that for ordinary clerical work no bank should employ part time workers
except for the writing of pass books in Banks in which this practice now prevails.
20.4/19-10-1966
Notwithstanding anything contained in paragraph 498 of the Sastry Award for

pass-book writing, all banks will be free to employ part-time clerks as pass-book
writers. Apart from such persons already in employment, in future only students and
retired persons (but in any case no person already in employment elsewhere) will be
engaged by banks for this purpose. Their hours of work will not exceed 12 hours in
a week.
23.20/D.A.
On a candidate’s appointment as a temporary employee, a probationer or a permanent

member of a staff, the bank shall give him a written order specifying the kind
of appointment and the pay and allowances to which he would be entitled and that
such a written order shall be given on the appointment of a part time employee also. I
further direct that wherever possible the bank should, except in the case of permanent
employees, specify the period of employment.
23.22/D.A.
The Sastry Tribunal in paragraph 497 of its Award has directed that “the period
of apprenticeship, except in the case of those who work in banks so as to qualify
themselves for the examination of the Institute of Bankers, should not exceed
12 months”. The direction is a statutory one. I gave a direction similar to the one
given by the Sastry Tribunal.
20.6/19-10-1966
Subject to a bank’s recruitment rules, if any, part-time employees will be given
preference for filling of full-time vacancies, other things being equal.
120
20.12/19-10-1966
Other things being equal, temporary workmen (other than godown keeper) will be
given preference for filling permanent vacancies and if selected they may have to
undergo probation.
20.16/19-10-1966
Bank work like transmitting cash, clearing or stationery will not be entrusted to private
drivers employed by bank officers. If as a result the services of a driver are required
for doing such bank work the existing private driver, if he was already doing bank
work, shall be given preference for appointment of a peon cum-driver. Such peon
cum-driver shall, whenever called upon to do so, drive any motor vehicle being used
for the bank’s work.
20.18/19-10-1966
Members of the subordinate staff whose names are registered in the bank’s licences
for weapons, as “Retainer” shall be given preference for filling up vacancies of “Armed
Guards”.
121
CHAPTER - XIII
RULES REGARDING TRANSFER
20.17/19-10-1966
TRANSFERS ON REQUEST:
Any request by an employee for transfer on compassionate grounds will be considered

sympathetically subject to exigencies and requirements of the Bank, but such request will
not be rejected only on the ground that he will have to be paid emoluments of higher rates.
20(d)/12-10-1970
Where a workman is transferred from one Area to another temporarily for a specified
period, he shall be entitled only to the halting allowance applicable to the area to
which he is transferred and no adjustment in his salary will be made.
535/S.A.
Policy regarding transfers is a constant source of friction between the banks and the
workmen now organised into unions. The cry of victimization of office bearers and
“Activists” of trade unions is raised wherever such transfers are mooted. We have
found that such allegations are easily made but not so easily substantiated. Transfers
are rendered necessary by the exigencies of administration. The proper view to take
is that transfers are normal incidents of the working of a bank and they must be left to
the discretion of those who guide the policy of the Bank and manage its affairs. It is
possible that the discretion may be abused and transfers effected on considerations
other than the needs of administration. The percentage of transfers as shown by figures
furnished by some of the Banks in the course of arguments leads us to the conclusion
that the question of transfer, even as it affects only a very small number of persons.
This is conceded by the workmen also. Still wherever an activist of the trade union
movement, as yet in its formative stage and liable to be crippled easily, is transferred,
a suspicion naturally arises that it is inspired by ulterior motives and the consequence
thereof may be an Industrial dispute. In order that such suspicions may be avoided as
far as possible, we, adopting the Sen Award in this respect, give the following directions :
(1) Every registered bank employees’ Union, from time to time shall furnish
the bank with the names of the President, Vice-President and Secretaries
of the Union;
122
XV/17-09-1984
CLARIFICATION ON POLICY REGARDING TRANSFER:
In Paragraph 535(i) of the Sastry Award the words “Registered Bank Employees
Union” shall mean and refer to a union registered under the Trade Unions Act, 1926,
and not to branch/regional/zonal level units thereof.
535/S.A.
(2) Except in very special cases, whenever the transfer of any of the above
mentioned office bearers is contemplated, at least five clear working
days’ notice should be put up on the notice boards of the Bank of such
contemplated action;
(3) Any representations, written or oral, made by the Union shall be considered
by the bank;
(4) If any order of transfer is ultimately made, a record shall be made by the
bank of such representations and the Bank’s reasons for regarding them
as inadequate; and
(5) The decision shall be communicated to the Union as well as to the employee
concerned.
536/S.A.
We direct that in general the policy should be to limit the transfers to the minimum
consistent with banking needs and efficiency. So far as members of the subordinate
establishment are concerned there should be no transfers ordinarily and if there are
any transfers at all they should not be beyond the language area of the person so
transferred. We further direct that even in the case of workmen not belonging to the
subordinate staff, as far as possible there should be no transfer outside the State or
the language areas in which an employee has been serving except of course, with his
consent. In all cases the number of transfers to which a workman is subject should be
strictly limited and normally it should not be more that once in a year. We are unable
to accept the demand that residential accommodation should be provided by the
bank at the new station. The demand for special house allowance is also rejected.
32/27-03-2000
DEPLOYMENT OF STAFF
It is generally perceived that there is scope for redeployment of staff in banking industry.
There are pockets of surplus/deficit in areas of operation in different centres in different
123
banks. It is desirable that these imbalances in deployment of staff are corrected. As
it will not be possible/practicable to arrive at a uniform policy in this regard, having
regard to the situation varying from bank to bank, the parties hereby agree that the
matter be resolved at the level of each bank. Bank level agreements, if any, as of
now may require appropriate amendments which shall be mutually settled.
32/02-06-2005
In continuation of clause 32 of 7th Bipartite Settlement dated 27th March 2000, it is

agreed between the parties that deployment of non-subordinate staff in banks which
are parties to this settlement shall be in accordance to the terms and conditions set-
forth in Schedule VI to this Settlement.
Note:
In case of State Bank of India, the extant provisions of Settlement dated 22nd July
2003 arrived at Bank level with the All India State Bank of India Staff Federation on
Technology, Redeployment / Transfer of Staff and Other Issues shall remain unchanged
and shall remain operative.
SCHEDULE - VI
02-06-2005
DEPLOYMENT OF STAFF
i) A workman in the non-subordinate cadre is liable to be deployed anywhere
within a ‘District’, irrespective of the distance involved.
ii) In cases necessitating deployment outside the District, the workman concerned
may be deployed to any branch/office of the bank situated outside the District
upto a distance not exceeding 100 km. from his present place of posting.
iii) Bank may Identify, based on length of stay at the centre/branch/office, the
number of workmen employees, to be redeployed from each centre/ branch/
office to meet its requirements.
iv) The period of deployment shall be 2 years in a difficult centre decided by the
bank in accordance with the Government guidelines and 3 years in other
centres.
v) Repatriation to the original centre shall be after serving in the deployed centre
for period as in (iv) above. In case it is not administratively possible for the
bank to repatriate the employee to his original centre after the above period,
the employee may be required to give 3 centres of his choice so that he can
be transferred to any one of the 3 centres opted by him.
124
vi) Female employees above the age of 55 and male employees above the
age of 56 shall be exempt from redeployment. However, if the required and
eligible number of employees are not available to be deployed in terms of the
Settlement, the age norms as above may be suitably relaxed upto the age of
58 years so as to ensure that the required and eligible number of employees
are deployed to be identified centres.
vii) Employees having mentally retarded / spastic children, certified as such by
the attending Doctor, may be deployed only at centres where specialised
treatment for such children and special facilities their schooling are available.
viii) Employees affected by serious ailments requiring specialised treatment, as
certified by the attending Doctor, will be deployed only at centers where medical
facilities for treatment of such ailments are available.
ix) Redeployment of physically handicapped/challenged employees shall be in
accordance with the extant Government guidelines.
x) A workman in the non-subordinate cadre so long as he serves in the deployed
centre shall draw a lump sum amount of `400/- p.m. (not ranking for any other
benefit) besides protection of emoluments drawn at the original centre. These
shall cease on the employee’s repatriation to the original centre.
xi) The above lump sum amount is not payable in case of transfers made at the
request of the employee.
xii) In North-Eastern States, banks may decide on the level and extent of
deployment having regard to their requirements within the above norms.
xiii) The above provisions on deployment are without prejudice to the provisions of
paragraphs 535 and 536 of the Sastry Award relating to transfer of workmen.
xiv) The above provisions on deployment shall be the minimum applicable to all the
banks which are parties to this Settlement. Parties agree that any existing bank-
level settlement on transfer or deployment whose provisions are restrictive
and not upto the minimum provisions on deployment as mentioned above will
be modified / terminated as per procedure under the Industrial Disputes Act
so as to give effect to the above-mentioned provisions on deployment.
xv) Any bank which is a party to this Settlement and having bank-level Settlement
on transfer or deployment may, however, modify and improve upon the above
provisions to suit the needs of the bank ensuring, however, that the norms
125
relating to the geographical minimum area of deployment, period of stay at
the deployed centre, conditions for repatriation as mentioned hereinabove are
not relaxed or diluted in any manner.
xvi) In banks which are parties to this Settlement where bank level settlements/
policies on transfer or deployment of workmen exist which provide for
transferability of employees over a larger geographical area, such bank level
settlements on transfer or deployment shall remain operative.
CLARIFICATIONS
(Refer AIBEA Circular letter no. 25/CLTR-39/2005/28 dated 29-06-2005)
1. This industry level agreement on mobility deals only with transfer of employees
from surplus to deficit areas, if any. This is in continuation of Clause 32 of
7 th Bipartite Settlement, which provided for Bank level agreements on
deployment of staff from surplus to deficit areas.
2. In this agreement we have evolved some industry level norms for deployment
of employees from surplus to deficit areas. Hence this Settlement does not
cover any other case of mobility like rotational transfers, general transfers,
periodical transfers, request transfers, mutual transfers, etc.
3. These norms are only applicable to Clerical employees AND NOT FOR
SUBSTAFF.
DEPLOYMENT NORMS
a) If there is surplus staff in a centre, an employee can be deployed to a

deficit centre anywhere within the District.
b) If vacancies are not there within the District, deployment can be upto a
maximum distance of 100 Kms.
c) In such an event, the emoluments will be protected (i.e. same HRA, CCA
drawn at a higher centre will be continued even at a lower centre).
d) Additional compensation will be paid at `400 per month.
e) Repatriation to original centre after 2 years from difficult centres & 3 years
from other centres.
f) If after this 2/3 years, immediate vacancy is not available for repatriation,
employee may go to another nearby center by giving 3 options. But still the
compensation of `400 will continue till repatriated to this original centre.
126
g) Ladies above 55 years & gents above 56 years will not be disturbed on
deployment.
h) If in a contingency, adequate number is not available, the same day be

relaxed upto 58 years.
i) For physically handicapped employees, there will be no deployment as

per Government guidelines.
j) Parents of mentally handicapped/spastic children & employees with serious

ailments will not be disturbed on deployment unless equivalent medical
facilities are available at the deployed centre.
k) For North East State, Bank level norms can be worked out within the above
norms.
1. Where there is no settlement in a Bank on deployment from surplus to deficit, or

where the norms are less than the above, the Industry level norms i.e. Clause
(a) to (k) will apply.
- If the distance is less, it will be upgraded to District/100 Kms.
- If facilities like compensation, protection of emoluments, repatriation are

not presently available in a particular bank level agreement on deployment
from surplus to deficit, the same will be extended in that Bank.
2. Where the existing norms in any Bank are more than this, the same will continue.
3. Other Bank level agreements/policies on other types of transfers will continue

as it is.
127
CHAPTER - XIV
JOINING TIME ON TRANSFER
551/S.A.
We give the following directions:-
1. Joining time shall be granted to an employee to enable him;
a) to join a new post to which he is appointed while on duty in his old post;
or
b) to join a new post on return from leave.
2. An employee in respect of joining time shall be entitled to the pay and

allowances of the old or the new post whichever is less.
3. Joining time which shall be allowed to an employee shall not exceed six days,
exclusive of the number of days spent on travelling.
4. In calculating joining time admissible to an employee, the day on which he is

relieved from his old post shall be excluded but public holidays following the
day of his relief shall be included in the joining time.
5. An employee who does not join his post within the joining time allowed to him
shall be deemed to have committed a breach of discipline.
550/S.A.
No joining time shall be admissible when the transfer does not involve a change in
the situation of his office and a joining time of not more than one day (inclusive of
a holiday or Sunday) is permissible when the new appointment takes place in the
same town or station.
552/S.A.
In laying down the above directions we are quite aware that we are not providing
for every conceivable case that may arise under the above heads. In fact it is not
our purpose to lay down a detailed code. We can only indicate in this as well as in
other issues the broad principles leaving it to the banks to interpret our directions
liberally so that they may cover every other case which has not been possible for
us to consider.
128
CHAPTER - XV
TRAVEL ON DUTY / TRANSFER / TOUR
GENERAL
6.70/D.A.
It is desirable that members of the clerical staff when they travel by train should have
sleeping accommodation at night. It is therefore necessary to modify the provisions
of the Sastry Award, and I do so by providing that whenever a workman, who is not a
member of the subordinate staff, is transferred from one station to another or has to
travel for inspection or other duty in the interests of the bank and in the course of such
journey, has to travel by train by night, he shall be paid, in addition to that is provided
under the Sastry Award as modified, reproduced above, a further amount equivalent
to the difference between one second class fare by train and one first class fare by
train for the full journey for himself provided he has travelled throughout the journey
in the first class. When he is transferred from one station to another and is entitled
to claim travelling allowance for his family and the family has to travel by night he will
be entitled to be paid the difference between the second class fare and first class
fare and first class fare for the members of his family also provided that they have
actually travelled in the first class.
X/17-09-1984
2. In partial modification of para 540 of the Sastry Award, para 6.70 of the Desai
Award and Clause 10.3 of the First Bipartite Settlement dated 19th October
1966, an employee other than a member of the subordinate staff and his
family while travelling from one station to another, on transfer or on duty, will
be entitled to travel by first class by train for the journey during day and/or
night. If the travel is by steamer, he will be entitled to the lowest cabin class
or appropriate class equivalent to the fares payable by first class railway
fare, whichever is higher.
541/S.A.
An employee who is a member of a subordinate staff shall for similar journeys be
paid as follows:
1. One and a half (third class) fares by rail or steamer for himself and further
(third Class) fares for his family if taken. (now second class)
2. Actual expenses incurred on cartage, ghari, mazdoor hire, etc. established
to the satisfaction of the sanctioning authority.
129
REIMBURSEMENT OF EXPENSES ON ROAD TRAVEL
29/25.05.2015
In substitution of Clause 31 of Bipartite Settlement dated 27th April 2010, w.e.f.
1st June 2015, where an employee has to travel on duty / LFC between two places he
shall be reimbursed actual road mileage cost or at `6/- per k.m., whichever is less.
547/S.A.
1. Where an employee travels by a class lower than the one allowed to him, he
shall be entitled to claim travelling allowance only at the rate actually paid.
The banks may however, pay on the scale allowed where they are satisfied
that travel by a lower class is unavoidable and due to circumstances beyond
the control of the employee.
2. All claims should be supported by a certificate from the employee concerned.
3. The claim for journeys can ordinarily be only for the shortest route.
TRAVEL BY DEPENDENTS (ON TRANSFER)

543/S.A.
2. When, for any reason, the family of any employee does not travel with him but
joins with him within a period of six months from the date of his transfer, an
employee shall be entitled to draw the further fares and the cost of transporting
luggage, payable for the family, subject to the limits fixed.
3. Where the family in consequence of transfer travels from a place to another
than that from which an employee is transferred, an employee may draw the
actual travelling expenses incurred by his family to join the employee at the
new station but the amount so drawn shall not exceed the travelling allowance
admissible to the employee where the employee’s family stationed at the place
where the employee was transferred.
4. If the family of an employee in consequence of transfer travels to a station
other than that to which the employee is transferred, an employee may draw
travelling expenses for his family subject to the condition that the amount so
drawn shall not exceed the travelling allowance admissible to the employee
had the family proceeded to the station to which the employee was transferred.
540/S.A.
5. Any other expenditure unavoidably incurred such as packing, crating, tonga,

coolie hire etc. established to the satisfaction of the sanctioning authority and
subject to any new rules made by the bank in this behalf shall be paid.
130
TRANSPORTATION OF PERSONAL EFFECTS:
COMPENSATION ON TRANSFER
21/25-05-2015
In supersession of Clause 22 of Bipartite Settlement dated 27th April 2010, with effect
from 1st June 2015, compensation on transfer, shall be as under:-
An employee on transfer shall be paid the cost actually incurred for transporting his
personal effects, as under:
By Train: Non Sub-staff Sub -staff
a. For married persons 3000 kg. 2000 kg.
b. For unmarried persons 2000 kg. 1150 kg.
By Road: An employee on transfer from one station to another can transport his/
her personal effects by rail/road upto the stipulated weights by an IBA approved
Transport Operator.
543/S.A.
In respect of personal property carried upto the limits specified above to and from the
place of transfer, the employee shall be entitled to the actual expenses incurred by
him in transporting the same through and “out agency” if available. In other cases
he shall be entitled to the actual cost of transporting the same through an authorised
transport company.
5. An employee shall be entitled to draw the actual expenditure incurred by him
for transporting his personal property irrespective of the mode of conveyance
engaged by him provided he does not exceed the maximum amount admissible
to him for the transport of personal property by goods train except where it is
otherwise provided for in the paragraph.
COMPENSATION FOR LOSSES DUE TO BREAKAGE OR DAMAGE TO GOODS
ON TRANSFER
22/25-05-2015
In modification of Clause 23 of Bipartite Settlement dated 27th April 2010, with effect
from the 1st June 2015, compensation on transfer, shall be as under:-
a. Where an employee produces receipts or a statement of loss in respect of
breakages subject to a maximum of:
Clerical Staff : ` 1,500/-
Subordinate Staff : ` 1,000/-
131
b. Where no receipts/statement of loss are produced, a lumpsum payment of:
Clerical Staff : ` 1,000/-
Subordinate Staff : ` 750/-
EMPLOYEES ON TOUR / DUTY

544/S.A.
(3) The actual cost, if any of freight of his personal belongings.
(4) Any other expenditure unavoidably incurred such as tonga, cooly hire etc.
established to the satisfaction of the sanctioning authority and subject to
any rules made by the bank in this behalf.
545/S.A.
An employee of the subordinate staff shall be entitled to one (third class) fare to and
fro for himself by rail or steamer. Clauses (3) and (4) supra would equally apply to
him also. (Now sleeper class)
132
CHAPTER - XVI
UNIFORMS AND LIVERIES
17.3/19-10-1966
If prior to the enforcement of the Desai Award, any bank had the practice, at any place,
of supplying woolen uniforms once in two years, such practice shall be reintroduced/
continued at that place.
17.4/19-10-1966
Watchmen, Armed Guards, Electricians, Air-Conditioning Plant Helpers and Drivers
shall be supplied with a pair of shoes once in two years.
17.5/19-10-1966
Where under the existing practice, part-time workmen working for less than six hours
per week are already getting any uniforms, they shall continue to be supplied with
such uniforms.
2/05-01-1987
(i) All permanent full time members of the subordinate staff as well as permanent
part time workmen in subordinate cadre working for not less than six hours
per week, shall be supplied with three sets of terry khadi uniforms once in two
years and one set of woollen uniform once in three years;
(ii) At hill stations one set of woollen uniform every year and one set of terry
khadi uniform once in three years shall be supplied in lieu of the uniform
stated in (i) above.
(iii) If the majority of subordinate staff of all offices of a bank in a place request the
management sufficiently in advance, one additional set of terry khadi uniform
may be supplied every eighteen months to the entire subordinate staff in lieu
of the set of woollen uniform to be supplied once in three years.
(iv) If in a place, terry khadi cloth is not available, uniforms of terry cotton cloth
shall be supplied.
(v) It is reiterated that all members of the staff who are supplied uniforms
shall wear them while on duty and in clean condition and not wearing such
uniforms while on duty shall constitute a minor misconduct.
Except to the extent modifications are made as aforesaid the other terms
and conditions for supply of uniforms and liveries as contained in earlier
Settlements would continue.
133
CHAPTER - XVII
CLASSIFICATION OF EMPLOYEES
508/S.A. and 23.15/D.A.
We direct that employees shall be classified as ...
(a) permanent employee;
(b) probationer;
(c) temporary employee; and
(d) part-time employee
These expressions having the following meanings:
(a) “permanent employee” means an employee who has been appointed as
such by the bank,
(b) “probationer” means an employee who is provisionally employed to fill a
permanent vacancy or post and has not been made permanent or confirmed
in service,
(c) “temporary employee” ... as modified ... 20.7 & 20.8/19-10-1966
20.7/19-10-1966
In supersession of paragraph 21.20 and subclause (c) of paragraph 23.15 of the Desai
Award, “temporary employee” will mean a workman who has been appointed for a
limited period for work which is of an essentially temporary nature or who is employed
temporarily as an additional workman in connection with a temporary increase in work
of a permanent nature and includes a workman other than a permanent workman
who is appointed in a temporary vacancy caused by the absence of a particular
permanent workman.
20.8/19-10-1966
A temporary workman may also be appointed to fill a permanent vacancy provided
that such temporary appointment shall not exceed a period of 3 months during which
the bank shall make arrangements for filling up the vacancy permanently. If such a
temporary workman is eventually selected for filling up the vacancy, the period of such
temporary employment will be taken into account as part of his probationary period.
(D) PART-TIME EMPLOYEE
508/S.A.
“Part-time employee” means an employee who does not or is not required to work for
the full period for which an employee is ordinarily required to work and who is paid
on the basis that he is or may be engaged in doing work elsewhere.
134
CHAPTER - XVIII
PROBATIONERS
PERIOD OF PROBATION
495/SASTRY AWARD
The Sen Award fixed the period of probation at 6 months, which in certain cases
would be extended by 3 months. We respectfully agree with the said direction and
direct that ordinarily the period of probation should not exceed 6 months. However,
in case of persons whose work is not found to be quite satisfactory during the said
period but who are likely to improve and give satisfaction if a further opportunity is
given to them, the period may be extended by three months provided due notice
in writing is given to them (and their consent in writing is obtained before the
extension of their period of probation). In all other cases probationers after the
expiry of the period of six months should be deemed to have been confirmed,
unless their services are dispensed with on or before the expiry of the period of
probation. We further direct that on a candidate’s appointment as a temporary
employee, a probationer or a permanent member of the staff, the bank shall give
him a written order specifying the kind of appointment and the pay and allowances
to which he would be entitled and that such a written order shall be given on the
appointment of a part-time employee also.
496/SASTRY AWARD
Probationers should be paid the same emoluments as are fixed for confirmed
workmen.
EFFECT ON CONFIRMATION OR PERMANENT APPOINTMENT
512/SASTRY AWARD
We direct that on confirmation or permanent appointment an employee shall be
entitled to all the privileges enjoyed by, and shall be subject to all the liabilities
passed upon, the other permanent members of the staff and that he should
further be entitled to have the period of his probation added to the years of his
permanent service for the purpose of the grant to him of any gratuity. We make
a similar recommendation in respect of pension also.
504/SASTRY AWARD
The period of probation should be added to the years of permanent service for
the purpose of the grant of gratuity or pension through Provident Fund contribution
on both sides will commence only from the date of confirmation.
135
EXTENSION OF PROBATIONARY PERIOD
21.18/DESAI AWARD
There is considerable force in the argument advanced on behalf of the bank that
where the period of probation is sought to be extended by three months, it should
be sufficient for the bank to give a notice in writing to the employee to that effect.
If an employee does not desire to continue in the employment of the Bank as a
probationer for the further period, he is at the liberty not to continue further and
leave the service of the bank. I do not see any necessity for a provision to the
effect that he must consent in writing before his period of probation can be extended
for a further period of three months as provided in the Sastry Award. I direct
that in the case of a person whose work was not found to be quite satisfactory
and whose probation period, in the opinion of the bank, should be extended for
a further period of 3 months in order to afford to him an opportunity to improve
and give satisfaction to the bank, it would be open to the bank before the expiry
of his period of probation to extend the period of probation for a further period
of 3 months by giving notice in writing to him to that effect. If he does not desire
to continue as a probationer for such further period, it would be open to him to
intimate to the bank to that effect and leave the service of the bank.
136
CHAPTER - XIX
PART - TIME EMPLOYEES
WORKING HOURS AND WAGES
20/27-03-2000
The codified service conditions of part-time employees with such modifications as

are considered necessary are as follows;
(1) CLERICAL STAFF
One third of the scae wages and one third of the annual increments, payable to
full time employees where the total working hours do not exceed 12 hours per
week.
(2) SUBORDINATE STAFF
Part-Time Employees
21/27-04-2010
In substitution of Clause 21 of the Bipartite Settlement dated 2nd June 2005, with effect
from 1st November 2007, Part-Time employees who are members of the subordinate
staff on consolidated wages and whose normal working hours per week are ‘upto
3 hours’ and ‘more than 3 hours but less than 6 hours’ shall be paid one third scale
wages w.e.f. 1st May 2010. From 1st November 2007 to 30th April 2010, they shall be
paid consolidated wages as under:
a. Upto 3 hours : at bank’s discretion with a minimum of

` 1030/- p.m.
b. More than 3 hours but less

than 6 hours : at bank’s discretion with minimum of
` 1440/- p.m.
The employees recruited on or after 1st May 2010 in part-time scale wages shall be
at minimum of one third scale wages
137
WAGES OF PTEs (SUBORDINATE STAFF)
20/27-03-2000
If their normal total working hours per week are -
More than 6 hours to One third of the scale wages

13 hours with proportionate annual increment
More than 13 hours to One half of the scale wages
More than 19 hours to Three fourth of the scale wages
Beyond 29 hours Full scale wages
EXPLANATION:
“Scale wages” shall mean basic pay, city compensatory allowance, if any, special/
house rent/other allowances, if any, and dearness allowance payable to full time
workmen.
Part-time employees not drawing scale wages shall be eligible for only fixed monthly
payment made to them by the bank. Other part-time employees drawing scale wages
shall get only such benefits as are specifically provided hereunder:
Part-time employees should be paid wages as per the provisions of the Settlement
which will supersede any local arrangements for payment of wages to part-time
employees. Minimum, Quantum stipulated for CCA, HRA will apply to part-time
employees in scale wages on pro-rata basis (As per IBA Circular No. PD/CIR/76/90/937
dated 16-8-1989).
OTHER SERVICE CONDITIONS
18.2/10-04-1989
(a) Permanent part-time employees drawing scale wages are eligible for
leave, medical aid and uniforms.
(b) In partial modification of Clause 18.2 of the Bipartite Settlement dated

10th April, 1989, with effect from 1st November, 1999, Part Time employees
drawing scale wages shall also be eligible for reimbursement of
Hospitalisation Expenses on pro-rata basis.
(c) Permanent part-time employees drawing scale wages are eligible for
Provident Fund with effect from 01-09-1978.
138
(d) Permanent part-time employees drawing scale wages in banks other than
State Bank of India will be eligible for Gratuity.
(e) Permanent part-time employees drawing scale wages shall be eligible for
leave fare concession and leave encashment on pro-rata basis with effect
from 01-04-1989.
(Refer: IBA Cir. PD/CIR/76/90/1937)
ENCASHMENT OF P.L. - SUPERANNUATION

(Refer IBA Circular No.: PD/CIR/76/H7/V/356 dt. 26-05-2000)
FITMENT ON FULL TIME CONVERSION

18.3/10-04-1989
For fitment of part-time employees consequent on their appointment on full time basis
the pro-rata increments earned by them in the course of their part-time service shall
be converted (notionally and only for the purposes of fitment) into full increments
and their salary fitted from the date of their appointment as full time employees after
taking into account such notionally added increments, the fraction of an increment,
if any, being granted to them by advancing the date of their next increment suitably.
The advanced date of increment, will in such cases, become the date of their annual
increment in future years.
When wages of part-time employees are refixed from 1/3 to 1/2 or 3/4 or from 1/2/
to 3/4 in the wage scales, the pro-rata increments earned by them in the course of
their service in the lower proportionate wage scale shall be taken into account for the
purpose of fitment in the higher proportionate wage scale together with the benefit of
advancing the date of increment where the fraction of increment is involved as in the
case of their absorption as full time employees.
GENERAL
18.4/10-04-1989
Subject to the bank’s recruitment rules, preference will be given to permanent part-
time employees drawing scale wages in filling up full time vacancies in the same
cadre, other things being equal.
19/12-10-1970
Part-time workmen shall also be entitled to receive proportionate annual increment in

the new scales, on the same date on which the increments in the existing scales would
139
have fallen due if the existing scales were continued, so that the period of service
since the date of the last increment in the existing scales shall be available for the
purpose of calculating the period of earning an increment in the new scales of pay.
498/Sastry Award
For ordinary clerical work no bank should employ part-time workers except for the
writing of pass books in banks in which this practice now prevails.
20.4/19-10-1966
Notwithstanding anything contained in paragraph 498 of the Sastry Award for pass-
book writing, all banks will be free to employ part-time clerks as pass-book writers.
Apart from such persons already in employment, in future only students and retired
persons (but in any case no person already in employment elsewhere) will be engaged
by banks for this purpose. Their hours of work will not exceed 12 hours in a week.
(Refer IBA guidelines also)
140
CHAPTER - XX
DRIVERS
DUTIES:
SCHEDULE III/27-04-2010
Persons required to drive, maintain and effect minor repairs (not requiring a
technician’s skill) to motor cars, motor vans, station wagons, scooters, motor
cycles, or other motor vehicles.
OTHER SERVICE CONDITIONS:
SPLIT DUTY/STAGGERING
XI/17-09-1994
2. It is confirmed and clarified that the provisions contained in Clause 13 of

the Third Bipartite Settlement dated 31st October 1979 relating to staggering
of working hours and split duty allowance will continue to apply to drivers
also.
OVERTIME ALLOWANCE TO DRIVERS IN ADDITION TO HALTING

ALLOWANCE:
III/08-11-1973
(h) “Drivers required to drive the vehicles on out-station duty shall be paid
Overtime Wages for the period of actual driving beyond normal working
hours in addition to batta/halting allowance at the rates payable to them.”
HOURS OF WORK
14.2/19-10-1966
(d) Week days (excluding Saturdays) : 72 hours
Saturdays : 5 hours
LIVERIES
17.4/19-10-1966
Watchmen, Armed Guards, Electricians, Air-conditioning Plant Helpers and Drivers

shall be supplied with a pair of shoes once in two years.
141
UNIFORMS (REFER SEPARATE CHAPTER - ‘UNIFORMS’)
PRIVATE DRIVERS
20.6/19-10-1966
Bank work like transmitting cash, clearing or stationery will not be entrusted to
private drivers employed by bank officers. If as a result the services of a driver
are required for doing such bank work, the existing private drivers, if he was
already doing the bank work, shall be given preference for appointment as a
peon-cum-driver shall, whenever called upon to do so, drive any motor vehicle,
being used for the bank’s work.
142
CHAPTER - XXI
WATCH AND WARD STAFF
14.13.(a)-19-10-1966
Every member of the watch and ward staff shall be given a weekly off, on a day
convenient to the bank, in cases where such weekly off are not already being
given to them either under any enactment or under any arrangement made by
Bank. PROVIDED that in the state of Uttar Pradesh this concession will not be
available to the workmen concerned until such time as they are excluded from
the purview of Section 10(1) and other relevant provisions of the U.P. Shops and
Commercial Establishments Act, 1962 whereby 60 days privilege leave per year
has been provided for members of the watch and ward staff.
[This Proviso will also apply to the workmen concerned in other areas if the
statutory provisions applicable to them are similar to the above named provisions
of the U.P. Act.]
14.13(c)/19-10-1966
A Watchman cum peon, will, for the period during which he works as peon, be
entitled to any intervening holidays observed by the Bank.
HOURS OF WORK AND OVERTIME
14.3 (C)/19-10-1966
The hours of work of a member of the Watch and Ward Staff shall be 8 hours
in a period of 24 hours PROVIDED that the hours of work of a ‘Watchman-cum-
Peon’ for the period during which he works as a peon, as also of a peon, for the
period during which he is required to work as ‘Watchman’ or ‘Armedguard’ shall
be the same as those laid down in Clause 14.2(c) (7 hours. -- weekdays, 42
hours -- Saturdays)
NATIONAL/FESTIVAL/GAZETTED HOLIDAYS FOR WATCH AND WARD STAFF
VI/08-11-1978
In partial modification of Clause 14.13 (b) of the Bipartite Settlement dated
19-10-1966, the members of the Watch and ward Staff will be granted (10 holidays
for the year 1972). From 01-11-1973, the members of the Watch and Ward Staff
will be given (12 holidays in a calender year). The members of the watch and
Ward Staff will be granted National/Festival/Gazetted holidays calculated at the
rate of one day per month of service, in the first year of employment.
143
9/28-11-1997
(i) In partial modification of Clause 14.13(b) of Memorandum of Settlement
dated 19th October, 1966 and Clause 20 of Memorandum of Settlement dated
31st October, 1979 the members of Watch and Ward staff shall be given as
many number of holidays in a year as there are public holidays as declared
by the respective State Governments/Union Territories under the Negotiable
Instruments Act, 1881 in that year.
(ii) It is reiterated that member of the watch and ward staff will be given above
holidays on days convenient to the bank.
Note:
The above provisions shall be effective from the calendar year 1998.
SECURITY STAFF:
22(c)/10-04-1989
Armed Guards and Watchmen shall be exempted by the Union from participating
in strike/work stoppage.
DUTIES
WATCHMAN
Persons other than ‘Armed Guards’ who are required to perform watch and ward
duties, i.e., to watch or look after the premises or a department for the purposes of
its safety, security and guard against infiltration and against removal of the bank’s
property by any unauthorised person AND/OR to watch and guard as above the
movement of cash from one place to another inside the bank premises, or outside
where an Armed Guard is not employed at the Branch/Office.
ARMED GUARDS
Persons required to perform watch and ward duties, i.e., to watch or look after the
premises or department for the purposes of its safety, security and guard against
attack or assault or infiltration and against removal of the bank’s property by any
unauthorised persons AND/OR to watch and guard as above the movement of
cash from one place to another, whether inside or outside the Bank for which
purpose they are required by the Bank to carry any of the following weapons:
(i) Gun, Pistol or any other fire arm; or
(ii) Dagger, sword, khukri or spear; or
(iii) any other licensed weapon.
144
RETAINERS
Note: Retainer Peons (other than watchmen), whose names are registered in the
Bank’s licence as ‘Retainers’ will, when they perform ‘Armed Guard’ duties, be
entitled to special pay for ‘Armed Guards’ pro rata.
20.18/19-10-1966
Members of the subordinate staff whose names are registered in the Bank’s licence
for weapons, as ‘Retainers’ shall be given preference for filling up vacancies of
‘Armed Guards’.
GENERAL PROVISIONS
37(i)/02-06-2005
In supersession of clause 22(c) of Bipartite Settlement dated 10th April 1989, watch
and ward staff and employees manning installations which require round-the-clock
maintenance and surveillance on duty on days of agitation / strike action are exempt
from participating in such action.
145
CHAPTER - XXII
AGE OF RETIREMENT
XIII/17-09-1984
In reiteration of Chapter XVIII of the First Bipartite Settlement dated 19th October 1966
and similar provisions in the Settlements of other member Banks who are parties to
this Settlement, it is stated as under:
(i) FOR BANKS OTHER THAN STATE BANK OF INDIA
“After a workman has reached the age of 57 years, he may be retired after giving
him two months’ notice in writing in case his efficiency is found by the employer to
have been impaired. Subject to this rule and also subject to any rule under existing
pension fund, a workman shall not be compelled to retire before he is 60 years old
nor will it be necessary to give a workman a letter extending his services till he is
sixty years old.”
(ii) FOR STATE BANK OF INDIA
“A workman shall normally retire on reaching the age of 58 years. The Bank will,
however, grant to workman who continues to be physically fit and efficient an
extension of service upto 60 years of age, but service beyond 58 years of age will
not be countered for any purpose with or in relation to pension.”
2. DATE OF RETIREMENT
3/08-09-1983
Parties agree that for the purpose of retirement as envisaged in the said provisions,
the retirement shall take effect on the last date of the month in which he completes
such age.
146
CHAPTER - XXIII
RETIREMENT BENEFITS
PROVIDENT FUND
10/29-10-1993
Employees who opt for pension scheme shall only contribute to the provident fund
at the rate of 10% of basic pay only with effect from 1st November, 1993 with no
contribution by the employer.
14(i)/31-10-1979
Parties agree that permanent part-time employees who are required by the Bank to
work for more than 6 hours a week will be eligible for Provident Fund. Provident Fund
Provisions will come into effect from 01-09-1978.
PROBATION PERIOD
504/S.A.
The period of probation should be added to the years of permanent service for purpose
of grant of gratuity or pension though Provident Fund contribution on both sides will
commence only from the date of confirmation.
368/SASTRY AWARD
(1) The provident fund should obtain recognition under the Indian Income Tax
Act, 1922 and for this purpose the rules under the provident fund should not
be contrary to any rules laid down under the Indian Income-Tax Act. When
a Bank for reasons of its own does not choose to get the Provident Fund
recognised under the provisions of the Indian Income-Tax Act the burden
of the Income Tax to the extent to which the employees would not have to
bear if the fund were a recognised fund must be borne by the banks and
not passed on to the employees.
(2) All whole-time employees of the Bank other than personal or domestic
servants, if any, should be allowed the benefit of the fund as and from the
date of confirmation in service.
(3) There should be no minimum amount of salary or remuneration fixed for

any employee to become eligible to join the provident fund.
(4) Every eligible employee shall be required to subscribe to the fund in

accordance with the rules.
147
(5) The rules should provide for every subscriber to the fund nominating a person
or persons either belonging to the subscriber’s family or dependant on him
to receive the amount that may stand to the credit of his fund in the event
of his death occurring before the amount has become payable.
(6) Each subscriber shall be given a pass book in which shall be entered the
amounts to his credit, made up of his contribution and the Bank’s contribution
and the interest earned on the total money in his account. The advances
taken, if any, and the repayments made should also be entered therein.
The subscription due from each subscriber shall be realised by monthly
deductions from his emoluments.
(7) Every subscriber shall subscribe monthly to the fund when on duty. The
payment of subscription during leave shall be optional. Pay means basic
pay, special allowance and officiating allowance, if any.
(8) The Bank shall make a monthly contribution to the account of each subscriber
equal to the amount subscribed by the workman and such contribution shall
be credited to the fund not later than fifteen days after the subscription is
deducted from his emoluments.
(9) The fund shall be administered by a Board of Trustees on which the workmen
also should have representation to the extent of 1/4th of the total strength
of the Board.
(10) Moneys of the fund not immediately required for purpose of the fund and
held in a Bank account shall be invested by the Board in any securities for
the time being authorised under the Indian Income-Tax Act, 1922 and the
Trusts Act 1882 and the rules made thereunder in respect of the investments
of moneys of the provident fund recognised under the Indian Income Tax
Act, 1922. Compound interest with half yearly rests will be allowed. Interest
earned on the moneys of the fund shall be credited to the account of the
individual subscriber. The Banks however shall have the liberty to contribute
other amounts at their discretion.
(11) Withdrawals by workmen and repayments by them shall be governed by
the rules relating to such matters framed under the Indian Income-Tax Act,
1922, as conditions for recognition of Provident Funds under Section 58(c)
of the Act.
(12) If a subscriber dies or for other reasons ceases to be a subscriber, the
amount standing to his credit in the Fund including interest upto date shall
become payable to him or his nominee, subject to any withdrawal made
under rule 11.
148
(13) No claim shall be entertainable against the Fund if made more than three
years after the date on which the amount due became payable.
(14) Any amount due from the fund shall cease to bear interest after three months
from the date on which the amount became payable.
(15) Payments under rule 12 to the employee or his nominees in the event of his
death, shall be made within one month of the date on which they fall due.
In the case of death of an employee who has no subsisting nomination it
shall be competent for the Board to pay the amount due to the natural heir
or heirs of the deceased employee provided the Board is satisfied as to the
heirship of the claimant or claimants.
(16) (i) Subject to the provisions of sub-rule (ii) no deduction shall be made from
the amount standing to the credit of a subscriber when final payment is
made to him or his nominees except as otherwise provided for in this
scheme.
(ii) a) A subscriber who has put in ten years of service and over shall be
paid the full amount of the Bank’s contribution with interest.
b) Those who have served five years and more but less than ten years
shall be entitled to the bank’s contribution at the rate of ten per cent
of such contribution with interest for each completed year of service.
7.32/DESAI AWARD
The Labour Appellate Tribunal has referred to “Certain undesirable features” in
connection with the provisions contained in the Sastry Award laying down that those
who had served the bank for less than five years would not be entitled to any portion
of the bank’s contribution or interest thereon. Where an employee dies before the
completion of the period of five years or where he is retrenched by the employer within
the aforesaid period, or where his services are terminated on account of illness or
physical disability or for reasons beyond his control, it is but fair that he or his heirs
or legal representatives or nominees should receive the full amount standing to his
credit in the provident fund including the employer’s contribution therein with interest
thereon, and I direct accordingly. Except to the extent indicated above, provision
relating to five years’ service is not required to be altered.
368/SASTRY AWARD
(17) There shall be no forfeiture of any amount due to a workman under this
scheme excepting in such cases where he is dismissed for misconduct
causing financial loss to the employer, and in such cases, limited only to
the extent of such financial loss.
149
369/SASTRY AWARD
The banks are directed to have an appropriate scheme on the above lines with liberty
to add such other provisions as are necessary and not repugnant to the provisions
laid down by us.
7.38/DESAI AWARD
I direct that the banks will supply to each workman either a pass book or an annual
statement of account in connection with the workman’s provident fund account.
7.39/DESAI AWARD
It is fair that every employee who is subscribing to a provident fund should be
supplied with a copy of Provident Fund Rules by the bank concerned, and I direct
accordingly.
DEFINITION OF ‘PAY’
6(i)/27-03-2000
Allowances hitherto termed as Special Allowance, Graduation Allowance, Professional
Qualification Allowance and Officiating Allowance which are in the nature of ‘pay’,
attracting Dearness Allowance and ranking for superannuation benefits shall
henceforth be termed as Special Pay, Graduation Pay, Professional Qualification Pay
and Officiating Pay, respectively.
6/02-06-2005
‘Pay’ for the purpose of D.A., HRA and Superannuation benefits shall mean Basic
Pay, Stagnation increments, Special Pay, Graduation Pay, Professional Qualification
Pay and Officiating Pay, if any.
Note:
IV shall rank for superannuation benefits.
6/27-3-2000
Note:
(ii) For workmen who were in service in Area I as on 31st December, 1969,
and entitled to receive CCA, only that amount of CCA which would
have been payable to them as per the terms and conditions as applicable then,
shall rank for Provident Fund to the extent of 50% subject to a maximum of
`30/- p.m.
150
III/17-09-1984
(B) (i) For workmen who were in service in Area 1 (other than Nagpur and Pune)
as on 31st December, 1969 and entitled to receive CCA, only that amount
of CCA which would have been payable to them as per the terms and
conditions applicable prior to this settlement, shall rank for calculation of
overtime, bonus and provident fund as under:
100% for overtime;
100% for bonus : and
50% subject to a maximum of `30/- per month for provident fund
contributions.
15/02-06-2005
In supersession of Clause 15 of the Bipartite Settlement dated 27th March, 2000, w.e.f.
1st November, 2002 the rate of Provident Fund shall be at 10% of pay.
15/27-04-2010
(a) While the employees who are presently covered under the Pension Scheme and
those who will join the Pension Scheme in terms of option being made available
under Settlement dated 27th April, 2010 shall continue to contribute 10% of the
Pay towards Provident Fund, there shall be no matching contribution.
(b) Employees of State Bank of India will continue to be covered by Contributory

Provident Fund Scheme as hitherto.
(c) Employees who are presently covered under Contributory Provident Fund
Scheme who do not opt for Pension Scheme being made available under the
Settlement dated 27th April, 2010 shall continue under the Contributory Provident
Fund Scheme as hitherto.
(d) There shall be no Provident Fund to employees joining the services of banks
on or after 1st April 2010. They shall be covered by a Defined Contributory
Pension Scheme, where the employee will contribute 10% of Pay plus Dearness
Allowance and the bank will make a matching contribution. The Scheme shall be
governed by the provisions of the Contributory Pension Scheme as introduced
for employees of Central Government with effect from 1st January 2004 and
modified from time to time.
151
GRATUITY
8.31/DESAI AWARD
Gratuity shall become payable (i) on the death of an employee whilst in service of the
bank, the amount of gratuity being payable to the heirs, executors, administrators or
assigns of the employee or, in case he has executed a nomination paper in the form
prescribed by the bank to the nominee of the employee; (ii) on an employee becoming
physically or mentally incapable of further service or on termination of his service by the
employer; (iii) on voluntary retirement or resignation, after ten years’ continuous service.
8.32/DESAI AWARD
In connection with an employee serving in ‘A’ Class bank the amount of gratuity shall
be equal to one month’s pay for each completed year of service subject to a maximum
of fifteen months’ pay. In connection with an employee serving in a ‘B’ Class bank,
the amount of gratuity shall be equal to one month’s pay for each completed year of
service subject to a maximum of 12 months’ pay where however a workman employee
in any of the aforesaid banks has put in the service of over thirty years, an extra
amount by way of additional gratuity will become payable at the rate of additional half
month’s pay for each completed year of service beyond thirty years. To that extent
the maximum provided under the aforesaid clauses will stand increased.
8.33/DESAI AWARD
The length of service shall be calculated as the total period from the day of initial
appointment (whether permanent, temporary or on probation) in the bank to the day
of cessation of the bank’s service. In cases where employees formerly employed in
areas now forming part of Pakistan have been re-employed in India after 15th August
1947, even though there might be a break in their service the aggregate of the period
of service in both areas should be taken as the total period of service.
8.36/DESAI AWARD
Gratuity should be paid to a workman even if he enters the service of another bank,
notwithstanding any condition to the contrary in any scheme.
8.37/DESAI AWARD
The banks will be at liberty to pay gratuity in excess of what is herein provided.
8.38/DESAI AWARD
Income-Tax and Super-Tax, if any, payable on the amount of gratuity will not be borne
by the bank.
152
8.39/DESAI AWARD
Where there is a pension scheme in existence the workmen will have to choose
between the scheme of gratuity under this award and the bank’s pension scheme
unless any bank desires to give the benefit of both to the workmen. It is not the
intention of this Tribunal to replace a more favourable pension scheme wherever it
exists by the scheme of gratuity under this award or provide compulsory gratuity in
addition to pension as a third retiring benefit.
8.40/DESAI AWARD
The Bombay Exchange Banks’ Association has submitted that I should not give any
directions as regards the Exchange Banks regarding pension and gratuity “save
that at the time of retirement an employee shall have the right to opt for the bank’s
pension or retiring allowance scheme or the award prescribed gratuity” I direct that
so far as Exchange Banks are concerned an employee will have the right to opt for
banks pension or retiring allowance scheme or the gratuity prescribed under this
award at the time of cessation of his employment with the bank. As regards banks
other than the Exchange Banks which have pension or retiring allowance scheme,
an employee will have a right to exercise the option in accordance with such rules as
may be provided by the bank concerned and in the absence of any rules at the time
of cessation of employment. In the case of the death of an employee the option will
be liable to be exercised by his legal representative.
12.1/19-10-1966
The provisions of the Desai Award on Gratuity shall continue except that in supersession
of paragraphs 8.34 and 8.35 thereof, pay for the purpose of calculating the gratuity
shall be the average of the basic pay (100%) and special allowance and officiating
allowance payable during the 12 months next preceding death, disability, retirement,
resignation or termination of services, as the case may be.
12.2/19-10-1966
There will be no forfeiture of gratuity for dismissal on account of misconduct except
in cases where such misconduct causes financial loss to the bank and in that case
to that extent only.
14(i)/31-10-1979
Parties agree that permanent part-time employees who are required by the bank to
work for more than 6 hours a week will be eligible for Gratuity.
20/10-4-1989
The existing Gratuity Schemes of the banks shall be modified to the extent that service
rendered beyond the completed years of service shall also be reckoned for gratuity
153
purposes if it is 6 months and more but less than 1 year.
(Min. Service - 10 years but not 9 years 6 months - Refer IBA circular)
GRATUITY AS PER AWARD / BIPARTITE SETTLEMENT
Payable on - Death of an employee

- Employee becoming incapacitated
- Termination of Service
- Retirement on superannuation
- Voluntary Retirement/Resignation after 10 years service
Amount - One month pay for each completed year of service (max)
15 months’ pay plus 2 month pay for each year beyond 30
years of service
Pay = Average of Basic pay + Special Pay + Officiating Pay +
PQA + Increment portion of FPP of the last 12 months.
Example : 10 Years Service 10 Months’ Pay

15 Years Service 15 Months’ Pay
32 Years Service 15 + (2 X 2) = 16 Months’ Pay
40 Years Service 15 + (10 X 2) = 20 Months’ Pay
Note: 1. Service of 6 Months and above will be reckoned as one year service.
2. Gratuity cannot be forfeited even in case of dismissals. But if there is any
loss to the bank on account of the misconduct, the loss can be recovered
from the gratuity payable.
3. Part - time employees (3rd and above) are eligible for gratuity.
GRATUITY AS PER GRATUITY ACT: 1972
PAYABLE ON - Retirement on superannuation
- Resignation after 5 years service
- Death
- Disablement
AMOUNT - 15 Days’ wages x Number of years of service
(w.e.f. 24-05-2010) Maximum `10,00,000/-
NOTE - Wages=Basic Pay + DA + Spl. Pay + PQP + Officiating
Pay + FPP (Increment portion)
- 1 day Wage = Monthly Wage Divided by 26
154
FORFEITURE - Gratuity can be forfeited for termination of service due to
riotous or disorderly conduct, violence or moral turpitude
Section 2(e) of the Gratuity Act has been amended removing the ceiling of
`3,500/- for wages. Similarly, Section 4, Sub Section (3) has been amended increasing
the ceiling on Gratuity payable to `10,00,000/-.
In terms of Section 4(5) of the Gratuity Act, an employee has the right to receive
Gratuity either under the Act or under any Award/Settlement/Rules whichever is
more beneficial.
(Refer IBA Cir - PD/CIR/76/G3/162 dt.3-5-2000, PD/CIR/76/G(iii)/563 dt. 4-08-1998,
IBA Cir. PD/Cir/76/g(iii)/1471 dt. 28-11-1996 & IBA Cir. HR & IR/Cir/76/G (iii)/ 417
dt. 28-05-2010)
GRATUITY CHART
PAYMENT OF GRATUITY FOR CLERKS & SUBSTAFF FROM 01-11-2007
(Gratuity under Gratuity Act or BPS provisions whichever is higher is payable)
Gratuity Amount under the Act Gratuity amount under BPS

{ Pay+DA
26 } x 15 days x No. of
years of service
Pay x No. of years of service
i) One month pay for one year of service
ii) Max. 15 months’ Pay upto 30 years service
Max.: (i) `3.50 lacs (till 23.05.2010) iii) Above 30 years, 2 month’s pay per year
(ii) `10.00 lacs (w.e.f. 24.05.2010) of service
iv) No ceiling
Payable under the Act Payable under BPS
From 01-11-2007
New Basic Pay New Basic Pay
New PQP New PQP
New Spl. Pay New Spl. Pay
New Officiating Pay New Officiating Pay
New DA DA - not eligible
New FPP (increment portion) New FPP (increment portion)
Gratuity under BPS provisions are also applicable from 01-11-2007.
Gratuity for all employees who have retired from 01-11-2007 onwards will be recalculated
both under the Gratuity Act and as per the BPS on the revised emoluments/ wages
and arrears wherever payable will be paid.
155
15(i)31-10-1979
Parties agree that workman would be entitled to encash the accumulated leave to his
credit at the time of retirement.
15(ii)/31-10-1979
Parties further agree that if a workman dies in service, his heirs will be paid salary for
the leave accrued to him at the time of death.
(9)/29-06-1990
It is clarified that with effect from 1st January, 1990, in terms of clause 15 of the
Settlement dated 31st October, 1979, a workman at the time of his retirement; or his
heirs, in the event of his death would be entitled to encashment of the accumulated
privilege leave upto the maximum of 240 days.
PENSION
Refer Chapter XXVIII on Pension Regulations
[Note: Pension Settlement was signed on 29th October, 1993]
16/27-03-2000
In relation to an employee who retires or dies while in service on or after the 1st day of
April, 1998 ‘Pay’ for the purpose of Pension shall be the aggregate of the pay drawn
by the member of the award staff in terms of the Sixth Bipartite Settlement dated
14th February, 1995 and the dearness allowance thereon calculated upto index number
1616 points in the All India Average Consumer Price Index for Industrial Workers in
the series 1960=100. This shall be subject to the necessary amendments to be made
to the relevant provisions of Bank (Employees’) Pension Regulations, 1995.
Note :
(i) The increment component of FPA as given in column 2 of Schedule IV

shall rank for superannuation benefits.
(ii) For workmen who were in service in Area - I as on 31st December 1969,
and entitled to receive CCA, only that amount of CCA, which would have
been payable to him as per the terms and conditions as applicable then,
shall rank for Provident Fund to the extent of 50% subject to a maximum
of `30/- p.m.
156
16/02-06-2005
In respect of an employee other than the employee in State Bank of India, who is
a member of the Pension Fund, who retires or dies while iin service or otherwise
ceases to be in employment on or after the 1st May, 2005, ‘Pay’ for the purpose of
pension shall be the pay as in clause 6 of this settlement. This shall be subject to the
necessary amendments to be made to the relevant provisions of Bank (Employees’)
Pension Regulations, 1995.
Note: The Bank (Employees’) Pension Regulations, 1995 does not apply to the
employees of State Bank of India.
PENSION (IN BANKS OTHER THAN STATE BANK OF INDIA) W.E.F. 01-04-2010
16/27-04-2010
1. It is agreed between the parties that the terms of the Bank Employees’
Pension Regulations, 1995 dated 29th September 1995/26th March 1996 shall
not apply to the employees who join the services of Banks on or after 1st April
2010 ; and they shall be covered by a Defined Contributory Pension Scheme,
which shall be governed by the provisions of the Contributory Pension Scheme
introduced for employees of the Central Government w.e.f. 1st January 2004, and
as modified from time to time. Necessary amendments to the relevant provisions
of the Bank Employees’ Pension Regulations, 1995 dated 29th September
1995/26th March 1996 shall be carried out following the procedure in this regard.
2. Further to Clause 6 of the Bipartite Settlement dated 2nd June 2005, it is agreed
between the parties as under:
(i) With effect from 1st May 2005, the pension of employees who retired or
died while in service during the period 1st April 1998 to 31st October 2002
will be re-fixed based on the definition of ‘Pay’ as defined in Clause 6(iii)
of the Bipartite Settlement dated 27th March 2000. No arrears of pension
and commuted value of pension will be payable on account of such
re-fixing of pension.
(ii) With effect from 1st May 2005, the pension of employees who retired or
died while in service during the period 1st November 2002 to 30th April 2005
will be re-fixed based on the definition of ‘Pay’ as defined in Clause 6 of
the Bipartite Settlement dated 2nd June 2005. No arrears of pension or
commuted value of pension will be payable on account of such re-fixation
of pension.
157
3. Further to Clause 7(2) of the Bipartite Settlement dated 2nd June 2005, it is
agreed between the parties as under:
(i) On and from 1.5.2005, in the case of employees who retired during the
period 1.4.1998 to 31.10.2002, dearness relief shall be payable for every
rise or be recoverable for every fall, as the case may be, of every 4 points
over 1684 points in the quarterly average of the All India Average Consumer
Price Index for Industrial Workers in the series 1960=100. Such increase
or decrease in dearness relief for every said four points shall be calculated
in the manner given below:
Scale of Basic Pension The rate of Dearness Relief payable
Pension per month as a percentage of Basic
(i) Upto `3550 0.24 per cent
(ii) `3551 to `5650 0.24 per cent of pension exceeding `3550
plus 0.20 per cent of the basic pension in
excess of `3550
(iii) `5651 to `6010 0.24 per cent of `3550 plus 0.20 per cent
of the difference between `5650 and
`3550 plus 0.12 per cent of basic pension
in excess of `5650
(iv) Above `6010 0.24 per cent of `3550 plus 0.20 per cent
of the difference between `5650 and
`3550 plus 0.12 per cent difference between
`6010 and `5650 plus 0.06 per cent of
basic pension in excess of `6010
(ii) In respect of retirees for the period 1.11.2002 to 30.4.2005 for whom pension
has been revised w.e.f. 1.5.2005 based on definition of pay in terms of Clause
6 of the Bipartite Settlement dated 2nd June 2005, dearness relief shall be
payable w.e.f. 1.5.2005 for every rise or be recoverable for every fall as
the case may be of every four points over 2288 points in the quarterly
average of All India Average Consumer Price Index for Industrial Workers
in the series 1960=100 @ 0.18% of the basic pension.
(iii) In respect of employees who retire on or after 1.5.2005, dearness relief
shall be payable for every rise or be recoverable for every fall, as the case
may be, of every four points over 2288 points in the quarterly average of
the All India Average Consumer Price Index for Industrial Workers in the
series 1960=100, at the rate of 0.18 per cent of basic pension.
158
DEARNESS RELIEF ON PENSION
With effect from 1st November, 2012, in respect of employees who retired or died
while in service on or after 1st November, 2012, Dearness Relief shall be payable at
0.10% of the Basic Pension or Family Pension or Invalid Pension or compassionate
allowance as the case may be. Dearness Relief in the above manner shall be paid
half yearly for every rise or fall of 4 points over 4440 points in the quarterly average
of the All India Consumer Price Index for industrial workers in the series 1960=100.
Note:
The Dearness Relief as above shall be payable for the half year commencing from
the 1st day of February and ending with 31st day of July on the quarterly average of
index figures published for the months October, November and December of the
previous year and for the half year commencing from 1st day of August and ending
with the 31st day of January on the quarterly average of the index figures published
for the months of April, May and June of the same year.
Pension for Part-time Employees
With effect from 1st November 2012, for the purpose of calculating the amount of
pension in respect of permanent part time employees in scale wages who are covered
by the Pension Scheme, their actual service shall be reckoned for qualifying service
and not pro rata. The actual service/qualifying service shall be calculated from the date
of recruitment/appointment as permanent part time employee in scale wages or from
1st September 1978 whichever is later.
6/27-04-2010
DEFINITION OF PAY:
In reiteration of Clause 6 of the Bipartite Settlement dated 2nd June 2005, ‘Pay’
for the purpose of D.A., HRA and superannuation benefits shall mean Basic Pay,
Stagnation increments, Special Pay, Graduation Pay, Professional Qualification Pay
and Officiating Pay, if any.
Note:
IV shall rank for superannuation benefits.
159
CHAPTER - XXIV
COMPUTERISATION / MECHANISATION AND
TECHNOLOGICAL UPGRADATION
31/02-06-2005
In supersession of all subsisting industry level settlements relating to Computerisation

and Mechanisation for the time being in force it is hereby agreed between the parties
as follows:
a. In the matter of computerisation of banks’ business and technological upgradation

of its operations, banks may decide on the level, type, scope and extent of
application, function and location of state-of-the-art technology and equipments
to the extent necessary.
b. Arising out of business process re-engineering necessitated by introduction of
state-of-the-art technology and equipments, banks may redesign and assign role,
duties and responsibilities to their staff within the provisions of the settlement.
c. Banks may utilise the services of staff for marketing and selling of different products
of Banks / their subsidiaries / joint ventures or any other product of any agency/
entity with whom the banks may have arrangements, based on their business
needs and requirements,
d. Banks may acquire/modify/change or discontinue businesses and business
processes, wherever necessary.
e. Banks may, arising out of technology, review the existing jobs, and work processes,
systems and procedures and re-engineer them,
f. Banks may switch to the single window and such other system of operations
wherever so decided.
g. Banks may adopt new systems and procedures which are demanded/facilitated
by latest technology solutions such as networking of branches and centralised
accounting, shared operations centres, call centers, processing centres, acting
on electronically communicated messages, dependence on digital/electronic
signatures and the like.
h. While it shall be the banks’ endeavour to retain/re-skill staff and to develop in-
house competencies, they may outsource IT and its related activities in respect
of specialised areas where in-house capability is not available.
160
i. The selection and/or placement of staff for work to make the fullest and most
efficient use of the computerised systems/ devices/ equipments etc. will be based
on combination of skill tests, aptitude test, hands-on test and suitability, to be
determined by the bank.
j. The bank may, depending upon its requirements, resort to round-the-clock and
seven-days-a-week working and staggering of working hours at its branches/
offices/service units.
k. It is clarified that the Computer Operators may be assigned any other routine
duties of their cadre as already provided in subsisting Bipartite Settlements.
l. Where a female operator who is in the family way desires to discontinue working
on Computer during the period of her pregnancy, she will be exempted at her
written request from operating the Computer, The special pay shall not be paid
to her for the period during which she is on duty but exempted from operating the
Computer, but shall be paid during the period of her leave of any kind subject to
her acceptance to perform duties as Computer Operator on resumption.
m. There will be no retrenchment on account of computerisation. Staff displaced at

a centre/ place as a result of computerisation / mechanisation shall be deployed
in terms of this settlement.
Note:
In case of State Bank of India, the extant provisions of Settlement dated 22nd July
2003 arrived at Bank level with the Al! India State Bank of India Staff Federation on
Technology, Redeployment/Transfer of Staff and Other Issues shall remain unchanged
and shall remain operative.
161
CHAPTER - XXV
MISCELLANEOUS PROVISIONS
IMPROVEMENT IN WORKING IN BANK’S BRANCHES/OFFICES ETC.
XVIII/17-09-1984
1. Having regard to the vital role of the banking industry in the national
economy and the various social and economic responsibilities including
implementation of National programmes they have been entrusted with from
time to time, parties agree that there is a need to improve housekeeping
in the offices/branches of banks throughout the country, to ensure efficient
cordial and speedy customer service at all times in the banking industry
and to promote harmonious industrial relations and better discipline at all
levels.
2. (1) Every Workman shall take all possible steps to ensure and protect
the interest of the bank and discharge his duties with utmost integrity,
honesty, devotion, and diligence.
(2) Every workman shall be at his place of work, commence the allotted
work at the time fixed and notified, work for the full prescribed hours
of work and give maximum output.
(3) Unions agree that the authority of the branch manager/officer-in-
charge in matters like deployment of staff from time to time and
enforcement of rules of the bank in the matter of discipline, customer
service and the like, shall be respected by all the workmen so as to
ensure the day-to-day smooth and efficient functioning of the branch/
office/department is not adversely affected. If however, there be any
grievance or dissatisfaction in regard to the handling of such matters
by the Branch Manager or any other authority or in regard to the
exercise of such authority, the matter shall be resolved expeditiously
and amicably through mutual discussions with the Branch Manager
or the authority concerned either by the aggrieved workman himself
or by the office-bearer (s) of the concerned union or its unit avoiding
dislocation of customer service.
Managements discourage abuse of authority on the part of any branch
manager or other authority concerned.
Unions deprecate use of any violence or abusive language or
vulgar slogans by name against individual officers or their family
members.
162
22/14-02-1995
(i) Every workman shall take all possible steps to ensure and protect the
interest of the bank and discharge his duties with utmost integrity, honesty,
devotion and diligence. Further, the unions exhort their members to make
all out endeavours for betterment of customer service and to contribute
towards bank’s efforts for enhancing customer satisfaction.
(ii) The Unions reiterate that every workman, without exception, (except where
exempted specifically under any written communication/order of the bank
management), shall be at his place of work, commence the allotted work
at the time and give maximum output.
(iii) The unions discourage any type of borrowings by the employees from the
Bank’s clients.
(iv) Management shall take necessary measures to provide effective customer
service. The management and the Unions jointly shall take expeditious
steps for resolving legitimate grievances of the employees in the interest
of harmonious industrial relations.
(v) In furtherance of the objective towards improvement in working, parties
reiterate that what has been stated in Annexure 1 to the Settlements
dated 31st October 1979, and 17th September, 1984, form part of service
conditions. Any observance of any restrictive practice mentioned therein,
shall constitute a misconduct. The delinquent employee shall be liable
for disciplinary action for gross or minor misconduct depending upon the
circumstances in each case.
The gross/minor misconduct as stated in this Clause shall be in addition to gross/
minor misconduct listed under Clause 21(ii) and (iii) of this Settlement.
(A) IMPROVEMENT IN CUSTOMER SERVICE:
22/10-04-1996
Both the managements and the unions appreciate the need to improve the customer
service and the working of the offices of the banks. To achieve this, both sides agree
to maintain cordial industrial relations. The unions also appeal to the employees to
render full day’s work and extend courteous and prompt customer service.
GODOWN INSPECTORS
2.14/19-10-1966
In future godown inspection duty shall not be entrusted to any one lower than a
“Head Cashier Category E” or “Special Assistant”. Consequently, it will be open to
163
withdraw the godown inspection duty from a workman who is at present performing
it, if his status is lower than a “Head Cashier Category E” or “Special Assistant”.
This, however, will not preclude a bank requiring a workman to accompany and
assist the person inspecting godown(s).
CONVERSION OF CASHIERS AND TYPISTS
20.15/19-10-1966
Requests from clerks in Cash Departments for transfer out of the Cash Department
(where such workmen, by the terms of their employment, are not liable to such
transfers) and the requests of typists for transfer to non-typing clerical work will
be considered sympathetically on merits.
NIGHT CLEARING
6/31-10-1979
The parties to the Settlement are agreeable in principle to the introduction of
a night shift for the clearing departments for night clearance of cheques in the
major cities in the country. The details of the scheme along with the allowances
to be paid to the employees who attend the night shift will be discussed further
and settled between the parties.
BUSINESS HOURS
21/27-03-2000
In supersession of Clause 22(b) of the Bipartite Settlement dated 10th April, 1989,
it is agreed that it is the managements’ prerogative to introduce extended business
hours, shift system in branches and seven day banking modules depending upon
the business potential, the needs and aspirations of the customers etc. without
affecting the total working hours of employees subject to statutory provisions of
Shops and Establishments Act, wherever applicable.
COMBINED DESIGNATIONS
20.2/19-10-1966
An employee with combined designations will be entitled to the appropriate
special allowance if an allowance is provided for in this Settlement for either of
his designations.
20.3/19-10-1966
In banks where it is the practice to appoint only godown keepers for attending to
godown work, it is understood that in the Area III offices having a complement of
164
not more than three clerks (other than the in-charge of the office), any person who
is not a member of the subordinate staff may be required, in leave arrangements
to perform godown-keepers duties.
1/31-10-1979
(i) There should be no restriction on combination of designations at
rural branches. A rural branch will be an office situated at a centre
with a population of less than 10,000. Having regard to the special
characteristics of these branches, the management shall be free to
work out the staffing pattern based on the needs of the organisation.
It is hereby clarified that
a. Where a person has been appointed as a ‘clerk-typist’ it will be a
combined designation.
b. Entrustment of duties attracting special allowance will not amount to
granting an additional designation.
19/14-02-1995
In partial modification of Clause 20.1 of Bipartite Settlement dated 19-10-1966,
Clause VIII of Bipartite Settlement dated 08-11-1973 and Clause IX (1) of Bipartite
Settlement dated 31-10-1979.
(i) As in the case of rural branches there shall be no restrictions on
combination of designations at semi-urban branches.
(ii) In case of workman employees recruited hereafter, restriction of designation
shall not apply and they shall be required to perform any duty of the cadre
as per vacancies advertised or appointment letters issued.
STANDING ORDERS
561/S.A.
The directions given by us in various matters that fall under “Standing Orders”
taking the term in its wider significance should be understood as being subject
to the provisions of any law for the time being in force. Thus the provisions of
Section 33 of the Industrial Disputes Act, 1947 will apply if there be an industrial
dispute and the dispute is referred to conciliation or to a tribunal for adjudication.
RETRENCHMENT OF SUPERFLUOUS WORKMEN
507/S.A.
1. Retrenchment of superfluous workmen should be on the principle of
“last to come and first to go” subject to the qualification that the junior-
most also happens to be the least efficient.
165
2. In deciding who is the junior-most among the superfluous, A and B
class banks should take the town as the unit.
3. To avoid all suspicion of victimization no employee who has been
transferred and working in the new place for less than six months may
be retrenched.
SEARCH
510/S.A.
We direct that an officer appointed for the purpose by the Manager shall have the
power to search or cause to be searched, an employee when the latter leaves
the premises of a bank, provided that the person of a female employee shall not
be searched by or in the presence of a male, and that every search shall be
conducted in the presence of not less than two persons.
TEMPORARY STOPPAGE OF WORK
511/S.A.
1. In the event of a fire, catastrophe, an epidemic, civil commotion or other

cause beyond the control of the bank, it may at any time, without notice
or compensation in lieu of notice, close down, as the event may require,
the bank or any branch, department or part thereof for a reasonable
period.
2. An employee affected by a stoppage under Clause (1) above shall be

deemed to be on privilege leave to the extent such leave is admissible;
and for the balance of period, except where his services, are dispensed
with he shall be deemed to be on leave without pay.
MAINTENANCE OF SERVICE BOOKS
516/S.A.
We think that in the case of every employee except on who is engaged on a

part-time basis, whether he is temporary employee, a probationer or a permanent
employee, a service book should be maintained, containing atleast the following
particulars; name, date of birth, identification marks, entry into service as a
temporary employee or probationer, confirmation or permanent appointment, pay
on such occasions, promotion, pay on promotion, disciplinary action, if any, taken,
any remarks about his efficiency or character made by his superiors, leave taken
or absence from duty, officiating or acting appointments and deputation, if any
166
with dates wherever possible, resignation or retirement. When adverse remarks
are made against an employee, a gist thereof should be communicated to him in
writing with the least possible delay. We direct accordingly.
REDRESSAL OF GRIEVANCES
517/S.A.
1. An employee desirous of the redress of a grievance relating to unfair
treatment or wrongful exaction on the part of the bank or a superior shall
either himself or through a representative of registered union, submit a
complaint to the Manager or any officer appointed by the manager in his
behalf. The employee, shall also have the right to endorse a copy direct
to the head of the department for information.
2. The manager or such officer shall, as soon as possible investigate the
complaint at such times and places as he may fix. The employee concerned
or the representative of the union shall have the right to be present at
such investigation. A copy of the proceedings shall be supplied to him if
he asks for one.
Provided that complaints relating to assault or abuse by any person
holding a supervisory position or refusal of any application for urgent
leave shall be enquired into immediately by the manager or by such
officer as he may appoint in his behalf.
SERVICE CERTIFICATE
518/S.A.
Every employee who leaves service or retires or is dismissed or discharged shall
without avoidable delay be given a service certificate.
ISSUE NOTICES AND ORDERS
519/S.A.
Notices which are required to be given shall be served individually on the
employees affected and their acknowledgments taken, and shall also be exhibited
on the notice boards of the bank at the offices or establishments concerned. Such
notices as are so exhibited shall be in English and also in the principal language
of the district or locality in which each such office or establishments is situated.
Any notice, order, charge-sheet, communication, or intimation which is meant
for an individual employee shall be in a language understood by the employee
concerned. In the cases of an absent employee notice shall be sent to him by
registered post, with acknowledgment due.
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XIV (4)/17-09-1984
In partial modification of clause 19.16 of the First Bipartite Settlement dated
19th October 1966 and corresponding provision in any Award or Settlement of
any bank, where any notice, order, charge-sheet, intimation or any other official
communication which is meant for an individual employee is sent to him by
registered post acknowledgement due at the last recorded address communicated
in writing by the employee and acknowledged by the bank, the same is to be
deemed as good service.
PROCEDURE FOR TERMINATION OF EMPLOYMENT
522/S.A.
1) In case not involving disciplinary action for misconduct and subject to
Clause (6) below, the employment of a permanent employee may be
terminated by three months’ notice or on payment of three months’ pay
and allowances in lieu of notice. The services of a probationer may be
terminated by one month’s notice or on a payment of a month’s pay and
allowances in lieu of notice.
2) A permanent employee desirous of leaving the service of the bank shall
give one month’s notice in writing to the manager. A probationer desirous
of leaving the service of the bank shall give 14 days’ notice in writing
to the manager. A permanent employee or a probationer shall, when he
leaves service, be given an order of relief signed by the manager.
3) If any permanent employee leaves the service of the bank without giving
notice, he shall be liable to pay the bank one month’s pay and allowances.
A probationer, if he leaves service without giving notice, shall be liable
for 14 days’ pay and allowances.
4) The services of an employee other than a permanent employee or
probationer may be terminated and he may leave service, after 14 days’
notice. If such an employee leaves service without giving such notice,
he shall be liable for a week’s pay (including all allowances).
5) An order relating to discharge or termination of service shall be in writing
and shall be signed by the manager. A copy of such order shall be
supplied to the employee concerned.
6) In cases of contemplated closing down or retrenchment of more than
five employees, the following procedure shall be observed:-
(a) Two months’ notice of such proposed action shall be given individually
to all the employees concerned, with statement of the reasons for
such proposed action;
168
(b) The manager or an officer empowered in this behalf shall within the
period of such notice hear any representation from the employees
concerned or any registered union of bank employees;
(c) After the hearing of such representation and receipt of a report in the
matter, if necessary by the management, if it decides to give effect
to the contemplated closing down or retrenchment in the original or
an amended for, the services of the employee may be terminated
by giving notice or payment in lieu thereof for the periods prescribed
above.
524/S.A.
We have already provided for gratuity being given in the case of termination of
the services of a workman who has put in 10 years service and more. For other
cases, we direct that compensation should be paid on the following scale:-
(1) Temporary employees who are engaged for indefinite periods shall be
entitled to one months pay and allowances. Where, however, temporary
employees are engaged for definite periods which are mentioned in their
appointment letters, no compensation will be payable.
(2) Permanent employees will be entitled to half a month’s pay and allowances
for every completed year of service, subject to minimum payment of two
months’ pay and allowances.
(3) Income-tax and Super-tax, if any, on compensation under Clause (1) and
(2) above shall be borne by the bank.
(4) These payments will be in addition to such pay and allowances as may
be due to lieu of previous notice of termination where such notice is not
given.
TEMPORARY GODOWN-KEEPERS
20.13/19-10-1966
Temporary godown-keepers and godown-watchmen who are required to look after
one or more godowns belonging generally to one party and whose salary and
allowances are generally borne by the parties who are owners of the goods in
the godowns, shall, if their work has been found satisfactory and if their services
can be utilised to look after other godowns in the same place or other places or
in the clerical establishment of the bank, on completion of one year’s service, be
given preference for absorption in the permanent services of the bank, subject to
the bank’s recruitment rules, if any.
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SPECIAL PROVISION FOR STATE BANK OF INDIA
33/27-04-2010
(i) The provisions of Settlements dated 30th January 1995 and 22nd July 2003
relating to Special Compensatory Allowance (SCA) as prevailing in the Bank
shall be continued unchanged.
(ii) The disposal of the balancing cost of pension in respect of State Bank of India
arising out of this Settlement shall be decided by the bank with the concurrence
of Government of India.
GENERAL PROVISIONS
37/02-06-2005
(i) In supersession of clause 22(c) of Bipartite Settlement dated 10th April 1989,
watch and ward staff and employees manning installations which require
round-the-clock maintenance and surveillance on duty on days of agitation /
strike action are exempt from participating in such action.
(ii) A member of the award staff shall submit details regarding his assets and
liabilities to the bank as and when sought for. Failure to do so shall be treated
as a gross misconduct.
FITMENT ON PROMOTION
28/14-02-1995
Fitment of a workman employee, on promotion to the next higher cadre, may be

determined by the parties through mutual discussion.
170
CHAPTER - XXVI
RESTRICTIVE PRACTICES
SCHEDULE III/31-10-1979 Annexure 1/17-09-1984
PREAMBLE
The IBA, AIBEA and NCBE are in full agreement that no efforts should be spared
by them to ensure efficient courteous and speedy customer service in the banking
industry. With this common objective in view, some “restrictive practices” were
gone into jointly. The Unions do not accept that there are any such practices. It
is admitted by both sides that the details of situations or circumstances in which
certain incidents might have taken place are not available and hence they cannot
be gone into in detail. The Unions, however, make it clear that it has never
been the intention of the unions to indulge in any restrictive practices. The IBA
concedes that in view of the size of the industry, there are difficulties in attaining
perfection in the matter of control of the large work force and also of regulation
and distribution of work at all the offices in the country. Both IBA and the Unions
agree that much depends on the climate that develops and the relations that are
built at the various offices by mutual understanding and respect for each other’s
difficulties.
Accordingly, the IBA, AIBEA and NCBE jointly express themselves on the issue
as under:
(1) It is for the management to distribute the work equitably amongst the
employees with a view to ensuring that everyone has a full day’s work.
Adjustments would, however, become necessary in the day-to-day working
of the offices and, in the interest of smooth working, the workmen should
carry out all reasonable orders of the local management. The workmen would,
however, be free to take up with the management any genuine difficulty in
this behalf. The question of fixing any arbitrary ceiling on quantum of work
by the employees themselves does not, however, arise.
(2) While the services of senior employees would generally be utilised on desks
requiring experience and knowledge, no one should refuse to work on any
desk in exigencies that may arise.
(3) The allotment of ledger/s to ledger keepers would depend on the number
of transactions and the volume of work and not on the number of ledgers.
Accordingly it may be justifiable and necessary to allot more than one ledger
whether in Current Account, Cash Credit, Demand Loan, etc.
171
(4) Employees with double designations such as clerk-typist, cashier-cum-clerk,
etc. may be asked to perform both the duties on the same day. It would,
however, be ensured that they are not subjected to frequent changes of work
on the same day. Where the employee who is handling cash is asked to
work outside cash section, he should be given time to tally and hand over
his cash.
(5) Where volume of cash work is not heavy, a cashier may be required to work
both as a Paying and Receiving Cashier.
(6) Godown-Keepers attached to branches, may be required to perform clerical
duties whenever they are free from godown work.
(7) The system of checking payment made by an employee by another employee
and of entrusting the job of issuing tokens exclusively to an employee, are
prevailing only in certain banks at certain centres. The Management may
decide on their own about necessity of continuance or otherwise of these
systems.
(8) On special occasions it might be necessary to attend to cash transactions
outside business hours. However, due care and caution should be exercised
by managements in entertaining such late transactions. Such late transactions
should be duly authorized by a competent official.
(9) Normally cash should be accepted/paid at the cash counter. But employees
should accept/make payment of cash other than at cash counters under
instructions from a competent official in special circumstances and in such
cases the concerned employee would be granted immunity from attended
risks.
(10) The work of clerks posted in administrative offices includes drafting letters,
dealing with correspondence, etc. Similar work of a routine nature should
also be performed by clerks posted in branches/departments and offices
other than administrative offices.
(11) The balancing of ledgers/registers and calculations of monthly products/
interest, etc. should not be claimed as work to be necessarily and essentially
performed only outside normal working hours.
(12) An employee who is assigned special allowance duties must, subject to
availability of time, also perform routine duties of his cadre.
22(v)/14-02-1995
In furtherance of the objective towards improvement in working, parties reiterate
that what has been stated in Annexure 1 to the Settlements dated 31st October
172
1979, and 17th September, 1984, form part of service conditions. Any observance
of any restrictive practice mentioned therein, shall constitute a misconduct. The
delinquent employee shall be liable for disciplinary action for gross or minor
misconduct depending upon the circumstances in each case.
The gross/minor misconduct as stated in this Clause shall be in addition to gross/
minor misconduct listed under Clause 21(ii) and (iii) of this Settlement.
RESTRICTIVE PRACTICES
(1) Fixing any arbitrary ceiling on quantum of work by the employees themselves.
(2) Refusal to work on any desk in exigencies that may arise.
(3) Refusal to accept allotment of more than one ledger whether in Current
Account, Cash Credit, Demand Loan etc. The allotment of ledger/s to ledger
keepers would depend on the number to transactions and the volume of the
work, and not the number of ledger.
(4) Refusal by an employee with double designations such as clerk-typist,
cashier-cum-clerk, etc., to perform both the duties on the same day.
(5) Refusal by a cashier to work both as a Paying and receiving Cashier.
(6) Refusal by Godown-keepers attached to branches to perform clerical duties,
whenever they are free from godown work.
(7) Insistence, for checking payment made by an employee by another employee
and for entrusting the job of issuing tokens exclusively to an employee.
(8) Refusal to attend to cash transactions outside business hours when duly
authorised by a competent official.
(9) Refusal to accept/make payment of cash, other than at cash counters when
instructed by a competent official.
(10) Refusal to perform work of a routine nature including drafting letters, dealing
with correspondence, etc., by clerks posted in branches/departments and
offices including administrative offices.
(11) Refusal to perform work relating to the balancing of ledgers/registers and
calculations of monthly products/interest, etc. within working hours claiming
that the same is meant for completion outside normal working hours.
(12) Refusal by an employee who is assigned special allowance duties to perform
routine duties of his cadre.
(Refer: IBA Cir. PD/CIR/76/90/147 dt. 02-05-1995)
173
CHAPTER - XXVII
IBA CIRCULARS AND GUIDELINES
(CLARIFICATIONS)
1. IBA Circular No: PD/CIR/76/90 dated 16-08-1989
An Officer reverted to clerical cadre shall draw stagnation increment unless the
reversion is at his request.
If an employee refuses to accept an allowance carrying post, he may still
be allowed to earn stagnation increments. Only when he refuses the offer
of promotion made to him in writing, he should not be given any stagnation
increment which accrues to him thereafter.
If the offer of promotion was made before 08-09-1983 but refusal to accept
promotion was conveyed on or after 08-09-1983 by the concerned employee,
he shall not be eligible for stagnation increments, which become due thereafter.
The same shall apply in regard to cases where promotion was accepted prior to
08-09-1983, but the reversion was sought and granted on or after 08-09-1983.
Refusal to appear for a promotional examination does not deprive a workmen
employee from earning stagnation increments as per the provisions made in
the 1983 settlement. There is no change in the provision in the Fifth Bipartite
Settlement. The stagnation increment once released to the employee need not
be withdrawn even if he refuses the offer of promotion made to him thereafter.
Eligibility for promotion is not the same as offer for promotion. Similarly, refusal
to appear for a promotion examination is not the same as refusal to accept
promotions. As such, employees who fall in the former category shall be eligible
for stagnation increment.
The non-adjustable personal allowance of `19.80 as provided in the Third
Bipartite Settlement will continue to be paid, as it has not been deleted in the
Fifth Bipartite Settlement.
The Settlement provides that pay for the purpose of DA shall include officiating
allowance, if any. The reference to officiating allowance in the Settlement is
officiating allowance payable which is in terms of the First Bipartite Settlement,
and which remains unchanged.
HOUSE RENT RECOVERY
If a bank has provided accommodation to its employees in a Project Area and
has been recovering 6% of basic pay as house rent apart from not paying the
174
House Rent Allowance, the same should continue in terms of the Fifth Bipartite
Settlement also. The banks should not pay any house rent subsidies in Project
Areas. If some banks have been paying so, it should be withdrawn and in any
case, should remain frozen at the existing levels till such time it is withdrawn.
Where an accommodation has been provided by the Bank, the recovery of
full rent as per the provisions of the Fifth Bipartite Settlement should be made
disregard of the fact that the employee in a particular month was on half-pay or
loss of pay.
SPECIAL ALLOWANCE
Special Allowance will not rank for the purpose of City Compensatory Allowance.
It shall, however, rank for Hill & Fuel Allowance in the same manner as it ranks
for superannuation benefits.
HILL AND FUEL ALLOWANCE
The fixed personal allowance payable to employees who were drawing Hill and
Fuel Allowance at centres not included in the Fifth Bipartite Settlement should
be equivalent to the Hill and Fuel Allowance actually drawn by them under old
provisions on old basic pay.
Personal Allowance payable to employees equivalent to the quantum of Hill and
Fuel Allowance they actually received under old provisions with their March,
1989 salary, will not be payable to any employee who is posted at that branch
on or after 10th April 1989. The protection is given only to such employees till
they remain posted at the same branch in the same cadre.
PART-TIME EMPLOYEES
The block for Leave Fare Concession should begin from 01-11-1987 or date of
joining the service whichever is later. The concept pro rata should apply with
reference to the scale wages at the time of availment.
Leave Fare Concession on pro rata basis to permanent part-time employees
drawing scale wages would mean pro rata distance and not pro rata period time.
Leave encashment for part-time employee in scale wages will be the same as
the wages drawn by him, i.e. 1/3, 1/2 or 3/4 of the full pay and allowances for
the period the leave is encashed as the case may be.
Part-time employees should be paid wages as per the provisions of the
Settlement which will supersede any local arrangements for payment of wages
to part-time employees.
175
Minimum quantum stipulated for CCA, HRA, will apply to part-time employees
in scale wages on pro rata basis.
GRATUITY
Clause 20 of the Fifth Bipartite Settlement does not affect the condition in regard
to the minimum service required for payment of gratuity. In other words, the
minimum service required for eligibility for gratuity would be 10 years and not
9 years and six months or more but less than 10 years.
BUSINESS HOURS
The provision in regard to fixing of business hours in the settlement is only a

clarificatory provision. For any change or increase in business hours permission
will have to be obtained from the Reserve Bank of India in the usual manner.
SICK LEAVE
An employee may be sanctioned sick leave if the medical certificate is given

by a practitioner of medicine other than allopathic provided he is a registered
medical practitioner.
2. REIMBURSEMENT OF HOUSE RENT ALLOWANCE
IBA Circular No. PD/CIr/76/E (iv)/850 dated 10-08-1990
An award staff employee whose spouse has been provided with residence by
the bank, may be paid HRA in terms of the provisions of Bipartite Settlement.
3. CLARIFICATIONS TO THE PROVISIONS OF THE BIPARTITE

SETTLEMENTS
IBA Circular No. PD/CIR/76/90/187 dated 27-04-1991
REIMBURSEMENT OF EXPENSES UNDER LEAVE FARE CONCESSION
Journey under leave fare concession should commence before the expiry of the
block. However it is not a pre-condition that an employee/his family members,
should complete the return journey also before the expiry of the block.
Where the employee is due for retirement, the journey under LFC should
generally be completed before the expiry of the block itself. However in
exceptional circumstances where the bank is not in a position to relieve the
employee well in advance, to enable the employee to complete both to and
176
fro journey prior to retirement, it may permit him to avail the same even if the
employee is to return after the date of retirement.
In such cases, banks may permit a reasonable period of time within which the
employee should complete the return journey. The family members however,
must avail LFC before the superannuation of the employee.
INCENTIVE FOR SMALL FAMILY
In terms of the guidelines issued by the Government, incentive for promoting

small family is payable where the couple has not more than three living children.
However, it would be in order, to consider payment of incentive even in cases
where a couple who has two living children gets twins at a subsequent delivery.
4. RELEASE OF INCREMENTS FOR THE PERIOD UNDER SUSPENSION UPON

REINSTATEMENT
IBA Circular No: PD/CIR/76/B/M/384 dated 11-06-1993
Please refer to our Circular No. PD/CIR/76/B/M/376 dated 13-06-1992 advising

the decision of the Personnel Committee regarding release of increments for
the period under suspension, upon reinstatement. The member banks were
advised as under:
“The Disciplinary Authority should invariably specify while passing orders

regarding the punishment, as to whether the increment/s for the period of
suspension are to be released or withheld. If the order is silent in this regard
then it should be construed that increment/s fallen due during the period of
suspension are to be released from the date suspension is lifted.”
Pursuant to the above decision, many banks have made enquires with IBA
whether past cases have to be reopened and fixation of pay done accordingly.
The personnel Committee of the Association at its meeting held on 20-05-1993
decided as under:
“Penalties awarded on or after 13-06-1992 (date of issue of IBA Circular No.

PD/CIR/76/B/M/376) should be interpreted in terms of clarifications given by
the Personnel Committee. Decisions taken on past cases (penalties awarded
prior to 13th June, 1992) as per the prevalent practice in the respective banks
should not be re-opened, for practical considerations.”
177
SPECIAL /SPECIAL CASUAL LEAVES AS PER IBA GUIDELINES
A) FOR BLOOD DONATION
One day special casual leave on the day of donation. Employee has to
produce a certificate from the medical officer of the hospital where he has
donated the blood. If the employee donated blood after office hours he
may be granted 1 day special casual leave provided the next day does
not happen to be a holiday or weekly off.
B) FOR EXERCISING FRANCHISE - ELECTION
Wherever the Central or State Government have advised granting of special
casual leave to its employees for exercising their franchise in connection
with Parliamentary or Assembly Elections, special casual leave on the
same terms and conditions may be allowed to the employees of the banks.
(Ref: IBA’s Circular No. PD/MISC/41 Dt. 14-09-1982)
C) FOR NON-ATTENDANCE OF OFFICE DUE TO CURFEW
i) Where an employee was not able to attend the Office on account of
imposition of curfew either at the place of residence or at the place
of work, the absence should be treated as special casual leave.
ii) If the curfew was imposed only for a part of the working hours either
at the place of residence or at the place of work, the employees who
attended office during the non-curfew part of working hours should
be treated as having attended for the full day and the absence of
those employees who did not attend during the noncurfew hours
should be adjusted against their usual leaves.
iii) This special casual leave is provided only where it is physically
impossible to attend office. This leave is also granted when it
is impossible to reach office from curfew bound area which falls
between the route from residence and office of the employees and
it is also not possible to reach office even avoiding such route and
the Government authorities have not permitted employees to travel
through curfew bound areas.
D) FOR FAMILY PLANNING
Special causal leave is granted in the following cases as per Govt. directives
to promote family planning:
i) 6 days special casual leave to male employees for undergoing
sterilisation (Vasectomy Operation)
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ii) 14 days special casual leave for female employees who undergo
non puperal/puperal tubectomy operation.
iii) 1 day special casual leave to female employees who had IDU
insertions.
iv) 7 days special casual leave to male employee whose wife undergoes
non-puperal tubectomy operation subject to the production of medical
certificate from the doctor who has performed the operation, to the
effect that the presence of the employee is essential for the period
of leave to look after the wife during her convalescence after the
operation.
v) An employee developing post-operative complication after sterlisation
may be granted special casual leave to the extent of the period for
which he or she is hospitalised for such post operative complications,
subject to production of necessary certificate from the concerned
hospital authorities/authorised medical attendant.
vi) An employee is not entitled to special casual leave after maternity
leave, if the sterlisation operation/recanalisation was done during
the maternity leave.
vii) The special causal leave connected with sterlisation, recanalisation
under family welfare programme may be suffixed as well as prefixed
to regular leave or casual leave. However, special causal leave
cannot be prefixed both to casual leave and regular leave. Special
casual leave may either be prefixed to regular or to casual leave
and not both. Similarly, special casual leave may be suffixed either
to regular leave or to casual leave and not both. The intervening
holidays and/or Sundays may be prefixed/suffixed to regular leave
as the case may be.
E) FOR ATTENDING COURTS OR ENQUIRIES
Special leave should be granted to employee who is summoned to attend
Courts or departmental enquiries outside the Bank for giving evidence on
behalf of the Bank.
5. REIMBURSEMENT OF TA/DA TO DEFENCE REPRESENTATIVES/DEFENCE
WITNESSES AT THE TIME OF ENQUIRY PROCEEDINGS
IBA CIRCULAR NO. PD/CIR/76/E (ix) 797 dated 02-09-1993
1) Every bank employee/officer who is called to give evidence in a
departmental inquiry either by the bank or the employee against whom
the inquiry is being held will be entitled to payment of TA/DA.
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2) The officer or authority holding the inquiry shall furnish a certificate, as per
format enclosed, to every person appearing before him to give evidence.
The number of witnesses to be called may be left to the judgement of the
enquiry officer.
3) Where a prosecution witness is an employee of the bank, he shall be entitled
to receive, in respect of the attendance before the authority holding the
departmental inquiry, payment of a travelling allowance, halting allowance
as if he was on tour. If such witness is an officer then he shall be considered
reimbursement of hotel expenses in lieu of halting allowance, as per his
eligibility.
4) The defence witnesses whether workmen employee or officer may be
paid TA/DA as per entitlement. Reimbursement of lodging and boarding
expenses in lieu of halting allowance should not be considered.
5) Where a bank official is called to the departmental inquiry to give evidence
as to the facts which came to his knowledge in the discharge of his duties,
the minimum time required to be spent by him on the journey to and from
the place where the inquiry is held and the days on which he is required
to remain present before the authority holding the inquiry, shall be treated
as duty. However, if the bank official is on leave, the entire time spent by
him shall be treated as a part of the leave and he shall not be deemed to
have been recalled on duty.
6) Where the bank official is called by an authority holding the departmental
inquiry to give evidence as to the facts which have come to his knowledge,
at the time when he was not in the bank’s service, he may be paid travelling
allowance as provided in sub-para (1).
6. HOUSE RENT ALLOWANCE AT SEMI-SPECIAL PLACES
IBA Circular No. PD/CIR/76/E (IV)/431 DT. 23-06-1994
Please refer to our circular letter No. PD/CIR/76/E(iv)/E(xi)/1600 dated 7th
February, 1994 enclosing therewith, among others, population figures of Semi-
Special Places as per 1991 census.
We enclose for your information a copy of the minutes of the meeting held
between Indian Banks’ Association and all India Bank Employees’ Association,
National Confederation of Bank Employees, Bank Employees’ Federation of
India and Indian National Bank Employees’ Federation on 22nd June, 1994. It
has been agreed between the parties that pending revision of the Settlement
Surat, Jaipur and Lucknow shall be treated as Semi-Special Places for the
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purpose of house rent allowance to workmen employees. Consequently
workmen employees working at these places shall be eligible for house
rent allowance at the rate of 12% of pay with a minimum of `120/- p.m. and
maximum of `350/- p.m. w.e.f. 1st March, 1991.
7. REFIXATION OF PAY OF EX-SERVICEMAN RE-EMPLOYED IN BANKS ON
OR AFTER 1-11-1992
IBA Circular No. PD/CIR/76/589/2376 Dt. 19-02-1996
The ‘pay’ of ex-servicemen re-employed in banks’ service on or after 01-11-1987
but before 14-02-1995 was fixed with reference to the pay scale of Fifth Bipartite
Settlement so as to protect the pay plus dearness allowance drawn by them
at the time of release from Armed Forces. Upon implementation of the Sixth
Bipartite Settlement with effect from 01-11-1992, the pay of such ex-servicemen
who joined the Banks’ service after 01-11-1992 but before implementation of
wage revision will have to be refixed with reference to the new scale of pay.
We have since been advised by the Government that it has been decided that in
cases of all ex-servicemen who have joined the bank on or after 01-11-1992, in
their case the pay fixation has to be done as per the Sixth Bipartite Settlement.
Accordingly, the pay of ex-servicemen has to be refixed under the Sixth Bipartite
Settlement.
Over payments, if any, on account of pay fixation to an ex-serviceman who joined
between 01-11-1992 and 14-02-1995 should be recovered and if re-fixation of
pay in the revised pay scales in the bank leads to fixation at a higher stage the
arrears may be paid to an ex-servicemen.
8. COMPUTATION OF WAGES FOR THE PURPOSE OF GRATUITY UNDER
PAYMENT OF GRATUITY ACT, 1972
IBA Circular No. PD/CIR/76/G(iii)/1471 Dt. 28-11-1996
In terms of Section 4(2) of the Payment of Gratuity Act, 1972, the employer
shall pay Gratuity to an employee at the rate of fifteen days’ wages for every
completed year of service or part thereof in excess of six months, based on the
rate of wages last drawn by the employee concerned.
Section 2(s) of the above Act defines wages as under:
“Wages” means all emoluments which are earned by an employee while on duty
or on leave in accordance with the terms and conditions of his employment and
which are paid or are payable to him in cash and includes dearness allowance,
but does not include any bonus, commission, house rent allowance, overtime
wages and any other allowance.
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The High Court had observed that the Bipartite Settlement provisions to treat
special allowance as “Pay” cannot override the provisions of law viz., Payment
of Gratuity Act, 1972.
In view of the above decision of the Court, Banks may note to exclude special
allowance while computing “wages” for the purpose of calculating gratuity under
the Payment of Gratuity Act. However, special allowance is to be reckoned
while computing wages for calculation of gratuity in terms of Awards/Bipartite
Settlements.
9. REFIXATION OF PAY OF EX-SERVICEMEN RE-EMPLOYED IN BANKS ON

OR AFTER 1ST JULY, 1996 ON ACCOUNT OF GRANT OF SPECIAL PAY
IBA Circular No. PD/CIR/76/589/2228 dt. 21-02-1997
Special Pay granted with effect from 1-7-1996 in terms of Bipartite Settlement
dated 14th December, 1996, which has been treated as basic pay for all purposes
should also be reckoned for refixation of pay of ex-servicemen re-employed in
banks on or after 1-7-1996.
10. REFIXATION OF PAY OF EX-SERVICEMEN RE-EMPLOYED IN BANKS
The Sixth Bipartite Settlement expired on 31-10-1997. As such pay fixation of

ex-servicemen who are re-employed in banks on or after 01-11-1997 may be
done only provisionally subject to final fitment based on revised pay scales at
a later date.
Similarly, pay fixation of ex-service officer pensioners and Ex-emergency

Commissioned Officers/Short Service Commissioned Officers who are
re-employed in banks on or after 01-11-1997 may also be done on the above
lines.
11. EXEMPTION FROM INCOME-TAX ON AIR TRAVEL/AIR-CONDITIONED

FIRST CLASS BY TRAIN UNDER LEAVE TRAVEL CONCESSION - CBDT
NOTIFICATION DATED 12TH JANUARY, 1998
IBA Circular No. PD/CIR/76/F/746/1839 Dt. 18-02-1998
The Central Board of Direct Taxes (CBDT), New Delhi, vide their Notification
No. 142/85/97-TPL/No. 10502 dated 12th January, 1998 has amended the
clauses (i), (ii) and (iii) of sub-rule 1 of Rule 2B of Income-Tax Rules, 1962 and
inserted a new sub-rule 4 under the said Rule 2B, providing, among other things,
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exemption from income-tax on air-travel under Leave Travel Concession upto
an amount not exceeding the air economy fare of the National Carrier by the
shortest route to the place of destination if the journey is performed by air, and
upto an amount not exceeding the air-conditioned first class rail fare by shortest
route to place of destination, if journey is undertaken by any mode of transport
other than by air, between connected by rail.
The amendments to the above provisions of Income-tax Rules have come into
force with effect from 01-10-1997.
12. APPOINTMENT ON COMPASSIONATE GROUNDS - CASE OF SUICIDE

IBA Circular No. PD/CIR/60/531/590/Dt. 01-03-1998
The matter was considered by the Personnel Committee at its meeting held on
24th February, 1998. The committee decided as under:-
“There is no objection to extend the benefit of compassionate appointment to

the dependant of an employee who commits suicide while in service, where
the Board of Directors of the Bank is satisfied that the condition of the family is
indigent and in great distress.”
13. DEFINITION OF FAMILY FOR PURPOSE OF LEAVE FARE CONCESSION/

MEDICAL AID
IBA Circular NO. PD/CIR/76/F/J/1925 Dt. 04-03-1998
The facility of leave fare concession and medical aid may be allowed in case
of a married daughter of the employee only in exceptional circumstances, such
as where she has been divorced, abandoned, or separated from the husband,
and is residing with and is wholly dependent on the employee.
14. THE PAYMENT OF GRATUITY (AMENDMENT) ACT, 1998 (NO. 11 OF 1998)
IBA Circular No. PD/CIR/76/G(iii)/563 Dt. 04-08-1998
The Payment of Gratuity Act, 1972 has been since amended by an Act of
Parliament which received the Presidential assent on 22nd June, 1998. In
terms of this amendment, the ceiling on the amount of gratuity payable
under Section 4 of The Payment of Gratuity Act, 1972 has been raised from
“` one lakh” to “` three lakhs and fifty thousand” w.e.f. 24th September, 1997.
This amendments Act repeals the earlier ordinances dated 24-09-1997 and
25-12-1997.
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15. EFFECT OF REVISION IN PAY SCALES ON COMPUTATION OF
SUBSISTENCE ALLOWANCE IN THE CASE OF WORKMEN EMPLOYEES

The Workmen employees under suspension will be eligible to be paid subsistence
allowance reckoning the revised scales of pay on account of salary revision even
if the date of suspension is prior to the date of salary revision which will be in
line with the decision of Madhya Pradesh and Haryana High Courts relating to
payment of subsistence allowance to workmen employees in banks. Cases
of workmen employees, who are under suspension and in whose case salary
revision has taken place, subsequent to their suspension, may be reviewed in
view of the above decision and paid arrears of subsistence allowance.
However, there shall be no change in the Committee’s decision dated 11th
September, 1989 as regards subsistence allowance payable to officers under
suspension.
16. PAYMENT OF HRA/CCA TO EMPLOYEES

IBA Circular No. PD/CIR/76/E(xi)/715 Dt. 08-09-1998
In terms of Bipartite Settlements/Officers’ Service Regulations governing

the service conditions of bank employees, House Rent Allowance/City
Compensatory Allowance are payable on the basis of the population figures
published as per latest Census Report only, which at present is 1991 Census
Report. The population of the place/urban agglomeration as available during
‘mid-census’ period is not to be taken for the purpose of HRA/CCA. However,
if the respective Government issues a notification regarding formation of
new Urban Agglomeration, inclusion of additional areas in the existing urban
agglomeration, such notification may be considered for change in the rates of
HRA/CCA. However, nothing short of Government notification in this regard
should be relied upon.
Instances have come to the notice of the Government, that some banks are
not strictly adhering to the said provisions while making payment of HRA/CCA,
and more violation have been noticed at branch level. The Government has
examined the matter and has advised IBA to suitably advise banks to strictly
follow the classification of areas for the purpose of HRA/CCA, as per the extant
provisions.
In view of the above, banks are requested to ensure strict adherence to the
above provisions by eliciting required particulars form their branches and verifying
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the corrections of payment of HRA/CCA. In cases where it is found that the
branch(es) has/have not followed the existing provisions and eventually have
paid HRA/CCA at higher rate than what is eligible, the banks may take steps
to effect recovery from the officers/employees drawing such higher HRA/CCA.
The concerned drawing officer/branch manager shall be personally responsible
for effecting recovery immediately.
Banks are requested to ensure strict compliance of the aforesaid instructions.
17. PAYMENT FIXATION ON EX-ECOs/SSCOs RE-EMPLOYED IN PUBLIC
SECTOR BANKS ON OR AFTER 01-11-1992/01-07-1993 - EX-SERVICEMEN
In cases of all Ex-ECOs/SSCOs who have joined the bank in workmen cadre
or officers’ cadre, on or after 01-11-1992/01-07-1993 but before 14-02-1995/
23-06-1995, pay fixation may be done as per the Sixth Bipartite Settlement/
revised Pay scales of officers as per Joint note dated 23-06-1995.
The Government has also advised that in future whenever any bipartite
settlement/wage revision of officers become due, the pay fixation of Ex-ECOs/
SSCOs in respect of recruitment/employment made on or after the due date
may be done provisionally subject to refixation after revised pay scale is made
applicable retrospectively.
18. COMPENSATORY FACILITIES FOR EMPLOYEES WORKING IN KASHMIR
VALLEY
IBA Circular No. PD/Cir/76/746/1491 Dt. 04-01-1999
Please refer to Government of India, Ministry of Finance (Banking Division)
letter No. 11/7/90/VIG dated 12th June, 1998 regarding extension of the facilities/
concessions to the employees working in Kashmir upto 30-09-1998.
We now reproduce overleaf for your information and necessary action a copy
of Government of India letter No. 11/7/90/VIG dated 15th December, 1998
extending the facilities/concessions to the employees working in the Kashmir
Valley upto 31-03-1999.
19. DEFINITION OF PAY FOR PAYMENT OF GRATUITY
IBA Circular No. PD/CIR/76/G3/162 Dt. 03-05-2000
Please refer to our circular letter No. PD/CIR/76/G(iii)/1471 dated 28th November,
1996 on the captioned subject (copy reproduced overleaf for ready reference).
Banks were then advised that in view of a decision of the Patna High Court upheld
185
by the Supreme Court of India they may not reckon special allowance/s while
computing ‘wages’ for the purpose of calculating gratuity under The Payment
of Gratuity Act, 1972.
Allowances hitherto termed as Special Allowance, Graduation Allowance,

Professional Qualification Allowance and Officiating Allowance which are in the
nature of ‘Pay’ attracting dearness allowance and ranking for superannuation
benefits shall henceforth be, in view of clause 6(i) of the Bipartite Settlement
dated 27th March, 2000, termed as Special Pay, Graduation Pay, Professional
Qualification Pay and Officiating Pay respectively. Also, in view of clause 13 of
the said Settlement, the Fixed Personal Allowance shall be henceforth termed
as Fixed Personal Pay.
While the Special Pay, Graduation Pay and Professional Qualification Pay have
been revised w.e.f. 1st April, 1998 the Fixed Personal Pay has been revised w.e.f.
1st November, 1999. As the officiating pay is linked to basic pay, the same has
to be paid on the revised basic pay with effect from 1st November, 1997.
Keeping in view the above and the definition of ‘pay’ as in clause 6(ii) of the
Settlement, we are to advise that banks may hereinafter reckon Special Pay,
Graduation Pay, Professional Qualification Pay, Officiating Pay and increment
component of Fixed Personal Pay for computation of wages for the purpose of
calculating gratuity payable under The Payment of Gratuity Act, 1972 keeping
in view the effective dates of revision of the said components of wages.
In this connection, we wish to clarify that there is no charge in the procedure for
computing gratuity in terms of Awards/Bipartite Settlements.
20. COMPUTATION OF FIXED PERSONAL PAY
IBA Circular No. PD/Cir/76/E12/204 Dt. 05-05-2000
Fixed Personal Pay revised with effect from 01-11-1999 has been indicated in
schedule III of the Bipartite Settlement dated 27th March, 2000.
In this connection we wish to clarify that workmen employees who are in receipt
of Fixed Personal Allowance before 01-11-1999 and continue to be in service of
the Bank on or after 01-11-1999 are also eligible for revised Fixed Personal Pay
from the month of November, 1999 at the rates and the corresponding dearness
allowance indicated in Schedule III together with house rent allowance, if any.
The quantum of house rent allowance will undergo a change depending on the
basis on which house rent allowance component, as per the area of posting and
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the rate at which it was computed, was included when Fixed Personal Allowance
was first released.
Members of the subordinate staff and clerical staff who after receipt of Fixed
Personal Allowance were promoted to clerical and officers’ cadre respectively
shall also draw the revised Fixed Personal Pay as mentioned above.
21. ENCASHMENT OF PRIVILEGE LEAVE TO PART-TIME EMPLOYEES AT THE
TIME OF SUPERANNUATION
IBA Circular No. PD/CIR/76/H7/V/356 Dt. 26-05-2000
In terms of Clause 18(2) of Bipartite Settlement dated 10th April, 1989, permanent
part-time employees drawing scale wages are eligible for leave fare concession
and leave encashment on pro-rata basis. However, they are not permitted
encashment of Privilege Leave at the time of superannuation as it has not been
specifically provided for under the Bipartite Settlement.
The Working Group of the IBA at its meeting held on 18th April, 2000 considered
that when the permanent part-time employees drawing scale wages are allowed
encashment of Privilege Leave at the time of availing Leave Fare Concession
on pro-rata basis, the same may be allowed at the time of superannuation.
It has, therefore, been decided that the permanent part-time employees drawing
scale wages may be allowed encashment of accumulated Privilege Leave up to
a maximum of 240 days on pro-rata basis of the scale wages drawn by them,
at the time of superannuation.
22. SCHEME FOR GRANT OF SILVER JUBILEE AWARD/OTHER MILESTONE

AWARDS TO THE EMPLOYEES OF PUBLIC SECTOR BANKS

Please refer to our circular letter No. PD/CIR/76/537/456 dated 16th June, 1995.
In terms of present scheme for grant of Silver Jubilee Award/Other Milestone
Awards to employees of public sector banks, the cost of award shall not exceed
`1,500/- for uniform application by banks.
It was represented that in view of increase in prices of the gift items and
depreciation of rupee since the monetary ceiling was revised in 1995, there was
a need for enhancing the amount of the Award.
The Working Group of IBA, at its meeting held on 18th April, 2000 decided that
the quantum of the Award may be decided by the banks within an overall ceiling
of `2,000/-.
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23. COMPUTATION OF WAGES FOR THE PURPOSE OF GRATUITY UNDER
THE PAYMENT OF GRATUITY ACT, 1972.
IBA Circular No. PD/CIR/76/G3/773 Dt. 02-08-2000
Designated officers of member banks which are parties to the bipartite settlement.
Please refer to our circular letter No. PD/CIR/76/G3/162 dated 3rd May, 2000.
In terms of Clause 35(a) of the Bipartite Settlement dated 27th March, 2000
gratuity computed on the revised scales of pay and allowances is payable with
effect from 01-11-1999.
We have been receiving queries from member banks regarding the effective
dates from which the various components of wages as revised by the Seventh
Bipartite Settlement is to be reckoned for computation of gratuity as per The
Payment of Gratuity Act/Awards and Bipartite Settlements.
We have to advise that as per the procedure in vogue, Gratuity is computed
both as per The Payment of Gratuity act, 1972 and as per the Awards/Bipartite
Settlement and the workmen employee concerned is paid whichever of the two is
more beneficial. Accordingly, while computing gratuity as per the The Payment
of Gratuity Act in respect of employee who have retired after 01-11-1997,
revised basic pay, officiating pay and Dearness Allowance shall be reckoned from
01-11-1997, revised special pay, graduation pay and professional qualification
pay shall be reckoned from 01-04-1998, and revised increment component
of Fixed Personal Pay shall be reckoned from 01-11-1999. However, while
computing gratuity as per Awards/Settlement in respect of employees who
have retired on or after 01-11-1997 but before 01-11-1999 basic pay, special
pay, officiating allowance, graduation allowance, professional qualification
allowance and increment components of fixed personal allowance drawn as per
Bipartite Settlement dated 14-02-1995 and the Supplementary Settlement dated
14-12-1996 shall be reckoned for computation of gratuity. Higher of the amounts
computed as above is then payable to the retiree as gratuity.
Further, in respect of employees who retire after 01-11-1999 gratuity admissible
under the act and Bipartite Settlement shall be computed on the basis of the
pay and allowance drawn as per Bipartite Settlement dated 27th March, 2000.
24. PAYMENT OF DEPUTATION ALLOWANCE TO WORKMEN STAFF
IBA CIRCULAR NO. CIR/PAD/76/E15/2005-06/813 DT. 09-01-2006
We refer to our circulars No. PD/CIR/76/E15/695 dated 19th July, 2000 and
No. PD/CIR/76/E15/703 dated 22nd October, 2003 regarding payment of
Deputation Allowance to workmen staff.
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Consequent upon the 8th Bipartite Settlement dated 2nd June, 2005, the
Personnel Committee at its recent meeting reviewed the rates of deputation
allowance payable to workmen staff. The Personnel Committee decided that
the rates of deputation allowance payable to the workmen employees with effect
from 01-11-2005 will be as under:
(a) 4% of Pay - Maximum `375/- p.m. for deputation to Regional Rural Banks/
District Industries Centres/Debt Recovery Tribunals at the same station.
(b) 7.75% of Basic Pay-Maximum `750/- p.m. for deputation to Regional Rural
Banks/District Industries Centres/Debt Recovery Tribunals at an outstation
center.
Member Banks may be guided accordingly.
No.CIR/HR&IR/665/E-10/2010-11/3004 dated April 25, 2011
Reimbursement of TA/DA to Serving Employees/Ex-employees

(including retired, dismissed) of the Bank
IBA has been receiving queries from Member Banks on payment of TA/DA to serving
employees/ex-employees of banks, including retired or dismissed employees, in case
he has to attend proceedings before a Court of Law/Tribunal/Inquiring Authority so
as to depose as a prosecution witness or as a management witness.
The Personnel Committee of IBA at its meeting held on 25.3.2011 had a detailed
discussion in the matter and recommended payment of TA/DA for the above purpose
as per enclosure, covering various circumstances. The Managing Committee of IBA
at its meeting held on 29.3.2011 had approved the recommendations put forth by
the Personnel Committee.
You may adopt the above guidelines with effect from 1.4.2011 and these guidelines
supersede all the earlier guidelines in this regard issued by IBA.
189
TA/DA payable to serving employees/retired employees of banks
attending the following cases
S.No. Circumstances Award Staff Officer
In service Retired In service Retired
1 Attending departmental enquiry as
a. Defense Representative Yes No * Yes No
b. Charge sheeted employee including Yes Yes Yes Yes
suspended employee
c. Defence witness No No No No
2 Attending CBI / Court cases
a Cases filed by As accused No No No No
Police/CBI **
against employee As witness on Yes Yes Yes Yes
for official acts behalf of bank
As witness on No No No No
behalf of
employee
b Cases filed As a petitioner No No No No
by employee As witness on Yes Yes Yes Yes
against the behalf of bank
bank As witness on No No No No
behalf of
employee
c Cases filed by As accused Yes Yes Yes Yes
outsiders / As witness on Yes Yes Yes Yes
customers, etc. behalf of the
pertaining to bank
official acts As witness on No No No No
behalf of others
* however, if the enquiry is held at place other than the place where the incident occurred
at the behest of the Management, TA/DA will be paid to the Defense Representative as
per rules.
** however, if the employee is acquitted honourably, the TA/DA will be reimbursed as per
rules.
P.S. For attending Personal Hearing, TA/DA may be paid, if the Appellate Authority grants a
personal hearing, as part of the process of disciplinary proceedings.
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CHAPTER - XXVIII
BANK EMPLOYEES’ PENSION REGULATIONS, 1995
NOTIFICATION
29th September 1995
In exercise of the powers conferred by Clause (f) of sub section (2) of section 19 of
the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of
1970) the Board of Directors of .............. after consultation with the Reserve Bank of
India and with the previous sanction of the Central Government hereby makes the
following regulations, namely:-
PRELIMINARY
1. Short title and commencement:
(1) These regulations may be called .................. (Employees’) Pension
Regulations, 1995.
(2) Save as otherwise expressly provided in these regulations, these
regulations shall be deemed to have come into force on the date of their
publication in the Official Gazette.
2. Definitions: In these regulations, unless the context otherwise requires;
(a) “Act” means the Banking Companies (Acquisition and Transfer of
Undertakings) Act, 1970 (5 of 1970);
(b) “Actuary” Shall have the meaning assigned to it in clause (1) of section
2 of the Insurance Act, 1938 (4 of 1938);
(c) “Appendix” means, an Appendix annexed to these regulations;
(d) “Average emoluments” means the average of the pay drawn by an
employee during the last ten months of his service in the Bank;
(e) “Bank” means mentioned under Column 2 of THE FIRST SCHEDULE of
the Act.
(f) “Board” means the Board of Directors of the Bank;
(g) “Child” means a child of the employee, who, if a son, is under twenty-five
years of age and if a daughter, is unmarried and is under twenty-five years
of age and the expression “children” shall be construed accordingly;
(h) “Competent Authority” means the authority appointed by the Board for
the purposes of these regulations;
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(i) “Consolidated wages” means lump sum amount payable to part-time
employee belonging to the subordinate staff who is not drawing scale
wages;
(j) “Contribution” means any sum credited by the Bank on behalf of
employee to the Fund, but shall not include any sum credited as interest;
(k) “Date of retirement” means the last date of the month in which an
employee attains the age of superannuation or the date on which he is
retired by the Bank or the date on which the employee voluntarily retires;
or the date on which the employee is deemed to have retired;
Note: After this chapter on “Bank Employees’ Pension Regulations, 1995” several
clarifications given by IBA have been annexed. All these to be taken as part of
the scheme.
(l) “Deemed to have retired” means cessation from service of the Bank on
appointment by Central Government as a whole-time Director or Managing
Director or Chairman in the Bank or in any other Bank specified in column
2 of the FIRST SCHEDULE of the Act or Banking Companies (Acquisition
and Transfer of Undertakings) Act, 1970 (5 of 1970) or in any public financial
institution or State Bank of India established under State bank of India Act,
1955 (23 of 1955)
(m) “Discipline and appeal Regulations” means the Officer Employees’
(Discipline and Appeal) Regulations, 1976 made under section 19 of the
Act;
(n) “Employee” means any person employed in the service of the Bank on
full time work on permanent basis or on part-time work on permanent
basis on scale wages and who opts and is governed by these regulations,
but those not include a person employed either on contract basis or daily
wage basis or on consolidated wages;
(o) “Family” in relation to an employee means:-
(a) wife in the case of a male employee or husband in the case of a
female employee;
(b) a judicially separated wife or husband, such separation not being
granted on the ground of adultery and the person surviving was not
held guilty of committing adultery;
(c) son who not attained the age of twenty-five years and unmarried
daughter who has not attained the age of twenty-five years, including
such son or daughter adopted legally;
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(p) “Financial year” means a year commencing on the 1st day of April;
(q) “Fund” means the (Employees’) Pension Fund constituted under
Regulation 5;
(r) “Notified date” means the date on which these regulations are published
in the Official Gazette;
(s) “Pay” includes, -
(a) in relation to an employee who has either retired or died on or after
the 1st day of January, 1986 but before the 1st day of November,
1993, -
(i) the basic pay including stagnation increments, if any, and
(ii) all allowances counted for the purposes of making contribution to
the Provident Fund and for the payment of dearness allowance;
(Refer IBA Circular No. PD/CIR/76/G(ii)/1109 dt. 18-11-1998)
(b) in relation to an employee who retires or dies while in service on or
after the 1st day of November, 1993, -
(i) the basic pay including stagnation increments, if any; and
(ii) all allowances counted for the purpose of making contribution to
the Provident Fund and for the payment of dearness allowance;
and
(iii) increment component of Fixed Personal Allowance; and
(iv) dearness allowance calculated upto Index number 1148 points in
the All India Average Consumer Price Index for industrial workers
in the series 1960 = 100;
(Refer IBA Circular No. PD/CIR/76/G(II)/630 dt. 20-7-1996, PD/CIR/76/G2/163
dt. 3-5-2000 & PD/76/D/G2/2005-06/557 dt. 28.06.2005)
(t) “Pension” includes the basic pension and additional pension referred to
in Chapter VI of these regulations;
(u) “Pensioner” means an employee eligible for pension under these
regulations;
(v) “Public Financial Institution” means of financial institution regarded as a
public financial institution for the purpose of section 4A of the Companies
Act, 1956, (1 of 1956);
(w) “Qualifying service” means the service rendered while on duty or
otherwise which shall be taken into account for the purpose of pension
under these regulations;
193
(x) “Retired” includes deemed to have retired under clause (I);
(y) “Retirement” means cessation from Bank’s service; -
(a) on attaining the age of superannuation specified in Service Regulations
or Settlements;
(b) on voluntary retirement in accordance with provisions contained in
regulation 29 of these regulations;
(c) on premature retirement by the Bank before attaining the age of
superannuation specified in Service Regulations or settlement;
(z) “Scale wages” in relation to part-time employees means the basic pay,
City Compensatory Allowance, Special allowances, House Rent Allowance
and other allowances, if any, and dearness allowance payable from time
to time under the settlement;
(za) “Service regulations” means (Officer’s) Service Regulations, 1979 made
under section 19 of the Act;
(zb) “Settlement” means memorandum of settlement agreed between the
management of the Bank represented by the association authorised by
them and workmen of such Bank represented by trade unions authorised
by them;
(zc) “Trust” means the trust of the (Employees’) Pension Fund constituted
under sub-regulation (1) of Regulation 5;
(zd) “Trustee” means the trustees of the ..................... (Employees’) Pension
Fund constituted under regulation 5;
(ze) “Trustee of the Provident Fund” means the trustees of the Provident
Fund of the Bank;
(zf) all other words and expressions used in these regulations but not defined,
and defined in the Act or the Service Regulations or Settlements shall have
the same meanings respectively assigned to them in the Act, the Service
Regulations or Settlement, as the case may be.
APPLICATION AND ELIGIBILITY
3. APPLICATION: These regulations shall apply to employees who, --

(1) (a) were in the service of the Bank on or after the 1st day of January,
1986 but had retired before the 1st day of November, 1993; and
194
(b) exercise an option in writing within one hundred and twenty days
from the notified date to become number of the Fund; and
(c) refund within sixty days after the expiry of the said period of one
hundred and twenty days specified in clause (b) the entire amount
of the Bank’s contribution to the Provident Fund including interest
accrued thereon together with a further simple interest at the rate of
six percent per annum on the said amount from the date of settlement
of the Provident Fund account till the date of refund of the aforesaid
amount to the Bank; or
(2) (a) have retired on or after the 1st day of November, 1993 but before the
notified date and
from the notified date to become member of the Fund; and
(c) refund within sixty days after the expiry of the said period of one
hundred and twenty days specified in clause (b) the entire amount
of the Bank’s contribution to the Provident Fund and interest accrued
thereon together with a further simple interest at rate of six percent
per annum on the said amount from the date of settlement of the
Provident Fund account till the date of refund of the aforesaid amount
to the Bank; or
(3) (a) are in the service of the Bank before the notified date and continue
to be in the service of the Bank on or after the notified date; and
(c) authorise the trust of the Provident Fund of the Bank to transfer
the entire contribution of the Bank along with the interest accrued
thereon to the credit of the Fund constituted for the purpose under
Regulation 5; or
(4) join the service of the Bank on or after the notified date; or
(5) were in the service of the Bank during any time on or after the 1st day of
November, 1993 and had died after retirement but before the notified date,
their family shall be entitled for the amount of pension payable to them
from the date on which they would have been entitled to pension under
these regulations, had they been alive till the date on which they died, if
the family of the deceased:-
195
(a) exercise an option in writing within one hundred and twenty days
(b) refund within sixty days after the expiry of the said period of one
hundred and twenty days specified in clause (a) above the entire
amount of the Bank’s contribution to the Provident Fund and interest
six percent per annum from the date of settlement of the Provident
Fund account till the date of refund of the aforesaid amount to the
Bank; or
(6) joined the service of the Bank on or after the 1st day of November, 1993
but who have died while in the service of the Bank before the notified date,
their family shall be entitled to the family pension under these regulations;
Provided that the family of such a deceased employee refunds within one
hundred and eighty days from the notified date the entire amount of the
Bank’s contribution to the Provident Fund, if any, and interest accrued
thereon together with further simple interest at the rate of six per cent per
annum from the date of settlement of the Provident Fund account till the
date of refund of the aforesaid amount to the Bank;
Provided further that the family of such a deceased employee shall apply
in writing for grant of family pension; or
(7) were in the service of the Bank during any time on or after the 1st day of
January, 1986 and had died while in service on or before the 31st day of
October, 1993 or had retired on or before the 31st of October, 1993 but
died before the notified date in which case their family shall be entitled
to the pension or the family pension as the case may be under these
regulations, if the family of the deceased:-
(b) refund within sixty days of the expiry of the said period of one hundred
and twenty days specified in clause (a) above the entire amount of
the Bank’s contribution to the Provident fund and interest accrued
thereon together with a further simple interest at the rate of six percent
per annum from the date of settlement of the Provident Fund account
till the date of refund of the aforesaid amount to the Bank; or
(8) joined the service of the Bank on or before the 31st day of October, 1993
and who died while in service on or after the 1st day of November, 1993,
196
but before the notified date in which case their families shall be entitled
to family pension under these regulations if the family of the deceased
employee,-
from the notified date to become a member of the Fund; and
(b) refund within sixty days of the expiry of the said period of one hundred
and twenty days specified in clause (a) above the entire amount
of the Bank’s contribution to the Provident Fund, including interest
six percent per annum from the date of settlement of the Provident
Fund account of the employee till the date of refund of the aforesaid
amount to the Bank;
(9) Notwithstanding anything contained in sub-regulations (1), (2), (3), (5) and
(8) an option exercised before the notified date by an employee or the
family of a deceased employee in pursuance of the settlement shall be
deemed to be an option for the purpose of this chapter if such an employee
or the family of deceased employee refund within Sixty days from the
notified date, the amount of the bank’s contribution to the Provident Fund
including interest accrued thereon together with a further simple interest
in accordance with the provisions of this chapter and in case employer’s
contribution of Provident Fund has not been received from Provident Fund
Trust, has authorised or authorises within Sixty days from the notified
date the Trustees of the Provident Fund of the Bank to transfer the entire
contributions of the Bank to the Provident Fund including interest accrued
thereon in accordance with the provisions of this Chapter to the credit of
the Fund constituted for this purpose under Regulation 5.
(Waiver of Interest to be paid by retired employees on P.F. to be refunded
Refer IBA Circular No. PD/CIR/76/G(ii)/391 dtd: 11-06-1996)
4. Option to Subscribe to the Provident Fund - (1) Notwithstanding anything

contained in sub-regulation (4) of regulation 3, an employee who joins the service
of the Bank on or after the notified date at the age of thirty-five years or more,
may, within a period of ninety days from the date of his appointment, elect, to
forego his right to pension, whereupon these regulations shall not apply to him.
(2) The option referred to in sub-regulation (1) and regulation 3, once exercised,
shall be final.
197
THE FUND
5. Constitution of the Fund:-

(1) The Bank shall constitute a Fund to be called the (Employees’) Pension
Fund under an irrevocable trust within one hundred twenty days from the
notified date.
(2) The fund shall have for its sole purpose the provision of the payment of
pension or family in accordance with these regulations to the employee
or his family.
(3) The Bank shall be a contributor to the Fund and shall ensure that sufficient
sums are placed in it to enable the trustees to make due payments to
beneficiaries under these regulations.
6. Liability of the Provident Fund Trust:-
The Provident Fund trust shall, immediately after the constitution of the Fund,
transfer to the ............................ (Employees’) Pension Fund the accumulated
balance of the contribution of the Bank to the Provident Fund and interest accrued
thereon upto the date of such transfer in respect of every employee.
7. Composition of the Fund:-
The Fund shall consist of the following, namely:-
(a) the contribution by the Bank at the rate of ten per cent per month of the
pay of the employee;
(b) the accumulated contributions of the Bank to the Provident Fund and
interest accrued thereon upto the date of such transfer in respect of the
employees;
(c) the amount consisting of contributions of the Bank along with interest
refunded by the employees who had retired before the notified date but
who opt for pension in accordance with the provisions contained in these
regulations;
(d) the investment in annuities or securities purchased out of the moneys of
the Fund and interest thereon;
(e) amount of any capital gains arising from the capital assets of the Fund;
(f) the additional annual contribution made by the Bank in accordance with
the provisions contained in regulations 11 of these regulations.
(g) any income from investment of the amounts credited to the Fund;
(h) the amount consisting of contribution of the Bank along with interest
refunded by the family of the deceased employee.
198
8. Board of Trustees:-
(1) The Board of trustees shall consist of such number of persons not less
than three and not more than nine, as may be determined by the Board,
to be appointed by the Bank.
(2) The power to appoint the trustees shall be vested with the Bank and all
such appointments shall be made in writing.
(3) The Bank shall nominate one of the trustees to be the Chairman of the
Board of trustees. The Bank shall also nominate a trustee to be an alternate
Chairman who shall act as Chairman in the absence of the Chairman.
9. Trustees to carry out the directions of the Bank:-
The trustees shall comply with all such directions as many be given by the Bank
for the proper functioning of the Fund.
10. Books of accounts of the Fund:-
(1) The accounts of the Fund, shall contain the particulars of all financial
transactions relating to the Fund in such form as may be specified by the
Bank.
(2) Within one hundred and eighty days from the closing of each financial year,
the trust shall prepare a financial statement of the trust indicating therein
the general account of assets and liabilities of the trust and forward a copy
of the same to the Bank.
(3) The account of the Fund shall be audited in accordance with the provisions
of section 10 of the Act.
11. Actuarial investigation of the Fund:-
The Bank shall cause an investigation to be made by an Actuary into the financial
condition of the Fund every financial year, on the 31st day of March, and make
such additional annual contributions to the Fund as may be required to secure
payment of the benefits under these regulations:
Provided that the Bank shall cause an investigation to be made by an Actuary
into the Financial condition of the Fund, as on the 31st day of March immediately
following the financial year in which the Fund is constituted.
12. Investment of the Fund:-
All moneys contributed to the Fund or received or accruing after that date
by way of interest or otherwise to the Fund, may be deposited in a Post
Office Savings Bank account in India or in a current account with any scheduled
bank or utilised in accordance with the provisions of the Indian Trust Act, 1882
(2 of 1882)
199
13. Payment out of the Fund:-
The payment of benefits by the trust shall be administered for grant of pensionary
benefits to the employees of the Bank or the family pension to the families of
the deceased employees of the Bank.
QUALIFYING SERVICE
14. Qualifying Service:-

Subject to the other conditions contained in these regulations, an employee who
has rendered a minimum of ten years of service in the Bank on the date of his
retirement or the date on which he is deemed to have retired shall qualify for
pension.
(Refer IBA Circular No. PD/CIR/76/G(ii)/1638 dt. 19-1-1998)
15. Commencement of qualifying service:-

Subject to the provisions contained in these regulations, qualifying service of an
employee shall commence from the date he takes charge of the post to which
he is first appointed on a permanent basis.
16. Counting of service on probation:-

Service on probation against a post in the bank if followed by confirmation in
the same or any other post shall qualify.
17. Counting of periods spent on leave:-

All leave during service in the Bank for which leave salary is payable shall count
as qualifying service;
Provided that extraordinary leave on loss of pay shall not count as qualifying
service except when the sanctioning authority has directed that such leave not
exceeding twelve months during the entire service, may count as service for all
purpose including pension.
18. Broken period of service of less than one year:-

If the period of service of an employee includes broken period of service less
than one year, then if such broken period is more than six months, it shall be
treated as one year and if such broken period is six months or less it shall be
ignored.
(Refer IBA Circular No. PD/CIR/76/G2/797 dt. 14-8-1999)
200
19. Counting of period spent on training:-
Period spent by an employee on training in the Bank immediately before his
appointment shall count as qualifying service.
20. Counting of past service in the erstwhile Bank:-
In the case of an employee who is permanently transferred to a service in the
bank from any other Bank on merger, amalgamation of any other Bank with
the bank to which these regulations apply, the continuous service rendered by
such an employee in any other Bank on permanent basis, if any, followed without
interruption, by permanent appointment or the continuous service rendered
under that Bank in a permanent capacity, as the case may be, shall qualify.
Provided that nothing contained in this regulation shall apply to any such
employee who is appointed on contract basis or on daily wage basis or on
consolidated wages.
21. Period of suspension:-
Period of suspension of an employee pending enquiry shall count for qualifying
service where, on conclusion of such enquiry, he has been fully exonerated or
the suspension is held to be wholly unjustified and in other cases, the period of
suspension shall not count as qualifying service unless the Competent Authority
passing the orders under the Service Regulations or Discipline and Appeal
Regulations or Settlements governing such cases expressly declares at the
time that it shall count to such extent as such authority may declare.
22. Forfeiture of service:-
(1) Resignation or dismissal or removal or termination of an employee from
the service of the Bank shall entail forfeiture of his entire past service and
consequently shall not qualify for pensionary benefits;
(2) An interruption in the service of a Bank employee entails forfeiture of his
past service, except in the following cases, namely :-
(a) authorised leave of absence;
(b) suspension, where it is immediately followed by reinstatement,
whether in the same or a different post, or where the bank employee
dies or is permitted to retire or is retired on attaining the age of
compulsory retirement while under suspension;
(c) transfer to non-qualifying service in an establishment under the control
of the Government or Bank if such transfer has been ordered by a
competent authority in the public interest;
(d) joining time while on transfer from one post to another.
201
(3) Notwithstanding anything contained in sub-regulation (2), the appointing
authority may, by order, commute retrospectively the periods of absence
without leave as extraordinary leave.
(4) (a) In the absence of a specific indication to the contrary in the service
record, an interruption between two spells of service rendered by a
bank employee shall be treated as automatically condoned and the
pre-interruption service treated as qualifying service;
(b) Nothing in clause (a) shall apply to interruption caused by resignation,
dismissal or removal from service or for participation in a strike;
(Refer IBA Circular No. PD/CIR/76/G(ii)/943 dt. 07-09-1996 and Circular
No. PD/CIR/76/G(ii)/1545 dt. 02-01-1998)
23. Period of deputation to foreign service:-
An employee deputed on foreign service to the United Nations or any other
foreign body or organisation may at his option,
(a) pay pension contribution in respect of his foreign service and count such
service as qualifying service under these regulations;
or
(b) avail of the retirement benefits admissible under the rules of the foreign
employer and not count such service as qualifying service under these
regulations:
Provided that where an employee opts for clause (b) retirement benefits shall
be payable to him in India in rupees from such date and in such manner as the
Bank may, by order specify.
24. Military Service:-
An employee who has rendered military service before appointment in the Bank
shall continue to draw the military pension, if any, and military service rendered
by the employee shall not count as qualifying service for pension.
25. Period of deputation to an organisation in India:-
Period of deputation of an employee to another organisation in India will count
as qualifying service :
Provided the organisation to which he is deputed or the employee pays the
pensionary contributions at the rates specified in sub regulation (a) of regulation 7
of these regulations or at the rates specified by the Bank at the time of deputation,
whichever is higher to the Bank.
202
26. Addition to qualifying service in special circumstances:-
An employee shall be eligible to add to his service qualifying for superannuation
pension (but not for any other class of pension) the actual period not exceeding
one fourth of the length of his service or the actual period by which his age at
the time of recruitment exceeded the upper age limit specified by the Bank for
direct recruitment or a period of five years whichever, is less, if the service or
post to which the employee is appointed is one -
(a) for which post graduate research, or specialist qualification or experience

in scientific, technological, or professional fields is essential and
(d) to which candidates of age exceeding the upper age limit specified for
direct recruitment are normally recruited;
(c) for which the candidate was given age relaxation over and above the
maximum age limit fixed by the Bank on account of his possessing higher
qualifications or experience:
Provided that this concession shall not be admissible to an employee unless

his actual qualifying service at the time he quits the service in the Bank is not
less than ten years:
Provided further that this concession shall be admissible if the recruitment rules
in respect of the said service or post contain specific provision that the service
or post is one which carries benefit of this regulation:
Provided also that the recruitment rules in respect of any service or post which
carries the benefit of this regulation shall be made with the approval of the
Central Government.
27. Counting of service rendered on permanent part-time basis:-

(1) In case of an employee who was employed on scale wages and on a
permanent part-time basis in the service of Bank and was contributing
to the provident Fund, such service rendered by him on a permanent
part-time basis from the date he became a member of the Provident Fund
shall be counted as qualifying service.
(2) The length of qualifying service of the employee referred to in sub regulation
(1) for the purpose of calculating the amount of pension shall be determined
in accordance with Appendix (iv)
203
CLASSES OF PENSION
28. Superannuation pension:-

Superannuation pension shall be granted to an employee who has retired on
his attaining the age of superannuation specified in the Service Regulations or
Settlements.
29. Pension on Voluntary Retirement:-

(1) On or after the 1st day of November, 1993 at anytime after an employee
has competed twenty years of qualifying service he may, by giving notice
of not less than three months in writing to the appointing authority retire
from service;
Provided that this sub-regulation shall not apply to an employee who is on
deputation or on study leave abroad unless after having been transferred or
having returned to India he has resumed charge of the post in India and has
served for a period of not less than one year;
Provided further that this sub-regulation shall not apply to an employee who
seeks retirement from service for being absorbed permanently in an autonomous
body or a public sector undertaking or company or institution or body, whether
incorporated or not to which he is on deputation at the time of seeking voluntary
retirement.
Provided that this sub-regulation shall not apply to an employee who is deemed
to have retired in accordance with clause (1) of regulation 2
(2) The notice of voluntary retirement given under sub-regulation (1) shall
require acceptance by the appointing authority :
Provided that where the appointing authority does not refuse to grant the
permission for retirement before the expiry of the period specified in the
said notice, the retirement shall become effective from the date of expiry
of the said period.
(3) (a) An employee referred to in sub-regulation (1) may make a request

in writing to the appointing authority to accept notice of voluntary
retirement of less than three months giving reasons therefor.
(b) On receipt of request under clause (a), the appointing authority, may,
subject to the provisions of sub-regulation (2), consider such request
for the curtailment of the period of notice of three months on merits
and if it is satisfied that the curtailment of the period of notice will not
204
cause any administrative inconvenience, the appointing authority may
relax the requirement of notice of three months on the condition that
the employee shall not apply for commutation of a part of his pension
before the expiry of the notice of three months.
(4) An employee, who has elected to retire under this regulation and has
given necessary notice to that effect to the appointing authority, shall be
precluded from withdrawing his notice except with the specific approval
of such authority;
Provided that the request for such withdrawal shall be made before the
intended date of his retirement.
(5) The qualifying service of an employee retiring voluntarily under this
regulation shall be increased by a period not exceeding five years, subject
to the condition that the total qualifying service rendered by such employee
shall not in any case exceed thirty-three years and it does not take him
beyond the date of superannuation.
(6) The pension of an employee retiring under this regulation shall be based
on the average emoluments as defined under clause (d) of regulation
2 of these regulations and the increase, not exceeding five years in his
qualifying service, shall not entitle him to any notional fixation of pay for
the purpose of calculating his pension.
(Refer IBA Circular No. PD/KVK/85/G(ii)/2037 Dt. 04-01-1998 and Circular
No. PD/CIR/76/G(ii)/296 dt. 31-05-1996)
30. Invalid Pension:-
(1) Invalid pension may be granted to an employee who :-
(a) has rendered minimum ten years of service, and
(b) retires from the service on or after the 1st day of November 1993,
on account of any bodily or mental infirmity which permanently
incapacitates him for the service.
(2) An employee applying for an invalid pension shall submit a medical
certificate of incapacity from a medical officer approved by the Bank.
(3) Where the Medical Officer approved by the Bank has declared the
employee fit for further service of less laborious character than that which
he had been doing, he should, provided he is willing to be so employed,
be employed on lower post and if there be no means of employing him
even on a lower post, he may be admitted to invalid pension.
205
(4) No medical certificate of incapacity for services may be granted unless
the applicant produces a letter to show that the Competent Authority is
aware of the intention of the applicant to appear before the medical Officer
approved by the Bank.
(5) The medical officer approved by the Bank shall also be supplied by the
Competent Authority in which the applicant is employed with a statement
of what appears from official records to be the age of the applicant.
31. Compassionate Allowance:-
(1) An employee, who is dismissed or removed or terminated from service,
shall forfeit his pension:
Provided that the authority higher than the authority competent to dismiss or
remove or terminate him from service may, if
(i) such dismissal, removal, or termination is on or after the 1st day of
November, 1993, and
(ii) the case is deserving of special consideration, sanction a
compassionate allowance not exceeding two-thirds of the pension
which would have been admissible to him on the basis of the
qualifying service rendered up to the date of his dismissal, removal
or termination.
(2) The Compassionate Allowance sanctioned under the proviso to sub-
regulation (1) shall not be less than the amount of minimum pension
payable under regulation 36 of these regulations.
32. Premature Retirement Pension:-
Premature Retirement Pension may be granted to an employee who :-
(a) has rendered minimum ten years of service ;
(b) retires from service on account of orders of the Bank to retire prematurely in
the public interest or for any other reason specified in service regulations or
settlement; if otherwise he was entitled to such pension on superannuation
on that date.
33. Compulsory Retirement Pension:-
(1) An employee compulsorily retired from service as a penalty on or after 1st
day of November, 1993, in terms of Discipline and Appeal Regulations or
settlement by the authority higher than the authority competent to impose
such penalty may be granted pension at a rate not less than two-thirds and
206
not more than full pension admissible to him on the date of his compulsory
retirement if otherwise he was entitled to such pension on superannuation
on that date.
(2) Whenever in the case of a bank employee the Competent Authority passes
an order (whether original, appellate or in exercise of power of review)
awarding a pension less than the full compensation pension admissible
under these regulations, the Board of Directors shall be consulted before
such order is passed.
(3) A pension granted or awarded under sub-regulation (1) or, as the case
may be, under sub-regulation (2), shall not be less than the amount of
rupees three hundred and seventy five per mensem.
34. Payment of pension or family pension in respect of employees who retired

or died between 01-01-1986 and 31-10-1993:-
(1) Employees who have retired from the service of the Bank, between the
1st day of January, 1986 and the 31st day of October, 1993 shall be eligible
for pension with effect from the 1st day of November, 1993.
(2) The family of a deceased employee governed by the provisions contained
in sub-regulation (7) of regulation 3 shall be eligible for family pension with
effect from the 1st day of November, 1993.
RATE OF PENSION
35. Amount of Pension:-
(1) In respect of employees who retired between the 1st day of January, 1986
but before the 31st day of October, 1987, basic pension and additional
pension will be updated as per the formula given in Appendix - I.
(2) In the case of an employee retiring in accordance with the provisions of

the Service Regulations or Settlement after completing a qualifying service
of not less than thirty three years the amount of basic pension shall be
calculated at fifty per cent of the average emoluments.
(3) (a) Additional pension shall be fifty per cent of the average amount of
the allowances drawn by an employee during the last ten months of
his service;
(b) no dearness relief shall be paid on the amount of additional pension.
207
Explanation:-
For the purpose of this sub-regulation “allowances” means allowances
which are admissible to the extent counted for making contributions to the
Provident Fund.
(4) Pension as computed being aggregate of sub-regulations (2) and (3) above
shall be subject to the minimum pension as specified in these regulations.
(5) An employee who has commuted the admissible portion of his pension as
per the provisions of regulation 41 of these regulations shall receive only
the balance of pension, monthly.
(6) (a) In the case of an employee retiring before completing a qualifying
service of thirty-three years, but after completing a qualifying service
of ten years, the amount of pension shall be proportionate to the
amount of pension admissible under sub-regulations (2) and (3) and
in no case the amount of pension shall be less than the amount of
minimum pension specified in these regulations.
(b) Notwithstanding any thing contained in these regulations, the amount
of invalid pension shall not be less than the ordinary rate of family
pension which would have been payable to his family in the event of
his death while in service.
(7) The amount of pension finally determined under this regulation shall be
expressed in whole rupee and where the pension contains a fraction of a
rupee, it shall be rounded of to the next higher rupee.
36. Minimum pension:-
The amount of minimum pension shall be,
(a) rupees three hundred and seventy five per month in respect of an
employee other than a part-time employee who had retired before the
1st day of November, 1993.
(b) rupees one hundred and twenty five per month in respect of a part-time
employee who had retired before the 1st day of November 1993;
(c) rupees seven hundred and twenty per month in respect of an employee
other than part-time employee who retires on or after the 1 st day of
November, 1993; and
(d) rupees two hundred and forty per month in respect of a part-time employee
who retires on or after the 1st day of November, 1993.
208
37. Dearness Relief:-
(1) Dearness relief shall be granted on basic pension or family pension or
invalid pension or on compassionate allowance in accordance with the
rates specified in Appendix - II.
(2) Dearness relief shall be allowed on full basic pension even after
commutation.
38. Determination of the period of ten months for average emoluments:-

(1) The period of the preceeding ten months for the purpose of average
emoluments shall be reckoned from the date of retirement.
(2) In the case of voluntary retirement or premature retirement the period of
the preceeding ten months for the purpose of average emoluments shall
be reckoned from the date on which the employee voluntarily retires or is
prematurely retired by the Bank.
(3) In the case of dismissal or removal or compulsory retirement or termination
of service the period of the preceeding ten months for the purpose of
average emoluments shall be reckoned from the date on which the
employee is dismissed or removed or compulsorily retired or terminated
by the Bank.
(4) If during the last ten months of the service an employee had been absent
from duty on extraordinary leave on loss of pay or had been under
suspension and the period whereof does not count as service, the aforesaid
period of extraordinary leave or suspension shall not be taken into account
in the calculation of the average emoluments and an equal period before
the ten months shall be included.
FAMILY PENSION
39. Family Pension:-

(1) Without prejudice to the provisions contained in these regulations where
an employee dies :-
(a) after completion of one year of continuous service; or
(b) before completion of one year of continuous service provided the
deceased employee concerned immediately prior to his appointment
to the service or post was examined by a medical officer approved
by the Bank and declared fit for employment in the Bank; or
209
(c) after retirement from service and was on the date of death in receipt
of a pension, or compassionate allowance;
the family of the deceased shall be entitled to family pension,
the amount of which shall be determined in accordance with
Appendix - III.
(2) The amount of family pension shall be fixed at monthly rates and be
expressed in whole rupees and where the family pension contains; a
fraction of a rupee, it shall be rounded off to the next higher rupee;
Provided that in no case a family pension in excess of the maximum
prescribed under these regulations shall be allowed.
(3) (a) (i) Where an employee, who is not governed by the Workmen’s
Compensation Act, 1923, (8 of 1923), dies while in service after
having rendered not less than seven years’ continuous service,
the rate of family pension payable to the family shall be equal
to fifty per cent of the pay last drawn or twice the family pension
admissible under sub-regulation (1), whichever is less, and the
amount so admissible shall be payable from the date following
the date of death of the employee for a period of seven years
or for a period up to the date on which the deceased employee
would have attained the age of sixty five years had he survived,
whichever is less;
(ii) In the event of death of an employee after retirement, the family
pension as determined under clause (a) or clause (b) of this sub-
regulation shall be payable for a period of seven years or for a
period up to the date on which the retired deceased employee
would have attained the age of sixty five years had he survived,
whichever is less;
(b) (i) Where an employee, who is governed by the Workmen’s
Compensation Act, 1923 (8 of 1923), dies while in service after
having rendered not less than seven years’ continuous service,
the rate of family pension payable to the family shall be equal
to fifty per cent, of the pay last drawn or one and half times the
family pension admissible under sub-regulation (1), whichever
is less;
(ii) the family pension so determined under sub-clause (1) shall be
payable for the period mentioned in clause (a);
210
(c) after the expiry of the period referred to in clause (a), the family,
in receipt of family pension under that clause or clause (b) shall
be entitled to family pension at the rate admissible under sub-
regulation (1).
(4) Notwithstanding anything contained in these regulations where the family of
a deceased employee opts for pension in accordance with sub-regulation
(5) of regulation 3 or is governed by the provisions contained in sub-
regulation (6) or (7) or (8) of regulation 3, such family of the deceased
shall be eligible for family pension under these regulations.
(Refer IBA Circular No. PD/CIR/76/G(ii)/495 dt. 28-07-1998 and Circular
No. PD/CIR/76/G(ii)/1492 dt. 04-01-1999)
40. Period of payment of family pension:-
The period for which family pension is payable shall be :-
(a) in the case of a widow or a widower, up to the date of death or re-marriage,
whichever is earlier;
(b) in the case of a son, until he attains the age of twenty-five years; and
(c) in the case of an unmarried daughter, until she attains the age of
twenty-five years or until she gets married, whichever is earlier;
Provided that if the son or daughter of an employee is suffering from any
disorder or disability of mind or is physically crippled or disabled so as
to render him or her unable to earn a living even after attaining the age
of twenty-five years, the family pension shall be payable to such son or
daughter for life subject to the following conditions, namely :-
(i) if such son or daughter is one among two or more Children of the
employee, the family pension shall be initially payable to the minor
children in the order set out in clause (e) of sub-regulation (1) until
the last minor child attains the age of twenty-five years and thereafter
the family pension shall be resumed in favour of the son or daughter
suffering from disorder or disability of mind or who is physically
crippled or disabled and shall be payable to him or her for life;
(ii) if there are more than one such children suffering from disorder or
disability of mind or who are physically crippled or disabled, the family
pension shall be paid in the order of their birth and the younger of
them will get the family pension only after the elder next above him
or her ceases to be eligible;
211
Provided that where the family pension is payable to such twin
children it shall be paid in the manner set out in clause (f) of
sub-regulation (1);
(iii) the family pension shall be paid to such son or daughter through the
guardian as if he or she were a minor except in the case of a physically
crippled son or daughter who has attained the age of majority;
(iv) before allowing the family pension for life to any such son or daughter,
the Competent Authority shall satisfy that the handicap is of such a
nature as to prevent him or her from earning his or her livedlihood
and the same shall be evidenced by a certificate obtained from a
medical officer approved by the Bank, setting out, as far as possible,
the exact mental or physical condition of the child;
(v) the person receiving the family pension as guardian of such son or
daughter or such son or daughter not receiving the family pension
through a guardian shall produce every three years a certificate from
a medical officer approved by the Bank to the effect that he or she
continues to suffer from disorder or disability of mind or continues to
be physically crippled or disabled.
Explanation :-
The grant of family pension to disabled children beyond the age

limit specified in this regulation is subject to the following conditions,
namely -
(i) a daughter shall become ineligible for family pension under this
sub-regulation from the date she gets married;
(ii) the family pension payable to such son or daughter shall be
stopped if he or she starts earning his or her livelihood. In such
cases it shall be the duty of the guardian or son or daughter to
furnish a certificate to the Bank every month that -
(A) he or she has not started earning his or her livelihood;
(B) in case of daughter that she has not yet married;
(d) If a deceased employee or pensioner leaves behind a widow or
widower, the family pension shall become payable to the widow or
widower, failing which to the eligible child;
212
(e) family pension to the children shall be payable in the order of their
birth and the younger of them shall not be eligible for family pension
unless the elder next above him or her has become ineligible for the
grant of family pension;
Provided that where the family pension is payable to twin children
it shall be paid in the manner set out in clause (f) of the sub-
regulation (1);
(f) Where the family pension is payable to twin children it shall be paid
to such children in equal shares;
Provided that where one such child ceases to be eligible, his or her
share shall revert to the other child and where both of them cease
to be eligible, the family pension shall be payable to the next eligible
single child or twin children, as the case may be.
(2) Where a deceased employee or a pensioner leaves behind more children
than one, the eldest eligible child shall be entitled to the family pension
for the period mentioned in clauses (b) or (c) of sub-regulation (1), as the
case may be, and after the expiry of that period the next child shall become
eligible for the grant of family pension.
(3) Where family pension is granted under this regulation to a minor, it shall
be payable to the guardian on behalf of the minor.
(4) In case both wife and husband are employees of the Bank and are governed
by the provisions of this regulation and one of them dies while in service
or after retirement, the family pension in respect of the deceased shall be
payable to the surviving husband or wife and in the event of death of the
husband or wife, the surviving child or children shall be granted the two
family pensions in respect of the deceased parents subject to the limits
specified below, namely :-
(a) if the surviving child or children is or are eligible to draw two
family pensions at the rates mentioned in sub-clause (1) of clause
(a) and sub-clause (i) of clause (b) of sub-regulation (3) of regulation
39 the amount of both pensions shall be limited to two thousand
five hundred rupees only per mensem in respect of employees who
retired or died while in service prior to the 1st day of November,
1993 and four thousand eight hundred rupees per mensem only in
respect of employees who retired or died on or after the 1st day of
November, 1993;
213
(b) if one of the family pensions ceases to be payable at the
rates mentioned in sub-clause (i) of clause (a) or sub-clause (i) of
clause (b) of sub-regulation (3) of regulation 39 and in lieu thereof the
family pension at the rate mentioned in sub-regulation (1) of regulation
39 becomes payable, the amount of both the pensions shall also be
limited to two thousand five hundred rupees per mensem in respect
of employees who retired or died while in service prior to the 1st day
of November; 1993 and four thousand eight hundred rupees per
mensem in respect of employees who retired or died on or after the
1st day of November, 1993;
(c) if both the family pensions are payable at the rate mentioned in sub-
regulation (1) of regulation 39 the amount of the two pensions shall
be limited to one thousand two hundred and fifty rupees per mensem
in the case of employees who retired or died while in service prior to
the 1st day of November, 1993 and two thousand four hundred rupees
per mensem in respect of employees who retired or died on or after
the 1st day of November, 1993.
(5) (a) Where family pension is payable to more widows than one, the family
pension shall be paid to the widows in equal shares;
(b) on the death of a widow, her share of the family pension shall become
payable to her eligible child;
Provided that if the widow is not survived by any child, her share of
the family pension shall not lapse but shall be payable to the other
widows in equal shares, or if there is only one such other widow, in
full, to her;
(c) where the deceased employee or pensioner is survived by a widow
but has left behind eligible child or children from another wife who is
not alive, the eligible child or children shall be entitled to the share
of family pension which the mother would have received if she had
been alive at the time of the death of the employee or pensioner;
Provided that on the share or shares of family pension payable
to such a child or children or to a widow or widows ceasing to be
payable, such share or shares shall not lapse, but shall be payable
to the other widow or widows or to other child or children otherwise
eligible, in equal shares, or if there is only one widow or child, in full,
to such widow or child;
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(d) where the family pension is payable to twin children it shall be paid to
such children in the manner specified in clause (f) of sub-regulation
(1) above;
(e) except as provided in this sub-regulation the family pension shall not
be payable to more than one member of the family at the same time.
(6) Where a female employee or male employee dies leaving behind a judicially
separated husband or widow and no child or children, the family pension
in respect of the deceased shall be payable to the person surviving:
Provided that where in a case the judicial separation is granted on the
ground of adultery and the death of the employee takes place during the
period of such judicial separation, the family pension shall not be payable to
the person surviving if such person surviving was held guilty of committing
adultery.
(7) (a) where a female employee or male employee dies leaving behind a
judicially separated husband or widow with a child or children, the
family pension payable in respect of the deceased shall be payable
to the surviving person provided he or she is the guardian of such
child or children;
(b) where the surviving person has ceased to be the guardian of such
child or children, such family pension shall be payable to the person
who is the actual guardian of such child or children.
(8) if the son or unmarried daughter eligible for the grant of family pension
has attained the age of eighteen years, the family pension may be paid
to such son or unmarried daughter directly.
(9) (a) if a person who, in the event of death of an employee while in service,
is eligible to receive family pension under these regulations, is
charged with the offence of murdering the employee or for abetting
in the commission of such an offence, the claim of such a person,
including other eligible member or members of the family to receive
the family pension, shall remain suspended till the conclusion of the
criminal proceedings instituted against him;
(b) if on the conclusion of the criminal proceedings referred to in clause
(a), the person concerned -
(i) is convicted for the murder or abetting in the murder of the
employee, such a person shall be debarred from receiving
215
the family pension which shall be payable to the other eligible
member of the family, from the date of death of the employee;
(ii) is acquitted of the charge of murder or abetting in the murder
of the employee, the family pension shall be payable to such a
person from the date of death of the bank employee;
(c) the provisions of sub-clauses (a) and (b) shall also apply for the
family pension becoming payable on the death of an employee after
his retirement.
Military Family Pension

COMMUTATION
41. Commutation:-
(1) An employee shall be entitled to commute for a lump sum payment of a
fraction not exceeding one-third of his pension:
Provided that in respect of an employee who is governed by sub-regulation
(5) of regulation 3 of these regulations, the family of such employee
shall also be entitled to commute for a lump sum payment a fraction not
exceeding one-third of the pension admissible to the employee.
(2) An employee shall indicate the fraction of pension which he desires to
commute and may either indicate the maximum limit of one-third pension
or such lower limit as he may desire to commute.
(3) If fraction of pension to be commuted results in fraction of rupee, such
fraction of a rupee shall be ignored for the purpose of commutation.
(4) The lump sum payable to an applicant shall be calculated in accordance
with the Table given below:-
216
TABLE
Commutation values for a pension of Re. one per annum
Age next Commutation Age next Commutation
birthday value expressed as number birthday expressed as number
of year’s purchase of year’s purchase
17 19.28 51 12.95
18 19.20 52 12.66
19 19.11 53 12.35
20 19.01 54 12.05
21 18.91 55 11.73
22 18.81 56 11.42
23 18.70 57 11.10
24 18.59 58 10.78
25 18.47 59 10.46
26 18.34 60 10.13
27 18.21 61 09.81
28 18.07 62 09.48
29 17.93 63 09.15
30 17.78 64 08.82
31 17.62 65 08.50
32 17.46 66 08.17
33 17.29 67 07.85
34 17.11 68 07.53
35 16.92 69 07.22
36 16.72 70 06.91
37 16.52 71 06.60
38 16.31 72 06.30
39 16.09 73 06.01
40 15.87 74 05.72
41 15.64 75 05.44
42 15.40 76 05.17
43 15.15 77 04.90
44 14.90 78 04.65
45 14.64 79 04.40
46 14.37 80 04.17
47 14.10 81 03.94
48 13.82 82 03.72
49 13.54 83 03.52
50 13.25 84 03.32
85 03.13
217
Note: The Table above indicates the commuted value of pension expressed as number
of year’s purchase with reference to the age of the pensioner as on his next birthday.
The commuted value in the case of an employee retiring at the age of fifty eight years
is 10.46 years’ purchase and, therefore, if he commutes rupees one hundred from his
pension within one year of retirement, the lump sum amount payable to him works
out to `100 x 10.46 x 12 = `12,552.
(5) An employee who had commuted the admissible portion of pension is entitled to
have the commuted portion of the pension restored after the expiry of a period
of fifteen years from the date of commutation.
(6) An applicant who is authorised to receive a superannuation pension, voluntary
retirement pension, premature retirement pension, compulsory retirement
pension, invalid pension or compassionate allowance shall be eligible to
commute a fraction of his pension under these regulations.
(7) In the case of a pensioner eligible for superannuation pension or pension on
voluntary retirement or premature retirement pension, no medical examination
shall be necessary, if the application for commutation is made within one
year from the date of retirement. However, if such a pensioner applies for
commutation of pension after one year from the date of his retirement, the same
will be permitted subject to medical examination.
(8) An applicant who -
(i) retires on invalid pension under regulation 30 of these regulations, or
(ii) is in receipt of compassionate allowance under regulation 31 of these
regulations; or
(iii) is compulsorily retired by the Bank and is eligible for compulsory retirement
pension under regulation 33.
shall be eligible to commute a fraction of his pension subject to the limit specified
in sub-regulation (1) after he has been declared fit by a medical officer approved
by the Bank.
(9) The commutation of pension shall become absolute in the case of an employee -
(a) retiring on superannuation or voluntary retirement who submits an
application for commutation of pension before the date of retirement, on
the date following the date of retirement;
Provided that the employee governed by sub-regulation (3) of regulation

29 shall not apply for commutation of a part of his pension before the
218
expiry of the notice of three months and the commutation of pension shall
become absolute only on the expiry of the period of notice referred to in
sub-regulation (1) of regulation 29;
(b) retiring on superannuation or on voluntary retirement or on premature

retirement, if he applies for commutation of pension after the date
of retirement but before the completion of one year from the date of
retirement, on the date the application for commutation is received
by the Competent Authority;
(c) retiring on superannuation or on voluntary retirement or on premature

retirement, if he applies for commutation of pension after one year
from the date of retirement, on the date of the medical certificate
given by a medical officer approved by the Bank;
(d) who has retired prior to the 1st day of November, 1993 and who opts
to be governed by these regulations, on the 1st day of November,
1993, where the application for commutation is made within the period
specified by the clause (b) of the sub-regulation (1) of regulation 3;
(e) who was in the service of the Bank on or after the 1st day of
November, 1993 but who retired prior to the publication of these
regulations on the day immediately following the date of his retirement,
where the application is made within the period specified by clause
(b) of sub-regulation (2) of regulation 3;
(f) who retired on or after the 1st day of November, 1993 but died prior
to the notified date, on the day immediately following the date of his
retirement, where the application for commutation is made by the
family of the deceased within the period specified by clause (a) of
sub-regulation (5) of regulation 3;
(g) in respect of whom invalid pension under regulation 30 or compulsory

retirement under regulation 33 is admissible, commutation shall
become absolute on the date of the medical certificate given by a
medical officer approved by the Bank.
219
GENERAL CONDITIONS
42. Pension subject to future good conduct:-
Future good conduct shall be an implied condition of every grant of pension and
its continuance under these regulations.
43. Withholding or withdrawal of pension:-
The Competent Authority may, by order in writing, withhold or withdraw a pension
or a part thereof, whether permanently or for a specified period, if the pensioner
is convicted of a serious crime or criminal breach of trust or forgery or acting
fraudulently or is found guilty of grave misconduct:
Provided that where a part of pension is withheld or withdrawn, the amount of
such pension shall not be reduced below the minimum pension per mensem
payable under these regulations.
44. Conviction by court:-
Where a pensioner is convicted of a serious crime by a Court of Law, action shall
be taken in the light of the judgement of the court relating to such conviction.
45. Pensioner guilty of grave misconduct:-
In a case not falling under regulation 44 if the Competent Authority considers that
the pensioner is prima facie guilty of grave misconduct, it shall, before passing
an order, follow the procedure specified in Officer Employees’ (Discipline and
Appeal) Regulations, 1976 or in Settlement as the case may be.
46. Provisional Pension:-
(1) An employee who has retired on attaining the age of superannuation or
otherwise and against whom any departmental or judicial proceedings are
instituted or where departmental proceedings are continued, a provisional
pension, equal to the maximum pension which would have been admissible
to him, would be allowed subject to adjustment against final retirement
benefits sanctioned to him, upon conclusion of the proceedings but no
recovery shall be made where the pension finally sanctioned is less than
the provisional pension or the pension is reduced or withheld etc., either
permanently or for a specified period.
(2) In such cases the gratuity shall not be paid to such an employee until
the conclusion of the proceedings against him. The gratuity shall be
paid to him on conclusion of the proceedings subject to the decision of
220
the proceedings. Any recoveries to be made from an employee shall be
adjusted against the amount of gratuity payable.
Explanation :- In this chapter
(a) the expression ‘serious crime’ includes a crime involving an offence under
the Official Secrets Act, 1923 (19 of 1923);
(b) the expression “grave misconduct” includes the communication or
disclosure of any secret official code or password or any sketch, plan,
model, article, note, document or information, such as is mentioned in
section 5 of the Official Secrets Act, 1923 (19 of 1923) which was obtained
while holding office in the Bank so as to prejudicially affect the interests
of the general public or the security of the State.
(c) the expression fraudulently’ shall have the meaning assigned to it under
section 25 of the Indian Penal Code, 1860 (45 of 1860);
(d) the expression ‘criminal breach of trust’ shall have the meaning assigned
to it under section 405 of the Indian Penal Code, 1860 (45 of 1860);
(e) the expression ‘forgery’ shall have the meaning assigned to it under section
463 of the Indian Penal Code, 1860 (45 of 1860);
47. Commutation of pension during departmental or judicial proceedings:-
An employee against whom departmental or judicial proceedings have been
instituted before the date of his retirement or a person against whom such
proceedings are instituted after the date of his retirement shall not be eligible to
commute a fraction of his provisional pension, or pension, as the case may be,
authorised under these regulations during the pendency of such proceedings.
48. Recovery of Pecuniary loss caused to the Bank:-
(1) The Competent Authority may withhold or withdraw a pension or a part
thereof, whether permanently or for a specified period, and order recovery
from pension of the whole or part of any pecuniary loss caused to the bank
if in any departmental or judicial proceedings the pensioner is found guilty
of grave misconduct or negligence or criminal breach of trust or forgery or
acts done fraudulently during the period of his service;
Provided that the Board shall be consulted before any final orders are
passed;
Provided further that departmental proceedings, if instituted while the
employee was in service, shall, after the retirement of the employee, be
deemed to be proceedings under these regulations and shall be continued
221
and concluded by the authority by which they were commenced in the
same manner as if the employee has continued in service;
Provided also that no departmental or judicial proceedings, if not initiated
while the employee was in service, shall be instituted in respect of a cause
of action which arose or in respect of an event which took place more than
four years before such institution.
(2) Where the Competent Authority orders recovery of pecuniary loss from the
pension, the recovery shall not ordinarily be made at a rate exceeding one-
third of the pension admissible on the date of retirement of the employee;
Provided that where a part of pension is withheld or withdrawn, the amount
of pension drawn by a pensioner shall not be less than the minimum
pension payable under these regulations.
49. Recovery of Bank’s dues:-

The Bank shall be entitled to recover the dues to the Bank on account of housing
loans, advances, license fees, other recoveries and recoveries due to staff
co-operative credit society from the commutation value of the pension or the
pension or the family pension.
50. Commercial employment after retirement:-

(1) If a pensioner who immediately before his retirement was holding the post
of an officer and wishes to accept any commercial employment before
the expiry of two years from the date of his retirement, he shall obtain the
previous sanction of the Bank to such acceptance;
(2) Subject to the provision of sub-regulation (3), the Bank may, by order in
writing, on the application by a pensioner, grant, subject to such conditions,
if any, as it may deem necessary, permission, or refuse, for reasons to
be recorded in the order, permission to such pensioner to take up the
commercial employment specified in the application.
(3) In granting or refusing permission under sub-regulation (2) to a pensioner

for taking up any commercial employment, the Bank shall have regard to
the following factors, namely :-
(a) the nature of the employment proposed to be taken up and the
antecedents of the employer;
222
(b) whether his duties in the employment which he proposes to take up
might be such as to bring him into conflict with the Bank;
(c) whether the pensioner while in service had any such dealing with the
employer under whom he proposes to seek employment as it might
afford a reasonable basis for the suspicion that such pensioner had
shown favours to such employer;
(d) whether the duties of the commercial employment proposed involve
liaison or contact work with Bank;
(e) whether his commercial duties will be such that his previous official
position or knowledge or experience under Bank could be used to
give the proposed employer an unfair advantage;
(f) the emoluments offered by the proposed employer; and
(g) any other relevant factor.
(4) Where within a period of sixty days of the date of receipt of an application
under sub-regulation (3), the Bank does not refuse to grant the permission
applied for or does not communicate the refusal to the applicant, the Bank
shall be deemed to have granted the permission applied for;
Provided that in any case where defective or insufficient information is
furnished by the applicant and it becomes necessary for the bank to seek
further clarifications or information from him, the period of sixty days shall
be counted from the date on which the defects have been removed or
complete information has been furnished by the applicant.
(5) Where the Bank grants the permission applied for subject to any conditions
or refuses such permission, the applicant may, within thirty days of the
receipt of the order of the Bank to that effect, make a representation against
any such condition or refusal and the Bank may make such orders thereon
as it deems fit;
Provided that no order other than an order cancelling such condition or
granting such permission without any conditions shall be made under this
sub-regulation without giving the pensioner making the representation an
opportunity to show cause against the order proposed to be made.
(6) If any pensioner takes up any commercial employment at any time before
the expiry of two years from the date of his retirement without the prior
permission of the Bank or commits a breach of any condition subject to
such permission to take up any commercial employment has been granted
223
to him under this regulation, it shall be competent for the Bank to declare
by order in writing and for reasons to be recorded therein that he shall not
be entitled to the whole or such part of the pension and for such periods
as may be specified in the order;
Provided that no such order shall be made without giving the pensioner
concerned an opportunity of show cause against such declaration;
Provided further that in making any order under this sub-regulation, the
Bank shall have regard to the following factors, namely:-
(i) the financial circumstances of the pensioner concerned;
(ii) the nature of, and the emoluments from, the commercial employment
taken up by the pensioner concerned; and
(iii) any other relevant factor.
(7) Every order passed by the Bank under this regulation shall be communicated
to the pensioner concerned.
(8) In this regulation, the expression “commercial employment” means
(i) an employment in any capacity including that of an agent, under a
company (including a banking company), co-operative society, firm
or individual engaged in trading, commercial, industrial, financial
or professional business and includes also a directorship of such
company (including a banking company) and partnership of such firm,
but does not include employment under a body corporate, wholly or
substantially owned or controlled by the Central Government or a
State Government.
(ii) setting up practice, either independently or as a partner of a firm, as
adviser or consultant in matters in respect of which the pensioner -
(A) has no professional qualifications and the matters in respect of
which the practice is to be set up or is carried on are relatable
to his official knowledge or experience, or
(B) has professional qualifications but the matters in respect of
which such practice is to be set up are such as are likely to give
his clients an unfair advantage by reason of his previous official
position, or
(C) has to undertake work involving liaison or contact with the offices
or officers of the Bank.
224
Explanation:-
For the purpose of this clause, the expression “employment under a co-operative
society” includes the holding of any office, whether elective or otherwise, such as
that of President, Chairman, Manager, Secretary, Treasurer and the like, by whatever
name called in such society.
51. Nomination:-
(1) The trust shall allow every employee governed by these regulations to make
a nomination conferring on one or more persons the right to receive the
amount of pensionary benefits under these regulations in the event of his
death before that amount becomes payable or, having become payable,
has not been paid. Such nomination shall be made in such form as may
be specified by the Bank from time to time.
(2) If any employee nominates more than one person under sub-regulation (1),
he shall, in his nomination, specify the amount or share payable to each
of the nominees in such a manner as to cover the whole of the amount of
the pensionary benefits that may be payable in the event of his death.
(3) A nomination made by an employee may, at any time, be modified or

revoked by him after giving a written notice to the trust of his intention of
doing so in such form as the Bank may from time to time specify.
(4) A nomination or its revocation or its modification shall take effect to the
extent it is valid on the date on which it is received by the trust.
52. Date from which pension becomes payable:-

(1) Except in the case of an employee to whom the provisions of regulation 43
and regulation 46 apply a pension other than family pension shall become
payable from the date following the date on which an employee retires.
(2) Family pension shall become payable from the date following the date of
death of the employee or the pensioner.
(3) Pension including family pension shall be payable for the day on which
its recipient dies.
225
53. Currency in which pension is payable:-
All pensions admissible under these regulations shall be payable in rupees in
India only.
54. Manner of payment of pension:-

A pension fixed at a monthly rate shall be payable monthly on or after the first
day of the following month.
55. Power to issue instructions:-

The Chairman and Managing Director of the Bank may from time to time issue
instruction as may be considered necessary or expedient for the implementation
of these regulations.
56. Residuary provisions:-

In case of doubt, in the matter of application of these relegations, regard may
be had to the corresponding provisions of Central Civil Services Rules, 1972,
or Central Civil Services (Commutation of Pension) rules, 1981 applicable for
Central Government employees with such exceptions and modifications as the
Bank, with the previous sanction of the Central Government, may from time to
time determine.
226
RATES OF FAMILY PENSION
Workmen retired before 01.11.1992 (other than PTS) and Officers before 01.07.1993 DA-A
Pay Per Month Pay Per Month Pay Per Month
Upto `1,500/- `1,501/- to `3,000/- Above `3,000/-
30% 20% 15%
(Min `375) (Min `450) (Min `600, Max `1250)
Workmen retired on or after 01.11.1992 (other than PTS) and Officers after 01.07.1993 DA-B
Upto `2,870/- `2871 – 5740/- Above `5740/-
30% 20% 15%
(Min `720) (Min `860) (Min `1150, Max `2400)
Employees Retired from 01.04.1998 upto 31.10.2002 (Other Than PTS) DA-C
Upto `4,210/- `4,211 – `8,420/- Above `8,420/-
30% 20% 15%
(Min `1,060) (Min `1,262) (Min `1687, Max `3,521)
w.e.f 01.05.2005 w.e.f. 01.05.2005 w.e.f 01.05.2005
PTS : Min 1/3rd… `355, 1/2nd… Min `530, 3/4th.. Min `795, and Full.. `1,060/-
Employees retired from 01.11.2002 upto 31.10.2007 DA-D

Upto `5,720/- `5,721 to `11,440/- Above `11,440/-
30% 20% 15%
(Min `1,435) (Min `1,715) (Min `2,292, Max `4,784)
PTS: Min 1/3rd… `480/-, 1/2nd.. `720/-, 3/4th…. `1,080/- and full…. `1,435/-
Employees retired on or after 01.11.2007 DA-E

Upto `7,090/- `7,091 to `14,180/- Above `14,180/-
30% 20% 15%
(Min `1,779) (Min `2,186) (Min `2,841, Max `5,930/-)
Employees retired on or after 01.11.2012 DA-F
Upto `11,100/- `11,101 to `22,200/- Above `22,200/-
30% 20% 15%
(Min `2,785) (Min `3,422) (Min `4,448, Max `9,284/-)
Minimum Pension for employees retired on or after 01.11.2012
General Rule: Minimum Pension: Employees other than PTS `2,785/-
Min Pension for PTS: 1/3rd `932/-, 1/2nd `1,397, 3/4th `2,096/-
227
CHAPTER - XXIX
NEW PENSION SCHEME

[H.O. Mem: 57/2012 dt.10.03.2012]
1. Introduction:
Indian Banks’ Association, on behalf of the Management of Banks has signed the
minutes of the discussions held with the constituents of United Forum of Bank Unions
on 27th November 2009 in the matter, inter alia, introducing a Defined Contributory
Retirement Benefit Scheme (NPS-New Pension Scheme) instead of the present
Defined Benefit Pension Scheme to those employees who are joining the services
of banks on or after 1st April 2010.
The New Pension Scheme shall be one as governed by the “Contributory Pension
Scheme” introduced for employees of Central Government w.e.f. 1st January 2004.
There shall be no separate contributory provident fund in respect of these employees.
The Scheme shall be regulated and administered by Pension Fund Regulatory and
Development Authority (PFRDA).
2. Salient features:
2.1. The NPS in Banks is on similar lines of the ‘Contributory Pension’ introduced
for employees of Central Government w.e.f. 01.01.2004.
2.2. No separate contributory provident fund in respect of employees covered under
the new scheme.
2.3. The scheme will be regulated and administered by Pension Fund Regulatory
and Development Authority (PFRDA).
2.4. The NPS has two tiers - Tier I and II.
2.5. Contribution to Tier-1 is mandatory for all employees joining the services of the
Bank on or after 01.04.2010.
2.6. Tier - II is optional.
2.7. Under Tier - I, Employees to make contribution @ 10% of the basic pay plus
DA, which will be deducted from the salary every month.
2.8. Bank to make equal matching contribution.
2.9. Tier-I contribution (and the Investment returns) will be kept in non-withdrawable
Pension Tier-I account.
228
2.10. In addition, each individual may also have a voluntary Tier - II withdrawable
account at his/her option. The withdrawable account does not constitute pension
investment and would have no special tax treatment. Bank need not make
any contribution to Tier-II account.
2.11. At or after the age of 60 years, the Employee can exit from the Scheme.
However, 40% of pension wealth to be invested to purchase annuity (from the
Fund Manager) which will provide pension for the lifetime of the employee.
2.12. Individual will have flexibility to leave the pension system prior to the age of
60. However, in such cases, the mandatory annuitisation would be 80% of the
pension wealth.
2.13. Where an employee dies due to any cause, option will be available to the
nominee to receive 100% of the NPS pension wealth in lump sum. However,
if the nominee wishes to continue with the NPS, he/she shall have to subscribe
to NPS individually after following due KYC procedure.
2.14. Only one Permanent Retirement Account Number (PRAN) will be given to an
employee and it can be operated from anywhere in the country even if the
employee changes the Employment, City or the Fund Manager.
2.15. Recoveries towards Tier-1 contribution will start from the salary of the month
following the month in which the employee joins the services of the Bank. No
recovery will be effected for the month of joining. For ex: for employees joining
service in the month of February, deductions towards Tier-I contribution will
start from the salary of March.
2.16. No deductions will be made towards PF contribution from the employees joining
the service of the Bank on after 01.04.2010 as the PF scheme is not applicable
to them.
2.17. Tax benefits would be applicable as per the Income Tax Act, 1961, under
Chapter VI, Section 80CCD, as amended from time to time.
3. NPS Architecture:
3.1 NPS Trust
Pension Fund Regulatory and Development Authority (PFRDA) is the prudential

Regulator for the NPS. PFRDA has established the NPS Trust under Indian Trust
Act, 1882 and appointed NPS Board of Trustees in whom the administration of the
‘National Pension System’ vests under Indian Law. The Trust is responsible for taking
care of the funds under the NPS.
229
3.2 Trustee Bank
The NPS Trust holds an account with the Bank of India and this Bank is designated
as the ‘NPS Trustee Bank.’
3.3 Pension Fund Managers (PFMs)
PFRDA has appointed six Pension Fund Managers (PFMs) who will manage the
retirement savings of subscribers under the NPS. They are:-
● ICICI Prudential Pension Funds Management Company Limited
● IDFC Pension Fund Management Company Limited
● Kotak Mahindra Pension Fund Limited
● Reliance Capital Pension Fund Limited
● SBI Pension Funds Private Limited
● UTI Retirement Solutions Limited.
The PFMs are required to invest strictly in accordance with guidelines issued by the
Government/PFRDA.
3.4 Central Record Keeping Agency (CRA)
National Securities Depository Limited (NSDL) has been appointed as the CRA. The
record keeping, administration and customer service functions for all subscribers of
the NPS shall be centralized and performed by the CRA. The CRA shall also provide
periodic, consolidated PRAN statements to each subscriber.
3.5 Points of Presence (PoPs)
POPs act as the customer interface for non-government subscribers/individual citizens
who wish to open Permanent Retirement Account (PRA) with Central Record keeping
Agency (CRA) for the purpose of subscribing to the NPS.
3.6 Subscribers (Employees)
4. Functions of PoP
4.1 To receive the duly filled application form along with the KYC documentation as
may be applicable from time to time.
4.2 To verify KYC documents as may be required from time to time.
4.3 To collect and verify contributions that may be received through salary.
4.4 To collect/deduct NPS application processing fees and issue of receipt to the
subscriber against the same.
230
4.5 To submit complete and accepted forms on a daily basis, to CRA/CRA Facilitation
Centre (FC)
4.6 To upload the subscriber contribution files into CRA system and simultaneously
arrange to transfer the funds into the account of the NPS trust maintained with
the Trustee Bank.
4.7 To maintain and report records of all transactions in accordance with the
provisions of PML Act, 2002 and Rules framed there under, as may be applicable
from time to time.
4.8 Regular subscriber contribution upload
● Verify PRAN card details on the deposit slip, the format for which shall be
prescribed by PFRDA.
● Collection and verification of contributions that may be received through
cash/cheque/Demand Draft/Electronic Clearing system (ECS)
● Collection/deduction of contribution processing fee and issue of receipt to
the subscribers for the same.
● Uploading subscriber contribution details online into the CRA system, in
respect of subscribers for whom clear funds are available, on a daily basis.
● Remit clear funds into the account of the NPS trust maintained with the
Trustee Bank on atleast T+1 basis.
● Maintain hard copies of deposit slips.
4.9 Subscriber servicing
● Carry out changes in subscriber details on request by subscriber
subject to the conditions stipulated by PFRDA.
● Receiving switch request for change in PFM and/or investment option
from subscriber and transmitting the same to CRA, wherever applicable.
● Receiving withdrawal requests from subscriber and transmitting the same
to CRA in respect of withdrawal is permissible under the scheme. For
this purpose, subscriber would put in a withdrawal request to POP-SP.
The subscriberís pension wealth would be credited directly to his bank
account by trustee bank, on receiving instructions from CRA, through
RTGS/NEFT or by way of a pay order where his/her personal bank details
are not available.
● Attending to subscriberís request for shift to another PoP-SP.
● Any other NPS account related service as may be prescribed by PFRDA
from time to time.
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4.10 Grievance handling
● Receiving of grievances submitted by the subscriber against PoP/ PoP-

SP or any other NPS Intermediary in the format prescribed by PFRDA and
uploading of all grievances in the Central Grievance Management System
(CGMS) of CRA on a daily basis. The CGMS system of CRA would route
the grievances to respective NPS intermediaries.
● Receiving grievances raised by the subscriber against PoP-SP through

the CRA call centre/CGMS of CRA by accessing the CGMS.
5. Charges structure
Following are the charges under NPS (as prescribed by PFRDA):
Intermediary Charge head Service charges Method of deduction
Central Record Keeping Permanent Retirement `50 Through cancellation

Agency Account (PRA) of units
opening charges
Annual PRA Maintenance `2801
cost
Charge per transaction `61 To be collected upfront
Point of Presence (POP) Initial subscriber registration `40

(Maximum Permissible and contribution upload
Charge for each subscriber)
Any subsequent transactions2 `20
Trustee Bank Per transaction emanating Zero Through NAV

from a RBI location deduction
Per transaction emanating `15
from a non-RBI location4
Custodian5 Asset servicing charges 0.0075%p.a. Through NAV

(on asset value for Electronic deduction
in custody) segment
& 0.05% p.a.
for Physical
segment
PFM charges Investment Management 0.0009% p.a. Through NAV

Fee
3
deduction
*Service tax and other levies, as applicable, will be levied to the employee/subscriber as per the
existing tax laws.
232
1
When the number of accounts in CRA reaches 30 lakh the service charges,
exclusive of Service Tax and other taxes as applicable, will be reduced further to Rs.250
(Rupees two hundred and fifty only) for annual PRA maintenance per account and
Rs.4 (Rupees four only) for charges per transaction. CRAís charge for maintenance
of the Permanent Retirement Account would include charges for maintenance of
electronic information of the balances in PRA, for incorporating changes to
PRA details received by the CRA in electronic form, for sending annual account
information once a year in printed form etc.
2
These includes
● Regular subscriberís contribution
● Change in subscriber details
● Change of investment scheme/fund manager
● Processing of withdrawal request
● Processing of request for subscriber shifting
● Issuance of printed Account statement
● Any other subscriber services as may be prescribed by PFRDA
3
The Investment Management Fee is inclusive of all transaction related charges
such as brokerage, transaction cost etc., except custodian charges and applicable
taxes. The Investment Management Fee is calculated on the average monthly assets
managed by the pension fund.
4
Trustee Bank charges are not charged to subscribers directly. Transaction refers
to the entire chain of activities starting from receipt of electronic instruction/receipt
of physical instrument to transfer of funds to the designated PFMs. On the outflow
side, it would include all activities leading to credit of beneficiary account.
5
Charges for Demat/Remat, Receipt of shares & SEBI charges are extra.
6. Operationalisation of NPS:
As per the guidelines of PFRDA (Pension Fund Regulatory and Development
Authority), a Bank can operationalise NPS only through a registered Point of Presence
(PoP), who will be responsible for performing all the regular activities related to NPS
on behalf of the Bank. Our Bank is currently functioning as a POP for NPS-All Citizens
of India and the existing interface with the CRA will be used to service the employees.
The Bank has already registered as Corporate with the NSDL, the CRA.
The officers/employees who joined the services of Bank on or after 01.04.2010, need
to open a Permanent Retirement Account under NPS by filling in the ëapplication
form for subscriber registrationí, format of which is enclosed as Annexure (which
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is also made available in the intranet- download path : ftp://10.10.1.10/HO- PAD/
NPS). Please go through the instructions available in the form carefully, for filling
and submitting the same.
Some of the main instructions for filling the form are
1. Form to be filled legibly in BLOCK LETTERS and in BLACK INK only. Please
do not overwrite.
Corrections should be made by cancelling and re-writing and such corrections
should be countersigned by the applicant.
2. Each box, wherever provided, should contain only one character leaving a blank
box after each word.
3. The subscriber should affix a recent colour photograph (3.5cm x 2.5cm) in the
space provided on the form. The photograph should not be stapled or clipped
to the form.
4. Signature/Thumb impression (LTI in case of males and RTI in case of females)
should only be within the box provided in the form. The subscriber should not
sign across the photograph. If there is any mark on the photograph such that
it hinders the clear visibility of the face of the subscriber, the application shall
not be accepted.
5. Applications incomplete in any respect and/or not accompanied by required
documents are liable to be rejected.
6. The application is liable to be rejected if mandatory fields are left blank or the
application form is printed back to back.
7. The subscriberís thumb impression should be verified by the designated office
of the employer accepting the form.
8. The list of documents acceptable as Proof of identity and address are given in
the application form.
The proof of address mentioned in Sr.No.1 to 7 of the application should not be
more than six months old as on the date of application.
9. The duly filled application form should be submitted to the Branch Manager
along with the proof of identity and address.
10. While submitting the application the subscriber required to bring the original
documents (proof of address and identity) and two self-attested photocopies
(originals will be returned over the counter after verification.
234
11. Officers/Employees concerned may kindly note that Section D need not
be filled in.
12. The Branch Manager should ensure that the application is duly filled in, verify
the proof(identity/address) with the originals, should fill and certify Section
B of the application and forward the application to “SPF Section/Personnel
Administration Division, Head Office.”
13. On the top of the cover containing the application, it should be clearly mentioned
as ‘APPLICATION FOR NPS’.
The applications received at Personnel Administration Division, Head Office, will be

verified and forwarded to CRA through PoP.
After the account is opened, CRA will mail a ‘Welcome Kit’ to the subscriber containing
the subscriber’s unique Permanent Retirement Account Number (PRAN) Card and
the complete information provided by the subscriber in the Subscriber Registration
form. This account number will be the primary means of identifying and operating
the account. The subscriber will also receive a Telephone Password (TPIN) which
can be used to access the account on the call centre number (1-800-222080). The
subscriber will also be provided with an Internet Password (IPIN) for accessing the
account on the CRA Website (www.npscra.nsdl.co.in) on a 24x7 basis.
***
235
IBA Letter No. CIR/HR & IR/G2 (DC)/2010-11/1036 dated 23.09.2010
Designated Officers of Member Banks which are parties

to the Bipartite Settlement (other than State Bank of India)
Dear Sirs,
Introduction of New Pension Scheme for the employees recruited in Banks on

or after 1.4.2010
You are aware that in terms of the Bipartite Settlement and Joint Note on extending
another option for pension to those who did not opt for pension earlier, signed between
the IBA and the Workmen Unions and Officers’ Associations respectively, employees
joining services of banks on or after 1.4.2010 are not eligible for Provident Fund and
Pension in terms of Bank Employees’ Pension Regulations. These employees will be
eligible for the Defined Contributory Pension Scheme, the banks will be introducing
for them; which will be one as governed by the provisions of New Pension Scheme
introduced for employees of Central Government w.e.f 1.1.2004 and as modified
from time to time.
We are enclosing notification dated 22nd December 2003 and 4th February 2004 of
the Ministry of Finance containing the salient features of the Scheme introduced
for employees of the Government for your information. We shall be forwarding the
details of the Scheme for introduction of the Scheme in Banks as same is finalized
in consultation with PFRDA. Till the scheme is finalized, we suggest the banks may
follow the steps given below in respect of employees who joined the services on or
after 1.4.2010.
(i) Recover 10% of the Pay and Dearness Allowance from the salary of the month
following the month in which the employees have joined service.
(ii) Make a matching contribution from the bank’s side in regard of each employee.
(iii) Keep employee-wise records for the recovery of contribution from the salary of
the employee and matching contribution by the bank.
(iv) No recovery to be made towards Provident Fund in respect of these employees,

as they are not entitled for Provident Fund once New Pension Scheme is
introduced.
(v) Keep the funds accumulated separately so that the funds can be transferred to
the appropriate agency once the scheme is finalized.
We shall advise you further in the matter in due course.
236
MINISTRY OF FINANCE
(Department of Economic Affairs)
(ECR & PR Division)
Notification
New Delhi, the 22nd December, 2003
F.No.5/7/2003-ECB & PR - The Government approved on 23rd August, 2003 the
proposal to implement the budget announcement of 2003-2004 relating to introducing
a new restructured defined contribution pension system for new entrants to Central
Government service, except to Armed Forces, in the first stage, replacing the existing
system of defined benefit pension system.
(i) The system would be mandatory for all new recruits to the central Government
service from 1st of January 2004 (except the armed forces in the first stage).
The monthly contribution would be 10 percent of the salary and DA to be paid
by the employee and matched by the Central Government. However, there will
be no contribution from the Government in respect of individuals who are not
Government employees. The contributions and investment returns would be
deposited in a non-withdrawable pension tier-I account. The existing provisions
of defined benefit pension and GPF would not be available to the new recruits
in the central Government service.
(ii) In addition to the above pension account, each individual may also have a
voluntary tier-II withdrawable account at his option. This option is given as GPF
will be withdrawn for new recruits in Central Government service. Government
will make no contribution into this account. These assets would be managed
through exactly the above procedures. However, the employee would be free to
withdraw part or all of the ‘second tier’ of his money anytime. This withdrawable
account does not constitute pension investment and would attract no special
tax treatment.
(iii) Individuals can normally exit at or after age 60 years for tier-I of the pension
system. At exit the individual would be mandatorily required to invest 40 percent
of pension wealth to purchase an annuity (from an IRDA- regulated life insurance
company). In case of Government employee the annuity should provide for
pension for the lifetime of the employee and his dependent parents and his
spouse at the time of retirement. The individual would receive a lump-sum of
the remaining pension wealth, which he would be free to utilise in any manner.
Individuals would have the flexibility to leave the pension system prior to age
60. However, in this case, the mandatory annuitisation would be 80% of the
pension wealth.
237
Architecture of the New Pension System
(iv) It will have a central record keeping and accounting (CRA) infrastructure, several
pension fund managers (PFMs) to offer three categories of schemes viz. option
A, B and C.
v) The participating entities (PFMs and CRA) would give out easily understood
information about past performance, so that the individual would able to make
informed choices about which scheme to choose.
2. The effective date for operationalisation of the new pension system shall be
from 1st of January, 2004.
G.I., M.F. F. No.1 (7) (2) / 2003 /TA/11, dated 7-1-2004 read
with O.M. No. 1 (7) (2) / 2003/TA/67-74, dated 4-2-2004
Salient features of New Pension Scheme- Government of India have introduced a

new Defined Contribution Pension Scheme replacing the existing system of Defined
Benefit Pension System.
Vide Government of India, Ministry of Finance, Department of Economic Affairs

Notification, dated 22-12-2003. The New Pension Scheme comes into operation with
effect from 1-1-2004 and is applicable to all new entrants to Central Government
service, except to Armed Forces, joining Government service on or after 1-1-2004.
The salient features of the New Pension Scheme are as follows : -
1. The New Pension Scheme will work on defined contribution basis and will have
two tiers - Tiers-I and II. Contribution to Tier-I is mandatory for all Government
servants joining Government service on or after 1-1-2004, whereas Tier-II will
be optional and at the discretion of Government servants.
2. In Tier-I, Government servants will have to make a contribution of 10% of his

basic pay plus DA, which will be deducted from his salary bill every month by
the PAO concerned. The Government will make an equal matching contribution.
3. Tier-I contributions (and the investment returns) will be kept in a non-withdrawable

Pension Tier-I Account. Tier-II contributions will be kept in a separate account
that will be withdrawable at the option of the Government servant. Government
will not make any contribution to Tier-II account.
4. The existing provisions of Defined Benefit Pension and GPF would not be
available to new Government servants joining Government service on or after
1-1-2004.
238
5. In order to implement the Scheme, there will be a Central Record Keeping
Agency and several Pension Fund Managers to offer three categories of
Schemes to Government servants, viz., options A, B and C based on the ratio
of investment in fixed income instruments and equities. An independent Pension
Fund Regulatory and Development Authority (PFRDA) will regulate and develop
the pension market.
6. As an interim arrangement, till such time the Statutory PFRDA is set up, an
interim PFRDA has been appointed by issuing an executive order by M/o
Finance (DEA).
7. Till the regular Central Record Keeping Agency and Pension Fund Managers
are appointed and the accumulated balances under each individual account are
transferred to them, it has been decided that such amounts representing the
contributions made by the Government servants and the matching contribution
made by the Government will be kept in the Public Account of India. This will
be purely a temporary arrangement as announced by the Government.
8. It has also been decided that Tier-II will not be made operative during the interim
period.
9. A Government servant can exit at or after the age of 60 years from the Tier-I
of the scheme. At exit, it would be mandatory for him to invest 40 per cent of
pension wealth to purchase an annuity (from an IRDA, regulated Life Insurance
Company), which will provide for pension for the lifetime of the employee and
his dependent parents/spouse. In the case of Government servants who leave
the Scheme before attaining the age of 60, the mandatory annuitization would
be 80% of the pension wealth.
10. The following guidelines are issued for the implementation of the New Pension
Scheme during the interim arrangement for the guidance of the PAOs / DDOs
:
(a) The new pension scheme becomes operational with effect from 1-1-2004.
(b) Contributions payable by the Government servants towards the Scheme
under Tier-I, i.e., 10% of the (Basic Pay plus DA), will be recovered from
the salary bills every month.
(c) The scheme of voluntary contributions under Tier-II will not be made operative
during the period of Interim arrangement and therefore no recoveries will
be made from the salaries of the employees on this account.
(d) Recoveries towards Tier-I contribution will start from the salary of the month
following the month in which the Government servant has joined service.
Therefore, no recovery will be effected for the month of joining. For example,
for employees joining service in the month of January, 2004, deductions
239
towards Tier-I contribution will start from the salary bill of February, 2004.
No deduction will be made for his salary earned in January, 2004. Similarly,
deductions for those joining service in the month of February, 2004 will
start from the salary bill of March, 2004 and so on.
(e) No deductions will be made towards GPF contribution from the Government
servants joining the service on or after 1-1-2004 as the GPF Scheme is
not applicable to them.
(f) It has been decided that pending formation of a regular Central Record
Keeping Agency, Central Pension Accounting Office will function as the
Central Record Keeping Agency for the above scheme.
(g) Immediately on joining Government service, the Government servant will
be required to provide particulars such as his name, designation, scale
of pay, date of birth, nominee(s) for the fund, relationship of the nominee,
etc., in the prescribed form (Annexure-I). The DDO concerned will be
responsible for obtaining this information from all Government servants
covered under the new Pension Scheme. Consolidated information for all
those who have joined service during the month shall be submitted by the
DDO concerned in the prescribed format (Annexure - II) to his Pay and
Accounts Officer by 7th of the following month. Annexure -I will be retained
by DDOs.
(h) On receipt of Annexure-II from the DDOs, PAO will allot a unique 16 digit
Permanent Pension Account Number (PPAN). The first four digits of his
number will indicate the calender year of joining Government service, the
next digit indicates whether it is a Civil or Non-Civil Ministry (for all Civil
Ministries this digit will be “1”), the next six digits would represent the PAO
code (which is used for the purpose of compiling monthly accounts), the last
five digits will be the running serial number of the individual Government
servant which will be allotted by the PAO concerned. PAO will allot the serial
number pertaining to individual Government servant from ‘0001’ running
from January to December of a calender year. The following illustration
may be followed :-
The first Government servant joining service under Ministry of Civil Aviation under the
accounting control of PAO (Sectt.), New Delhi in 2004, shall be allotted the following
PPAN :-
Calendar Year Civil Min. PAO Code Serial Number
2 0 0 4 1 0 4 0 8 6 6 0 0 0 0 1
240
(i) The Pay and Accounts Officer will maintain an Index Register for the
purpose of allotment of PPAN to new entrants to Government service.
Format of the index register is given in Annexure-VII.
(j) The PAO will return to the DDO concerned, a copy of the statement duly
indicating therein the Account numbers allotted to each individual by 10th
instant. DDO in turn will intimate the account number to the individuals
concerned and also note in the Pay Bill Register.
(k) The particulars of the Government servants received from the various
DDOs will be consolidated by the PAO in the format (Annexure-II-A) and
sent to the Principal Accounts Office by the 12th of every month.
(l) The Principal Accounts Office in turn will consolidate the particulars in
the prescribed format (Annexure-II-B) and forward the same to Central
Pension Accounting Office by 15th instant. The CPAO will feed this
information in their computer database.
(m) The DDOs / CDDOs will prepare separate Pay Bill Registers in respect of
the Government servants joining Government service on or after 1-1-2004.
The DDOs CDDOs will have to prepare separate pay bills in respect of
these Government servants and will send the same with all the schedules
to he PAO on or before 20th of the month to which the bills relate. Cheque
Drawing DDOs may note that hereafter in respect of Government servants
joining service on or 1-1-2004, they will only prepare pay bills and not make
payment. Such bills will be sent by them to the Pay and Accounts Offices
for pre-check and payment.
(n) The DDO/CDDO will prepare a recovery schedule in duplicate in the
prescribed form (Annexure-III) for the contributions under Tier-I and attach
them with the pay bills. The amount of the Contributions under Tier-I should
tally with the total amount of recoveries shown under the corresponding
column in the pay bill.
(o) The accounting procedure for these deductions is being finalized and shall
be notified shortly.
(p) It may be noted that along with the salary bill for the Government servants
who join service on or after 1-1-2004, the DDO/ CDDO shall also prepare
a separate bill for drawal of matching contributions to be paid by the
Government and creditable to Pension account.
(q) The bill for drawal of matching contribution should also be supported by
schedules of recoveries in form (Annexure-IV).
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(r) On receipt of the salary bills in respect of Government servants joining
service after 1-1-2004, PAO will exercise usual checks and pass the bill
and make the payments. After the payment is made and posting done in
the Detailed Posting Register, one set of schedules relating to Pension
contributions will be detached from the bills as done in the case of other
schedules such as GPF, Long - term advances. The schedules will then
be utilized for posting the credits of contributions in the Detailed Ledger
Account of the individual.
(s) The employee’s contributions under Tier-I and Tier-II and Government’s
contribution should be posted in different columns of the individual ledger
account (to be maintained in the format in Annexure -V) and Broadsheet
and tallied with the accounts figures as being done in the case of GPF.
(t) These accounts should not be mixed with GPF accounts and these records/
ledger accounts should be independent of GPF accounts maintained in
the case of pre 1-1-2004 entrants.
(u) The PAO will consolidate the information available in the New Scheme
schedules received from the various DDOs and forward the same in a
floppy in the prescribed form (Annexure -VI) to Principal Accounts Office by
12th of the month following the month to which the credit pertains. Principal
Accounts Office in turn will consolidate the information and send the same
in electronic form to the Central Pension Accounting Office by 15th.
(v) CPAO on receipt of this information from all the Pr. AOs (including the Non-
Civil Ministries) will update its database and generate exception reports
for missing credits, mismatches, etc., which will be sent back to the PAOs
concerned through the Pr. AOs for further action.
(w) Whenever any Government servant is transferred from one office to another
either within the same accounting circle or to another accounting circle,
balances will not be transferred by the PAO to the other Account Office.
However, the Drawing and Disbursing Officer should clearly indicate in the
LPC of the individual the unique account number, the month up to which
Government servant’s contribution and Government’s contribution have
been transferred to the Pension Fund.
(x) No withdrawal of any amount will be allowed during the interim arrangement.
Provisions regarding terminal payments in the event of untimely death of
an employee or in the event of his leaving the Government service during
the interim period shall be notified in due course.
(y) Detailed instructions on the interest payable on Tier-I balances shall be
issued in due course.
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(z) At the end of each financial year, the CPAO will prepare annual account
statements for each employee showing the opening balance, details of
monthly deduction and Government’s matching contributions, interest
earned, if any, and the closing balance. CPAO will send these statements
to the Pr. A.O. for onward transmission to the DDO through the PAO.
(aa) After the close of each financial year, CPAO will have to report
the details of the balances (PAO-wise) to each Principal Accounts
Offices, who will forward the information to each PAO for the purpose
of reconciliation. The PAO will reconcile the figures of contributions
posted in the ledger account of the individuals as per their ledger
with figures as per the books of CPAO.
(bb) After the appointment of CRA an Fund Managers, this office will
issue detailed instructions on transfer of balances to CRA.
All Chief Controller of Accounts/ Controller of Accounts are requested to circulate
the above guidelines to all the PAOs/ DDOs/ CDDOs of their Ministry.
G.I., M.F., O.M. No. 5/7/2003-ECB & PR

dated the 22nd December, 2003
NOTIFICATION
(For notification refer page 326)
INTRODUCTION OF NEW PENSION SCHEME
● Come into operation with effect from 1-1-2004.
● Applicable to all new entrants to Central Government service except Armed
Forces.
● Will have two tiers - Tier-I and Tier-II.
● In Tier-I, Government servants have to make mandatory contribution of 10% of
(Basic Pay plus D.A.) and Government will make an equal matching contribution.
● Tier-I is non-withdrawable.
● Separate Account for Tier -II- Withdrawable - No matching contribution by
Government.
● There will be Central Record Keeping Agency. Several Pension Fund Managers
to offer 3 categories of Schemes A,B,C.
● Statutory Pension Fund Regulatory and Development (PFRDA) to regulate and
develop the pension market.
● Government servant can exit at or after 60 years of age from Tier-I.
● 40% of pension wealth mandatory for investment at exit.
● This will provide for pension for lifetime and his/her dependant.
*****
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PART - II
BANK LEVEL SETTLEMENTS/

AGREEMENTS/
GUIDELINES ETC.
CHAPTER - I
APPOINTMENTS
BANK’S RECRUITMENT POLICY – PROCEDURE FOR FILLING UP THE
PERMANENT VACANCY OF PEON / PTS
[H.O. Cir. No. 652/2015 dt. 16.10.2015]
1. Bank’s Recruitment Policy for filling up the vacancies in Peon/PTS cadre has
been modified as hereunder:
(a) Discontinue prevailing system of empanelment of temporary Peons/
temporary PTS.
(b) Fill up permanent vacancies of Peon/PTS arising from time to time in
branches/offices (including at the branches now having empanelment
of temporary Peon/temporary PTS) by conducting direct recruitment
process by issuing an open advertisement and notification to Employment
Exchange. The selection process will be district-wise.
(c) Recruit only Housekeepers-cum-Peons (HKP) for all small branches i.e.,
those with business figure of less than Rs.10 crore. HKP will perform
the duties of both Peon & PTS. HKP, for all purposes, in the matter of
emoluments, scale of pay etc., is equivalent to Peon.
(d) Candidates who are in the temporary panel of the Bank may participate
in the fresh process of selection of Peon/HKP/PTS by submitting
applications along with the other candidates in response to open
advertisement and Notification to the Employment Exchange.
(e) Cancel the existing Policy for absorption of Personal Car Drivers of
Executives provided with the Bank’s car. Personal Car Drivers of
Executives, who are eligible may also participate in the process.
2. The Zonal Offices are advised to get approval of actual vacancies from Head
Office and thereafter initiate the recruitment process by conducting following
activities.
3. The guidelines/modalities for fresh Recruitment Process of Peon/HKP/PTS
are furnished here below:
(a) Notification of the vacancies will be given to the District Employment
Exchange concerned by Zonal Office with a request to sponsor the
candidates within 15 days of receipt of the notification. Employment
Exchange will be requested to restrict the number of candidates
sponsored to the extent of 5 times of the vacancies declared. Such
247
notification will be sent either by speed post or personal delivery and
acknowledgement for having delivered the same to Employment
Exchange will be held at Zonal Office. Employment Exchange will be
informed that the candidates sponsored by them and also those applied
to our notice at our Branches/Offices in the district/website or the local
advertisement will be considered. If the list of candidates is not received
within 15 days of receipt of our notification, candidates applied to our
notice/advertisement alone will be considered.
(b) Zonal Office will issue an advertisement in brief in vernacular language
in a local daily newspaper covering the district concerned for each district
separately.
(c) A notice will be displayed in vernacular language on the Notice Board of
all the Branches/Offices of the District concerned where the permanent
vacancy has arisen and on the website of the Bank informing about
the recruitment of Peon/HKP/PTS. The notice contains the guidelines
for recruitment of Peon/HKP/PTS including the age relaxations given
to temporary Peon/PTS, personal car drivers of the Executives and
permanent PTS applying for the post of Peon and also for the candidates
from open market giving therein the existing norms in respect of
educational qualifications and age.
(d) Screening of all the applications received from the eligible candidates (in
response to the paper advertisement/notice displayed in Notice Board
of the Branches/Offices in the District/website and the names received
from Employment Exchange) will be done at Zonal Office concerned
for eligibility. Later, the eligible applicants will be shortlisted based on
first by experience reckoning the date of initial engagement and if no
experienced candidates are available, then by seniority in age of the other
applicants. For personal car drivers of Executives, if there is a break of
more than six months continuously, the past service of such candidates
will not be reckoned and the date of initial engagement will be the date
of re•engagement. The engagement can be by different Executives of
the Bank. In respect of shortlisted candidates, all certificates/enclosures
should be verified with originals and confirmation thereof should be
affixed on each of them.
(e) Candidates so shortlisted will be called for interview. The number
of candidates to be called for interview will be 5 times the number of
vacancies. The candidates will have to appear for interview at their own
cost.
248
(f) Interviews will be held at respective Zonal Offices. The suitability of the
candidates for selection shall be assessed by the Interview Committee
consisting of four persons as follows:
(i) Chief Manager as Chairman of the Committee;

(ii) One Senior Manager/Manager;
(iii) Two Officers/Managers/Senior Managers Of the aforesaid four
persons, one eachshall be from SC/ST and OBC category. One
member each of the selection committee shall be a lady and
person from minority community. The decision of the Selection
Committee along with the recommendation of the Zonal Head for
placement be sent to Head Office for issueof orders to selected
candidates.
(g) Reservation to SC / ST/ OBC/ Physically Handicapped / Ex•Servicemen

will be maintained state•wise as per extant Government guidelines and
district•wise quota will be communicated to Zonal Offices while approving
vacancies.
(h) As the recruitment process is district•wise, the applicants should belong

to the same District except for permanent PTS/personal car drivers.
The permanent PTS and personal car drivers will be considered for the
vacancies in the District where they are working irrespective of their
native place.
(i) Housekeeper•cum•Peon will be recruited for all the branches with

business figure upto `10 crore i.e., categorized as small branches and
for all other units including Offices/branches, it will be one Peon and one
PTS.
(j) Permanent PTS of the Bank, who fulfills the eligibility criteria of
educational qualification for the post of Peon/ HKP can apply for the
post of Peon/HKP. Age relaxation equivalent to completed years of his/
her engagement as Permanent PTS will be given by reckoning the upper
age limit as 45 years as per the existing Policy.
4. Eligibility Criteria:
4.1 For Peons, Housekeeper•cum Peon(HKP)
(i) AGE: The candidates shall be in the age group of 18 to 26 years as
on the date of notification. For the following candidates, the upper age
249
limit is relaxed as under:
(a) For SC/ST candidates by 5 years;
(b) For OBC candidates by 3 years
(c) For Physically Handicapped (PH) persons by 10 years;
(d) For Ex-servicemen (EX-SM) by 3 years in addition to the actual
period of service rendered in the defense forces.
(e) For candidates who are in the temporary empanelment of the Bank,
age will be reckoned with reference to the age as on the date ofhis/
her engagement.(already empanelled candidates as per the then
existing guidelines/opportunity given in respect of age are eligible
to apply for the post).
(f) For permanent PTS of the Bank who fulfills the eligibility criteria
of education qualification for the post of Peon/HKPs, age will be
reckoned with reference to the age as on the date of his/her initial
engagement as PTS. Also the upper age limit for such applicants
including all relaxations combined together will be 45 years as on
the date of initial engagement.
(g) For the personal car drivers of any of the executives provided with
Bank’s cars, age equivalent to completed years of his continuous
engagement as personal car driver of any executives will be given.
Also the upper age limit for such applicant will be 28 years instead
of 26 years.
(Age relaxation given in (a), (b), (c), (d) above is in addition to that
given in (g) above)
(ii) Educational Qualification: 8th class pass but should not have
passed 10+2.
4.2 For Part Time Sweepers (PTS):
(i) AGE: The candidates shall be in the age group of 18 to 45 years
(including all relaxations combined together) as on the date of notification.
For candidates who are in the temporary empanelment of the Bank,
upper age limit will be relaxed as mentioned under Para No.4.1 above.
(ii) Educational Qualification: No minimum qualification but should not
have passed 8th Std.
5. For Both 4.1 and 4.2 above, reservations for SC/ST/OBC/PH &EX-SM: As per
Govt. guidelines.
250
6. The guidelines communicated vide Circular No.97/98 dated 18.03.1998 and
374/2009 dated 26.06.2009in the matter of filling up the permanent vacancies
of Peon/PTS and empanelment of Temporary Peon/Temporary PTS stands
modified accordingly.
APPOINTMENT OF PERMANENT SWEEPERS
1 Appointment of part time sweepers on graded scale wages are made depending
upon the floor area of the Branch/Office which requires to be cleaned regularly
by the sweepers.
2 Wages to part time sweepers shall be paid as per the following criteria:
Normal Working Total Carpet area inside Rate of wages payable
hours per week the office premises per month
Up to 13 hours Up to 2000 Sq.ft. 1/3 of the Graded scale
wages with proportionate
annual increment
More than 13 hours 2001 Sq.ft. to 3500 Sq.ft. 1/2 of the Graded scale
to 19 hours wages with proportionate
annual increment
More than 19 hours 3501 Sq.ft. to 5000 Sq.ft. 3/4 of the Graded scale
to 29 hours wages with proportionate
annual increment
All graded part time sweepers (1/3, 1/2 & 3/4) are eligible for:
a) Provident Fund
b) Gratuity
c) Encashment of P.L. during L.F.C. / Retirement
d) V.C.S. (death relief scheme of the bank)
e) All kinds of leave
f) Uniform (par with full time staff)
g) Washing Allowance
h) Incentive for small family norms
i) Medical Aid (full)
j) L.F.C. (on pro rata basis)
k) Cost of Newspaper
l) Festival Advance
m) Housing Loan (on pro rata basis)
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n) Employee Demand Loan (EDL)
o) Employees’ Clean Overdraft (ECOD) facility
p) Employees’ Secured Cash Credit (ESCC) facility against the security of
consumer durables/Jewellery
q) Consumer Installment Loan
r) All Staff Welfare Schemes
APPOINTMENT OF ARMED GUARDS
1. Armed guards in our Bank are provided only to some ‘vulnerable’ branches.
Identification of ‘vulnerable’ branches is done at the Head Office on the
recommendation of the Branch/zone. Some of the factors which are considered
for deciding the ‘Vulnerability’ of the branch are as follows:
a) Crime proneness of the area in which the branch is located
b) General law and order situation in the region
c) Proximity to police station
d) Number of times cash remittances/withdrawals made in a month, place
and distance involved
e) Cash holdings: Maximum, Minimum, Average
f) Whether the branch is catering to the substantial cash requirements of
our nearby branches
g) Whether any incidents of robbery/theft are known to have taken place in
any bank at the concerned location in the past
h) Whether the branches of other banks functioning in that centre have been
provided with armed guards
i) Whether the branch has Safe Deposit Locker facility
j) Any other relevant factor
2. After a branch has been identified as ‘Vulnerable’ and an Armed Guard
sanctioned by the Head Office, the following actions are to be initiated by the
Branches/Zones:
a) Initiate action for recruitment of Armed Guard as per guidelines issued by
Personnel Administration Division. The eligibility norms for Armed Guards
are as follows:
Educational Qualification : The candidate should have passed VIII
Standard but should not have completed
10+2 examination or its equivalent.
But minimum educational qualification
should not be insisted upon in case of
252
Ex-servicemen who have rendered more
than 3 years of service in Armed Forces.
Minimum height (desirable) : 5’ 8”
Chest : 33” x 36”
Domicile : Candidate should hail/be resident of the
town/ city where the branch is situated.
Purchase of gun and ammunition
b) The Branch Manager should apply for an Arms Licence for a 12 Bore
Double Barrel Breech Loading (DBBL) shot gun and 50 rounds of
ammunition. The application should be submitted in the appropriate form
to the local arms licensing authority. The licence should be in the name of
the Branch Manager and the name of the Armed Guard should be included
as a ‘retainer’ in the licence.
c) After the arms licence has been issued, a 12 Bore DBBL shot gun and 25
rounds of ammunition may be purchased from an authorised arms dealer.
It would be preferable if a gun manufactured at Indian Ordnance Factory
is purchased. However, if the same is not available, a 12 Bore shot gun
of indigenous manufacture but tested by Indian Ordnance Factories may
be purchased.
Weapon Training of armed guard
1 The Armed Guards recruited are likely to be all ex-servicemen and are expected
to be familiar with firing a 0.303” or a 7.62mm rifle. However, they are not likely
to be familiar with firing a 12 Bore shot gun. It is therefore, necessary that
immediately on recruitment, an Armed Guard should be given a firing practice
with 12 Bore Shot Gun so that he feels confident in handling the weapon.
Thereafter, the firing practice should be given every year so that he remains
in current touch with the weapon. For this purpose, necessary liaison is to be
established with the local police authorities for the allotment of the firing range.
A minimum of 10 rounds are to be fired by the armed guard every year. The
rounds which have been carried by the guard in the cross belt should preferably
be used for firing practice and these should be replaced by new rounds from
the carton.
2 Security Officers are to ensure that the armed guards posted at branches within
their zone are given the annual firing practice with 12 bore shot gun. As far as
possible, they should supervise the conduct of the firing at the Range. A record
of the training imparted to each Armed Guard during a year is to be maintained
by the Security Officer of the Zone and communicated to the Chief Security
Officer at the Head Office for information.
253
RECRUITMENT OF SINGLE WINDOW OPERATORS (SWOs – CLERKS)
The vacancies in the Single Window Operators (Clerical cadre) will be filled up by
way of direct recruitment as well as internal promotions.
1. Eligibility norms for Direct recruitment :
Age :
Minimum - 20
Maximum - 28 years*
*Relaxation of upper age limit
Sl.No Category Age relaxation

1 Scheduled Caste/Scheduled Tribe 5 years
2 Other Backward Classes (Non creamy layer) 3 years
3 Persons with Disabilities 10 years (General)
13 years (OBC)
15 years (SC/ST)
4 Ex-Servicemen/Disabled Ex-Servicemen Actual period of
service rendered in

the defence forces +
3 years (8 years for
Disabled Ex-Service-
men belonging to
SC/ST) subject to a
maximum age limit of
50 years.
5 Widows, divorced women and women legally 9 years

separated from their husbands who have not
remarried.
6 Persons ordinarily domiciled in the Kashmir 5 years
Division of the State of Jammu & Kashmir
during the period 01.01.1980 to 31.12.1989
7 Persons affected by 1984 riots 5 years
8 Regular employees of the Union Carbide 5 years
Factory, Bhopal retrenched from service
(Applicable to Madhya Pradesh State only)
254
Educational Qualifications :
Degree in any discipline from a recognized University or any equivalent qualification
recognized as such by the Central Government.
Computer Literacy :
Operating and working knowledge in computer systems is mandatory i.e., candidates
should have Certificate/ Diploma/ Degree in computer operations/ language/ should
have studied computer/ information technology as one of the subjects in the High
School/College/Institute.
Knowledge of Official Language of the State/UT :
Proficiency in the Official Language of the State/UT (candidates should know how to
read/write and speak the Official Language of the State/UT) for which vacancies a
candidate wishes to apply is preferable.
Centre of examination :
As far as possible candidates will be allotted to a centre of his/her choice, however
IBPS also reserves the right to allot the candidate to any of the Centre other than the
one he/she has opted for and a candidate may be allocated a centre of exam outside
the State/UT for which vacancies he/she is applying.
Interview :
IBPS will arrange to conduct common interviews through the panel identified with
the help of Nodal Banks in each State/UT. Weightage of CWE and Interview 80 and
20. Maximum three times the number of vacancies will be shortlisted for interview.
Minimum qualifying marks in Interview is 40% for General and 35% for SC/ST/OBC/
PWD/EXSM.
Merit List :
IBPS will obtain preference of candidates of all the 20 PSBs after declaration of result
of CWE and Interview and the allotment will be made based on the marks obtained
by the candidates in the CWE and Interview and the Preference of Bank given. The
candidates will be allotted to only one Bank and in the event of candidate not joining
the bank, he/she will be required to compete in the next process.
Wait List :
Wait List not applicable. Bank will inform IBPS the details of candidates who do not
report by the stipulated date and to provide additional list for filling up the unfilled
vacancies left by these candidates. IBPS will draw second list and provide the details
to the Bank after receiving this information from all the banks.
255
2. Mode of Recruitment :
Institute of Banking Personnel Selection (IBPS) will conduct Common Written Exam
(CWE) online with the help of Technology Partner (like TCS) and Nodal Banks. Bank
will provide category-wise vacancies for Probationary Clerks to IBPS. Approximately
three times the number of vacancies will be shortlisted by IBPS for the common
interview. IBPS will declare the scores of candidates who have been qualified in
CWE. IBPS will co-ordinate the conduct of common interview with the help of Nodal
Banks. IBPS will declare the results of interview. Candidates will be asked to provide
their order of preference for Participating banks. Based on the merit and order of
preference of candidates, candidates will be allotted to Participating banks. IBPS will
provide the details of the selected candidates to Banks along with dossiers containing
the documents, pertaining to identity and eligibility submitted by candidates at various
stages of the process. In case vacancies are left unfilled because candidates do not
join the Bank, such candidates will have to compete for the next round of recruitment.
Additional vacancies or unfilled vacancies may be communicated to IBPS and will be
filled from the remaining pool of vacancies.
We hereby reproduce the Government Guideline regarding Discontinuation

of Interviews in recruitment process.
’Advice all PSBs to take necessary action with the approval of their
respective Boards, if necessary, to discontinue interviews in the
recruitment process for the clerical & sub-staff posts in Public Sector
Banks by 31.12.2015’.
Accordingly, PAD will issue the guidelines shortly.
256
APPOINTMENT OF SPECIAL ASSISTANTS
1 Basis: Special Assistants will be posted from among clerical cadre of the Bank
on a Statewise seniority basis.
2 Qualifying service: All employees in the clerical cadre who have put in a
minimum of seven actual years of service as on 1st January of the year in the
Bank in that cadre shall be entitled to be considered for appointment as Special
Assistants. For this purpose, no weightage for educational qualifications will be
added but the period spent by an employee as apprentice shall be included.
3 Employees of Taken-over Bank/s-weightage for past service: The services
of the employees of the taken-over Banks shall be determined by extending
them weightage for their past service in the ratio of 2 :1 i.e., for every 2 years
of actual clerical service (in the erstwhile Bank) commencing from their initial
appointment as apprentice, probationer etc., till the date of take-over as one
year of service in the Corporation Bank.
4 Eligibility: The Bank shall prepare seniority list of employees on State-wise
basis on 1st January of each year and the said list shall be circulated to all the
branches/offices by the end of February, of each year. Such seniority list shall
be based on the actual length of completed years of service of an employee
in the Bank and notional length of service of an employee of a taken - over
Bank as per Clause 3 supra; and also the notional weightage for educational
qualification as per Clause - 5 herebelow. Where two or more employees are
clubbed together in the seniority list, the employee who has longer length of
service shall be declared senior. If, however, the length of service is also equal,
then the employee senior in age shall be declared senior.
5 Notional weightage: Notional weightage for educational qualifications shall be
as under:
i) Pass in Part I of the CAIIB exam : 1 year
ii) Pass in Part II of the CAIIB exam : 2 years
iii) First Graduation or N.D. Com : 2 years
iv) Double/Post Graduation : 1 year
6. Deletion from the seniority list
a) Such of those employees who have been permanently debarred for
consideration for appointment as Special Assistant in terms of the
Settlement dated 4th August, 1981 shall not be included in the seniority
list of eligible employees.
257
b) Such of those employees who have availed of three ‘opportunities’ will
be excluded from the seniority list and they will not be further called for
interview or be entitled for appointment as Special Assistant any longer.
Note: For the purpose of sub-clause (b) above, an “opportunity” would mean
an opportunity to participate in the Selection Process and an employee would
be deemed to have availed an opportunity when he is called for the interview
and he -
i) Having come within the zone of consideration, i.e., in the ratio of 1:2, fails
to attend the interview.
ii) Attends interview but is found unsuitable for the post. However, if a
candidate appears for the interview and is found unsuitable for the post
in three consecutive processes, he will be appointed as Special Assistant
on the fourth occasion irrespective of his performance in the interview
provided he comes within the zone of consideration for that year.
iii) Fails to accept the offer and consequential posting as Special Assistant
either as per the terms of the Settlement dated 4.8.1981 or under the
existing Settlement on being found suitable/selected in the Interview.
iv) Opts to be in the substantive post in the clerical cadre subsequently after
being selected and posted as Special Assistant.
c) Subject to Sub-clause (b) above, the names of such of those employees
who have been reverted from the Officers cadre at their request shall not
be included in the seniority list for the next two processes after the date
of reversion.
d) Subject to sub-clause (b) above, such of those employees who are posted
as Special Assistants and subsequently opt to be in the substantive post
in the clerical cadre shall not be included in the seniority list for the next
two processes.
7. Request Transfer from one state to another: It is agreed that in case of

transfers on request of clerical cadre employees other than Special Assistants
from one State/Union Territory to another State/Union Territory, the employee
so transferred including optees shall not be eligible for appointment as Special
Assistant for two years from the date of his moving into the other State/ Union
Territory even if he/she is other wise qualified on the basis of seniority.
258
8. Cadre Strength: The cadre strength of Special Assistants in the Bank shall be
690 as at the end of the year 2006. The future vacancies of Special Assistants for
each successive year shall be determined through mutual discussions between
the parties to the Settlement on or before 30th November of the preceeding
year.
9. It has been agreed that the number of vacancies in each State/Union Territory
will be notified at the commencement of the process of appointment of Special
Assistants.
10. The parties agreed that the Chairman of the Bank shall constitute a panel of
interviewing Committee/s consisting of three Executives of the Bank to determine
the suitability of the eligible employees for filling up the posts of Special Assistants
by conducting an interview.
11. Clerical cadre employees, twice the number of vacancies in the order of
seniority in each State/Union Territory will be compulsorily called for interview
for appointment as Special Assistants and in the case of candidates who fail/
refuse to attend interview, the disqualification clauses of the settlement dated
25.06.1987 shall be applied.
Simultaneously, willingness of the candidates to appear for interview will be

ascertained from the remaining eligible employees in the ratio of 1:3 in the
order of seniority in each State/Union Territory and those candidates who have
expressed their willingness will also be called for interview; to the extent of the
number of employees who fail/refuse to attend interview from among those
compulsorily called for interview. The disqualification in Sub-clause 19 (a) of
the Settlement dated 25.06.1987 shall not be applicable to those who have the
option to appear for interview in terms of this Clause.
12. After completion of the process of interview, the employees who are found
suitable for appointment as Special Assistant shall be listed in the order of
seniority as per seniority list published and postings, effected accordingly.
13. Deleted
14. If the number of employees declared suitable are more than the total number
of vacancies in the State/Union Territory in a particular year, employees found
suitable would be appointed as Special Assistant strictly in accordance with
their seniority.
259
15. Such of those employees who have been declared suitable but could not be
appointed for want of vacancies in the State/Union Territory will be wait listed
for filling future replacement vacancies, if any. Such wait list will be in force till
the commencement of the next process of appointment of Special Assistants.
The process shall normally commence in March each year.
16. If the number of vacancies in a particular State/Union Territory is more than the
number of employees found suitable, such unfilled vacancies shall be filled in
by the employees who have been wait listed in other State/Union Territories
for want of vacancies strictly as per the seniority from among all the wait listed
employees from all States/Union Territories if they opt to go. The remaining
vacancies will be carried forward to the next process.
17. An employee appointed in terms of this Settlement as Special Assistant shall

be on probation for a period of six months from the date of his/her joining as
Special Assistant. For computing the period of six months, the period spent on
leave excluding casual leave shall be excluded.
18. Temporary Entrustment of Duties of Special Assistants: It is mutually agreed

that temporary entrustment of Special Assistant duties at the sole discretion of
the Manager of the Branch shall subject to Clause 19 be entrusted to the clerks
on the basis of seniority after giving due weightage for educational qualifications
as on 1st January of the year on the basis of Clause No. 5 above.
19. Disentitlement of Temporary Entrustment of Special Assistant Duties:
The following conditions are agreed upon between the parties:
a) If an employee who has been called for an interview does not attend
the same without reasonable cause shown in writing in response to
the call letter, he/she shall be deemed to have refused the posting of
Special Assistant and as a consequence will be disentitied for temporary
entrustment of Special Assistant duties/allowance.
b) If an employee who has been found suitable does not accept the
consequential posting as Special Assistant, such unwillingness and/or
refusal on the part of the employee shall amount to declining the offer of
posting as Special Assistant and he/she will in consequence be dis-entitled
for temporary entrustment of Special Assistant duties/allowance.
260
c) Such of those employees who have been permanently debarred for
consideration for Appointment as Special Assistant in terms of the
Settlement dated 4th August 1981 and under this Settlement shall not be
entitled for temporary entrustment of Special Assistant duties/ allowance.
d) An Employee whose Special Assistant duties are withdrawn for any reason
whatsoever, shall not be eligible thereafter for temporary entrustment of
Special Assistant duties/allowance. An employee who has been reverted
from Officers cadre at his/her request shall not be eligible for temporary
entrustment of Special Assistant duties/allowance for a period of 2 years
from the date of reversion.
e) An employee of clerical cadre other than a Special Assistant transferred
on request/option from one State/Union Territory, to another State/Union
Territory shall not be eligible for temporary entrustment of Special Assistant
duties/allowance for two years from the date of his/her moving into the
other State/Union Territory even if he/she is otherwise qualified on the
basis of seniority.
20. Any request for transfer from one State to another made by a Special Assistant
may be considered by the Management at its discretion subject to availability
of suitable vacancies in the State applied for.
21. Disciplinary Proceedings pending against the employees-procedure to be
followed: Results of those candidates for the post of Special Assistants who are
suspended or against whom any disciplinary proceeding for gross misconduct
is pending or any criminal case for offences involving moral turpitude is pending
in a court of law shall be withheld, till the final outcome of such proceedings. If
such charge/s is/are proved and punishment is awarded for gross misconduct/the
employee convicted for the criminal offence, the assignment of duty of Special
Assistant, shall be deferred for a period of two years from the date of awarding
the punishment/date of conviction.
However, if the employee is exonerated and comes within the ranking list, he/
she will be considered for assignment of duties of Special Assistant from the
date on which he/she otherwise would have been considered but for the charge
sheet. If the punishment such as censure/warning/adverse remark is imposed,
the assignment of duties of Special Assistant shall be from the date of imposing
such punishment.
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22. Removal of Doubts & Difficulties: If any doubts or difficulties arise in
interpreting or implementing any or all the terms of this Settlement, the same
shall be decided at the Bank and the Workmen Union level and if the parties
here to do not arrive at a mutually agreed decision, the Central Government shall
be moved by the parties jointly for application of Section 36A of the Industrial
Disputes Act, 1947 for reference to the Labour Court or for Tribunal for proper
interpretation of the terms under dispute.
23. Amendment: In the course of the working of this Settlement if it is found desirable
by the parties here to, to amend any of the terms relating to procedural difficulty, it
shall be open to any of the parties hereto to jointly evolve necessary guidelines so
as to remove the difficulty and further the object of this agreement. The decision
of the Bank and the Workmen Union, who are parties to this Settlement, shall
be final and binding.
*****
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CHAPTER - II
PROMOTIONS
POLICY ON PROMOTION OF SUBORDINATE STAFF TO CLERICAL CADRE
1. Eligibility:
1.0 Employees in the full-time subordinate staff cadre who fulfill the criteria laid
down in Sub-Clause (a) or (b) or (c) below, shall be eligible for consideration
for promotion to clerical cadre.
a) Pass in SSLC or equivalent examination and on completion of 52 actual
years of service in the Bank as full-time subordinate staff; service reckoned
from the date of entry in the service of the Bank as subordinate staff.
b) Pass in VII Standard examination and above and on completion of seven
actual years of service in the Bank as full time subordinate staff as on the
31st day of January of the calendar year.
c) Completion of twenty actual years of service in the Bank as full-time
subordinate staff as on the 31st day of January of the calendar year.
d) Pass in Graduation from University/Open University which is recognized
by the UGC, after joining the Bank and completed 3 years service as on
1st day of January of the calendar year.
1.1 In computing the actual length of service, the period of probation as subordinate
staff in the bank shall be taken into account but not any temporary and/or part-
time service.
1.2 For employees of taken-over Banks, the actual length of service shall be
computed by giving weightage for their past service in the erstwhile Bank in
the ratio of 2:1 i.e., for every two years of actual service commencing from their
initial appointment as probationer till the date of take-over, as one year service
in Corporation Bank.
2.0 Basis for promotion:
2.0 The Bank, subject to the provisions hereinafter contained, shall promote a
subordinate staff, who is eligible in terms of clause 1 above, to clerical cadre,
provided he qualified himself as stipulated hereinafter and is not disqualified
pursuant to clause 4.3 below.
2.1 Subordinate staff who have passed SSLC or equivalent examination
and have completed the minimum prescribed length of service i.e.,
52 years of service.
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Subordinate staff falling under this category will be promoted to the clerical cadre
without undergoing the process of written test or interview, subject to the following:
a) The number of posts for promotion to clerical cadre under this category i.e. in
respect of employees who pass in SSLC or equivalent examination and complete
52 actual years of service in the Bank as full time subordinate staff, shall be
restricted to 18 (Eighteen) per Financial year.
b) The unfilled vacancies under this category, if any, will not be carried forward to
the succeeding or subsequent years.
c) For the purpose of reckoning the seniority for such promotions, the date of
application submitted by the eligible employee, along with the certificate of having
passed the relevant examination, through the Branch/Office where he/she is
working shall be the basis. The applications so received during any particular
month would be processed by the 10th of the succeeding month strictly as per
seniority assigned in terms of date of application.
d) Applications received from eligible candidates seeking promotion after filling up
18 posts as aforesaid, would be waitlisted in the order of seniority with reference
to the date of application, to be processed during the succeeding Financial year/
subsequent financial years.
e) Their confirmation in the clerical cadre shall, however, be subject to their
satisfactory completion of probationary period and their passing a departmental
written test as laid down in Clauses 4.2.1 and 4.2.2 below.
2.2 Subordinate Staff who have passed VII standard examination and above
and have completed the minimum prescribed length of service i.e., 7 actual
years of service.
Subordinate staff falling under this category will be promoted to the clerical cadre
provided they pass the written test and secure the minimum marks stipulated
herein below under the heads - Interview and Service Record.
a) Written Test:
i) The Bank will hold a written test in March or thereabouts every year
and the centres for conducting the test will be notified in advance.
The Bank will by February every year call for applications from
eligible employees in terms of Clause 1.0(b) above to indicate their
intention to appear for the said test. Employees who are required
to leave their place of work and proceed to centres where tests are
scheduled to be conducted shall be paid travelling allowance and
halting allowance in terms of the Bipartite Settlement.
264
ii) Subjects for the written test: The Subjects for the written test and
the maximum marks will be as under:
Maximum Marks
Paper-I : Banking Practicals 100
Paper-II : Arithmetic 100
Paper-III : General English 100
Note: Employees are permitted to answer paper I and II in Hindi, if they
so desire.
iii) Minimum marks to be scored for passing the written test: In order
to be declared as having passed the written test, an employee shall
score a minimum of 30 percent marks in each paper mentioned in
sub-clause (ii) above, and also secure an aggregate minimum of 35
percent in all the three papers.
Note: In the case of employees belonging to SC/ST category, in order to
be declared as having passed the written test, the employees shall
score a minimum of 25 percent marks in each paper specified in sub-
clause (ii) above and secure an aggregate minimum of 30 percent
in all the three papers.
b) Interview/weightage for Service Record:
Only those employees who pass the written test will qualify for interview.
The interview will be conducted by a panel constituted by the Chairman
& Managing Director/Executive Director of the Bank. Marks for interview
and service record shall be awarded under the following heads, subject
to a maximum under each head as below :
PART I - INTERVIEW
Maximum Marks
a) General Knowledge of Bank work 10
b) Personality/speech 10
TOTAL 20
PART II - SERVICE RECORD
Maximum Marks
a) General Service Record /work performance 20
b) Health / Leave Record 10
TOTAL 30
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In order to qualify for promotion to the clerical cadre, an employee should score
a minimum of 30 percent marks in each of the heads under Part I and Part II
above and also obtain an aggregate of 35 percent in both the parts.
Note:- In the case of employees belonging to SC/ST category, in order to qualify
for promotion to the clerical cadre, the employee should score a minimum of
25 percent marks in each of the heads under Part I and Part II above and also
obtain an aggregate minimum of 30 percent in both the parts.
2.3 Subordinate Staff, who have completed twenty actual years of service in
the Bank as on 31st January of the year.
Sub-ordinate staff falling under this category will be promoted to the clerical
cadre, provided they secure the minimum marks stipulated herein below under
the heads interview and service record. The employees who are required to
leave their place of work and proceed to centres where interviews are scheduled
to be conducted shall be paid travelling allowance and halting allowance as per
the provisions of the Bipartite Settlement.
a) Interview/weightage for service record:
The interview will be conducted by a panel constituted by the Chairman and
Managing Director/Executive Director of the Bank.
Marks for interview and service record shall be awarded under the following
heads, subject to a maximum under each head as below:
PART I - INTERVIEW
Maximum Marks
a) General Knowledge of Bank work 30
b) Personality/speech 10
TOTAL 40
PART II - SERVICE RECORD
Maximum Marks
a) General Service Record /work performance 40
b) Health / Leave Record 20
TOTAL 60
In order to qualify for promotion to the clerical cadre, an employee should score
a minimum of 30 percent marks in each of the heads under Part -I and Part - II
above and also obtain an aggregate of 35 percent in both the parts.
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Note: In the case of employees belonging to SC/ST category, in order to qualify
for promotion to the clerical cadre, the employee should score a minimum of 25
percent marks in each of the heads under Part - I and Part - II above and also
obtain an aggregate minimum of 30 percent in both the parts.
b) Ranking list:
Employees who have secured the minimum marks prescribed under each of
the heads shall be ranked according to the aggregate marks secured.
c) Number of posts:
The number of posts for promotion to clerical cadre under this category will
be restricted to 10 (ten only) in each calendar year by calling for interview,
candidates in the ratio of 2:1 in the order of seniority, from amongst the eligible
candidates exercising option and the posts will be filled strictly on the basis of
(b) above. In case of a tie in the Marks, inter-se seniority shall be the deciding
factor.
d) Posting to Computerised Branches:
Employees promoted under this category in case they are posted to computerised
branches, shall not be eligible for entrustment of computer operation duties in
the first 2 years after promotion and that thereafter depending upon their aptitude
and suitability, they may be included for such duties on rotation basis.
2.4 Subordinate staff who have acquired degree in Graduation from University/
Open University which is recognized by the UGC, after joining the Bank and
completed 3 years of regular service as on 1st day of January of calendar
year
a) The eligible candidates have to undergo a specified Computer Course for

3 months duration after working hours at Bank’s cost
b) Thereafter, the eligible candidates will have to undergo the process of
Interview before the panel of interviewers.
3.0 Relaxation/Weightage in respect of Ex-Servicemen Category Employees:
In the case of Ex-Servicemen employees who are recruited in the subordinate

staff cadre, relaxation in eligibility criterion will be accorded for the period of
service rendered by them in the Armed Forces in the ratio of 5:1 subject to a
maximum of 2 years. This benefit will be available to the ex-Servicemen only
once during their career.
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4.0 General conditions applicable to all categories of promotions from
subordinate staff to clerical cadre.
4.1 Probationary Period:
An employee promoted in terms of this Settlement shall be on probation for a

period of six months. Probationary period will be extended on account of availing
leave only when:
a) employees is on leave of any kind other than Casual Leave for an aggregate
period of more than 30 days during the probationary period. In such case
the probationary period will be extended to the extent of actual period of
leave.
b) employee is on leave on loss of pay and/or extra-ordinary leave without
pay and allowances (except on medical grounds duly supported by medical
certificate). The period of probation will be extended to the extent of actual
period of such leave.
4.2.1 Confirmation:
An employee promoted to the Clerical cadre in terms of this Settlement shall

be confirmed in the service, if in the opinion of the Competent Authority, he/she
has satisfactorily completed the probationary period. Such of those employees
whose work and progress are found to be not satisfactory during the period of
probation are liable for reversion to their substantive post in the subordinate
cadre.
4.2.2 In the case of subordinate staff promoted to clerical cadre in terms of clause 2.1
above, their confirmation shall further be subject to their passing a departmental
written test to be conducted during the probationary period. If the employee
does not come out successful at the said written test, he/she will be reverted
to the substantive post in the subordinate cadre. Such reverted employees
are, however, eligible to undergo the promotion process namely, written test,
interview, etc., as prescribed for candidates eligible under clause 2.2 in the
year/s succeeding their reversion.
4.3 Disqualification:
4.3.1 In the case of an employee against whom disciplinary/court proceedings are

pending though he/she is qualified to be promoted pursuant to this Settlement:
– his/her promotion shall be kept in abeyance till the departmental/court

proceedings are completed;
268
– If he/she is found guilty of the charges, the promotion shall not be given
effect to;
– If he/she is exonerated of the charges or is honorably acquitted by the
Courts of Law, the promotion shall be given effect to from the date on which
he/she would have otherwise been promoted, but for the pendency of the
disciplinary/court proceedings; and
– If the punishment awarded in such disciplinary proceedings is only warning
or censure or entry of an adverse remark in the Service Record, he/she
shall be promoted from the date of infliction of the punishment.
4.3.2 An employee, who has been punished for gross misconduct under the provision
of Bipartite Settlement shall not be eligible to participate in the promotion process
for a period of two years from the date of infliction of the punishment. This,
however shall not apply to cases where the punishment awarded is only that of
warning or censure or entry of an adverse remark in the Service Record of the
employee.
4.4 Declaration of Written Test marks:
An employee who has not come out successful in the Written Test may, if he/
she so desires, within 30 days of the announcement of the results of the written
test, make an application in writing to the Management to furnish him/her the
marks obtained by him/her in the written test and the Management shall furnish
the same to him/her.
4.5 Appeal:
If an employee is aggrieved that his/her claim for promotion in terms of settlement
has been overlooked he/she shall have a right to appeal to the Chairman and
Managing Director / Executive Director of the bank within 45 days of publication
of the list of promotees.
4.6 Amendments:
In the course of working of this Settlement, if it is found desirable by the parties
hereto, to amend any of the terms relating to procedural difficulties, it shall be
open to the parties hereto to jointly evolve necessary guidelines, so as to remove
the difficulty and further the object of this Settlement.
4.7 Removal of doubts and difficulties:
If any doubts or difficulties arise in interpreting or implementing any or all
the terms of this Settlement, the same shall be decided by the parties to this
269
Settlement and if the parties hereto do not arrive at a mutually agreed decision,
the Central Government shall be moved by the parties jointly for application of
Section 36-A of the Industrial Disputes Act, 1947 for reference to the Labour
court or Industrial Tribunal for proper interpretation of the terms under dispute
within 15 days from the date of such decision.
4.8 Period of Settlement:
This Settlement shall come into operation from the date of signing and shall be
in force for a period of 3 years from the date of signing and shall continue to be
in force until the expiry of sixty days from the date of notice given in writing by
either party of their intention to terminate this Settlement.
*****
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POLICY ON PROMOTION FROM CLERICAL TO OFFICER’S CADRE IN
JUNIOR MANAGEMENT CADRE SCALE - I
Promotion from the Clerical Cadre to Officers’ Cadre in Junior Management Grade/
Scale-I will be made on All India basis and there shall be two channels for promotion
viz., INTERVIEW CHANNEL AND TEST-CUM-INTERVIEW CHANNEL. Under the
Test-cum interview channel, there shall be a ‘FAST TRACK CHANNEL’.
The vacancies available for internal promotions as above shall be filled up as follows:
i) Interview Channel - 25%
ii) Test-cum-Interview Channel - 75%
Out of (ii) above, 40% of the vacancies will be available for the Fast Track Channel.
02. ELIGIBILITY:
Interview Channel Test-cum-Interview Channel
Employees, not exceeding the age of Employees not exceeding the age of 58
58 years, in the Clerical Cadre including years, in the Clerical Cadre including the
the Special Assistants, who have passed Special Assistants, who have passed
SSLC or equivalent examination and SSLC or equivalent examination and
have put in a minimum of fifteen actual have put in a minimum of three actual
years of service in the Clerical Cadre years of service in the Clerical Cadre,
including the period of Apprenticeship including the period of Apprenticeship
in the Bank as on 30th November each in the Bank as on 31st January each
year shall be eligible for consideration year, shall be eligible for consideraion
for promotion to the Officers’ cadre in for promotion to the Officers’ Cadre in
Junior Management Grade/Scale I, Junior Management Grade/ Scale-I in
in accordance with the terms of this accordance with the terms of this
Settlement. For the purpose of this
Settlement. For the purpose of this
clause, no weightage for educational
Clause, no weightage for educational
qualification will be added. For the
qualification will be added. For the
purpose of determining the eligibility, the
purpose of determining the eligibility, the
period of service, if any, as a subordinate
period of service, if any, as a sub-ordinate
staff shall not be taken into account.
Staff shall not be taken into account.
Candidates eligible to participate and
who have given their consent for such All candidates eligible to participate for
participation in the Interview Channel promotion and have given their consent
will be considered to the extent of four excluding those who come within the
times of number of vacancies, in the zone of consideration for participation
order of seniority under each category under Interview Channel shall undergo
i.e., General, SC, ST, etc. the process under this Channel.
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WEIGHTAGE FOR EX-SERVICEMEN
Ex-Servicemen employees who are directly recruited against posts reserved in Clerical
Cadre may avail EITHER relaxation in minimum eligibility in terms of service, as per
Sub-Clause (a), OR avail weightage for service in terms of marks as per Sub- Clause
(b) here-in-below:
(a) Weightage for eligibility in the ratio of 5:1 i.e., for every completed 5 years of
service in the defence force, 1 year of service in the Bank subject to a maximum
weightage of 2 years after they have rendered atleast 3 actual years of service
in the bank after re-employment.
OR
(b) Weightage of marks @ 1.25 marks for every completed year of service in the
defence force, subject to a maximum of 15 marks and these marks will be added
to the marks secured by the employees for the actual service in the Clerical
Cadre in the Bank provided, however, the aggregate maximum marks for Service
and qualifications shall be limited to 150 and 130 in the Interview Channel and
Test-cum-Interview Channel, respectively.
Note: An Ex-Serviceman employee who avails relaxation in minimum eligibility in
terms of service under Sub-Clause (a) above for being considered for promotion
under either channel will not be eligible for weightage for service in terms of marks
prescribed in Sub-Clause (b).
03. PROCESS OF PROMOTION :
i) The Bank shall hold Promotion process in January or thereabout every year
and the centres for conducting the promotion will be notified in advance.
ii) The Bank shall call for applications from eligible employees in terms of Clause
2 above to indicate their intention to appear for promotion process.
NOTE : Employees who are required to leave their place of work and proceed
to centres where test/interview are scheduled to be conducted shall be paid
Travelling Allowance and Halting Allowance in terms of the Bipartite Settlement in
force. Reasonable Conveyance Expenses incurred by local candidates will also
be reimbursed. Employees who are appearing for the promotion test / interview
are also eligible for reimbursement of 60% of the lodging expenses presently
reimbursable to the Officers in JMG Scale I subject to the guidelines contained
in H.O. Circular No. 102/2007 dated 12.02.2007 (Index No. 19.00/04/2007).
272
iii) Employees who are eligible to undergo promotion process under Interview Channel
and are willing to undergo the process under the said Channel, shall indicate their
preference in the relevant space provided for the purpose in the application.
iv) After scrutiny of applications, a seniority list of employees in each category i.e.,
General, SC, ST, etc., who opted for promotion under the Interview channel shall
be prepared and the list of candidates eligible to participate for promotion under
the said Channel in each category in the ratio of 4:1 (4 candidates for 1 vacancy)
in the order of seniority shall be published. The remaining candidates who have
indicated their intention to appear for promotion under the said Channel shall
undergo promotion process under the Test-cum-Interview Channel.
v) The Bank shall, subject to availability of vacancies, promote an employee eligible
in terms of Clause 2 above to Junior Management Grade-Scale I, provided he/
she qualifies himself/herself, in the following manner and is not disqualified
pursuant to Clause 7 below:
Interview Channel Test-cum-Interview Channel

(A) Appears before an Interview Panel (A) Passes the prescribed Written Test
and qualifies in interview by securing in the subjects by scoring a minimum
40% marks i.e., 20 marks out of 50 marks of 35% each in Paper I & Paper II and
allotted for Interview and obtain marks 30% in Paper III and also a minimum
under the heads of weighted Service aggregate total of 110 marks in all the
& Qualification out of maximum marks three papers.
of 200 under these heads. NOTE:
NOTE: For candidates from SC/ST Community,
For candidates from SC/ST Community, the qualifying marks shall stand relaxed
the qualifying marks for interview stand to 30% each in Paper I & Paper II and
relaxed to 35% i.e., 17.5 marks out of 25% in paper III and minimum aggregate
50 marks. total of 90 marks in all the three papers.
(B) Appears before an Interview Panel
and obtains marks under the heads of
Interview, weighted Service & Qualification
out of the maximum marks of 200 under
these heads.
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04. Weightage for various factors:
Interview Channel Test-cum-interview Channel
(A) Interview : Maximum Marks : (50) (A) (I) Written Test: Maximum Marks: (300)
Areas of Interview Subjects Maximum No. of Duration
Marks Questions &Type
Knowledge in Practical Banking, Financial Paper I 100 100 1 hour
and General Awareness, Communication Banking Law objective
Skills, Clarity of thought, Motivation Level, & Practice
Analytical ability, Reasoning, etc.
Paper II 100 100 1 hour
Preparation & objective
Analysis of
Balance Sheet
and Profit &
Loss Accounts;
Hand Book of
Instructions,
Circulars; Current
Banking Trends.
Paper III 100 — 1 hour
English Descriptive
Financial/Economy
related questions
consisting of all or
some of the following
Precis writing Suppressed passage Letter/
Essay writing Comprehension passage and
other short answer type questions, to test
communicative ability.
NOTE:
1. Candidates are permitted to Answer paper
I & paper II in Hindi if they desire so.
2. There shall be an interval of 15 minutes
between each Paper.
(A) II. Interview: Maximum Marks (50)
Areas of Interview:
Knowledge in Practical Banking, Financial
and General Awareness, Communication
Skills, Clarity of thought, Motivation Level,
Analytical ability, Reasoning, etc.
274
Interview Channel Test-cum-interview Channel
(B) Weightage for Maximum (B) Weightage for Maximum
Service and Marks Service and Marks
Qualification (150) Qualification (130)
(a) Service : (a) Service :
5 marks for each completed year of 5 marks for each completed year of
service in clerical cadre upto and service in clerical cadre upto and
including 12 years and thereafter 10 including 12 years and thereafter 10
marks for each additional completed marks for each additional completed
year of service in that cadre, subject to year of service in that cadre, subject to
a ceiling of 150 marks. a ceiling of 130 marks.
NOTE: Service of 6 months and above
NOTE: Service of 6 months and above
will be accorded weightage of one full
will be accorded weightage of one full
year; service of less than 6 months will
year; service of less than 6 months will be ignored.
be ignored
(b) Educational Qualification: (b) Educational Qualification:
i) For First Graduation i) For First Graduation
or N.D.Com. 10 or N.D.Com. 10
ii) For Part I CAIIB or ii) For Part I CAIIB or
CAIB or JAIIB 10 CAIB or JAIIB 10
iii) For Part II CAIIB or iii) For Part II CAIIB or
CAIB 15 CAIB 15
iv) For Double/Post iv) For Double/Post
Graduation 10
Graduation 10
Provided however, the aggregate
Provided however, the aggregate maximum marks for service and
maximum marks for service and qualification will be limited to 130.
qualification will be limited to 150.
(C) Marks for passing Written
test on earlier occasions* 20
* Employees who have passed the
written test and were ranked but could
not be promoted in any of the preceding
seven promotion processes, would be
awarded a maximum weightage of 20
marks at the rate of 5 marks for each
occasion.
NOTE: The Interview Panel shall be constituted by the General Manager

(Admn.) of the Bank.
275
05. RANKING LIST:
a) (i) Interview Channel:
Candidates who have appeared for Interview under Interview Channel
and have secured 40% marks (35% in the case of SC/ST candidates) in
the Interview, shall be ranked according to the aggregate marks secured
in the Interview, Service & Qualification in the order of merit under each
category i.e. General, SC, ST, etc.
ii) Test-cum-interview Channel:
Candidates who have passed the Written Test and appeared for the
Interview under the Test-cum-Interview channel shall be ranked according
to the aggregate marks secured in the Written Test, Interview, Service &
Qualification and marks for passing test on earlier occasions in the order
of merit.
Initially, a common ranking list of employees who have passed the written
test by securing atleast the stipulated qualifying marks, shall be drawn up
taking into consideration the marks scored by them under the following
parameters:
[i) Written Test
[ii) Service & Qualification
[iii) Interview
[iv) Weightage for Written Test passed on earlier occasions.
Candidates who come within the ranking to the extent of vacancies available
for promotion under the Test-cum-interview Channel (i.e. within the 60%
of the total vacancies earmarked for Test-cum-Interview Channel) shall
be selected.
After the above process is completed, the ranking list for ‘Fast Track’ sub-
channel will be drawn up from the remaining successful candidates to the
balance extent of 40% of the vacancies available under the ‘Test-cum-
Interview’ channel, based on the marks secured by them in the following
parameters:
[i) Written Test
[ii) Qualification
[iii) Weightage for Written Test passed on previous occasions.
[iv) Interview
Candidates who come within the ranking to the extent of vacancies available
for promotion under the ‘Fast Track’ sub- channel, will be selected.
276
Thus, all the eligible employees who qualify in the Written Test are eligible
for selection under the Test-cum-Interview Channel and Fast Track sub-
channel.
To illustrate:
A. Total number of vacancies available through
Internal Promotions : 100
B. No. of vacancies earmarked for Interview Channel : 25 (25% of A)
C. No. of vacancies available for Test-cum Interview
Channel : 75 (75% of A)
D. Out of ‘C’ above, number of vacancies available
for ‘Fast Track’ sub-channel : 30 (40% of C)
Assuming 500 candidates have appeared for the written test and out of
them 300 have passed the Test by securing stipulated qualifying marks,
the ranking will be initially done based on marks secured in Written Test,
Service & Qualifications, weightage for Written Test passed on earlier
occasions and Interview. Candidates ranked 1 to 45, shall be selected.
The remaining 255 candidates who had come out successful in the Written
Test, shall be ranked based on their marks in Written Test, Interview,
Qualifications and weightage for written test passed on earlier occasions.
Candidates who are ranked from 1 to 30 on the basis of these parameters
will be selected.
The number of declared vacancies earmarked under each Channel shall
be filled from time to time, strictly on the basis of ranking. If any vacancy
earmarked for promotion under Interview Channel cannot be filled under
the said Channel on account of non-availability of suitable candidates in
the ranking list/s drawn under each category i.e., General, SC, ST, etc.,
such vacancies shall be filled from the ranking list/s drawn under the Test-
cum-Interview Channel in the respective category.
b) In case of a tie in the marks, inter-se seniority shall be the deciding factor.
If the date of joining is the same, the date of birth shall be the deciding
factor.
c) The ranking list shall lapse on the day when immediate next promotion
process commences. Vacancies arising on account of refusal / failure to
accept the offer of appointment on promotion and/or voluntary reversion
by the employee during his probationary period before commencement of
the immediate next promotion process, will be filled up from the respective
ranking list.
277
d) Those employees whose names were in the ranking list but were not
promoted will have to undergo the promotion process afresh as per Clause
3 (v) above.
06. RESERVATION A ND RELAXATION TO EMPLOYEES BELONGING TO

SCHEDULED CASTES/SCHEDULED TRIBES:
The guidelines/directives issued by the Government of India from time to time in

the matter of reservation of posts and/or relaxation of eligibility norms applicable
for promotion from Clerical Cadre to Officers’ Cadre in Junior Management
Grade- Scale I for SC/ST employees may be read as part of the Policy and shall
be given effect to by the Management.
07. DISQUALIFICATION :
7.1 An employee against whom disciplinary/court proceedings are pending
shall be entitled to participate in the promotion process. In case he/she is
qualified to be promoted and his ranking falls within the declared vacancies
pursuant to Clause 5 of this Settlement,
- his/her promotion shall be kept in abeyance till the departmental/
court proceedings are completed;
and
- if he/she is found guilty of charges, the promotion shall not be given
effect to;
OR
- if he/she is exonerated of the charges or is honourably acquitted
by the Court of Law, the promotion shall be given effect to from the
date on which he/she would have otherwise been promoted but for
the pendency of the disciplinary/court proceedings;
OR
- if the punishment imposed in such disciplinary proceedings is only
warning or censure or entry of an adverse remark in the Service
Record or stoppage of increment for a period not exceeding 6 months
he/she will be promoted from the date of imposing the punishment.
7.2 An employee, who has been punished for gross misconduct under the provisions
of Bipartite Settlement shall not be eligible to participate in the promotion process
for a period of two years from the date of infliction of the punishment. This,
however, shall not apply to cases where the punishment awarded is only that
of warning or censure or stoppage of increment for a period not exceeding 6
months or entry of an adverse remark in the Service Record of the employee.
278
08. COMMENCEMENT OF PROMOTION PROCESS:
The promotion process shall be deemed to commence on the date of issue
of the Circular by the Bank calling for applications from eligible employees to
participate in the Promotion Process.
09. PROBATIONARY PERIOD:
An employee promoted in terms of this Settlement shall be on probation for one
year, which may be extended by further period not exceeding one year.
10. CONFIRMATION:
An employee promoted to the Officers’ Cadre in terms of this Settlement shall
be confirmed in the service if, in the opinion of the Competent Authority, he/she
has satisfactorily completed the probationary period. There shall, however, be
no test during the period of probation, for the purpose of confirmation.
11. REVERSION:
Such of those Probationary Officers whose work and progress are not satisfactory
during the period of probation are liable for reversion to their substantive post
in the Clerical Cadre.
As also, those probationary officers who seek reversion on their own volition
during the period of probation shall be granted reversion to their substantive
post in the Clerical Cadre.
Candidates promoted from Clerical cadre to Officers cadre in JMG/Scale-I, if
reverted to substantive cadre at their request during the period of their probation
or extension thereof, if any, shall be ineligible to participate in the promotion
process announced, if any, during the next two years from the date of actual
reversion to clerical cadre.
12. APPEAL :
If an employee is aggrieved that his claim for promotion in terms of this Settlement
has been overlooked, he/she will have a right to appeal to the General Manager
(Admn.) of the Bank within 45 days of publication of the list of promotees and
the appeal shall be disposed of within 45 days from the date of receipt of the
same.
13. DECLARATION OF MARKS:
i) An employee who has not come out successful in the Written Test may, if
he/she so desires, within 30 days of the announcement of the results of the
written test, make an application in writing to the Management to furnish
279
him/her the marks obtained by him/her in the test and the Management
shall supply the same to him/her.
ii) An employee who has been ranked but not promoted, if he/she so desires
and makes an application in writing, shall be furnished with the marks
obtained by him in different parameters except that of Interview.
14. TRANSFER:
For all employees promoted to the Officers’ Cadre, transfer to any of the Bank’s
branches in India will be a part of general service conditions.
15. DIRECT RECRUITMENT:
The Bank shall have the right to recruit every year, Officers by direct recruitment
to the extent of 25% of the declared vacancies in the Junior Management Grade/
Scale I. This direct recruitment shall be in addition to the recruitment of Specialist/
Technical Officers such as Chartered Accountants, Law Officers, Personnel
Officers, Veterinary Doctors, Technical Officers in the field of Agriculture/
Engineering, etc..
16. AMENDMENTS:
In the course of working of this settlement, if it is found desirable by the parties

hereto, to amend any of the terms relating to procedural difficulties, it shall
be open to any of the parties hereto to jointly evolve necessary guidelines, so
as to remove the difficulty and further the object of this Settlement.
17. REMOVAL OF DOUBTS AND DIFFICULTIES:
If any doubts or difficulties arise in interpreting or implementing any or all of
the terms of this Settlement, the same shall be decided by the parties to this
Settlement and if the parties hereto do not arrive at a mutually agreed decision,
the Central Government shall be moved by the parties jointly for application of
Section 36-A of the Industrial Disputes Act, 1947 for reference to the Labour
Court or Industrial Tribunal for proper interpretation of the terms under dispute,
within 15 days from the date of such decision.
18. PERIOD OF SETTLEMENT:
This settlement shall come into operation from the date of signing and shall be
in force for a period of three years from the date of signing and shall continue
to be in force until the expiry of sixty days from the date of notice in writing by
either party of their intention to terminate this Settlement.
280
CHAPTER - III
FITMENT FORMULAE
FITMENT OF SUB-ORDINATE STAFF ON PROMOTION TO CLERICAL CADRE
1. The Basic Pay of a Sub-Staff on promotion to clerical Cadre shall be determined
on the basis of following tables:
FITMENT ON PROMOTION FROM SUBSTAFF TO CLERICAL CADRE
BASIC PAY IN SUBSTAFF
STAGES W.E.F 1.11.12 W.E.F 1.11.12
1 9560 13730 DOP
2 9885 13730 DOI
3 10210 14545 DOP
4 10535 14545 DOP
5 10860 14545 DOI
6 11270 15360 DOP
7 11680 15360 DOI
8 12090 16175 DOP
9 12500 16175 DOI
10 12910 17155 DOP
11 13400 17155 DOI
12 13890 18135 DOP
13 14380 18135 DOI
14 14870 19115 DOP
15 15440 19115 DOP
16 16010 19115 DOI
17 16580 20095 DOP
18 17235 20095 DOI
19 17890 21240 DOP
20 18545 21240 IF>1 YEAR DOI IF<1 YEAR DOP
+1 19200 22385 IF>1 YEAR DOI IF<1 YEAR DOP
281
1 Where two or more stages in the subordinate scale are combined for fitment
with common stage in the clerical scale :
a) The subordinate staff members who are at the lower stage/s (of the
clubbed stages) will draw their future increments on the anniversary date
of promotion.
b) The subordinate staff members who are at the higher stage/s (of the
clubbed stages) will draw their future increments on the anniversary date
of their last increment as a member of subordinate staff.
2 So also, members of sub-staff whose basic pay is `21,240/-, 22,385/-,

23,530/-, 24,675/-, 25,820/-, 26,965/-, 28,110/-, 30,230/-, 31,540/- and who have
not completed one year at the said stage before promotion, would receive their
future annual increments on the annual date of promotion.
3 Sub-Staff Employees who are promoted from 1.11.1993 to Clerical cadre,

are eligible for Fixed Personal Pay (FPP) applicable to the Clerical cadre on
completion of one year after reaching maximum scale of pay in the promoted
cadre and till such time he/she would continue to get FPP as applicable to pre-
promoted cadre.
282
Fitment Chart on promotion from Clerical cadre to Officer cadre
In IMG Scale I, on or after O1.11,2012
Stage Pay in Clerical Cadre Fitment at corresponding stage in Junior

Management Grade Scale I
1 11765 23700
2 12420 23700
3 13075 23700
4 13730 23700
5 14545 23700
6 15360 23700
7 16175 23700
8 17155 23700
9 18135 23700
10 19115 24680
11 20095 25660
12 21240 26640
13 22385 27620
14 23530 28600
15 24675 29580
16 25820 30560
17 26965 31705
18 28110 32850
19 30230 34160
20 31540 35470
+1 32850 36780
+2 34160 38090
+3 35470 39400
+4 36780 40710
+5 38090 42020
+6 39400 42020
+7 407I0 42020
+8 42020 42020
283
Note:
1. The promote officer after fitment as above, will draw his next increment in the
Officers’ Scale on the anniversary date of his last increment in clerical cadre
and thereafter he will draw his further increments every year on the same date.
However, in view of the clubbing of stages in the fitment table, the employee in
the lower clubbed stage of clerical scale of pay will get his next increment after
promotion on the anniversary date of promotion.
2. Those who were drawing a basis pay between the 1st and 9th stage in the
clerical scale given in the above table, will be fitted at the minimum of the
Officers’ Scale and will draw their next increment on the anniversary date of
promotion.
3. (a) Those who have completed more than one year at basis pay of `31,540/-
`32,850/-, `34,160/-, `35,470/- and `36,780/-and will draw their next
increment on the anniversary date of their last increment in the clerical
cadre immediately following the date of promotion and will draw their
subsequent annual increment on the same date.
Those who have completed less than one year at basic pay of `31,540/,
`32,850/-, `34,160/-, `35,470/- and `36,780/-will draw their next increment
after fitment, on the anniversary date of promotion and thereafter draw
their annual increments every year on the same date
(b) Those who have completed more than one year at basic pay of `38,090/,
`39,400/-and `40,710/-will be given fitment in the Officers’ Scale at
`42,020/-and will earn their next increment on the anniversary date of
promotion subject to their crossing their Efficiency Bar as per guidelines
issued by the Government under Regulation 5 of Officers’ Service
Regulations.
(c) In all cases where promote officers reach the maximum stage in the
substantive JMG Scale I (`42,020/-), further increment in the next higher
scale will be subject to their crossing Efficiency Bar as per guidelines
issued by the Government under Regulation 5 of Officers’ Service
Regulations’
4. Promotees who are drawing Fixed Personal Pay in terms of Settlement dated
25.05.2015 may continue to draw the same quantum of Fixed Personal Pay
even after promotion which shall remain unaltered tlll revised (please refer to
IBA circular No. CIR/HR&IR/90/665/EI2/20l0-11/1416 dated 30.09.10.)
284
5. If the promote officer has passed JAIIB or CAIIB at the time of his promotion,
notional basic pay will be arrived at after reducing the increments earned for
passing JAIIB/CAIIB, from the clerical basic pay. He shall then be fitted in the
Officers’Scale in accordance with the above table and appropriate one or two
increments in the Officers’Scale shall be added with basic pay so fixed. The
date of increment will be determined as per (1) above, if after reduction of
increments in the clerical scale, the basic pay falls in the lower clubbed stage.
This adjustment, however, will not be made where the number of increments
to be reduced is higher than the number of increments to be granted.
6. If despite the fitment as given above, the emoluments (basic pay and dearness
allowance) drawn as an officer on promotion are less than the emoluments
(basic pay and stagnation increment, if any, functional special pay on
permanent basis and dearness allowance) drawn as a clerk, the difference
may be protected by way of Temporary Personal Allowance to be wiped off, in
three years, at the rate of 1/3 Temporary Personal Allowance. This allowance
will not rank for dearness allowance and superannuation benefits.
7. If an employee has passed CAiIB after reaching the 20th stage of the clerical
cadre and promoted to Officers’ scale subsequently, he/she shall be granted
one increment for passing CAIIB ParI-I/JAIIB and another increment for passing
CAIIB Part-II after fitment in Officers’ scale as per his/her clerical stage of pay
before promotion.
285
PAY FIXATION OF EX-SERVICEMEN AWARD STAFF
Refixation of pay of Ex-serviceman re-employed in Banks on or after 1-11-1992
The ‘pay’ of ex-servicemen re-employed in banks’ service on or after 01-11 -1987 but
before 14-02-1995 was fixed with reference to the pay scale of Fifth Bipartite Settlement
so as to protect the pay plus dearness allowance drawn by them at the time of release
from Armed Forces. Upon implementation of the Sixth Bipartite Settlement with effect
from 01-11-1992, the pay of such ex-servicemen who joined the Banks’ service after
01-11-1992 but before implementation of wage revision will have to be refixed with
reference to the new scale of pay.
We have since been advised by the Government that it has been decided that in cases
of all ex-servicemen who have joined the bank on or after 01-11-1992, in their case
the pay fixation has to be done as per the Sixth Bipartite Settlement. Accordingly, the
pay of ex-servicemen has to be refixed under the Sixth Bipartite Settlement.
Over payments, if any, on account of pay fixation to an ex-serviceman who joined

between 01-11-1992 and 14-02-1995 should be recovered and if re-fixation of pay in
the revised pay scales in the bank leads to fixation at a higher stage the arrears may
be paid to an ex-servicemen.
Pay fixation
The following items of emoluments admissible in the Defence Service will constitute
the pre retirement pay of retired military personnel of the rank of Junior Commissioned
Officer and below and will rank for protection on reemployment:
Army
1) Pay (including deferred pay) and rank pay.

2) Increments of pay for length of service
3) Classification pay
4) Good Service/Conduct Pay
Note:
‘Rank Pay’ forms part of pre-retirement pay in respect of all Ex-Service Officers
including SSCOs who retired on or after 1-1-1986 (in the revised scale) from Armed
286
Forces. However, in respect of those who retired/or were released before 1-1-1986,
the ‘Rank Pay’ if drawn by them would not be taken into account for fixation of pay
on their re-employment in public sector banks.
Navy:
1) Pay (including deferred pay)
3) Higher Pt.II – Qualification Pay
4) Classification Pay
Note:
(a) ‘Sub-marine Pay’ admissible to officers and sailors of Indian Navy may be
reckoned towards pre-retirement pay in respect of officers/sailors who retired/
or were released from Indian Navy prior to 1-1-1986.
(b) In respect of officers/sailors who retired / or were released from Indian Navy
on or after 1-1-1986 ‘Sub-marine Pay’ as well as other elements of pay which
are not reckoned for determining pension will not count towards pre-retirement
pay.
(c) Pay fixation of ex-servicemen re-employed in public sector banks prior to
1-1-1986 has to be re-opened and pre-retirement pay in such cases should
include Sub-marine Pay also.
Air Force:
1) Pay (including deferred pay)
2) Badge Pay
3) Classification Pay
The pension for the purpose of these orders includes pension equivalent of gratuity
and other forms of retirement benefits.
With effect from 1-6-1988 in fixing the initial pay of re-employed pensioners, the
pension equivalent of gratuity may not be deducted from the pay so fixed.
For the purpose of fixation of pay, Dearness Allowance will include Dearness Pay,
Dearness Allowance, Additional Dearness Allowance and Interim Relief etc. but will
not include CCA, HRA and similar other allowances.
For the purpose of fixation of pay on re-employment the ‘Pay’ would mean ‘the basic
pay’ plus the special allowance/special pay as the case may be attached to the re-
employed post wherever applicable plus the dearness allowance.
287
Re-fixation of pay to ex-servicemen re-employed in Banks on or after 1.1.2006
In respect of re-employment taking place on/or after 1.1.2006 pre-retirement pay for
those retired after 1.1.2006 means to pay in the pay band plus grade pay. Therefore,
Ex-servicemen re-employed in the banks who retired on/or after 1.1.2006 are eligible
to pay fixation in banks based on the pay drawn by them at the time of discharge
from the Defence Services which would include band pay plus grade pay and also
Military Service Pay.
The basis on which the refixation of pay in the above cases is being arrived is as
follows:-
1) Basic Pay
2) Dearness Allowance
3) Grade Pay
4) Military Service Pay
5) Badge/G.S. Pay
6) Class Pay
Weightage of service:
Housing Loan/Conveyance Loan etc.
For the purpose of qualifying service, necessary to avail of housing loan, conveyance
loan etc., service rendered by the ex-servicemen in Armed Forces may be taken into
account.
For the purpose of promotion/Appointment against Special Allowance/Pay

carrying post:
(i) Bank may allow, for the purpose of seniority in promotion, to their ex-servicemen
employees recruited against reserved posts in the clerical and subordinate cadre,
weightage for the period of service rendered by them in the armed forces in
the ratio 5:1 subject to a maximum of 2 years after they have rendered at least
3 years actual service in the Bank after re-employment. This benefit will be
available to the ex-servicemen only once during the career.
(ii) The weightage of service in the armed forces as stipulated in para (i) above
has to be allowed after they have rendered atleast 3 years of service in that
cadre and their seniority is to be fixed as per the provisions of circular dated
13-8-1986. All other benefits flowing from seniority will follow as per circular
dated 13-8-1986.
288
(iii) These instructions are applicable in respect of those ex-servicemen who were
working in the clerical and subordinate staff cadres as on 13-8-1986 or who
joined subsequent to 13-8-1986. These instructions are, however, not applicable
to those ex-servicemen who have already been promoted to the officers’ cadre
before 13-8-1986 or who have been recruited directly as officers.
(iv) The benefit of weightage of defence service to ex-servicemen for promotion

is available for the first promotion only, after their re-employment in the Bank.
They will not be eligible for getting this benefit for any subsequent promotion
irrespective of the fact whether the first promotion was in the normal course or
otherwise.
(v) Ex-servicemen may be allowed to opt for availing of the benefit of weightage
for defence service either for appointment against the special allowance/ pay
carrying post within subordinate/clerical cadres or for promotion from subordinate
to clerical or from clerical to Junior Management Grade. However, once an
ex-serviceman avails of this benefit for appointment against any special
allowance carrying post, he will not be eligible for the same benefit at the time of
his consideration for promotion from one cadre to another. The ex-servicemen
are required to exercise the option for the purpose at the time of first available
opportunity and the option once exercised will be final and no change therein
would be allowed later, whether or not the ex-servicemen are successful in that
exercise.
(vi) The benefit of seniority on the basis of past service in Army has to be availed
only once in the career of ex-servicemen. However, this stipulation does not
come in the way of those who avail this benefit for the purpose of temporary
appointment to an allowance carrying post or officiating post and afterwards
considered for regular promotion to the next higher grade from the post to which
he was initially re-employed. In case the allowance carrying post is given to the
re-employed ex-servicemen on permanent basis.
289
CHAPTER - IV
FRINGE BENEFITS
01. BRIEFCASE TO ALL THE CLERICAL AND SUB-STAFF CADRE EMPLOYEES

[Source: HO Cir.No.62/2004, 339/2004 & 245/2012]
Reimbursement of expenses incurred on purchase of Briefcase, once in three

years, upto the limits indicated below:
Special Assistants : ` 1,000/-

Clerks : ` 900/-
Sub-staff : ` 700/-
Lady employees will have the option to be reimbursed the expenses incurred
for purchase of a Leather Handbag in lieu of Briefcase, within the above limits.
02. CLOSING ALLOWANCE [Source: HO Cir.No.346/2003]
Award Staff working in branches where books are closed on 31st March and
30th September, would be paid Closing Allowance at the following rates for
each of the two closings:
Clerical : ` 200/-
Subordinate staff including permanent
Part time Sweepers on graded scale wages } ` 100/-
The Closing Allowance will be paid to Clerical Staff who are either directly
engaged in the work relating to closing of books of accounts or are required to
do extra work arising out of such closing of books of accounts. The Closing
Allowance for Subordinate Staff including Part time Sweepers working in
branches would be paid for undertaking special drive for arranging records
and ensuring cleanliness of the premises. Such of the Award staff including
Part time Sweepers on graded scale wages who are on leave for an aggregate
period of more than four days between 20th March/September and 10th April/
October during the respective year are not entitled for half yearly/ annual closing
allowance as the case may be.
290
03. CONVEYANCE EXPENSES
[Source: HO Cir.No.321/2000, 176/2005, 260/2005,706/2008,
420/2011 & 21/2013]
All Full Time Award Staff members would be reimbursed Conveyance expenses
incurred by them upto the limits indicated below:
For Award Staff owning vehicles:
Special Assistants : Cost of 24 Litres of petrol per month
Clerks : Cost of 19 Litres of petrol per month
Subordinate Staff : Cost of 15 Litres of petrol per month
For Award Staff who do not own vehicles:
Special Assistants : ` 800/- p.m.
Clerks : ` 600/- p.m.
Subordinate Staff : ` 525/- p.m.
For Part time employees on Graded Scale wages:
3/4 graded scale wages : ` 400/- p.m.

Employees who are on leave for a full calendar month will not be eligible for the
above reimbursement for that month. The claims pertaining to a month could
be submitted before the end of the succeeding month but not thereafter.
04. CONVEYANCE ALLOWANCE TO THE BLIND, ORTHOPAEDICALLY

HANDICAPPED, DEAF AND DUMB EMPLOYEES.
[SOURCE : HO CIRCULAR NO.406/2014]
The rate of conveyance allowance for disabled employees (BLIND AND

ORTHOPAEDICALLY HANDICAPPED EMPLOYEES) at the rate of 5% of Basic
Pay subject to a maximum of `400/- per month. In the case of Award Staff, this
allowance will be in addition to the transport allowance payable to all Workmen
as per Bipartite Settlement.
291
05. COST OF NEWSPAPER
[Source: HO Cir.No.315/2003, 320/2003 & 748/2007]
With a view to improving the general awareness and widening the horizon
which are so essential in the context of rapid changes taking place in various
spheres, which would also result in greater involvement of employees in business
development and increased productivity, all the Award Staff members including
permanent Part Time employees subscribing to a Non-financial National/
Regional/ Local newspaper will be reimbursed 100% of the cost of subscription
on production of bill from an authorised Newspaper Agent/Vendor.
06. CONCESSION IN LOCKER RENT [Source: HO Cir.No.132/2005
HO Cir. No. 555/2015]
The upward revision in service charges including rentals on Lockers has been
communicated vide HO Cir.No.117/2005 dated 03.03.2005. However, the
enhanced locker rentals are not applicable to staff/retired members and they will
continue to pay locker rent at the rates prescribed earlier (i.e. 25% concession
in the rates applicable to general public prior to the above revision).
07. CONCESSION IN THE RATE OF INTEREST ON EDUCATIONAL LOAN (CORP

VIDYA) [Source : HO Cir. No. 22/2013]
The Educational Loan (Corp Vidya) being granted to the eligible dependent
children of employees shall be charged concessional rate of interest at Bank’s
Base Rate i.e. 9.65% p.a. at present. In such cases, no other interest concession
available under the scheme shall be extended.
08. DAILY CONVEYANCE AT THE DEPUTED PLACE

[Source: HO Cir.No. 275/2008]
The Clerical staff deputed for official duties to branches outside their headquarters
would be reimbursed actual daily Conveyance expenses or `50/- per day
whichever is less.
292
09. ENTERTAINMENT EXPENSES [Source : Cir.No. 05/2009 & 24/2013]
Keeping in view the role responsibilities attached to the post of Special

Assistants, Entertainment expenses of `2,400/- p.a. is being reimbursed to
Special Assistants on production of bills.
10. FIXED PERSONAL PAY (FPP) ON PROMOTION FROM ONE CADRE TO A

HIGHER CADRE OR FROM ONE SCALE TO A HIGHER SCALE - PAYMENT
OF ARREARS TO EMPL OYEES WHO ARE PROMOTED TO HIGHER CADRE
FROM 01.11.1993
Employees who were in the service of banks as on 1st November 1993 were
granted one advance increment on account of computerization and these
employees on reaching the maximum of respective scales of pay are eligible
to be granted Fixed Personal Pay (FPP) as per the rates fixed in the Bipartite
Settlement. The FPP so drawn by the employee is to remain frozen for the
remaining period of his service, in a particular cadre, except when the rate of
FPP is revised consequent to wage revision in the industry. The employees
who were already sanctioned FPP on reaching the maximum scale of pay in
their present cadre, on promotion to higher cadre, are paid the same amount
of FPP as applicable to pre - promoted cadre.
The IBA has clarified that when an employee is promoted to a next higher
cadre/scale after earning FPP in the lower cadre, then he would continue to
get the same amount of FPP in the promoted scale till such time he reaches
the maximum in the promoted cadre/scale. On completion of stipulated one
year at the maximum of the promoted cadre, he shall be sanctioned FPP as
applicable to the higher cadre/scale in which he is placed. In the light of the IBA
clarification, employees who are promoted from 1.11.1993 to higher cadre are
eligible for FPP applicable to that cadre on completion of one year after reaching
maximum scale of pay.
293
11. INCIDENTAL EXPENSES FOR TRAINING/DEPUTATION
[Source: HO Cir.No.382/1998 & 383/2013]
Reimbursement of reasonable expenses incurred by employees on account of

deputation to a local branch/office or a Training Centre, will be made subject to
the following limits:
i. Deputation to Training Centre/Branch/Office : ` 50/- per day

at Mangalore
ii. Deputation to Training Centre/Branch/Office at :
a) Mumbai & other Major ‘A’ class cities : ` 75/- per day
b) All other CCA centres (Other Major : ` 50/- per day
‘A’ Class cities include Delhi, Kolkata,
Chennai, Bangalore, Hyderabad and
Ahmedabad)
Employees claiming reimbursement as above, should submit a declaration

stating that they have actually incurred the expenses claimed on account of
their deputation to another branch/office or training. Incidental charges will also
be paid to employees working in above areas who are sent on deputation to
Extension Counters from the Base Branches due to leave/training/outstation
duties etc., of the employees working in Extension Counters.
12. LEAVE FARE CONCESSION - REIMBURSEMENT OF SERVICE CHARGES,

INTER-STATE ENTRY TAX, PARKING FEES, SERVICE TAX
[Source : HO Cir.No.113/2001 & 15/2006]
Reimbursement of actual service charges of not more than `35/- per head would
be made for booking journey tickets in connection with LFC once for onward and
once for return journey against production of receipts/vouchers. Such receipts/
vouchers are to be submitted along with the LFC TA bill for consideration. It may
be noted that the reimbursement of such expenses would be in addition to the
normal entitlement of journey fare as admissible under the LFC rules. Subject
to the production of original bills/receipts, the following charges incurred by
employees while travelling on LFC, also would be reimbursed within the overall
entitlement:
i) Actual Service Tax at the prevailing rates prescribed by the Government;
294
ii) Interstate Entry Tax levied by the Government for the duration of the travel
under LFC in the particular State while traveling by own car/hiring taxi;
iii) Parking charges while undertaking tour by taxi/own car subject to the
condition that such charges shall be reimbursed only in respect of the
occasion of parking at each city/town that is actually visited and for which
fare is reimbursable under LFC.
13. LEAVE FARE CONCESSION-TRAVEL BY TAXI

[Source: HO Cir.No.279/2001]
An employee and/or members of his family, when availing LFC may undertake
travel by any public transport or transport (including Taxi) operated by agencies/
tour operators approved by appropriate Government Authorities, between places
not connected by train or partly connected by Train. (As per VIIIth Bipartite
Settlement dated 02.06.2005)
In our Bank, in addition to the above Bipartite Settlement provision, all the eligible
Workmen other than Part time employees are eligible to travel by taxi while on
Leave Fare Concession (LFC). Prior permission for travel by taxi while on LFC
should be obtained by the employee and the following information should be
furnished alongwith the LFC claim :-
a) Registration number of the taxi, copy of the RC book and copy of the route
permit;
b) Name and address of the owner and driver of the taxi (to be stated in the
bill/receipt also);
c) Rate per Kilometer;
d) Date and place of commencement of journey, particulars of the places
visited, date and place of termination of journey, total distance covered,
opening and closing meter readings in Kilometers;
e) Name and address of persons travelled by taxi;
f) Proof of visit to the places mentioned (hotel/restaurant bills, bills for
purchase made, petrol bills, temple receipts etc.);
g) Total amount charged for the taxi, bill/stamped receipt for the amount
paid;
h) A declaration to the effect that the amount claimed does not include sight
seeing charges.
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The employees will be reimbursed actual road mileage cost or at `6/- per k.m.,
per person whichever is less. Taxi for this purpose shall mean car/van/Multi
Utility Vehicle etc., (four wheeler), registered as tourist vehicle but not those
which have been registered as private vehicles. In case any other person(s)
accompanies the employee and/or his dependents while on LFC and travels
by the same taxi, reimbursement would be made on a pro-rata basis.
14. LEAVE FARE CONCESSION - TRAVEL BY OWN CAR

On prior permission in writing from the sanctioning authority, the facility to travel
by own car while on LFC is available to workmen employees other than Part time
employees of the Bank. Employee or his/her spouse should be the registered
owner of the car in which the travel is undertaken. The following information
should be furnished for undertaking journey by own car while on LFC:
a) Registration number of the car, copy of the RC book, copy of the Driving
License of the employee/spouse;
b) Date and place of commencement of journey, places visited, date and
place of termination of journey;
c) Total distance covered by Car during LFC journey, duly indicating the
distance between the places covered;
d) Names and the employee’s relationship with the persons travelled in the
car;
e) Proof of visit to the places mentioned (hotel/restaurant bills, bills of
purchases made, petrol bills, temple receipts, tollgate receipts, etc.);
f) Total amount incurred towards petrol charges (Original petrol bills to be
enclosed);
g) A declaration to the effect that the amount claimed does not include sight
seeing charges.
The reimbursement in the case of travel by own car will be restricted to the actual
petrol charges incurred, supported by cash bills or @ ` 6/- per Km. per person
whichever is less. In case any other person(s) accompanies the employee and/
or his dependents while on LFC and travels by the same car, reimbursement
would be made on a pro-rata basis.
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15. LEAVE FARE CONCESSION - LOCAL SIGHT SEEING CHARGES
[Source : Cir.No.103/2007]
The employees while on LFC shall be reimbursed the local sight seeing charges
with the following conditions :
a. Shall be within the overall entitlement.
b. Subject to a maximum of `150/- per head per LFC.
c. Restricted to seven metros and 16 cities viz., Pune, Nagpur, Kanpur,
Jaipur, Lucknow, Vishakapatnam, Patna, Vadodara, Kochi, Indore, Bhopal,
Ludhiana, Coimbatore, Madurai, Agra and Varanasi
d. Production of original bills/vouchers/receipts as envisaged under LFC
Scheme.
16. LEAVE FARE CONCESSION – TRAVEL BY CONDUCTED TOUR
An employee may avail LFC by joining conducted tours organized by ITDC /

TDC of any State / approved private travel agents. The reimbursement will
be restricted to the actual charges of the travel agents or at `6/- per km per
head whichever is less, excluding charges for boarding and lodging and other
incidental charges, if any, within the entitlement. The receipts produced by the
employee in this connection shall invariably contain details pertaining to the
fare per seat, distance traveled, charges for boarding and lodging, bus number,
permit number etc. Copy of the list of passengers/ copy of tour schedule along
with such other proof shall also be submitted while making the LFC claim.
17. LODGING EXPENSES TO EMPLOYEES [Source : Cir.No.102/2007]

Reimbursement upto 60% of the lodging expenses presently reimbursable to
Officers in Scale I at respective centres or actuals, whichever is less, will be
made to those Clerical staff members who appear for promotion test/ interview
to the Officer cadre/ Special Assistant’s post. Special Assistants appearing for
promotion test/ interview to the Officer cadre are also eligible for the same,
subject to the following:
a. The facility would be available only to those Clerical Staff/Special

Assistants who travel from outstation places, which necessitates overnight
stay at the centre.
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b. The claim should be supported by relevant bills in original.
c. The reimbursement would be normally restricted to ONE-DAY’s stay
only. Under unavoidable circumstances like non availability of public
conveyance, it may be extended to TWO days.
18. MEDICAL EXPENSES FOR DOG/SNAKE BITE

Medical expenses incurred by employees as out-patients for self / members

of the ‘Family’ (as defined under the “Scheme for reimbursement of
Hospitalisation Expenses”) in connection with Dog / Snake bite, on production
of necessary prescription from Doctor, bills etc., will be reimbursed. The limits
for reimbursement of expenses towards consultation fees, injections, medicines,
any other related expenses shall be as per the schedule of the Hospitalisation
Scheme applicable to Award Staff, under Bipartite Settlement.
19. MEMENTO OF ` 7,500/- TO ALL THE EMPLOYEES ON THE EVE OF

RETRIEMENT ON SUPERANNUATION [Source : HO. Cir. No. 16/2013]
All the employees irrespective of their cadre shall be awarded with a memento
costing `7,500/- on the eve of their retirement on superannuation. The memento
may be in any form at employee’s choice costing an amount not exceeding
`7,500/- irrespective of the cadre of the employee.
20. PERMISSION TO USE TWO WHEELER FOR CASH REMITTANCE
The employees working in certain rural branches will be permitted to use two
wheeler vehicles for effecting cash remittance, subject to the observance of
the laid down rules and security guidelines in this regard. Such employees
undertaking cash remittance by two wheelers would be reimbursed conveyance
expenses on a road mileage basis at rates applicable to the officers using two
wheelers. The escort would, however, not be eligible to claim conveyance
expenses in such cases.
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21. PHYSICALLY HANDICAPPED EMPLOYEES - COMPANION
[Source : HO Cir.No.125/2000]
Considering the difficulties beings faced by the ‘physically handicapped’

employees, they are permitted to take along a companion while attending
outstation training programmes. Actual travelling expenses incurred in respect
of such companion, subject to limits at par with the entitlement of the employee
concerned, will be reimbursed. Wherever accommodation is provided by the
Bank to the trainee, such facility will also be extended to the companion. Apart
from above, no other expenses/halting allowance etc., will be reimbursed
in respect of the companion. For the purpose of this facility, ‘physically
handicapped” employee shall be an employee who is appointed under such
category and is eligible for payment of Conveyance Allowance in terms of
Government guidelines.
22. SABBATICAL LEAVE TO WOMEN EMPLOYEES

[Source : HO Cir. No.529/2012]
The woman employees who have put in a minimum of 5 years of service in

the Bank are eligible for applying for Sabbatical leave for a Maximum period
of 2 years in the entire career of a woman employee and such leave shall be
taken for a period of at least 3 months at a time and the leave shall not be taken
more than once in a year. Before expiry of the sanctioned leave, employees
cannot rejoin for duty without prior permission from the Competent Authority.
Such leave may be availed for any purpose like medical grounds, care of family
members or children, higher studies, visit spouse etc. The leave shall be without
Pay, Salary, Allowances and any consequential monetary and non-monetary
benefits. The sabbatical leave period shall not be counted as service for the
purpose of calculation of terminal benefits such as gratuity / provident fund /
Pension etc. Women employees on Sabbatical Leave shall not be eligible to
participate in any promotion exercises during the Sabbatical Leave period,
even if otherwise eligible. The employees are not eligible for facilities such as
Leave Fare Concession, leave, Bonus, ex gratia, Medical, Festival advance,
Hospitalisation Expenses, Expenses under Staff Welfare measures etc. during
the leave period.
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23. SHIFTING EXPENSES ON SUPERANNUATION
[Source : HO Cir.No. 46/2000]
Travelling Allowance, transportation and other expenses incurred by the retiring

employees as per transfer TA rules to shift the family to the place of domicile
within the State as registered in the service records would be reimbursed. The
facility would, however, be available only for such shifting within six months from
the date of retirement.
24. SUB-STAFF EMPLOYEES - PAYMENT OF DAFTARY

As all the Sub-staff employees are required to perform all types of duties
including Daftary, the Special Pay for Daftary on permanent basis is paid
uniformly to all Peons.
25. SALARY IN ADVANCE TOWARDS FESTIVALS
Salary in advance will be granted to all employees for any one festival falling after
15th of the month to be decided on a state wise basis, and shall be disbursed
one week before the festival or on any day after 10th of that month, whichever is
latter. Further, salary for the month of December will be paid on the 20th of that
month.
26. STUDY LEAVE [Source : H.O. Cir. No. 136/2000]
With a view to prosecuting certain higher studies, physical attendance is

compulsory. At the discretion of the Bank and subject to exigencies of service,
applications from employees for sanction of extraordinary leave as admissible
under the Bipartite Settlement, would be considered for the purpose of prosecuting
higher studies also.
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27. SUPPLY OF UNIFORM & LIVERY ITEMS TO ARMED GUARDS/SUB-STAFF/ PTS
ARMED GUARDS
Specification Rates/Authorisation
Summer Uniform
Pant & Shirt - Terry cotton Raymonds - Trovine shade No.841. `255/- per meter
of dark grey colour Pant with 2 pleats, 3 belt loops like
that of Army, 18” bottom with side
pockets and one back pocket on the right.
3 sets every 2 years Shirt with half sleeves, with two
One pair of uniform every breast pockets with flap, shoulder
8 months flap like that of army.
Length - 3 meters
Stitching charges
(military pattern)
Metro `550/- per pant & shirt
Urban & Port Town `500/- per pant & shirt
Semi-urban & Rural `450/- per pant & shirt
Winter Uniform
Pant & Shirt-Terry wool Raymonds -Sapphire shade No.293. `675/- per meter
of dark grey colour Pant & shirt both of same terry wool
material (same specification of summer
uniform, but with full sleeves for shirt)
One set every three years Length - 3.25 meters
at all places*
* Two sets every three
years for armed guards in
Delhi-North & South,
Chandigarh, Ludhiana,
Lucknow, Meerut, Bhopal,
Jaipur, Kolkata & Patna Zones.
Stitching charges
(military pattern)
Metro `700/- per pant & shirt
Urban & Port Town `600/- per pant & shirt
Semi-urban & Rural `550/- per pant & shirt
Jersey Pullover - grey colour ** Double knitted `800/- per piece
(air force pattern)
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One piece every 2 years
Woollen socks - black colour ** `100/- per pair
Two pairs every year
** Only for armed guards in
Delhi-North & South, Ludhiana,
Chandigarh, Lucknow, Meerut,
Bhopal, Jaipur, Kolkata, Patna,
Ahmedabad & Vadodara Zones
Woollen Battle Jacket Raymonds -Trousering (Navy blue) `2,500/- including
(IAF pattern) Jacket upto waist with full sleeves, stitching charges
@ One every 3 years two breast pockets with flap, side
pockets on either side, collar,
shoulder flap, waist belt of 2” width
@ Only for armed guards secured with elastic at the back and
in Delhi-North & South, long belt (like that of pant) of 12
Ludhiana, Chandigarh, length with button, inner lining
Lucknow, Meerut, Bhopal, & buttons in front
Jaipur Zones, branches in
North-East and other hill &
extreme cold climate areas
to be notified from time to
time by Security Division, HO
Other items of uniform

Black leather shoe One pair per year `1,200/-
(oxford pattern with 5 eyelets)
Black nylon socks Four pairs per year `75/- per pair
Navy blue woollen beret Two pieces per year `80/- per piece
Black leather belt One piece every 3 years `225/- per piece
Black leather ammunition pouch One set of two pieces `100/-
to hold 10 cartridges every 3 years
Black lanyard (double cord) Two pieces per year `60/- per piece
Metal whistle (referee type) One piece every 5 years `50/- per piece
Black boot polish - 40 gms tin Four tins per year `40/- per tin
Boot polish brush Two brushes per year `40/- each
Name plate (bilingual) with Every 2 years `40/- per piece
white background and black
letters (IAF pattern)
Navy blue pugree (turban) of Four sets every 2 years `75/- per meter
81/2mtrs. length for Sikh armed
guards only
Note : Belt badge, shoulder titles and cap badge are centrally procured and shall be
issued by HO to ZOs once in three years.
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SUB-STAFF / PTS
SUMMER UNIFORM
a) Supply of Terry Cotton / Terry Khadi Uniform
The Sub-staff employees including PTS are eligible for three sets of uniform once in
2 years. Taking into consideration the need expressed by our Sub-staff employees,
the colour of the uniform has been changed and also the cost of cloth material and
stitching charges have been upwardly revised as below :-
Male Subordinate Staff and : Navy Blue Pant - BSL Suiting Shade/
Permanent Male PTS Raymond Navy/S Kumar’s TC Suiting
A&H at `250/- per meter
Sky Blue Shirt – Binny Mills Shade
No.120 / TC Shirting Madura Mills
(No.999-36’)-@ `125/- per meter.
Stitching Charges per set of Trousers
and Shirt – Metropolitan Cities - 450/-;
Urban/Port Town – `400/- and Semi
Rural centers – `350/-
Female Subordinate Staff : Maroon Colour Saree and Blouse –
: `520/- (including stitching charges)
Female Part Time Sweepers : Terry Khadi Blue Saree with Blouse -
: `520/- (including stitching charges)
Alongwith Terry Khadi Uniform, Sub-staff members belonging to Sikh community

and observing dress code, may be supplied with 3 Nos. of voil “Pagree” (Turban) of
approximately 7 metres long each, having same colour as of the pant (Navy blue).
(Navy blue) as that of uniform Trousers. The cost of the cloth shall be restricted to
`70/- per metre. This is in addition to the cost limit fixed for 3 sets of uniforms.
WINTER UNIFORM [Source : HO Cir.No.46/2013]
For Male Subrodinate staff / Male PTS
As per the provisions of the Bipartite Settlement, confirmed employees in the Subordinate
Staff cadre (full time Peons on regular scale or PTS on graded scale wages i.e. 3, 2
and w scale wages except PTS on consolidated wages) are entitled for ONE set of
Woolen Uniform once in THREE years. A set of woolen uniform consisting of a blue
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coloured Trouser and buttoned-up coat. The total cost of Woolen Uniform including
stitching charges is `2,500/-. In case Woolen material is not available, terry wool
cloth may be purchased within the price limit prescribed for Woolen cloth.
For Female Subordinate Staff/PTS
As per the provisions of the Bipartite Settlement, Branches/Offices may purchase
locally and provide ONE set of Terry Khadi/Terry Cotton/Polyester Saree with one
Blouse and ‘Wool Mark’ full sleeves Woolen Sweater of the same colour to all the
confirmed female members of the Subordinate Staff including PTS on graded scale
wages i.e. 3, 2 and w scale wages, at a cost not exceeding `2,500/- including
Stitching charges for Blouse, once in THREE years.
RAINCOATS/UMBRELLAS
[Source : HO Cir.No.243/1999 & 139/2012]
All the Sub-staff employees will be supplied Raincoats or Umbrellas as per their
option, for use while on duty. The facility of providing Raincoats/Umbrellas will be
extended only once in two years.
Quantum : One raincoat or one umbrella to each of the sub-staff as per his/ her
option.
Rate : The cost per Umbrella should not exceed `200/- (Rupees two hundred only)
The cost per Raincoat should not exceed `750/- (Rupees seven
hundred fifty only)
SHOES & SOCKS
[Source: HO Cir.No.322/2000, 670/2006, 68/2011 & 201/2013 ]
All confirmed male employees in Subordinate staff cadre including permanent
Part time employees on graded scale wages but except those on consolidated wages,
on production of bills, would be provided one pair of shoes and two pairs of socks,
once in two years. Only leather shoes of black colour should be purchased, for the
sake of uniformity. The eligible female employees in sub-ordinate staff/PTS would be
provided two pairs of slippers (chappals) in lieu of shoes/socks, once in two years.
The cost ceiling for shoes/socks/slippers is as under:-
One pair of Shoes : ` 1,000/-
One pair of socks : ` 75/-
Two pairs of slippers : ` 1,000/-
For Drivers
One pair of Shoes : ` 1,000/-
One pair of Socks : ` 40/-
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28. UNIFORM MAINTENANCE EXPENSES
[Source: Cir.No.080/2010 & 25/2013]
With a view to enable Subordinate Staff and Part Time Sweepers to maintain
the Uniform clothes supplied in neat and tidy condition, a reimbursement of
`75/- p.m. towards Uniform cloth maintenance expenses shall be made to all
the Subordinate staff and Part Time Sweepers.
29. SUB STAFF - RECKONING OF PAST SERVICE (20.8 OF BPS)
The temporary employees engaged against a permanent vacancy continuously,

is eventually selected as permanent employee, the period of temporary service
rendered would be considered as part of the period of probation reckoned from
the date of initial appointment in the Bank against permanent vacancy and order
of appointment issued accordingly.
30. SPECIAL ASSISTANT’S ALLOWANCE TO THE SWO’S FOR HOLDING THE

2ND SET OF DOUBLE LOCK KEYS AT SINGLE OFFICER BRANCHES
[Source : HO. Cir. No. 23/2013]
The Single Window Operators (SWO’s) working in branches where only single
Officer (Branch Manager) is posted, shall be paid Special Assistant’s Allowance
and the concerned SWO shall apart from performing all his normal SWO duties,
shall also hold the double lock keys
31. TELEPHONE/MOBILE EXPENSES [Source : Cir.No.382/2013]
Considering the role and involvement of Special Assistants, Clerks and

Subordinate Staff in the developmental activities of the Bank, reimbursement
of Telephone / Mobile charges shall be made at `300/- p.m., `225/- p.m. and
`100/-p.m. to the Special Assistants, Clerks and Sub-staff respectively.
305
32. TRANSFERS - EXPENSES ON PACKING / LOADING / UNLOADING
[Source: HO Cir.No.45/2000 & 747/2007]
The award staff at the time of their transfer are eligible for actual amounts (on
production of bills) upto a ceiling of `1700/- in respect of their transfers towards
expenses incurred for packing, local transportation, loading, unloading, insuring
the luggage etc., in transporting personal effects.
33. TRANSFERS ON REQUEST-TRAVELLING ALLOWANCE & OTHER

EXPENSES [Source: HO Cir.No.297/1999]
Travelling Allowance and expenses on transfers on request will be reimbursed

to the eligible extent subject to the following:
a) The facility will be available only for employees who are transferred on
request after putting in 3 years of service in the branch/office at the centre
where they are presently working;
b) The reimbursement of TA and expenses will be made only where the
transfer on request is within the State/Union Territory;
c) The reimbursement of TA and expenses will be made only in cases where
shifting of family is involved.
34. TRANSFERS – TA EXPENSES FOR THE SECOND TIME
TA expenses will be reimbursed for second time to those Award Staff members
on their transfer / posting on promotion from Sub -staff to Clerical and Clerical to
Special Assistants, who avail Joining Time to shift their family and belongingness
to their place of posting within 6 months from the date of reporting at the new
place of posting.
35. TRANSFERS - JOINING TIME - CLUBBING OF CL OR PL/SICK LEAVE

The award staff members will be permitted to club Casual Leave or Privilege/
Sick Leave at the time of availing the Joining Time for shifting family and
belongingness to the new place of posting.
306
36. TRAVELLING EXPENSES WHILE ON OFFICIAL WORK
Where the Clerical employees travel actually by AC II Tier class by mail/ express
train (including Rajdhani and Shatabdi trains), while on official work/ deputation/
transfer/training, they will be reimbursed the actual AC II Tier class fare incurred
for the distance by the shortest and direct route. Where the members of
Subordinate Staff travel actually by AC III Tier class by mail/express train, while
on official work/ deputation/ transfer/training, they will be reimbursed the actual
AC III Tier class fare incurred for the distance by the shortest and direct route.
37. UNAVAILED CASUAL LEAVE WITHOUT MEDICAL CERTIFICATE

Subject to Leave rules, an employee may avail of Unavailed Casual Leave of
not exceeding three days on grounds of sickness without production of Medical
Certificate provided that the number of occasions of availment of Unavailed
Casual Leave without production of Medical Certificate does not exceed three
times in a calendar year. Medical Certificate shall not be insisted only when
UCL is availed of as above without clubbing with any other type of leave.
38. UNBLEMISHED SERVICE - SILVER JUBILEE AWARD

[Source : H.O. Cir. No.213/200 & 735/2009]
The employees completing 25 years of unblemished service shall be awarded
with a memento worth `5,000/- on production of bills.
39. WISHING MEMBERS OF STAFF ON THEIR BIRTHDAYS

In the complex day-to-day life, one cherishes certain occasions and prime
amongst them is ones Birthday. As a gesture of goodwill, the management
wishes members of the staff on their birthday which will leave an indelible
impression on the psyche of all the staff members. Accordingly, the head of the
Branch/Office will greet the staff member on his/her birthday by presenting a
gift in the form of a Chocolate / sweet box / with a Birthday Greeting Card and
a rose/flower from the Corp Bank family at a cost not exceeding `100/-. The
date of birth of the staff members will be conveyed to the respective branches
in advance.
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CHAPTER - V
LOANS & ADVANCES
01. FESTIVAL ADVANCE (FADL)

All the confirmed Award Staff employees including PTS on graded scale wages,
are eligible to avail Festival Advance to the extent of one month’s Gross Salary
without any ceiling, to enable them to celebrate any of the festivals including
National Festivals. The amount shall be repaid in 10 equal monthly instalments
commencing from the month succeeding the month in which the advance is
availed.
02. EMPLOYEE DEMAND LOAN (EDL)

Employees who have completed at least one year of confirmed service and who
have not availed the ECOD facility, are eligible to avail the Demand Loan at
concessional rate of interest @9.00% p.a. The quantum of loan is determined
depends upon the length of confirmed service of the employee in the Bank, the
purpose for which the loan is sought, the gross salary and the take home salary.
For special purposes such as marriage, education, medical treatment, religious
functions and house construction, Demand Loan is restricted to the extent of 5
months’ gross salary and for purposes other than those mentioned above, the
amount of loan is restricted to 3 months’ gross salary. The loan is repayable
within a maximum period of 60 Equated Monthly Installments (EMI).
03. SPECIAL DEMAND LOAN (Special EDL)

Employees who have completed 5 years of service and who have not availed
the ECOD facility, are eligible to avail the Special Demand Loan to the extent of
5 months’ gross salary at concessional rate of interest @9.00% p.a. for meeting
purposes like hospitalisation expenses, purchase of consumer durables, vehicle,
house, plot/site, margin money for Vehicle Loan, for Religious ceremonies,
marriage of self, children, brother/sister and any other purposes (other than
speculative purposes). The loan is repayable within a maximum period of 60
Equated Monthly Instalments (EMI).
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04. EMPLOYEE CONSUMER INSTALMENT LOAN - OLD (ECIL-OLD)
Employees who have joined the Bank prior to 1st April, 1991 and those who have
become eligible to avail the ECIL prior to 1st April, 1991, shall have the option
to avail the loan either under this scheme or under the new scheme evolved by
the Government of India for employees of all Public Sector Banks. Employees
who availed the ECOD facility and also who have availed ESCC for purchase
of consumer durables are not eligible to avail the loan under this scheme.
The purpose for granting ECIL is for meeting expenses on marriage/ religious/
social obligation. The maximum quantum of loan under this Scheme is `30,000/-
and the interest on the loan shall be charged at interest at Benchmark PLR of
the Bank (Corporation Bank Benchmark Advance Rate). The loan together
with interest thereon shall be repayable in not more than 60 Equated Monthly
Instalments (EMI).
05. EMPLOYEE CONSUMER INSTALMENT LOAN – NEW (ECIL - NEW)

Employees who have joined the Bank on or after 1st April, 1991 and those who
have become eligible for grant of CIL on or after 1st April, 1991, shall be eligible
to avail ECIL (New). The purpose for granting ECIL is for meeting expenses on
marriage/ religious/social obligation. Employees who availed the ECOD facility
and also who have availed ESCC for purchase of consumer durables are not
eligible to avail the loan under this scheme.
The maximum quantum of loan under this Scheme is `15,000/- and the interest
on the loan shall be charged at Benchmark PLR of the Bank (Corporation Bank
Benchmark Advance Rate). The loan together with interest is repayable in not
more than 60 Equated Monthly Instalments (EMI).
06. EMPLOYEE SECURED CASH CREDIT FACILITY (ESCC)
All confirmed employees are eligible for ESCC against the pledge/ assignment/
hypothecation of securities such as NSCs, KVPs, Gold jewellery, LIC policies,
Shares/ Debentures of approved companies, Units of UTI and consumer durables.
The maximum amount granted under this scheme is `1.50 lakhs with a sub-limit of
`30,000/- for purchase of consumer durables and for permanent part time
employees the limit is fixed at `0.25 lakhs with a sub-limit of `0.15 lakh for
309
purchase of consumer durables/Jewellery. The facility for permanent part time
employees shall be available only against the security of consumer durables/
jewellery. The repayment of ESCC is On demand - subject to annual review/
renewal and the loan is to be closed at the time of cessation of service of the
employee. The rate of interest on the Staff Secured Cash Credit Facility is at
the rate 3% below the Corporation Bank Benchmark Advance Rate (COBAR)
being charged by the Bank from time to time.
07. EMPLOYEE CLEAN OVERDRAFT FACILITY (ECOD)
Employees who have completed at least one year of confirmed service, are
eligible to avail the facility in replacement of EDL, Special EDL and Unsecured
ECIL - New/ Old. As such employees who avail the ECOD will not be eligible
for such loans. However, employees can continue to avail the existing loan
facilities till they opt for ECOD. The limits set out are as under:
a) Service upto 3 years Clerical staff ` 0.25 lakh

Sub-staff ` 0.15 lakh
b) Service 3 years & above Clerical staff ` 1.00 lakh
but less than 5 years Sub-staff ` 0.50 lakh
c) Service 5 years & above Clerical staff ` 1.50 lakh
but less than 10 years Sub-staff ` 1.00 lakh
d) Service 10 years & above Clerical staff ` 3.50 lakh
“Service” for the purpose of this facility shall mean completed years of service
as reckoned from the date of joining the Bank, inclusive of Probationary period.
In respect of Ex-servicemen employees the period of service rendered by them
in the Defence services prior to joining the Bank shall be given weightage in the
ratio of 1:4, i.e. every four completed years of service in the Defence services
would be taken as one year of service in the Bank with a maximum of 5 years.
Permanent part time Sweepers are eligible for limits calculated on a pro-rata
basis of Sub-staff limits.
The ECOD is granted for all need based purposes, repayable on demand subject
to annual review/renewal and to be closed at the time of cessaion of service of
the employee. Interest at 9.00% p.a. shall be charged.
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08. EMPLOYEE CLEAN TERM LOAN (ECTL)
Employee Clean Term Loan (ECTL) facility is introduced to enable staff members
to switch over from the existing Employee Clean Overdraft facility (ECOD) at their
option aimed at liquidating the loan by monthly instalments over a predetermined
period as against continuing ECOD liability at the time of superannuation. Option
once exercised is irrevocable. Employees may continue to avail ECOD will they
opt for ECTL facility. After ECTL is closed, employees are eligible for Employee
Demand Loan (EDL) as per existing terms and conditions. Employees cannot
avail ECOD after closure of ECTL. The quantum of ECTL shall be the limit /
balance availed under ECOD and the interest chargeable is 9% p.a. However,
the balance to be transferred to the above said term loan will be after bringing
the outstanding in the ECOD to the level of limit if overdrawn. The ECTL should
be closed in 120 EMI’s. If the remaining service is less than 10 years, the
repayment shall be fixed for 120 EMI’s, but the balance if any shall be adjusted
from superannuation / terminal benefits.
09. CONVEYANCE LOAN SCHEME [EHPL]

Workmen employees will be granted a maximum loan amount `75,000/- or
90% of the cost of Two wheeler vehicle whichever is less at interest rate of
8.50% p.a. (simple). The loan together with the interest thereon is repayable
within 84 months in equal monthly installments. The Scheme is available to
all employees including Subordinate Staff and Part Time Sweepers on graded
scale wages on their confirmation in the services of the Bank.
The employees are also eligible for conversion of outstanding loan liability under
CMOBI/CVEHI availed for purchase of two wheelers in respect of employees
who did not avail EHPL-AW / EHPL-SS earlier, to the new EHPL-AW.
10. CONVEYANCE LOAN TO PART-TIME SWEEPERS ON GRADED SCALE

FOR PURCHASE OF BICYCLE [EHPL-PTS]
Those Part-time Sweepers on Grade Scale wages, who have completed 5 years
of continuous service in the Bank, are eligible for a loan under this Scheme for
purchase of Bicycle. The maximum amount of loan granted under this Scheme
is `3,000/- or 90% of the cost of the Bicycle, whichever is less at a simple interest
at the rate of 7.5% p.a. The loan together with the interest thereon is repayable
within 48 months in equal monthly instalments.
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11. MOTOR CAR LOAN FOR CLERICAL CADRE EMPLOYEES [EMCL]
Employees in the Clerical cadre who have completed 5 years of service in the
Bank, are eligible to avail the loan for purchase of a non luxury model brand
new Motor Car or second hand motor car of not more than 10 years old from the
date of first registration. In respect of Ex-servicemen employees, the eligibility
criteria for availing the Motor Car Loan is on confirmation. The maximum amount
of loan granted under this scheme is 80% of the cost of the Motor Car, subject
to repaying capacity of the employees, with a repayment period of 200 Equated
Monthly Installments. Interest on the loan charged is 8.5% p.a. (simple). (Further
details refer Circular No. H.O.Cir. 438/2013 dated 29.07.2013).
12. ADDITIONAL CONVEYANCE LOAN FOR AWARD STAFF [ASHPL]

Award staff who is eligible for Conveyance Loan (EHPL) at concessional rate of
interest is also eligible for a loan under this Scheme. Loans under this scheme
are granted for purchase of a two-wheeler and the quantum of loan is 75% of
the cost of vehicle in excess of HPL Limit + Margin of 10% in case of Brand New
Two wheeler and 60% of the cost of vehicle in excess of HPL Limit + Margin
of 10% in case of Second Hand Two Wheeler. The loan together with interest
thereon is repayable in 60 EMI in the case of Brand New Two Wheeler and 48
EMI in the case of Second Hand Two Wheeler. Interest on the loan is charged
at COBAR decided by the Bank from time to time.
13. LOAN TO EMPLOYEES UNDER THE CORPMOBILE SCHEME [CMOBI]

The employees will be permitted to avail loan under CorpMobile Scheme for
purchase of Motor Car/Two Wheeler, mainly on account of following reasons :-
a) A need for an additional vehicle (Motor Car/Two wheeler) is felt by
employees who already own a vehicle and have availed Conveyance Loan
(EHPL) or Motor Car Loan (EMCL) for the same
b) Clerical cadre employees who desire to avail loan for purchase of car but
due to non completion of the minimum prescribed length of service are not
eligible to avail the loan under the existing scheme applicable to them.
c) Employees who desire to replace their existing vehicles within a period of
4 years from the date of availment of their Conveyance Loan (EHPL) and
within a period of 5 years from the date of availment of Motor Car Loan
(EMCL).
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For purchase of car, employee shall have a minimum gross annual income of
`1,20,000/- and for purchase of two wheeler an employee shall have a mimumum
gross annual income of `50,000/-. The Loan shall be granted for purchase of
brand new/pre-owned vehicles not older than 3 years from the date of first
registration. The quantum of loan for purchase of two wheeler is upto `1.00
lakh and for purchase of Motor Car upto `5.00 lakhs.
The prevailing rate of interest on Bank’s CorpMobile Scheme is applicable to

the employees also. The total deductions from the salary of the employees
on account of statutory deductions, loan installments including the EMI of the
proposed loan and the notional monthly interest on ECOD limit assuming that
it is fully drawn, should not exceed 60% of the gross monthly emoluments. In
other words, the carry home pay of an employee should not be less than 40%
of his/her gross monthly emoluments. The loan along with the interest thereon
shall be repayable within a maximum of 84 equated monthly installments in the
case of loan for purchase of Car and within a maximum of 60 equated monthly
installments in the case of loan for purchase of two wheeler.
14. STAFF HOUSING LOAN SCHEME (SHL)
All Award Staff members including Part time employees who have completed five
years of continuous service in the Bank, are eligible for the Staff Housing Loan.
In the case of Ex-servicemen, their permanent continuous service in defence
forces shall be taken into account in full, subject however to the condition that
the employee should have put in a minimum of two years of continuous service
in our Bank, including service under probation/apprenticeship. Staff Housing
Loans are granted for the following purposes:
a) Construction of a house on a land already owned or purchased by the

employee or owned by the employee jointly with his/her spouse or in the
name of the spouse;
b) Purchase of land and construction of a house;
c) Purchase of ready built house/flat and making extension/renovation in it;
d) Extension/renovation of house/flat already owned by the employee;
Repayment of loan taken from identifiable sources such as HDFC, LIC, Banks
for house construction even if the construction has already commenced.
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Maximum quantum of loan admissible is as under:-
For construction of a new house, purchasing a plot and construction of a house

and purchasing a ready built house/flat:
For Clerical Staff ` 4.50 lakhs
For Sub-staff ` 3.00 lakhs
PTS on 3/4 Scale wages ` 2.25 lakhs
PTS on 1/2 Scale wages ` 1.50 lakhs
PTS on 1/3 Scale wages ` 1.00 lakh
For enlarging/repairs/renovation of the house/flat already owned by the

employee, the amount admissible is 50 times the monthly pay (including Special
Pay ranking for PF benefits) subject to the following ceilings :-
Clerical Staff ` 1,20,000/-
Sub-staff ` 80,000/-
PTS on 3/4 scale ` 60,000/-
PTS on 1/2 scale ` 40,000/-
PTS on 1/3 scale ` 26,600/-
The loan is repayalble in not more than 180 instalments towards principal amount
and 60 instalments towards interest. The following simple rate of interest will be
charged on the loan amount:-
Upto ` 1.10 lakhs : 5% p.a.
Above ` 1.10 lakhs }
and upto ` 4.50 lakhs } 11% per annum.
For the loans sanctioned on or after 01.10.2001-10% p.a.)
The employees shall become eligible for the facility of substitution of property
after 5 years from the date of availment of the Housing Loan, under which they
can dispose off the existing house/flat so as to enable them to own alternate
property after complying with all the terms and conditions that are prescribed
for the grant of Housing Loan.
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15. SUPPLEMENTARY STAFF HOUSING LOAN SCHEME (SSHL)
All the employees who are eligible for the Staff Housing Loan (SHL), are eligible
to avail a loan under this Scheme (SSHL) for the following purposes :-
a) Repairs, renovation and alterations to the existing house/flat;
b) For providing fixtures/amenities of permanent nature viz., staircase,
wardrobe, showcase, sump with pumpset, overhead tank and for
construction of compound wall, garage and well/bore well.
c) For repayment of private borrowings availed for construction, purchase
of house/flat, based on relevant records and bills already submitted to
the Bank;
d) For meeting the cost of escalation in prices, on the basis of fresh estimates/
bills submitted.
The maximum amount of loan that can be granted under this scheme is 60%
of the limits fixed under the respective Housing Loan Scheme (SHL) with 10%
margin on the SSHL. Accordingly the following limits are in vogue under this
Scheme :-
Clerical Staff ` 2.70 lakh
PTS on 3/4 scale ` 1.35 lakh
The repayment period prescribed under this scheme is 180 Equated Monthly
Instalments (EMI) subject to the remaining service of the employee in the Bank.
The interest on the loans is charged at COBAR decided by the Bank from time
to time.
16. ENHANCED STAFF HOUSING LOAN - NEW (ESHL-N)
The employees who have availed Staff Housing Loan (SHL) under pre-revised
entitlement and who have outstanding liability as on the date of application, are
eligible to avail ESHL-N for the following purposes :
a) For meeting cost of extension, additions, alterations, renovation, repairs

etc., to the existing house/flat;
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b) For repayment of debts incurred from approved and verifiable sources,
including SSHL for house building purposes and in connection with
substitution of property;
c) For meeting the cost of substitution of property
The maximum amount of the loan shall not exceed the difference between the
SHL/ ESHL already availed and the enhanced limit. The entire loan (ESHLN)
together with interest in the ratio 3:1 towards principal and interest shall be repaid
within 240 months in the case of employees who have more than 10 years of
service left for superannuation and in the case of employees who have less
than 10 years of service left for superannuation, shall be permitted to repay the
ESHLN within 120 months from the date of initial disbursement.
The following simple rate of interest will be charged on the loan amount:-
Upto `1.10 lakhs : 5% p.a.
Above `1.10 lakhs }
and upto `4.50 lakhs } 11% per annum.
(For the loans sanctioned on or after 01.10.2001-10% p.a.)
17. NEW STAFF HOUSING LOAN SCHEME (NSHL)

[Source : H.O. Cir. No. 40/2011
H.O. Cir. No. 294/2015]
Eligibility
All confirmed employees are eligible to avail the loan. Employees who had earlier
availed Housing Loan are also eligible for the loan under the Scheme for acquiring
second house/flat, subject to the condition that the Employee can have only one
Housing Loan at concessional rate of interest. Husband and wife working in our Bank,
can avail loan individually or jointly within the total entitlement as applicable for both
put together
Purpose
(a) For construction of residential house on land already owned by the Officer/
Employee in his individual name or jointly with his/her spouse
(b) For purchase of plot and construction of residential house thereon
(c) For purchase of plot with existing house/ready built house. In case of old house/
flat the estimated future life of the same should be at least 10 years more than
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the period in which the loan is to be repaid.
(d) For enlarging / extension of residential house already owned
(e) For purchase of a plot of land under co-operative scheme and building a house
where title will vest with the Officer / Employee after the house is built
(f) Purchasing plot / flat under self-financing housing scheme and building a house
where title will vest with the Officer / Employee after the house is built
(g) For repayment / conversion of loan availed for acquiring / construction of a
house/flat from any institutional source such as housing finance institutions/
companies, housing boards, commercial banks including loans availed like
SHL/SSHL/ESHL/ESHLN/ CHOME/Non-Repayable withdrawal from SPF, etc.
from our Bank
Quantum of Loan
The maximum amount of housing loan under the scheme is restricted to the following
limits :
(Amount in `)
Clerks (Incl. Special Assistants) : 35.00 lakh
Sub-Staff : 20.00 lakh
PTS 3/4 scale wages : 15.00 lakh
OR 90% of the cost of the project (including cost of land), whichever is lower.
Rate of Interest
Interest will be charged at 8.0 % p.a. simple; to be reviewed after 5 years from the
date of introduction of this Scheme.
Simple interest will be charged on the loan amount at monthly rests. The amount of
interest will be calculated on the balance outstanding on the last day of the month.
Interest debited shall be funded and recovered after the principal is paid in full.
Repayment
Repayment of the Loan will be within 360 months (Principal in 270 Equal Monthly
Instalments and Interest in 90 Equal Monthly Instalments) or 75 years of age whichever
is earlier.
In the case where lesser repayment period is available, the principal and interest will
be repaid in the ratio of 3:1. However, in the case of Employees having less than 20
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years of remaining service, repayment will be fixed as if having 20 years of service,
subject to their undertaking to repay the loan outstanding, out of terminal benefit at
the time of retirement.
In the case of Employees above 50 years of age at the time of availing the loan,
repayment period will be upto 20 years or 75 years of age, whichever is lower. In
such case instalment should not be more than 60 % of the pension and DA thereon.
In case where such amount of pension is not sufficient to take care of the instalment,
the Employee has to provide sufficient securities by way of FD/KCC / NSC, etc.,
to cover the extent of loan amount not covered by such pension amount.
The instalment repaid shall be first adjusted towards principal and thereafter towards
interest.
After liquidation of the principal loan amount, instalment should be fixed to ensure
the liquidation of interest portion within the remaining period.
Repayment Holiday
In respect of construction of new house/flat, repayment will commence after completion

of 24 months from the date of first disbursement or 6 months after completion of the
project, whichever is earlier.
In case of ready built house/flat, repayment will commence from 3rd month following
the month in which the advance is disbursed.
The repayment holiday given is over and above the repayment period prescribed
under the scheme.
In the case of an Employee who ceases to be in the services of the Bank on account
of Resignation / Dismissal / Removal or termination, the entire loan amount and
interest outstanding on the date on which the Officer / Employee ceases to be in the
service of the Bank, shall become due and payable on such date.
In the case of death of an Employee while in service, the legal heirs may be permitted
to repay the loan on the terms and conditions governing the loan before his death
provided they keep a fixed deposit with the Bank equivalent to the amount outstanding
in loan fully discharged as security for the loan. The legal heirs should also undertake
that they are willing to repay the loan as per the terms of the loan regularly and
abide by the rules and regulations governing the loan scheme. The interest on the
fixed deposit should be credited to an account opened by the legal heirs and the
Bank should be authorised to appropriate the instalments of housing loan by debit to
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this account. The interest amount if any, after deduction of the instalment, may be
permitted to be withdrawn by legal heirs. Similarly, if there is a shortfall, the same
should be paid in time by them.
Repayment Capacity
The total amount of deductions including notional interest component of ECOD / ECTL,
towards all the staff loans including Temporary withdrawal of PF and proposed housing
loan but excluding FADL shall not exceed 50% of the last drawn gross monthly salary
of the Officer / Employee.
In the case of the spouse working in our Bank, jointly availing the loan to the extent of
their individual entitlement put together, the repayment capacity should be calculated
based on the income of the both the spouses clubbed together.
Disbursement for Construction
Loan for the construction should be released only after submission of sketch / plan
approved by the Competent Authority and the construction should be according to
the approved plan and specification.
The construction should be completed within 24 months from the date of disbursement
of the first instalment. Extension of time (not more than 12 months) in deserving cases
could be permitted by the Sanctioning Authority.
In case of construction of house/flat, loan will be disbursed in a phased manner in 4
or more instalments. Each such instalment will be released only after verification of
end use of funds already released by the Bank, supported by the Engineer’s / Builders
certificate / bills.
In case of purchase of ready built flat/house and for purchase of plot, payment should
be made directly to the seller by way of DD/Pay order along with margin money in
the presence of the Sub-Registrar or proof of margin money paid should be held.
In the case of purchase of plot and construction of house, the amount of loan for
construction of house shall be disbursed only after the creation of mortgage of the
land in favour of the Bank. The purchase of land and mortgage thereof should be
completed within 6 months from the date of release of the loan towards purchase of
the land.
In the case of purchase of flat, the Employee should deposit with the Bank the
agreement for sale of the flat entered into between him/her and the builder. He /
She should also undertake to get the sale deed executed in his / her favour within a
period of 24 months from the date of disbursement of the loan failing which the loan
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will become payable forthwith.
Security
● Equitable / Registered Mortgage of the property to be financed
● Co-obligant of the PF nominee
● In cases where the mortgage cannot be created immediately, loan should be
released after execution of Tripartite Agreement, in the prescribed format of the
Bank, requirement of execution of Tripartite Agreement can be waived by the
sanctioning authority in case of purchase from the Govt. Agencies
Location
Individual loans will be admissible for construction, acquisition of a house / plot and
construction of house thereon / flat / at any place in India where the employee would
like to own a house.
Conversion of Existing Housing Loan
Employees who have already availed housing loan as per the existing schemes viz.,
SHL, SSHL, ESHL, ESHLN, CHome, etc., will be allowed to convert the outstanding
loan to the new Scheme, if they so desire.
Such conversion will be done on a written request of the Employee and the balance
outstanding and interest accumulated will be allowed to be continued till the date of
coming into effect of the new scheme. Thereafter, new interest rate @ 8.0 % per
annum simple as applicable under the new scheme will be charged from the date of
effect of the new scheme.
The Employees who opt for conversion of existing loan will be entitled to avail the
balance amount under the scheme as mentioned here below :
For enlarging / extension of residential house already owned
For repayment of loan availed for acquiring / construction of a house / flat from any
institutional source such as housing finance institutions / companies, housing boards,
commercial banks including loans availed like SHL/SSHL/ ESHL/ESHLN/CHOME/
Non-Repayable withdrawal from SPF, etc. from our Bank.
Substitution of Security
The facility of substitution of security may be permitted subject to the following

conditions:
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(a) Substitution may be permitted only after 5 years from the date of availment
of the loan.
(b) The Employee should seek prior permission for substitution of the property from
the sanctioning authority and also from SPF-HO (if NRW was availed)
(c) The outstanding liability in the existing Loan account will be permitted to be
cleared as per the original repayment schedule.
(d) The entire sale proceeds of the house / flat mortgaged should be deposited
with the branch where the housing loan is availed, in an in-operative SB account
opened for the said purpose. The sale proceeds should be equal to or more than
the liability under the Housing Loan including accrued / funded interest. If the
sale proceeds are less than the amount utstanding under the loan, the Officer/
Employee should bring the differential amount before the sale is permitted.
(e) The value of the substituted property shall not be less than the value of the
original property (value of the land and cost of construction as per the records
of the branch).
Additional Housing Loan
Purpose
The Employees who have already availed the loan for acquiring the house / flat are
also eligible for additional housing loan for repair/renovation of the existing premises
as hereunder.
Loan Limit
(Amount in `)
Clerks (Incl. Special Assistants) : 7.00 lakh
Sub-Staff : 4.00 lakh
Rate of Interest
8% per annum simple. The Rate of Interest would be subject to review, after five
years from the date of introduction of the Scheme.
Other conditions
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The margin of 10% amount at all stages must be contributed proportionately by the
borrower where disbursement is to be made in phases.
This facility will be allowed only after 5 years of sanction of loan for acquiring House/
Flat and all other relevant conditions as mentioned in SHL will also be applicable.
Repayment
180 months (Principal in 120 equal monthly instalments and thereafter interest in 60
equal monthly instalments).
Insurance Cover
Insurance cover is mandatory and the single premium towards insurance coverage
shall be part of the project cost. Employees availing the loan will have to give
undertaking letter along with the application to cover the housing loan liabilities under
the group insurance scheme.
Sanctioning Authority
The NSHL proposal will be processed by retail loan Centre of the respective Zone
under whose jurisdiction the location of property is situated and the concerned Zonal
Head will be sanctioning authority.
The employee has to submit the application to the nearest branch where the property
situated and the branch will forward the proposal to the respective retail loan centre.
Clarifications
Query No. 1: An employee availed NSHL for purchase of a flat / construction of a
house and closed the NSHL at a later date. While retaining the house, whether he
would be entitled to avail NSHL for the second time for purchase / construction of a
second house? If yes, how many times he can avail NSHL during his service?
Answer: Like any other staff housing loan viz. SHL/SSHL/ESHL/ ESHL(N), NSHL
can be availed only once. However, under certain exceptional circumstances, NSHL
may be availed twice as furnished below:
a) Where SHL/SSHL/ESHL/ESHL(N) was not availed earlier and only NSHL was
availed, then on closure of the NSHL, for the purpose of purchasing / construction
of a second house/flat, the same can be availed once again. But it cannot be
availed on the third occasion. Furthermore, once NSHL is availed, then SHL/
SSHL/ESHL/ESHL(N) cannot be availed.
b) Where SHL/SSHL/ESHL/ESHL(N) was availed, NSHL can be availed for
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purchase / construction of a second house / flat on closure of SHL/SSHL/ESHL/
ESHL(N). However, in such a situation NSHL cannot be availed for the second
time.
c) Where SHL/SSHL/ESHL/ESHL(N) availed earlier is converted into NSHL, in
such cases also, the employee may avail NSHL for the second time for acquiring
second house subject to closure of the first NSHL. However, the facility will not
be available for the third time.
Query No. 2: On introduction of NSHL Scheme in 2011, an employee had converted
his SHL/SSHL/ESHL/ESHL(N)/CHOME etc. into NSHL as permitted under the
scheme and the balance outstanding in his NSHL account is `4.50 lakh. Whether
the employee can avail the differential amount of `7.50 lakh available to him under
the NSHL limit for purchase / construction of a second house without repaying/closing
the NSHL?
Answer:
i) Where SHL/SSHL/ESHL/ESHL(N)/CHOME availed earlier was converted to
NSHL, then for acquiring second house, the employee shall close the earlier
NSHL by part utilizing the proceeds of second NSHL. However, the facility shall
not be available for the third time.
ii) Where SHL/SSHL/ESHL/ESHL(N) is availed earlier, then for acquiring second
house, the employee shall close the earlier SHL/SSHL/ESHL/ESHL(N) by part
utilizing the proceeds of second NSHL. However, the facility shall not be available
for the third time.
iii) Where only NSHL is availed earlier, then for acquiring second house, the
employee shall close the earlier NSHL by part utilizing the proceeds of second
NSHL. However, the facility shall not be available for the third time
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Modifications in NSHL Scheme Cir No. 27/2016
Existing guidelines Modifications

1] Property shall be owned by the Officer/ 1] Property shall be in individual name of the
Employee in his individual name or jointly with staff member or his spouse or jointly owned with
his/her spouse. his/her spouse and/or with Son/ Daughter.
If land is already in the name of spouse or However, income of staff member and his/
jointly with children, he may not be eligible for her spouse [if he/she is our staff] only will be
loan for construction. considered for repayment capacity and loan
eligibility thereof.
2] Only salary income of the staff member is 2] In addition to salary income, pension income
considered. may also be considered to arrive at eligible loan
amount & repayment capacity.
Further, 50% of future rental income with verifiable
proof to the satisfaction of Sanctioning Authority,
from the subject property may also be considered
to arrive at the eligible loan amount.
3] 3]
a. In case of loan for purchase of land and a. In case of loan for purchase of land and
construction of house thereon, cost of land construction of house thereon, cost of land
[including cost of Registration and Stamp duty] [including cost of Registration and Stamp duty]
shall not exceed 50% of project cost. shall not exceed 60% of project cost.
b. Further, eligible loan amount to be financed b. This guideline to be discontinued.
for purchase of land shall not exceed 25% of Fresh guidelines to be inserted: Loan
project cost. amount shall be disbursed for purchase of land
and for construction after maintaining prescribed
margin of 10% on project cost.
4] The total amount of deductions including 4] The EMI/Notional interest of all the existing
notional interest component of ECOD/ECTL, loans including temporary SPF withdrawal and
towards all staff loans including Temporary proposed loan put together [excluding FADL ] shall
withdrawal of PF and proposed housing loan but not exceed 60% of gross salary of the immediate
excluding FADL shall not exceed 50% of the last preceding month.
gross monthly salary.
5] Only Housing loan availed with other banks/ 5] Prior to the revision in the limits, to meet part
FI or Corp Home availed, Non repayable SPF amount of the project cost, staff members have
withdrawal, for purchase of house/flat, can be availed/utilized the funds from their ECOD. Hence
converted into NSHL as per the eligibility. it is now permitted that in such genuine cases,
based on documentary proof to the satisfaction
of the sanctioning authority, the amount so
utilized by way of withdrawal from ECOD may
also be permitted to convert to NSHL as per the
entitlement, besides takeover of Corp Home,
other Bank’s housing loan liabilities and non-
refundable SPF withdrawal.
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6] Legal opinion in the prescribed format along 6] Legal opinion in the prescribed format along
with search report for the past 30 years from the with search report for the past 13 years from the
bank’s empanelled Advocate shall be obtained. bank’s empanelled Advocate shall be obtained.
7] Cost of modular kitchen, wardrobes, Solar 7] Cost of modular kitchen, wardrobes, Solar
lighting/water heating system etc., cannot be lighting/water heating system etc., may be
included in project cost. Guidelines are silent. included in project cost provided they are of
permanent fixtures and enhance the value of
property
8] Presently there is no provision to consider pre 8] Cost of Pre-owned land may be considered
owned land towards margin. towards margin based on purchase price as
evidenced by sale deed. However, cost of land
inherited and acquired/owned through will/gift
deed should not be considered for margin.
9] The guidelines are silent about obtention of 9] EC/Tax paid receipts need not be obtained
EC/Tax receipts on annual basis. on annual basis as long as the account is in
standard category.
10] 10]
a. In case of takeover / conversion from CHOME/ a. Margin money concept in case of conversion
etc what is the margin to be considered and takeover of liability is not applicable.
b. Corp Ghar Shobha availed for repairs / However, the loan amount should not exceed
renovation of existing house / earlier SHL loans is 90% of the value of property. Separate
not permitted to be merged with new NSHL Permission is not required for takeover of staff
housing loans from other banks / NBFCs.
b. GHAR Shobha loans may also be allowed
for conversion, since the funds are utilized for
renovation of existing house.
***
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18. CORP HOME LOAN TO THE EMPLOYEES OF THE BANK [CHOMS]
(A) CORP HOME LOAN IN LIEU OF SSHL
Due to significant differentials in the prevailing interest rates between
SSHL and Corp Home Loans applicable to public, and in order to save an
interest burden, the employees have been permitted to avail Corp Home
Loan in lieu of SSHL with a maximum of 60% of the Staff Housing Loan
as applicable to them for the following purposes:-
a) Repairs, renovation and alterations of the existing house/flat;
b) Providing amenities of permanent nature such as staircase,
wardrobe, showcases, sump with pump set and/or overhead tank;
c) Construction of compound wall, garage, well/bore well;
d) For meeting the additional cost due to escalation in prices on the
basis of fresh estimate/bills
e) Any other improvements which will result in enhancement in the
value of the property Employees who have already availed SSHL
and have outstanding balance under SSHL, are also permitted to
convert the outstanding balance in the SSHL account into Corp
Home Loan.
(Employees are not required to seek ‘No Objection Certificate’ from
PAD, H.O. Mangalore to avail this facility)
(B) CORP HOME LOAN FOR ACQUIRING SECOND HOUSE/FLAT
In the case of employees of the Bank, Housing Loans are sanctioned at

concessional rates as per the provisions of SHL/NSHL Schemes, within
the respective ceilings stipulated for various categories of employees.
Such of the employees, who have already availed the Housing Loan
at concessional rate of interest as per provisions of the Staff Housing
Loans, are also eligible to avail loans under Corp Home Scheme, on the
same terms and conditions as applicable to the public, subject to their
repayment capacity, in case they prefer to purchase/ construct another
house/flat.
(Employees are required to seek ‘No Objection Certificate’ from their
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respective ZO’s / PAD, H.O. Mangalore to avail this facility)
(C) CORP HOME LOAN FOR EXTENSION OF THE HOUSE
The employees are eligible for availing Corp Home Loan on terms and
conditions as applicable to public, for the purpose of extension of house
and certain other purposes, where the house/flat has been constructed/
purchased by availing SHL/SSHL/ESHL, subject to complying with the
following terms :
a) Corp Home Loan shall be extended only where SHL/SSHL/ESHL/

ESHL(N)/ Corp Home Loan (in lieu of SSHL) is outstanding at the
time of applying for the loan;
b) Corp Home Loan shall be granted for extension of the house
constructed / purchased out of the proceeds of Staff Housing Loan;
c) Substitution of property
d) Repayment of loans from Banks/co-operative societies/other
financial institutions, availed by the employees, for the purpose of
meeting the cost of extension extension/additional construction of
the subject house;
e) The house property mortgaged as security for SHL/SSHL/ESHL/
ESHL(N) shall be taken as continuing security for the proposed
Corp Home Loan;
(D) CORP HOME LOAN ALONGWITH STAFF HOUSING LOAN
Simultaneous sanction of Corp Home Loan alongwith the SHL/NSHL will

be made to such of those employees hereafter availing SHL/NSHL for
the purpose of construction of house/purchase of house/flat based on the
estimate submitted at the time of availing SHL/NSHL subject to his/her
repaying capacity and other relevant terms and conditions as applicable
to general public.

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19. LOANS AGAINST TERM DEPOSITS OF THE BANK (SDLs)
Loans at a concessional rate of interest are granted to staff members against

the security of term deposits of our Bank such as FDs, KCCs and RDs etc.,
standing in the name of the staff member or the retired staff member singly or
jointly with any other member or members of his/her family or the spouse of a
deceased member or a retired member of the Bank’s staff or an Association or
a Fund, members of which are the members of the Bank’s staff.
There is no ceiling on the maximum amount of loan that can be granted against
staff deposits. However it is ensured that prescribed margin is mantained. The
rate of interest chargeable on loans against staff deposits is 1% higher than the
rate payable on such deposits upto a loan limit of `3.00 lakhs. The borrower
is free to repay the loan together with the interest thereon in a lumpsum or in
instalments before the due date of the deposit.
20. CHEQUE DISCOUNTING FACILITY [SDBC]
To enable the employees to meet some urgent/unforeseen commitments, the

Bank offers the facility of discounting third party cheques drawn in favour of
staff members. Third party cheques drawn in favour of staff members may be
discounted AT PAR without levying any charges, upto a limit of `15,000/- (in
respect of Drafts/Pay Orders issued by commercial Banks and cheques issued
by Government Departments upto `25,000/-).
The facility of discounting third party cheques at par upto a limit of `15,000/-
(in respect of Drafts/Pay Orders issued by commercial Banks and cheques
issued by Government Departments upto `25,000/-) may also be extended to
retired staff members of our Bank who are not gainfully employed. A ‘Retired
Staff Member’ shall mean a member of the Banks staff who has ceased to be in
Bank’s service on attaining the superannuation, but does not include a resigned
staff member.
21. CORP VIDYA SCHEME – EDUCATIONAL LOAN
a. Eligibility of the Student
Student should be an Indian national. Should have passed previous
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qualifying examination. Should have secured at least 60% marks [ 55%
for student belonging to SC/ST category ] in the previous qualifying
examination. Further, wherever student is required to undergo competitive
exam for professional courses such as CET, CAT, AIEEE, COMED-K etc.,
in such cases, he shall secure a minimum of 55% [50% for SC/ST] in such
competitive exam. Should have secured admission to a higher education
course in recognized institutions in India or Abroad through Entrance
test Merit based selection process after completion of HSC [10 plus2 or
equivalent].
● Securing admission through Management quota not permitted.

However, in exceptional circumstances, loan can be considered
subject to the following conditions:
a] Student shall have secured a minimum marks of 60% [55% for
student belonging to SC/ST category ] in the previous qualifying
exam. Further, wherever student is required to undergo competitive
exam for professional courses, in such cases, he shall secure a
minimum of 55% [50% for SC/ST] in such competitive exam.
b] The loan, irrespective of loan amount, shall be fully secured after
maintaining prescribed margin on respective security. Further,
amount paid/payable towards donation/capitation etc., to secure
management quota shall not be considered for eligible loan amount.
These loans are not eligible for Central Scheme of Interest Subsidy.
b. Eligible Courses
For Studies in India:
(a) Approved courses leading to Graduate/Post Graduate Degree,

Diploma and PG Diplomas conducted by recognized Colleges/
Universities recognized by UGC/Govt/AICTE/AIBMS/ ICMR etc..
(b) Courses like ICWA, CA/integrated CA -on virtual /video mode,
CFA,etc
(c) Courses conducted by IIMs, IITs, IISc, XLRI, NIFT, NID etc.
(d) Regular Degree/Diploma courses like Aeronautical, Pilot training,
Shipping etc., approved by Director General of Civil Aviation/
Shipping, if the course is pursued in India.
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(e) In case of the Aircraft Maintenance Engineering /Pre Sea training
courses must be either a Degree course recognized by a competent
University or Diploma course recognized by appropriate State
Body to be eligible for loan. The employability of the students and
employment potential of the course selected has to be considered
while appraising the loan application.
(f) Research course/Ph.D courses for study in India are not eligible
for loan under the scheme.
(g) Approved Courses offered in India by reputed Foreign Universities
(h) Teachers training /Nursing/B.Ed courses provided the training
institutions are approved either by Central Govt or by State Govt
and such courses should lead to Degree or Diploma course and
not to Certificate course.
(i) Employment oriented courses like Teachers training courses and
3 year technical diploma courses in polytechnic institutions after
completion of 10th standard are also eligible provided they are offered
by approved/recognized college/institutions.
(j) Correspondence courses/Part time /Certificate/Short duration /
Vocational / skill development study courses, off-campus courses
and On-site/Partnership programme are not eligible for loan under
the scheme.
For Studies abroad:
(i) Graduation: For job oriented Professional/Technical courses offered

by reputed Universities.
(ii) Post Graduation: MCA, MBA, MS etc.
(iii) Course conducted by CIMA- London, CPA in USA etc.
(iv) Degree/Diploma courses like aeronautical, pilot training, shipping
etc provided these are recognized by competent regulatory bodies
in India/Abroad for the purpose of employment in India/Abroad.
(v) Diploma courses for study abroad is not permitted. However, PG
diploma courses for study abroad is permitted.
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(vi) Research course/Ph.D courses for study abroad are not eligible for
loan under the scheme.
c. Eligible Expenses.
(a) Fee payable to College./School/Hostel /Examination/ Library/ Laboratory

fee.
(b) Travel expenses/Passage money for studies abroad.
(c) Caution Deposit, Building Fund/Refundable deposit, though supported by
Institution bills/receipts, are not eligible.
(d) Purchase of books/equipments/instruments/uniforms
(e) Purchase of computer at reasonable cost, if required for completion of
the course
(f) Any other expenses required to complete the course like study tours,
project work, thesis etc.
Note: It is likely that expenditure under the above item may not be available
in the schedule of fees and charges prescribed by the college. Therefore,
a realistic assessment may be made of the requirement under these
heads. However, the maximum expenses may be restricted to 20% of
the total tuition fees payable for completion of the course.
(g) Hostel fees/expenses may be considered as an eligible item for finance
under the Scheme. Payment of hostel fees should be made directly to
the hostel authorities.
(h) Reasonable lodging and boarding charges will be considered in case
the student chooses/is required to opt for outside/private/paying guest
accommodation. In such cases, letter from the Institution regarding non
availability of hostel accommodation need not be insisted.
(i) In such cases, payment towards accommodation and food may be made
directly to the student.
(j) Insurance premium for life of student borrower.
d. Quantum of loan
Studies in India : Maximum of `10 lakhs
Studies Abroad : Maximum of `20 lakhs
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Education loans extended to individual member of the family shall not be
clubbed with the education loans availed by any other member of the same
family. However, all loans availed by any individual member of the family shall
be aggregated/clubbed for the purpose of margin, security, rate of interest etc.
Existence of an earlier education loan to the brother(s) and/or sister(s) will not
affect the eligibility of another meritorious student from the same family obtaining
education loan as per this scheme from the bank.
Repayment of the education loan is based on the future earning potential of the
student. Going by the spirit of the scheme, limit of `4 lakh collateral free loan
is student specific and not family specific. There is no restriction on giving
a second or third collateral free loan to other siblings when one of the siblings
has already taken a collateral free loan.
e. Margin
Up to `4 lakhs : -NIL-
Above `4 lakhs : Studies in India : 5%, Studies abroad : 15%
Scholarship/Assistantship to be in included in margin. Margin may be brought-
in on year - to- year basis as and when disbursement are made on a pro-rate
basis.
f. Processing Charges
● No Processing Charges for studies in India
● `2,000/- only for studies abroad to be refunded once the loan is availed
(Charges are inclusive of service tax)
g. Prepayment Charges : - NIL -
h. Security
Up to `4.00 Lakh : Co-obligation of Parent/s, Grand Parent/s (if parents are

deceased) No other security.
Above `4.00 Lakh & up to `7.50 Lakh : Co obligation of Parent/s Grand Parent/s
(if parents are deceased) together with collateral in the form of suitable third
party guarantee with a net worth of at least equal to loan amount.
Above `7.50 Lakh : Co- obligation of Parents/Grand Parents (if Parents are
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deceased) together with tangible collateral security along with the assignment
of future income of the student for payment of instalments.
i. Rate of Interest
The Educational Loan (Corp Vidya) being granted to the eligible dependent
children of employees shall be charged concessional rate of interest at Bank’s
Base Rate. In such cases, no other interest concession available under the
scheme shall be extended.
● Simple interest will be charged during repayment holiday period.
j. Repayment Period
For loans upto ` 7.5 lakhs : 10 years - Fixed
For loans above ` 7.5 lakhs : 15 years - Fixed
Since prepayment penalty is not applicable under the scheme, borrower may
prepay the loan at any time during the currency of the loan.
The loan has to be repaid within a period of 10/15 years after completion of
initial repayment holiday.
Repayment holiday is the course period + 1 year OR 6 months after getting the
job whichever is earlier.
k. Other Guidelines
● In deserving cases and based on merits, the Sanctioning Authority

may consider extending second /top up education loan to the borrower,
immediately after the successful completion of the first course or at a later
date, for pursuing higher studies in India/Abroad, subject to compliance
of all other Scheme guidelines such as eligibility, security, margin etc. In
such case repayment holiday period of existing loan may be extended.
● Extension of Initial repayment holiday: If the student is not able to

complete the course for reasons beyond his control, Sanctioning Authority
may at his discretion consider such extensions as may be deemed
necessary to complete the course
● Banks can also issue the capability certificate for students going abroad
for higher studies. For this purpose financial and other supporting
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documents may be obtained from applicant, if required. [some of the
foreign universities require the students to submit a certificate from their
bankers about the sponsor’s solvency/financial capability, with a view of
ensure that the sponsors of the students going abroad for higher studies
are capable of meeting the expenses till completion of studies]
● No due certificate will not be insisted upon as a pre-condition for considering

education loan. However, banks may obtain a declaration/ an affidavit
confirming that no education loans are availed by him from other banks.
l. Central Scheme for Interest Subsidy
● Extending loan for pursuing studies where admission is secured through

Management Quota is out of the purview of IBA Model scheme. Therefore,
separate set of guidelines are stipulated for such cases. Hence, these
loans are not eligible for Central Scheme for Interest Subsidy. Branches
should clarify /inform this fact to student borrowers before considering
the proposal.
(Employees are required to seek ‘No Objection Certificate’ from PAD,

H.O. Mangalore seeking permission to stand as co-obligant, in the
prescribed format)
22. STAFF PROVIDENT FUND - TEMPORARY WITHDRAWAL
To meet the temporary financial needs, an employee can withdraw certain amount
from his portion of P.F. contribution. The temporary withdrawals are allowed for
the following purposes:-
(a) To meet the expenses in connection with marriages of self, children or

dependent sisters / brothers;
(b) To meet the expenses in connection with illness of self or members of the
family;
(c) To meet the expenses in connection with passage of subscriber or member

of the family to a place outside India;
(d) To meet the expenses in connection with the funeral or ceremonies which
by the religion of the employee it is incumbent upon him to perform and
it is obligatory that expenditure should be incurred by him.
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(e) To meet the expenses of Education of children on production of sufficient
proof
The amount eligible for SPF temporary withdrawal is 6 months’ Basic

pay and PF ranking portion of permanent special allowance or member’s
contribution, whichever is less, if it is for purposes (a) and (e) given as
above and for all other purposes, 3 months’ Basic pay and PF ranking
portion of permanent special allowance or member’s contribution, whichever
is less. No fresh withdrawal is allowed unless the earlier one is repaid
in full with interest. The withdrawal and repayments shall be in multiples
of a rupee. The amount of withdrawal is to be repaid in not more than
24 instalments in cases of withdrawal upto 3 months’ salary and 48 instalments
in the case of withdrawal upto 6 months’ salary. The amount, applied for
withdrawal should be exactly divisible by the amount of each instalment to be
fixed for repayment.
Employees should furnish proof of ceremony, along with the application for
withdrawal in the case of marriage, if the invitation card cannot be sent along
with the application, then an undertaking to comply with the requirement at an
early date, must be submitted. For the purpose of withdrawal, the term ‘Family’
include spouse, children, step children, dependent parents, sisters, minor
brothers residing with the member and also close relatives of the member.
23. STAFF PROVIDENT FUND - NON-REPAYABLE WITHDRAWAL
If an employee has completed 10 years of service or is due for retirement within

next ten years, he can draw 2 of the amount standing to his credit if he has
not opted for Pension and if the member has opted for Pension, the amount
of withdrawal shall not exceed the amount standing to his credit. The non-
refundable withdrawal is allowed for the following purposes:
(a) For meeting the expenditure on building a house or purchase of a house

or site for residential purpose or extension of existing residential building
or to repay the debts in connection with the acquisition of land/building.
(b) To pay premia on policies of Insurance on the life of the subscriber or of

his/ her spouse.
(c) To meet the expenditure of marriage of daughter / sister / son.
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In the case of construction and additions or alterations of residential house,
NRW is permissable for carrying out the same on a site owned by the member
and / or the spouse or for continuing construction of residential house already
commenced by the member or spouse or by both on such site. The amount of
such withdrawal should not exceed the actual cost of the house or the site, as
the case may be. The withdrawal is permitted only if the house or site is free
from encumbrance. However, the encumbrance created in favour of Corporation
Bank is exempted from this rule. The member should furnish an undertaking to
the trustees not to encumber or alienate such house or site. If the withdrawal
is for construction of the house, the construction should commence within 6
months of withdrawal and should be completed within one year from the date
of commencement of the construction. If the withdrawal is for the purchase of a
house or a site, the purchase should be within 6 months of the withdrawal. If the
withdrawal is made for the repayment of loan previously raised for the purpose
of construction or purchase of a house, the repayment of the loan should be
made within 3 months of the withdrawal. In the case of acquisition of land or
ready built house, the entire withdrawal will be released at the time of registration
of the property. The NRW application ID 774 must accompany copies of plan
and estimate, latest nil encumbrance certificate for 13 years, sale agreement,
legal opinion and allotment letter in case of a flat.
If the withdrawal is for the purpose of marriage as mentioned under 02(c)

above, the application should invariably be accompanied by Invitation Card
and Declaration form duly filled in. Such withdrawal shall be allowed not more
than 6 months prior to the date of marriage on specific request by the member
by submitting necessary proof of booking the hall or invitation card along with
the NRW application.
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CHAPTER - VI
STAFF WELFARE SCHEME
1.0 SCHOLARSHIP TO MERITORIOUS CHILDREN OF EMPLOYEES
1.1 OBJECTIVE
To encourage children of employees to further their standard of education
1.2 COVERAGE
All employees on the rolls of the Bank including those drawing graded scale
wages, in respect of their wholly dependent children who are studying in 1st Standard
and onwards, subject to a maximum of 2 children per family.
Children who secure minimum marks prescribed herein below at the Final/ Annual
examination of the previous academic year/ semester / trimester as the case may be
and are promoted to next higher Standard / Class are eligible for Scholarship under the
Scheme. (For example : A child who secures stipulated minimum aggregate of marks in
the annual examination of X Standard will be eligible for grant of Scholarship for studying in
XI Standard, on admission to XI Standard during the current academic year).
Category of Employees Minimum aggregate of marks to be secured
for being eligible for the Scholarship
For children Graduation/ Post
studying in I Std Graduation including
upto XII Std Professional Courses
i) Officers and Clerical Staff
(Other than those belonging
to SC/ ST) 55% 50%
ii) Officers and Clerical Staff
(SC/ ST) 50% 45%
iii) Subordinate Staff (those belonging
to General or SC / ST) 45% 45%
Note: Scholarship in respect of Ist Standard will be reimbursed to wards of
an employee only on completion of the Ist Standard course by securing the
stipulated marks and promoted to II Standard. Eg. Ward of an employee who was
studying in I Standard during the financial year 2011 - 2012 will be reimbursed
with eligible scholarship in the Financial year 2012 - 2013 on securing the
minimum aggregate marks in the Annual Examination of I Standard and being
promoted to II Standard. The ward shall also be eligible for scholarship for
pursuing II Standard course during the current financial year 2012 - 2013.
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1.3 QUANTUM
Standard/ Course of Study Scholarship per Month

i) I to X Std `250/-
ii) XI and XII Standard `450/-
iii) Graduation and Post graduation `500/-
iv) Graduation / Post Graduation in Professional

Courses in Engineering, Medicine, Dental, Post
Graduation Diploma in Management from IIM,
MBA full time regular courses from a recognized
University, graduation courses with a minimum of 4
years duration (excluding internship apprenticeship)
leading to a degree from a recognized University
& 3 years’ graduation courses in Physiotherapy, `750/-
Hotel Management, Fashion Technology & Nursing
Course provided the student does not get stipend/
other monetary benefit other than by way of merit
award.
MCA (Master of Computer Application) and Post
Graduation in Mass Communication
Journalism are considered as Professional Courses.
In the case of MBBS 42 years course, the duration of
2nd MBBS course being 18 months, the scholarship
for the 2nd MBBS be granted for 20 months during
that financial year period restricting to maximum
of 45 months during the entire course.
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1.4 TERMS, CONDITIONS AND CLARIFICATIONS
a) Scholarship is payable only for actual duration of the Standard / Course in the
Financial Year subject to a maximum of 10 months.
b) In case of fresh admission to School / Institution anywhere in the middle of the
Financial year, Scholarship is payable only from the month of admission.
c) Where a scholar is certain / expected to complete the Course / Education in
less than 10 months in the Financial Year, Scholarship is payable only for actual
number of months so remaining.
d) If a scholar is expected to be promoted to a Standard /Course having higher
rate of Scholarship anywhere in the middle of the Financial Year, Scholarship
shall be paid at the rate applicable to each Standard / Course. In such cases,
employees shall apply for II instalment only after the scholar is promoted and
admitted to the Higher Standard/ Course.
e) In such of those courses including professional courses where Semester /
Trimester examinations are held without yearly examinations, the basis for
awarding Scholarship shall be the marks obtained in the immediately preceding
Semester / Trimester examination.
f) Eligible Scholarship for the Financial Year shall be paid in lumpsum or in parts,
as the case may be only on submission of certified copy of prescribed marks
card and / or proof of admission.
g) Vocational /part-time courses including CA, ICWA, ACS, Computer Programming
and Doctoral Degrees are excluded from the purview of the scheme.
h) Scholarship may be granted for correspondence courses leading to a recognized
Degree / Diploma/Certificate from a University, recognized by the UNIVERSITY
GRANTS COMMISSION, on obtention of minimum marks stipulated in the
Scheme PROVIDED THE SCHOLAR IS NOT GAINFULLY EMPLOYED.
i) Certificate / Diploma Courses of duration of less than one year are not eligible
for Scholarship.
j) Scholarship will be granted for full time courses in evening classes leading to
a recognized Degree/ Diploma/ Certificate, provided the scholar is not gainfully
employed.
k) A course of study to be considered for grant of Scholarship should be of
minimum one academic year’s duration and should have been recognized by
the Government.
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l) Scholarship will be extended only in respect of courses pursued in India.
In some Institutions, marks are awarded in terms of “Grades” and not “percentage”.
In such cases, conversion of Grades into percentage should be ascertained by
the employee from the institution and a certificate of the Institution to this effect
should be submitted.
m) Where both the parents are employees of our Bank, only one of them is eligible
to make an application for Scholarship on behalf of their children.
n) Disciplinary cases:
In the case of employees under suspension or against whom disciplinary action
has been initiated, Scholarship could be granted in respect of their eligible
Children. On conclusion of disciplinary proceedings, in case the penalty imposed
results in Cessation / Termination of services of the employee, the Scholarship
would cease to be payable from the date of award of such punishment. However,
Scholarship already paid, if any, would not be recovered.
o) Cessation of service:
In the event of cessation of service including retirement of an employee, the
Scholarship would continue till the end of the Financial year.
Note: Award of Scholarship or any other benefits under Staff Welfare Schemes
will not be considered, if the claim pertains to previous Financial Year/s.
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2.0 INCENTIVE FOR EXCELLENCE IN EDUCATION
2.1 OBJECTIVE
To motivate the children of employees to achieve excellence in education.
2.2 COVERAGE
wages, in respect of their children – who secure ranks in School / College/ Board/
University as under:
2.3 QUANTUM
Criteria Amount
i) For securing first 3 places in `4,000/-
SSLC or equivalent examination
with minimum of 80% marks,
in respective School where
children of employee studied or
a rank amongst first 20 in these
examinations
ii) For securing first 3 places in PUC `6,000/-
(12 th Std.) / Graduation/ Post
Graduation or equivalent/ higher
examination, combination-wise
in respective colleges where
children of employee studied.
‘Combination-wise’ shall mean,
for example, BE (Civil), B.E
(Mechanical), B.E (Chemical), etc.
2.4 SUBMISSION OF APPLICATION
Employees shall submit application along with the following documents:-
i) Certified copy of the marks card issued by the concerned Secondary /

Higher Secondary/ Pre-University Board or University.
ii) Certificate issued by the Head Master / Principal / Dean informing the
Rank secured by the student in the School / College / Board/ University,
as the case may be, on the basis of marks obtained.
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Note:
a) Separate set of applications shall be submitted in respect of each
child.
b) Ranks secured in the Intermediate Examinations like 1st year PUC /
1st year Degree class, 2nd year Degree Class etc., will not be considered
for grant of incentive.
c) Where both parents are employed in our Bank only one of them shall
submit the claim.
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3.0 FINANCIAL RELIEF TO EMPLOYEES TOWARDS EDUCATION/
REHABILITATION OF THEIR CHILDREN WHO ARE
PHYSICALLYHANDICAPPED / MENTALLY RETARDED
3.1 OBJECTIVE
Physically / mentally disabled children need special attention and care and often
it may be necessary to send such children to Special Rehabilitation Schools/
Institutions. The objective of the Scheme is to mitigate financial hardships
encountered by employees in educating / rehabilitating their disabled children,
by reimbursing school fees or expenses towards Rehabilitation in Rehabilitation
Centres / Hospitals, of such physically handicapped / mentally retarded children
or purchase of certain artificial Aid/Accessories for physically handicapped
children.
3.2 COVERAGE
Employees on the rolls of the Bank including those drawing graded scale wages,
who have Physically / mentally disabled children.
3.3 QUANTUM
Reimbursement of expenses with an overall ceiling of `6000/- p.a. per child

subject to the following sub limits:
School fees :
a) Upto SSLC - `4,000/- p.a.
b) Above SSLC - `6,000/- p.a.
c) Mentally retarded children in Rehabilitation Schools/ - `6,000/- p.a.
Centres/ Hospitals/ Domiciliary treatment etc.
d) Purchase of crutches and other accessories like - `6,000/- p.a.
wheel chair etc. for physically handicapped children
of employees
3.5 SUBMISSION OF APPLICATION :
Employees should submit their application along with the following documents
to the Sanctioning Authority duly forwarded by the Branch/Office where they
are working:
i) Attested copy of the Certificate issued by the Medical Officer/ Superintendent

of a Government Hospital indicating the nature and extent of physical /
mental disability.
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ii) Certificate from School Authority indicating the class of study and the
break-up details of school fees collected during the Financial Year. Attested
copies of the bills/ receipts may be submitted in lieu of the break-up details.
iii) Certificate from the competent authority of Rehabilitation School /Centre/

Hospital etc., indicating the nature of treatment and break-up details of
charges collected during the Financial Year. Attested copy of bills / receipts
may be submitted in lieu of break-up details.
iv) Certificate from a Regd. Medical Practitioner containing nature of

domiciliary treatment and period of such treatment.
NOTE:
a) Separate applications shall be submitted in respect of each child.
b) Employees are advised to claim school fees paid in the Financial

year in lumpsum in the month of March of the financial year.
c) It is clarified that a child is eligible for relief only if the physical

disability is 40% or above. In the case of mentally retarded children,
those with intelligent Quotient (IQ) of 49 and below are eligible for
relief.
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4.0 EDUCATIONAL GRANT TO CHILDREN OF EMPLOYEES
WHO DIE IN HARNESS
4.1 OBJECTIVE
Untimely demise of an employee may have a disastrous effect on education and

future of his / her children. The objective of this Scheme is to partially mitigate
the financial hardship and to encourage such children to pursue their education.
4.2 COVERAGE
Children of deceased employees who were on the rolls of the Bank at the time of
their death including children of such employees who were drawing graded scale
wages are covered under the Scheme. Educational grant will be given only for
2 children in a family. Only the cases of death which occurred on or after
01.01.1995 only are covered under this Scheme. This Scheme will not
cover cases where appointment is given to the spouse of the deceased
employee under compassionate grounds.
4.3 QUANTUM
Amount of educational grant in the financial year shall be as under:
Sl.No. Level of Education Amount
i) Upto SSLC (including LKG & UKG) ` 2,500/- p.a.
ii) P U C ` 3,000/- p.a.
iii) Graduation / Post Graduation ` 4,000/- p.a.
iv) Graduation / PG in specified

Professional Course as in Scholarship
Scheme ` 5,500/- p.a.
Application in the prescribed format (ANNEXURE-WF 07) along with a certificate

issued by the School / College authority indicating the class in which the child
is studying during the current academic year may be submitted in duplicate by
the spouse/ children of deceased employee through the Branch/Office where
the deceased employee last worked.
NOTE : Separate set of application is to be submitted in respect of each child.
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5.0 MEDICAL CHECK UP
5.1 OBJECTIVE
The chief objective of the Scheme is to enable the employees/ spouse of

employees to get themselves medically examined so as to know their state of
health and to take timely preventive measures, if found necessary.
5.2 COVERAGE AND PERIODICITY OF CHECK UP
wages, who are of more than 30 years of age and their spouses who are more
than 35 years of age are covered under the Scheme. The periodicity of checkup
for employees/spouse is as under:
i) Age above 30 years up to 35 years (Employees only) - Once in 3 years
ii) Age above 35 years (Employees & their spouse) - Once in a year
5.3 QUANTUM :
Actual expenditure incurred for total Medical check-up in respect of the items
stipulated below, subject to a ceiling of `1,750/- per employee per check up OR
the contract rate agreed with the clinic / hospital, whichever is less:
i) Cardiac Profile (including lipid profile)
ii) X-Ray - Chest
iii) ECG
iv) Ultra Sound Scanning
v) Blood for TC, DC, ESR, FBS, PPBS and Cholesterol
vi) Urine Analysis
vii) Tonometry (Eye Test)
viii) Physical examination by two doctors out of which one shall be a
Gynaecologist , for ladies
ix) Evaluation of investigations and results by a Senior Doctor
In the following 7 major ‘A’ class cities, the ceiling on cost of Medical Check up
as above would be `2,250/- per employee per check-up.
i) New Delhi
ii) Mumbai
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iii) Kolkata
iv) Chennai
v) Bangalore
vi) Hyderabad
vii) Ahmedabad
Note: An eligible employee his/her spouse can avail the facility only once
in a Financial Year.
5.5 EMPANELMENT OF HOSPITALS / CLINICS
In all those centers / places where 10 or more eligible employees can avail
medical check-up, concerned Zonal Offices shall empanel Hospitals / Clinics
at the best possible rates by obtaining competitive quotations from reputed
hospitals / clinics and negotiating the rates with them.
If all the tests / examinations stipulated in clause 5.3 above are not available at
any center /place, arrangements can be made with hospitals/ clinics to provide
only the available tests/examinations thereat with appropriate reduction in the
rate ceiling applicable at the concerned centre. The tests/ examinations so made
available, however, should be those which are included in the above stipulated
list.
After selecting a hospital / clinic for providing medical check-up, a letter of

empanelment containing the terms and conditions of the arrangement between
the Bank and the Hospital/Clinic, shall be issued to them; a copy thereof, duly
signed on behalf of the Hospital/ clinic for having accepted the terms and
conditions shall be obtained from them.
5.6 PROCEDURE FOR AVAILING MEDICAL CHECK-UP
i) At centers/ places where tie up arrangement with hospitals exists :
Employees working at Centres / Places where the Bank has made

arrangements with Hospitals / Clinics for medical check-up, shall submit
application in the HRMS. If the employee / spouse of employee is eligible
to avail the facility, he/she will be refered to the hospital / clinic through
a reference letter (in duplicate). Employees/spouse of employees shall
produce both copies of the reference letter to the concerned Hospital /
Clinic for availing the medical check-up.
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ii) The employees stationed at Centres / Places where the Bank does
not have tie-up arrangements with any Hospital / Clinic :
Eligible employees working at centers / places where the Bank has not
made arrangements with hospitals/ clinics, may avail medical check up at
any of the hospitals / clinics arranged for this purpose at other centres. For
this, employees have to submit the requisite application to the Personnel
Administration Division, Head Office / Zonal Office, as the case may be
which has empanelled the particular hospital/ clinic, where the employee
desires to get the Medical Check-up done. However, in such case ceiling
limit for medical check up is as applicable to the work place of employee
OR
Such employees/ spouse of employees may avail medical check-up at
any other hospital / clinic by taking prior permission from the Zonal Office
and request for reimbursement from the concerned Zonal Office along
with original bills / receipts containing break up of expenses incurred
on the tests / examinations along with a copy of the evaluation report
of the concerned hospital / clinic. Branch Managers/ Officer-in-charge,
shall forward the original application to the concerned Zonal Office, while
retaining the duplicate with them.
iii) Employees working at the centre near to any of the 7 metros where the Bank
does not have tie up arrangement with any hospital/ clinic may be permitted to
avail the facility at any of the hospitals / clinics empanelled for this purpose at
the most nearest Metro to his place of work. In such cases, the higher limit of
`1,500/- shall be applicable for employees working in branches around
these major “A” Class Cities provided all the following conditions are fulfille
a) In the centre where an employee is working the Bank does not have
an empanelled hospital to Medical Check up facility.
b) The nearest centre where an empanelled hospital is available,
happens to be one among the identified Major “A” Class City.
c) The medical checkup facility is availed by the employee after
obtaining permission from the Zonal Office.
d) Medical Check up facility may be availed by the employee / his /
her spouse at any of the empanelled hospital / clinic of his / her
choice in other places on the recommendations from the concerned
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Zonal Office / Head Office, purview of which he / she is working,
to the Zonal Office which had empanelled the said hospital / clinic.
However, if the ceiling limit at the place where the employee desire
to avail the medical check up facility is higher than ceiling limit at
the place of his / her work, the difference shall be borne by the
employee.
iv) PAYMENT TO EMPLOYEES
Applications received from employees (including those on behalf of their

spouse) who have been permitted to undergo medical check-up at any
other hospital/ clinic as per para 5.6(ii) above, shall be scrutinized at the
Zonal office with reference to bills / receipts / evaluation reports and if
found, in order, eligible amount shall be sanctioned to the employee with
instruction to the concerned Branch/ Office to release the amount.
On receipt of instruction from Zonal Office, the concerned Branch/Office

shall credit the amount to the SB A/c of the employee by debit to General
Charges A/C – Staff Welfare Expenses (Code No.816 of MSQ-01) at that
Branch/Office with the narration–“Amount sanctioned to Sri / Smt…………
E/M.No. …………. Under Staff Welfare Scheme – Medical Check up vide
Ref.No……….….. dated………………..
5.7 SPECIAL CLINICAL TESTS
A. Mammography Test and / or Pap Smear Test for Lady Employees

and spouse of male employees
All eligible lady employees on the rolls of the Bank including those
drawing graded scale wages and spouse of male employees are eligible
for reimbursement of actual expenditure incurred for Mammography test
and / or Pap Smear Test subject to a maximum of `2,000/- (for both tests
together) per employee / spouse of male employees OR the contract rate
agreed with the hospital / clinic, whichever is less (age above 35 years).
Mammography test and / or Pap Smear Test can be undertaken only on

the advice of a qualified Doctor. While claiming reimbursement, employees
shall submit bills / receipts along with the certified copy of the reference
made by the Doctor. Reimbursement for Mammography Test and / or
Pap Smear Test will be allowed once in 3 years (age above 35 years).
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B. Stress Test for employees and spouse of employees
All eligible employees on the rolls of the Bank including those drawing
graded scale wages and their spouses are eligible for reimbursement
of actual expenditure incurred for Stress Test subject to maximum of
`500/- per employee/ spouse of employee or contract rate agreed with
the hospital/ clinic whichever is less.
Stress Test can be undertaken only on the advice of a qualified Doctor.

While claiming reimbursement, employees shall submit bills / receipts along
with the certified copy of the advice given by the Doctor. Reimbursement
for Stress Test will be allowed only once in 3 years.
5.8 CLARIFICATION
i) For undergoing Medical Check up, employees are not eligible for any
special leave / traveling allowance; employee will have to avail appropriate
category of leave, if necessary.
ii) Employees are advised in their own interest to avail total medical check
up covering all the tests/ examinations mentioned under para 5.3 herein
above.
iii) Expenses incurred in excess of the ceiling prescribed under the Scheme, if
any, shall be borne by the concerned employee / spouse of employee and
paid by him/ her to the hospital / clinic immediately after undergoing medical
check-up.
iv) Charges incurred in excess of the ceilings prescribed above shall not be
reimbursed / ratified under any circumstances.
If employees / spouse of employee could not avail / undergo some of the tests/
examinations stipulated in this Scheme due to their non-availability at any center/
place, difference, if any, between the applicable ceiling and actual expenditure
shall not be paid to them.
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6.0 REIMBURSEMENT OF EXPENSES INCURRED IN CONNECTION
WITH PRE- NATAL MEDICAL CHECK UP OF LADY EMPLOYEES/
SPOUSE OF MALE EMPLOYEES
6.1 OBJECTIVE
To facilitate pre-natal medical care of lady employees / spouse of male employees
of the Bank.
6.2 COVERAGE
wages.
6.3 QUANTUM
Ceiling for reimbursement of expenses on pre-natal medical check up is
`1,000/- per pregnancy upto a maximum of two children of the employee.
NOTE:
i) Claims will be admissible only in respect of consultation and clinical/
laboratory tests / investigations and NOT for medicines.
ii) Expenses admissible under Hospitalisation Scheme are NOT covered
under this Scheme.
iii) Expenses incurred only upto the date of delivery are admissible under
the Scheme.
iv) Expenses shall be claimed in a lumpsum by submitting the original
bills / receipts duly attested by the physician who is being consulted/
physician’s prescription.
Eligible employees may submit the application alongwith the following
documents:-
i) Statement of expenses incurred and reimbursement claimed.
ii) Relevant bills and Stamped Receipts of hospital / laboratory containing the
break-up particulars of the expenses incurred on tests/ investigations.
iii) Physician’s bill/ receipt indicating the charges for consultation, etc.
iv) A certificate issued by the physician containing the particulars of tests
conducted, pre- natal period, date of delivery, etc.
Branch Manager/ Officer-in-charge shall forward the application to the concerned
Zonal Office, duly retaining a copy thereof at the concerned Branch/Office.
Employees working at Head Office shall submit applications to the Staff Welfare
Section, Personnel Administration Division, Head Office, Mangalore, through
the concerned Senior Manager / Manager of the Department / Division.
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7.0 DEATH RELIEF
7.1 OBJECTIVE
The untimely demise of an employee, particularly when he / she is the bread
winner for the family, results in distress, uncertainty and insecurity for his/her
family. The Scheme is intended to provide immediate financial relief to the family
in the unfortunate event of death of an employee.
7.2 COVERAGE
i) All employees on the rolls of the Bank including those drawing graded
scale wages.
ii) All the Part time Sweepers on consolidated wages are covered for the
benefit under the scheme for a sum of `25,000/- w.e.f. 01-04-2006.
7.3 QUANTUM
A sum of `1.00 lakh will be released to the SPF nominee/s of the deceased employee.
Out of the above, a maximum sum of `10,000/- may be released in advance to
the SPF nominee on death of an employee to meet the immediate expenses. This
amount should be adjusted at the time of final settlement of the claim of death relief.
(In respect of PTS on consolidated wages death relief benefit advance sum of
`10,000/- be released to the nominee/s immediately to meet the immediate
expenses). Nomination form in the prescribed format is to be obtained at the
time of appointment of the PTS on consolidated wages and is to be forwarded
to Staff Welfare Section, H.O. Mangalore.
7.4 SANCTIONING AUTHORITY
Senior Manager / Manager, Staff Welfare Section, Personnel Administration
Division, Head Office, shall be the Sanctioning Authority for this Scheme.
7.5 PROCEDURE FOR PAYMENT
Immediately on receipt of information about the death of an employee, the Branch
Manager / Officer-in-charge shall communicate the same to the Staff Welfare
Section, Personnel Administration Division, Head Office along with details of all
outstanding liabilities including Housing Loan/s of the deceased employee and
seek instructions in the matter.
In accordance with the instructions of the Head Office, the Branch/ Office shall
release the amount of relief to the SPF nominee/s nominee in respect of PTS on
consolidated wages as the case may be, by debiting the General Charges A/c-
Staff Welfare Expenses at the branch/ office. The amount should be released
after obtaining:
i) An application (in duplicate) from the nominee/s in the prescribed format
ii) A stamped receipt as per the prescribed format from the nominee
iii) Death certificate issued by Registrar of Births & Deaths.
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8.0 SUBSIDISED CANTEEN FACILITY
8.1 OBJECTIVE
To subsidise expenditure incurred by employees towards food and beverages

while on duty.
8.2 COVERAGE
wages.
8.3 QUANTUM
Actual expenditure incurred on food and beverages, subject to a ceiling of

`250/- per employee per month.
Part time employees on consolidated wages are covered under this Scheme
as a very special case, subject to a ceiling of `75/- per employee per month.
8.4 PAYMENT
Payment will be made to the employee on production of bills / receipts duly

countersigned by him / her, on a monthly basis. OR to caterer/s on a monthly basis (by
Pay Order) on submission of bills / receipts in the name of individual employees that
are duly countersigned by the respective employees. Consolidated bills submitted by
caterer/s may also be accepted provided expenditure incurred by individual employees
is mentioned therein with names and countersigned by the employees concerned.
The bills / receipts submitted by employees/ caterer/s should be securely attached
to the concerned debit vouchers.
8.5 CLARIFICATION
i) An employee who is on leave during the entire month, will not be eligible
for reimbursement of Canteen Subsidy for that particular month.
ii) Amount pertaining to a month lapses, if the same is not claimed before
the end of the succeeding month to which it relates. In case the employee
is on leave, the amount may be claimed in the month in which he / she
resumes duty.
353
iii) Employees who are on deputation, training, inspection duty, etc. may
claim the amount from respective branch / office / STC where they are
working / performing inspection duty / attending training programme, on
the last working day of the month. Branch Manager / Officers-in-charge
of the branches / offices/ Faculty-in-charge of the STC are authorized to
make payment to such employees.
iv) In case an employee could not claim the amount as per item No.(iii) above,
he/ she may claim the same from the branch / office where they are actually
posted on giving a declaration (on the reverse of the Cash Debit voucher)
that he had not claimed the amount for that month from the Branch/Office/
STC where he/she was deputed.
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9.0 HOLIDAY HOME
9.1 OBJECTIVE
Holiday Homes have been provided at select tourist centers for enabling
employees to relax, take rest and recuperate while they are on LFC/leave.
9.2 ELIGIBILITY
wages and their dependent family members who are eligible for availing LFC/
LTC from the Bank.
9.3 LOCATION
At present our Bank has Holiday Homes at Goa, Mumbai, New Delhi, Shimla,
Bangalore, Hyderabad, Kochi, Kolkata, Chennai & Mysore. The address of the
existing Holiday Homes are furnished below:
BANGALORE
Sovereign The Heritage Hotel
No.19 & 20, 3rd Main, Gandhinagar
Bangalore-560 009
CHENNAI
Udupi Home
Udupi Junction, 34 PCO Road,
Egmore, Chennai - 600 008
DELHI
Hotel Citi International DLX,
8/22, WEA, Karolbagh,
Near Metro Pillar No. 88,
New Delhi
GOA
Angels Resorts
Chogm Road, Alto de Porvorim,
Bardez, Goa – 403 501
HYDERABAD
M/s. Hotel Ashoka (Best Western Ashoka),
6-1-70,Lakdi-ka-pul,
Hyderabad
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KOCHI
Hotel Presidency,
Ernakulam Town
Kochi - 682 018
KOLKATA
Hotel Panasia Continental,
41/1F, Sarat Bose Road,
Kolkata - 700 020
MUMBAI
Bank’s Guest House,
Flat No. 303 & 304, Nestle-1-
Condominium, Nestle Building
No. 1, Pandurang Budhkar Marg,
Next to Bombay Dyeing Mill,
Near Deepak Talkies, Worli,
Mumbai – 400 013
MYSURU
Ginger, “Roots Corporation Limited”
Nazarabad Mohalla, Near Nazarabad
Police Station, Vasanth Mahal Road,
Mysuru - 570 010.
SHIMLA
Hotel Gulmarg Regency,
Near The Mall,
Shimla
TIRUPATI
Kalyan Residency
177, T.P. Area,
Tirupathi-517 501
Ordinarily employees may utilize the facilities under LFC/Leave for a maximum
of 8 days in a financial year, with a restriction to a maximum of 4 days at a
stretch/per occasion.
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9.4 TARIFF
Employees applying for allotment of room/s in Holiday Home should remit tariff
at the rate of `50/- per head per day through demand draft drawn in favour of
Corporation Bank A/C Holiday Home, payable at the respective location.
Note: Children below the age of 12 years are exempted from payment of tariff.
9.5 INSTRUCTIONS TO EMPLOYEES ON LFC
Booking :
The holiday homes are controlled / managed by the Zonal Offices situated at the
respective places. Application in HRMS should be sent to concerned Zonal Offices,
through the concerned Branch Manager / Officer-in-charge at least one month in
advance along with applicable tariff as above. No booking shall be made more than
3 months in advance. Notice period of one month stipulated above may be
relaxed by the Zonal Office subject to availability of rooms in Holiday Home.
In respect of Holiday Homes where payments in the Hotel Management are
made on actual utilization of the rooms basis (at present at Mumbai, Kochi,
Kolkata, Mysore, Chennai), the facility may be availed by the employees for a
maximum period of 5 days in a financial year. In respect of the Holiday Home
at Shimla, an employee can avail a maximum of 3 days at a time.
9.6 CANCELLATION OF BOOKING
Full refund of the Booking amount will be made to the employee if the booking
is cancelled before 3 days prior to the date of proposed occupation. No refund
will be made if cancellation of booking is made within 3 days from the original
date of occupation. Date of receipt of intimation at the ZO/ Branch administering
the Holiday Home will be reckoned for the purpose of determining the number
of days.
9.7 ALLOTMENT
Allotment of room in Holiday Home will be made by the Liaison Officer of the
concerned Zonal Office on the basis of first come first serve basis. Normally, only
one room will be allotted to an employee and his family. However, if the family of
the employee is big and can not be accommodated in a single room, a maximum of
2 rooms may be allotted subject to availability. A waiting list should be maintained
for all pending applications.
Note: In no case, Persons other than those permitted to accompany the
employee on LFC / LTC shall be admitted in the Holiday Home. Holiday Home
facility shall not be available to employees who are on official duty.
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9.8 ALLOTMENT LETTER
The Zonal Office would issue allotment letter to the employee concerned in which
the details such as Room No. and the period of allotment will be specifically
stated. The employee concerned will carry with him / her the allotment letter
and produce it at the Hotel / Holiday Home. Thereafter, the employee would be
allowed to occupy the room allotted to him/her for the period stated therein. A
copy of the allotment letter would be issued to the Hotel/ in-charge of Holiday
Home well in advance for information. The employee may also be required to
produce his/her Identity Card issued to him/her by the bank, for identification,
on demand.
9.9 OTHER CONDITIONS
i) Employees should submit a certified copy of LFC / LTC sanction letter
along with the application OR they should submit the same as and when
the sanction is received by them from the Competent Authority, before
checking in at the Holiday Home.
ii) Employees can avail this facility only on receipt of the firm allotment order.
iii) Employees have to produce the allotment order to the caretaker / in-charge
of the Holiday Home.
iv) In case of non-availability of accommodation, Zonal Office would inform
this to the concerned applicant immediately.
v) Accommodation facility only shall be provided by the Bank, subject to the
tariff payable by the employee as mentioned. All other expenses incurred
by the employee should be reimbursed to the concerned hotel / Holiday
Home before checking-out from there.
9.10 EMPLOYEES VISITING THE PLACE ON SANCTIONED LEAVE
a) No confirmed advance booking of rooms shall be made to this category
of employees.
b) Employees desirous of availing the Holiday Home facility may contact the
Zonal Office concerned along with a copy of leave sanction order.
c) The rooms may be allotted subject to availability and only when there is
no request from employees on LFC/ LTC.
9.11 DISCIPLINE AND DECORUM
Employees are expected to abide by the rules and regulations of the Hotel/
Resort and avoid inconvenience to other occupants / tourists. They shall be
held personally responsible for any loss / damage caused by them to the
property / belongings of the Holiday Home.
Employees availing this facility are required to maintain discipline and decorum
and behave properly whilst they are in the Holiday Home and are requested to
co-operate with the concerned Zonal Office. Any employee found guilty of
misutilising the facility in any manner will be debarred from using the facility
with immediate effect. Besides suitable action, may also be taken against
such an employee.
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10.0 ENCOURAGEMENT TO EMPLOYEES TO ACHIEVE EXCELLENCE
IN THE FIELDS OF SPORTS, ARTS AND CULTURE
10.1 OBJECTIVE
The objective of this Scheme is to identify the talents of employees in the fields
of sports, arts and culture and to encourage them to achieve excellence in these
fields.
10.2 COVERAGE
All employees on the rolls of the bank including those drawing graded scale
wages are covered under the Scheme.
10.3 SCOPE
The Scheme covers the performance in the current financial year in the following
areas:
i) Sports
Football, Hockey, Volleyball, Basketball, Cricket, Athletics, Table Tennis,

Shuttle Badminton, Power-lifting, Body Building, Weight-lifting, Aquatics,
Kabaddi, Kho-Kho, Chess, Wrestling, Carrom.
ii) Art & Culture
Fine Arts : Dance – Indian Classical, Western Classical and Folk

Music : (Vocal / Instrumental) Indian Classical, Western Classical,
Light Classical and Folk
Theatre : Classical, Modern and Folk
Literature : Poetry and Prose
10.4 ELIGIBILITY
The employee should possess :
a) A Degree / Certificate for having undergone training / coaching from a

recognized University or an institute recognized by the State / Central
Government / Academies constituted for the promotion of Sports / Arts /
Culture.
AND / OR
b) A certificate of Excellence awarded by any of the aforesaid institutions
during the current financial year.
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10.5 QUANTUM OF GRANT
A lumpsum one time grant would be awarded having regard to the level of
participation, achievement and recognition:
For achieving excellence at International level : ` 10000/-
For achieving excellence at National level : ` 7000/-
For achieving excellence at State Level : ` 5000/-
Note: Employees who have been awarded cash grant under this Scheme in any
of the previous years, are not eligible for the award during the current financial
year. If, however, the level of achievement / recognition is at a higher level, then
the differential amount between the two levels could be granted.
10.6 PROVISION FOR GRANT OF AIR FARE
In addition to the provisions of Cash Grant detailed under para 12.5 above,
employees who are selected to represent India after undergoing a due selection
process for the same and thereafter participate in International Meets/Events
in any of the Sports/Games mentioned under para 12.3 hereinabove, will be
reimbursed actual to and fro air fare between India and a place in a foreign
country where the event is held, subject to a maximum of `25,000/-, in the
financial year OR the difference between the actual to and fro air fare and the
air fare being reimbursed by the sponsoring agency, whichever is less.
Employees are required to apply for sanction of such air fare before proceeding
to international events. Sanction will be made by the Staff Welfare Committee
solely at its discretion based on the merits of the case.
10.7 SELECTION OF CANDIDATES
i) The employees should submit application as per the format furnished along
with certified true copies of the certificates mentioned under para 12.4 above.
ii) Applications would be placed before the Staff Welfare Committee for
consideration. If sanctioned, a sanction letter in the format furnished would
be sent to the employee/s under a copy to the concerned branch/office.
10.8 SUBMISSION OF THE REPORT ON PARTICIPATION BY THE EMPLOYEE
CONCERNED
i) The employee who had been sanctioned air fare for participating in
international events / meets as mentioned in Para 12.6 above, are required
to submit a detailed report on their return from the event/ meet, duly
enclosing copies of the certificate of participation and the standing secured.
They are also required to submit the original air ticket. In case, however,
the original Air ticket is to be submitted to the sponsoring authorities, a
copy of the air Ticket is to be submitted.
ii) The report and other copies as mentioned above should be submitted
within 7 days from the date of return.
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11.0 SCHEME FOR HONOURING EX-SERVICEMEN EMPLOYEES ON
THEIR COMPLETING 10 YEARS OF UNBLEMISHED SERVICE IN THE
BANK AND OVERALL 25 YEARS SERVICE INCLUDING THE PAST
MILITARY SERVICE
11.1 OBJECTIVE
To honour ex-servicemen employee of our Bank who have put in a minimum
of 10 years of unblemished service in the Bank and a total of 25 years service
including the past service in the Armed forces.
11.2 COVERAGE
Ex-servicemen employees (both Officers & Award Staff) of our Bank who have
completed a minimum of 10 years of unblemished service in our bank and
have put in not less than 25 years of overall service (together in our Bank & in
Armed forces) will be covered under the Scheme. However, such of those Ex-
servicemen employees who are in a position to complete 25 years of service
in the Bank before attaining the age of superannuation shall be excluded from
the purview of the Captioned Scheme. Further, under the above Scheme, only
such of those Ex-servicemen employees who have been recruited under “Ex-
servicemen” Category will be covered. In other words, employees who are not
recruited under”“Ex-servicemen” category though have served in the Armed
Forces prior to joining the Bank are not eligible to be covered under the Scheme.
The term “unblemished service” would mean that `No punishment other than
censure/ warning has been imposed upon him during the immediate preceding
3 years or the rigour of penalty was in operation, whichever is longer. The award
could be released after the debarment period is over.
Also, the leave record of the ex-servicemen employee should be non-assailable.
In other words, all leave availed by the employee should have been duly
sanctioned.
11.3 AWARD
The award will be in the form of an article like wrist watch, silver salver or
any other article of ex-servicemen employee’s choice, costing an amount not
exceeding `5,000/- (Rupees Five thousand only).
Eligible ex-servicemen employees may submit their application indicating number

of years of service put in by them in our Bank and in Armed forces respectively.
361
11.6 PRESENTATION OF THE AWARD
1. After obtaining sanction intimation the award may be presented by the

Branch Manager in the case of ex-servicemen employees working in
branches; Zonal Head may present the award to ex-servicemen employees
working in their respective office. Eligible ex-servicemen employees
working in Head Office and other Offices may be presented with the award
by the Heads of Department / Office concerned.
2. The award may be presented by arranging a simple function at the Branch/

Office/ Department concerned attended by all the employees working in
the Branch / Office/ Department, as the case may be.
It may, however, be noted that in the case of branches, the presentation

of the award may be made during their monthly staff meeting.
3. Light refreshments may be served during the function and for this
purpose an expenditure not exceeding `20/- per employee in the case
of metropolitan centers, `15/- per employee in the case of centers other
than rural and `10/- per employee in the cases of rural centers may be
incurred. The details of expenditure incurred for the purchase of article
presented to the ex-servicemen employee and on refreshments along with
the photocopy of the relative bills, should be furnished to the respective
Zonal Office for information and approval.
4. Cost of article presented (maximum upto `5000/-) and the expenses

incurred towards refreshment shall be debited to Staff Welfare Expenses
A/c under “General Charges”, maintained at the Branch/ Office (Code
No.816 of MSQ 01) with the narration “Amount incurred towards the cost
of memento and refreshments served in connection with felicitations to
honour Sri……………....……. E/M.No………….. |ex-serviceman employee
of our Bank on completing his 10 years of unblemished service in our Bank
as per sanction vide PAD/SWS/ /200 -200 dated……………..”
5. The bills for purchase of article and expenses incurred towards refreshment
along with sanction letter shall be filed in the Staff Welfare file and made
available for inspection. The ratification letter received from the Zonal
Office shall also be filed and made available for inspection.
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12.0 REIMBURSEMENT OF MEDICAL EXPENSES TO EMPLOYEES
RETIRED ON SUPERANNUATION
12.1 OBJECTIVE
To reimburse the Medical expenses to employees retired on superannuation.
12.2 COVERAGE
All ‘retired employees’ who were on the rolls of the Bank (including those who
were drawing graded scale wages) and their spouse.
Note:
i) The term ‘retired employee’ for the above purpose means only those
who retired on superannuation.
ii) If spouse is gainfully employed, he / she is not eligible to claim
reimbursement under the Scheme
12.3 QUANTUM
Reimbursement upto `3,500/- p.a. towards Medical Expenses for self and
spouse, if eligible, would be considered for sanction on submission of a
declaration to the effect that he/she has incurred the Medical Expenses to the
extent claimed.
The Senior Manager / Manager, Staff Welfare Section, Personnel Administration
Division, Head Office, Mangalore, shall be authority to sanction claims under
this Scheme.
12.5 SUBMISSION OF CLAIMS
The claims in respect of reimbursement of Medical Expenses shall be made by
submitting a declaration as per proforma ANNEXURE-WF25A to the effect that
he/she has incurred the Medical Expenses to the extent claimed.
12.6 PAYMENT
Applications will be processed with due verification of the certificate and bills/
receipts and declaration (in respect of Medical Expenses). If found eligible, the
concerned branch would be advised regarding sanctioned amount to be credited
to the pension / SB A/c of the retired employee by debiting General Charges
A/c. – Staff Welfare Expenses “Reimbursement of Hospitalisation / Medical
Expenses to employees retired on Superannuation” maintained at Financial
Management Division, Head Office, Mangalore (Code No.9900).
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13.0 FINANCIAL RELIEF TO THE SURVIVING SPOUSE OF PRE-1986
RETIREES
13.1 OBJECTIVE
Employees who retired from the service of our Bank prior to 01.01.1986 are
not covered under the pension scheme introduced in the Bank. To mitigate the
financial hardship of such retired employees, IBA introduced a scheme for grant
of Ex-gratia on monthly basis. However, such Ex-gratia payments are restricted
to the retired employees during their life time and on their death such Ex-gratia
payments are not payable to their surviving spouse. The Staff Welfare Committee
has decided to formulate a scheme to provide financial relief to such surviving
spouse of deceased pre-1986 retirees.
13.2 COVERAGE
Surviving spouse of those retired employees who retired on attaining the age
of superannuation before 01.01.1986 and have since deceased.
13.3 QUANTUM
Financial Relief : `2,000/- p.m.
Senior Manager / Manager, Staff Welfare Section, H.O.
The Branch through which concerned pre 1986 retired employee was drawing the
Ex-gratia payments may properly identify the spouse of such deceased pre-1986
retirees. On proper identification, eligible spouse of pre-1986 retired employee
may submit the application (ANNEXURE-WF27) to Personnel Administration
Division, H.O. Mangalore through such branch in the prescribed format.
13.6 PAYMENTS
Applications received at Staff Welfare Section, H.O. will be processed and if found
eligible, the concerned branch would be advised regarding the sanctioning of
the amount to be credited to SB Account of the applicant at the branch by debit
to General Charges account, Staff Welfare Expenses maintained at Financial
& Risk Management Division, H.O. Mangalore (code No.900) on monthly basis
on first working day of the month pertaining to which said financial relief is being
released. The financial relief will be released by the Branch every month, as
said above, and same will cease to be released from month subsequent to the
month in which the applicant dies.
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14.0 GROUP TERM INSURANCE SCHEME FOR ALL EMPLOYEES OF
OUR BANK, RETIRED EMPLOYEES AND DIRECTORS ON
THE BANK’S BOARD
14.1 The effective date of the master policy is 1st April, 2005.
14.2 ELIGIBILITY
a) Employees who have completed one year service as on 1st April.
b) All permanent employees of the Bank who are aged not less than
18 years and are not more than 60 years.
c) All the Directors on the Bank’s Board who are aged not less than 18 years
and are not more than 65 years.
d) Employees retired on superannuation upto the age of 70 years (entry age
at 69 years).
14.3 The entry date for the subject policy will be
(a) in relation to original members will be effective date (i.e. 1st April, 2005)
and
(b) in relation to new members admitted to the Scheme after 01.11.2009 on
their completing one year service as on 1st April which he / she becomes
eligible
14.4 The terminal date for the aforesaid scheme will be
(a) in respect of employees, the date which is coincident with the date on
which the employee completes the age of 60 years and
(b) in respect of Director/s of the Bank, the date on which the Director
completes the age of 65 years.
14.5 The term ‘service’ for the purpose of aforesaid policy will be the period of
continuous service in the Bank, reckoned from the date on which he was admitted
to the scheme to the terminal date. For this purpose authorized leave availed
by the employee shall be included.
14.6 The term ‘Beneficiary’, for the purpose of subject policy shall mean the person
or persons appointed by the employee as beneficiary or as beneficiaries under
the Provident Fund Scheme of the Bank and whose name/s have been entered
in the register of the employees kept for this purpose by the Bank. However, in
the event of the Provident Fund Nominee/ s not being alive or the nomination
in the PF application is not being effected, the benefits under the policy shall
be paid to the legal heirs of the employee / Director.
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14.7 The benefit assured under the Scheme in respect of Employee/ Director
(member) are strictly personal and cannot be assigned, charged or alienated
in any way whatsoever by the Employee / Director.
14.8 In any case where the Life Insurance Corporation of India is liable to account
to the Revenue Authorities for Income Tax or any other Taxes or duties or any
payments made under subject policy, the LIC of India will deduct such sums
from the respective payments.
14.9 Subject to the provisions of the general conditions, the assurance effected under
the policy shall continue in force for a period of one year from the effective date
and shall be renewable yearly at the option of the Bank on each annual renewal
date.
14.10 AMOUNT OF SUM ASSURED
An assurance shall be effected on the life of each of the members under one
year renewable Term Insurance Policy for a sum Assured equal to Rupees 3.00
Lakhs.
14.11 The sum assured under the assurance shall become payable only in the event
of death of the member whilst in service prior to the Terminal Date, provided
the assurance is in force at that time. The sum assured shall be payable to
the grantees for the benefit of the beneficiary of the member.
14.12 The assurance on the life of the members shall terminate on the happening
of any of the following events:
a) Discontinuance of payment of premium or
b) The member reaching the Terminal Date or
c) The member ceasing to be in the service of the Bank/Bank’s Board
14.13 The Term Insurance carries no surrender or paid up value.
14.14 PROCEDURE
Procedure to be followed for preferring claim under the Scheme in the unfortunate
event of an employee / Director dying in harness:
a) Immediately on receipt of the information regarding the death of an
Employee/ Director on the Bank’s Board, an application in the prescribed
format duly filled in all respects, along with an attested photo copy of the
death certificate, should be forwarded to PAD (Staff Welfare Section),
under a copy to the concerned Zonal Office.
b) The claim so received will be submitted to Life Insurance Corporation of
India by this Division. The full benefit of the claim will be passed on to the
beneficiary, on settlement of the claim by the LIC of India.
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15.0 SCHEME FOR PHYSICALLY HANDICAPPED AND VISUALLY
IMPAIRED EMPLOYEES
15.1 OBJECTIVE
Reimbursement of Expenses incurred by
(a) Physically handicapped employees towards the cost of a wheel chair/
Artificial Limbs/ Calipers (Shoes)
(b) Visually impaired employees towards the cost of spectacles
(c) Hearing Impaired employees towards the cost of Hearing Aid
15.2 ELIGIBILITY
Benefit under the scheme will be available only to the employees recruited under
the category of disablement.
15.3 QUANTUM
a) Reimbursement of expenses incurred by the Physically handicapped
employees towards (i) the actual cost of a Wheel Chair / Artificial Limbs or
upto a maximum Ceiling of `5,000/- whichever is lower - Once in 5 years.
(ii) the cost of Calipers / Shoes not exceeding `2,500/- once in 2 years.
b) Reimbursement of actual cost of spectacles incurred by the visually
impaired employees with a maximum ceiling of `1,500/- whichever is
lower - Once in 3 years.
c) Reimbursement of expenses incurred by Hearing impaired employees
towards the actual cost of Hearing Aid or upto a maximum ceiling of
`6,000/- whichever is lower – once in three years.
For employees working at Branches/ Other Offices including Zonal
Offices :
Senior Manager/Manager in charge of Personnel Department at the concerned
Zonal Office.
For employees working at Head Office:
Senior Manager/Manager, Staff Welfare Section {PAD}, H.O. Mangalore.
Eligible employees should submit their application along with the bills/stamped
receipt for the purchase of Wheel Chair/ Artificial Limbs / spectacles / Hearing
Aid / Calipers / Shoes, as the case may be, from reputed suppliers {having
Central Sales Tax number) to the sanctioning authority duly forwarded by the
Branch/Official where they are working.
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16.0 SAVINGS LINKED INSURANCE SCHEME
16.1 Under the scheme a Master Policy obtained by the Bank from Life Insurance
Corporation of India (LICI).
16.2 The Scheme envisages insurance cover with Savings Linkage. Under the
scheme, in the event of the member of the scheme dying in harness, the sum
assured together with the accumulated savings and the interest (at present at
the rate of 8% p.a. compounded at yearly rests) thereon becomes payable by
the LICI to the nominee/s. In case of retirement/resignation etc. the risk cover
ceases from the date from which the member ceases to be in the services of
the Bank. However, the Savings portion is payable to the person concerned in
such cases.
16.3 PAYMENT OF THE PREMIUM
Under the scheme, while the monthly Savings Component is borne by the
employee, the risk premium portion is being borne by the Bank.
16.4 The Scheme has certain advantages such as low premium, absence of Medical
Checkup of the insured, tax benefit to the employee/Bank etc. Besides the
scheme serve as a Welfare Measure in the unfortunate event of an employee
dying in harness.
16.5 ELIGIBILITY
The employees who have joined the scheme at the time of the introduction of
the scheme and employees who have joined the Services of the Bank after
introduction of the scheme (i.e. 20-07-2002) are covered compulsorily under
the scheme and they can enter the scheme on the next Annual Renewal date.
16.6 With effect from 20th July, 2006, the risk premium (at the rate of `2.40 p.m. for
`10,000/- sum assured) payable by the Bank and the savings (at `7.60 p.m. for
`10,000/-) deducted from the salary of the members are as under:
Category Sum Assured Risk Savings Total `

(in `) Premium Premium
CMD, ED, Officers IV to VII 3,75,000/- ` 90/- ` 285/- ` 375/-
Officers in scale I to III 3,00,000/- ` 72/- ` 228/- ` 300/-
Clerical 2,25,000/- ` 54/- ` 171/- ` 225/-
Sub Staff 1,50,000/- ` 36/- ` 114/- ` 150/-
PTS on graded scale 75,000/- ` 18/- ` 57/- ` 75/-
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16.7 As per the rules of the Scheme, the employer shall recover the contribution
(Savings Portion) in respect of all the members from the salaries and remit
the same in full to the Corporation. The remittance should also include the
contribution relating to such of those members who are not in receipt of the
salary for a particular month due to any reason. In such cases, savings portion
of the premium is to be remitted by the branches by debiting the amount
applicable to the respective accounts of the employees and TOD if any shall
be dealt with and regularize in accordance with the existing guidelines.
16.8 In case of promotion, when the promotee moves into a higher classification, the
sum assured and savings portion will remain the same as for the previous grade
until the Annual Renewal date immediately following the date of promotion.
The same principle shall be applicable in the case of reversion as well.
16.9 SETTLEMENT OF CLAIM
The nominee under this scheme shall be the nominee to the Provident Fund.
On cession of membership, all the benefits payable under this scheme shall
be settled by the LICI through the Bank and paid to the member/nominee as
the case may be.
16.10 The Bank may discontinue the scheme at any time and subject to 3 months
previous notice being given to members and LICI, such discontinuance shall
be effective from the 1st of the month coincident with or following the expiry
of the notice period. In such case, the savings portion of the premium will be
paid to the members along with the interest thereon.
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17. REIMBURSEMENT OF COST OF SPECTACLES
17.1 ELIGIBILITY
Employees who complete the age of 40 years as on 1st April of Financial year
are eligible to avail the facility during that financial year.
17.2 LIMIT
Not exceeding `1,000/- (Rupees One thousand only)
17.3 PERIODICITY
Once in three years.
17.4 OTHER GUIDELINES
a) The expenses incurred on purpose of spectacles shall be reimbursed once

in three years on the production of relative bills/vouchers.
b) The period of three years shall be reckoned from the date of sanction.
c) Application along with the original bills issued by the dealer of spectacles
shall be scrutinized by the sanctioning authority and on approval, the
amount shall be credited to the SB/ECOD account of the employee by
debit to General Charges A/c – Staff Welfare Expenses at the concerned
branch/office.
d) The scheme is operationalised through HRMS.
e) In case of Sub-staff and PTS, the printout of the application submitted

through HRMS should invariably be signed by the applicant.
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18. HOLIDAY HOME FACILITY TO EMPLOYEES RETIRED ON
SUPERANNUATION
18.1 Eligibility:
Holiday Home Facility is available to all the employees retired on superannuation

(including those who were drawing graded scale wages) who were on the rolls of
the Bank at the time of retirement and to their spouse and dependents. Facility
is available during the life time of the retired employee.
18.2 Facility in brief
● Bank’s existing Holiday Home Facility has been extended to all the employees
retired on superannuation for a maximum period of 6 days, subject to a ceiling of
3 days per holiday home and for a maximum of 2 Holiday Homes in a financial
year.
● Facility is available at places other than where retired employee concerned
ordinarily resides.
● Facility is not made available in the months of April, May, October and November.
● An amount of `50/- per head per day will be recovered as tariff
18.3 Administration
● Holiday Homes are administered/managed by the Zonal Offices situated at the

respective places
18.4 Booking
● The retired employee concerned should approach the pension drawing branch
or nearest branch of the Bank of his place if he/she is not a pension optee
with his/her Identity Card issued by the Bank, for identification and submit the
application in the prescribed format along with tariff at the rate of `50/- per head
per day.
● The official concerned having admin rights at the Branch will enter the application
in the HRMS and forward the same to Zonal Office concerned.
● The application should be submitted at least one month in advance. Notice period
of one month stipulated above may be relaxed by the Zonal Office subject to
availability of rooms in the Holiday Home.
● No booking shall be made more than 3 months in advance
● In case of non-availability of accommodation, Zonal Office would inform to the
concerned applicant immediately.
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18.5 Allotment
● Allotment of room in Holiday Home will be made by the concerned Zonal Office
on the basis of first come first serve basis. A waiting list should be maintained
for all pending applications.
● Only one room will be allotted to a retired employee.
● The Zonal Office concerned would issue allotment letter to the retired employee
under copy to the Hotel/in-charge of the Holiday Home well in advance for
information.
18.6 Check in and Check Out:
● The retired employee concerned will produce the identity card issued by
the Bank at the Hotel/Holiday Home along with allotment letter issued by the
zonal office concerned. carry with him/her the allotment letter and produce it at
the Hotel/Holiday Home.
● Upon completion of registration formalities at the hotel/holiday home, the retired

employee would be allowed to occupy the room allotted for the period for which
the sanction is accorded.
● Expenses under the arrangement includes room rental only. All other expenses
incurred by the retired employee should be reimbursed to the concerned Hotel/
Holiday Home before checking-out.
18.7 Cancellation of Booking:
● In case the retired employee prefers to cancel the booking, he/she may do so,
by way of application for cancellation to the zonal office concerned through the
branch where the application for booking is submitted.
● Full refund of the Booking amount will be made to the retired employee if the
booking is cancelled before 3 days prior to the date of proposed occupation.
No refund will be made if cancellation of booking is made within 3 days from
the original date of proposed occupation.
*****
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CHAPTER - VII
SOCIAL SECURITY SCHEMES
CORPORATION BANK EMPLOYEES’GRATUITY FUND REGULATIONS
1. For the proper administration of the Trust creating a Gratuity Fund for the
benefit of the employees of the Corporation Bank known as “Corporation Bank
Employees Gratuity Fund”, the following rules are framed which shall come into
force with effect from 1st December, 1962.
Short title and definitions
2. The Fund shall be called “CORPORATION BANK EMPLOYEES GRATUITY

FUND”.
In these Regulations, unless there is anything repugnant to the subject or context,

“THE BANK” means Corporation Bank.
“THE FUND” means Corporation Bank Employees Gratuity Fund.
“THE TRUSTEE” means and includes the present Trustees or the survivor or
survivors among them or the Trustee or Trustees for the time being of the Fund.
“THE EMPLOYEES””mean the permanent employees of the Bank and any
Director of the Bank if such Director is a whole-time bona fide employee of the
Bank.
Constitution of Fund
3. The Fund shall consist of all contributions made by the Bank from time to time
either in cash or kind and all securities purchased therewith or investmentsmade
therefrom and of interest accrued or received thereon and all kinds of
accumulations thereof.
4. To achieve the objects of the Fund, the Trustees may accept any contribution
either in cash or in kind which the Bank may determine to contribute from time
to time but, such contribution together with any amounts in hand shall in no
case be less than the amount of gratuity payable by the Bank under its rules
and regulations to the employees during the year or any particular time. The
ordinary annual contribution by the Bank to the Fund shall not, however, exceed
10% of the salary of each employee during the year.
373
5. The Trustees shall be entitled, with the consent of the majority of the Trustees,
to borrow, if need be, against the assets of the Fund or otherwise by way of an
overdraft loan or otherwise as may be necessary for effectually carrying out the
objects of the Fund and they shall have for the said purpose, powers to pledge
the credit and assets of the Fund’s properties.
6. No moneys or assets belonging to the Fund shall be receivable by the Bank

under any circumstances nor shall the Bank have any lien or charge on the
Fund.
Constitution of Board of Trustees
7. (a) The Fund shall be vested in a Board of Trustees consisting of not less
than two and not more than five Trustees to be appointed by the Board of
Directors of the Bank from time to time from only among the Directors and/
or employees of the Bank. The determination of the number of Trustees
shall be at the sole discretion of the Board of Directors of the Bank, subject,
however, to the condition that the minimum shall not be less than two.
(b) A Trustee shall vacate his office as Trustee of the Fund when he ceases
to be a Director or an employee of the Bank, or when he ceases to reside
in India.
(c) The Trustees may retire at any time on giving seven days notice in writing
to the Bank and to the other Trustees of his desire to do so.
Secretary
8. The Trustees, may, from amongst themselves appoint a Secretary for the purpose
of carrying out the day-to-day administration of the Fund and he shall hold that
office at the pleasure of the Trustees.
Meeting of Trustees-quorum-delegation of powers
9. The Trustees may appoint and nominate any one amongst themselves as
Chairman for such time as they determine and such Chairman shall continue
as such until another Chairman is appointed in his place. He shall preside over
all meetings of the Trustees in case he is present at such meetings.
10. Each Trustee present at a meeting shall be entitled to one vote on any matter
and in case of equality of votes, the Chairman shall have a second or casting
vote. The decision of the majority of the Trustees at a meeting shall be final and
binding on all.
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11. The Trustees may meet together for the despatch of business, adjourn and
otherwise regulate their meetings as they think fit. Two Trustees shall form a
quorum for a meeting of the Trustees provided one of them is from amongst the
Directors of the Bank.
If, at any meeting, the Chairman is not present within thirty minutes of the time
appointed for the meeting, the Trustees present may choose one among them
to be Chairman for such meeting.
12 Notice of a meeting of the Trustees may be sent to the Trustees at their registered
address for the time being in the record of the Trust, either by delivering it in
person or sending it by pre-paid post and/or posting, it shall be deemed to have
reached him in the ordinary course of post.
13 All meetings of the Trustees shall be held at the Head Office of the Bank at
Mangalore or at such place as the Trustees for the time being may, from time
to time, decide.
14 The minutes of the meetings of Trustees shall be entered in a book to be kept
for the purpose and shall be signed by the Chairman of the meeting or in the
following meeting shall be read over and shall be so entered and signed and
as also other matters transacted at such meeting.
15 The Trustees may, from time to time, by resolution authorise any one or more
of them to sign and endorse for transfer or for conversion or for payment of
G.P.Notes, securities issued by the Government of India, State Governments
and all other securities held by the Trustees and to sign or endorse cheques,
drafts, interest warrants or receipts for interest and to hold all securities, etc.,
under safe custody.
Accounts and Registers

16. The accounts of the Fund shall be made up yearly as at 31st March and the
Trustees shall prepare a Balance Sheet showing the receipts and payments,
dealings and transactions during the year in such form as is considered
suitable by them. For the said purpose, the Trustees shall appoint an Auditor
or Auditors who shall have access to all books of accounts, registers, vouchers
and documents connected with trust.
17. The following registers shall be maintained by the Trustees:

a) A register for keeping minutes of all meetings of the Trustees.
b) A register for recording names of all Trustees from time to time with their
full address.
375
c) A register for recording names of all persons who receive gratuity out of
the Fund together with the amount paid to each of them.
d) Books of accounts as may be required for maintenance of accounts of the
Fund.
e) Register of investment.
f) Register of nominations.
18. The accounts of the Fund and the Registers shall be maintained at such office
of the Bank as the Trustees may, from time to time, decide.
Investment of Funds
19. The moneys contributed to the Fund or received or accruing by way of interest
or otherwise to the Fund shall, within fifteen days from the date of contribution,
receipt or accrual, as the case may be, either
a) be deposited
i) in the Post Office Savings Bank Account; OR
ii) in a special account to be opened for the purpose in the State Bank of
India or in a Scheduled Bank; OR
b) be invested in the securities mentioned or referred to in clauses (a) to (e) of
Section 20 of the Indian Trusts Act, 1882 (2 of 1882) payable both in respect
of capital and interest in India.
20. In pursuance of Regulation No. 19, all or any moneys of the Fund in the hands
of the Trustees of the Fund from time to time, shall preferably be deposited with
the Corporation Bank (being a Scheduled Bank), in a special account opened for
the said purpose and the Trustees may authorise any two amongst themselves
to operate upon the said account or accounts.
Eligibility for and quantum of gratuity payable
21. Every employee of the Bank shall be entitled to receive gratuity in the following
circumstances:-
a) Retirement an attaining superannuation.

b) Death
c) Disablement rendering him unfit for further service as certified by a Medical
Officer approved by the Bank.
d) Resignation/Voluntary Retirement after completing ten years of continuous
service or
376
e) Termination of service completion of 10 years of service.
f) Retrenchment
22. In cases coming under (a) to (e) of Regulation No. 21, Gratuity shall be payable
to the employee at the rate of one month’s pay for each completed year of service
and proportionately on prorata for the part of the year of service, not being less
than 6 months subject to a maximum of 15 months with effect from 01-11-1987.
In cases coming under sub-clause of (f) i.e, on retrenchment, the employee
shall be entitled to receive Gratuity at the rate of half month’s salary for every
completed year of service and proportionately on prorata for the part of the year
of service not being less than 6 months, subject to a minimum of two months’
salary.
Provided however, any cases coming under sub-clause (a) to (e) of Regulation
No. 21, Gratuity shall be payable to the whole time Director, irrespective of the
period of his service as a whole time Director, at the rate prescribed by the
Central Government in the order of appointment of such whole time Director.
23. In addition to the maximum Gratuity provided under the Regulation 22, an
amount at the rate of half-month’s pay for each completed year of service and
proportionately on pro-rata for the part of year of service; and being less than
6 months, shall be paid to an employee who has put in more than 30 years of
service.
Note: If the fraction of service beyond completed year of service is six months
or more, gratuity will be paid prorata for the period.
24. There will be no forfeiture of gratuity for dismissal on account of misconduct

except in cases where such misconduct causes financial loss to the Bank and
in that case to that extent only.
25. Length of service of an employee shall be calculated from the day of his initial
appointment, whether permanent or temporary, in the Bank till its cessation.
26. For the purpose of these Regulations, ‘pay’ will mean the average of the full
amount of basic pay and special allowances and officiating allowance, if any,
payable to an employee during the twelve months next preceding death,
disability, retirement, resignation or termination of service, as the case may be.
In the case of retrenchment, ‘Salary’ means, the Basic Pay and all other
allowances drawn during the month next preceding retrenchment.
377
27. Notwithstanding anything contained in Regulations Nos. 22, 23, 25 and 26, the
Board of Directors of the Bank may, at their entire discretion, in special cases,
sanction gratuity in excess of the prescribed limit in such manner and to such
extent as they deem fit.
28. Nothing in the Regulations shall be deemed to restrict in any way the right of the
Bank to terminate the services of an employee nor shall his being an employee
be used by the employee as a ground for increasing damages in any action
brought by such employee against the Bank in respect of the termination of
his employment and no expression or intention on the part of the Bank herein-
contained shall create any legal obligation or importance or any legal liability
on the Bank to the employee.
Income-tax payable on gratuity amounts

29. The Trustees shall be responsible for the deduction of tax from the Gratuity
payable under these Regulations and for crediting the tax so deducted to the
Government revenue.
Appointment of nominees and powers of the Trustees to deal with the amounts
of deceased members
30. Every employee of the Bank is at liberty to nominate in writing any person or
any number of persons in the prescribed form annexed to these Regulations,
to whom the amount payable shall be paid in the event of his death while in the
service of the Bank or before his claim on the Fund shall have been discharged
and may, from time to time, change such nomination in writing.
In the event of the death of the nominee prior to the death of the employee
and no other person having in the interval been nominated by the employee,
the amount payable to the employee shall be dealt with in accordance with
Regulation No.33.
31 On the death of an employee who shall have made a nomination in accordance

with Regulation No. 30, the full amount payable to him according to these
Regulations shall be paid to the nominee irrespective of the period for which
the employee may have served and such payment shall be a good discharge
to the Trustee against all claims whatsoever in respect of the said Fund by any
one whomsoever claiming through the said employee or otherwise.
32. If the nominee is a minor, the employee shall, at the time of the nomination state
the age of the nominee and shall also appoint in writing a person of full age to
whom the amount payable is to be paid on behalf of the minor nominee in the
378
event of the employee dying before the minor nominee attains the age of majority.
If any person so appointed predeceases the employee before the minor nominee
attains his majority, the employee shall forthwith similarly appoint another person
of full age to receive the amount on behalf of the minor nominee and, from time
to time, forthwith make a fresh appointment when this is necessitated by the
death of the person appointed to receive payment on behalf of the nominee.
The nomination made, as aforesaid, remains in full force and effect until the
nominee’s death or until his nomination or appointment has been revoked.
33. On the death of an employee not survived by a nominee, the full amount due
to the employee according to these Regulations shall be paid to his heirs,
executors or administrators or at the absolute discretion of the Trustees, the
amount or any part or parts thereof may be paid to the widow, child or children
or to the guardian or guardians or such widow or child or to any other person or
persons on their behalf without any representation to the estate of such deceased
employee or any succession certificate being obtained and in such proportion as
the Trustees may think fit and such payment shall be a good discharge to the
Trustees against all claims whatsoever in respect of the said Fund by anyone
whomsoever claiming through the deceased employee or otherwise.
34 No employee or beneficiary or any other person claiming right from such persons
shall have any legal right or claim against any Trustees personally so long as the
Trustees shall administerthe Fund to the best of their judgment in accordance
with provisions of these Regulations.
Transfer of Interest in the Fund prohibited

35. Save as herein provided with regard to the nomination, no employee shall be
entitled in any way to assign or charge or in any way deal with his beneficial
interest in the Fund or any part thereof and any such transaction or transfer
shall, in no way be recognised by the Trustees and any such transaction or
transfer shall be invalid and the Trustees shall not be bound by any notice to
them of any such transaction or transfer nor shall such interest in the Fund of
any employee be liable to attachment by any Court of Law in execution of any
decree or otherwise against the employee or any person whether before or after
any amount has become payable under these Regulations.
Unclaimed amounts
36. Any amounts payable to an employee under these Regulations and remaining
unclaimed for a period of three years from the date when such amounts have
379
become payable shall lapse to the Fund; the Trustees may, however, at their
absolute discretion, reconsider such cases and order payment of such lapsed
amounts at any time thereafter.
Responsibilities of Trustees with regard to moneys, securities etc.
37. A Trustee or Trustees, for the time being, shall not at any time be made liable
for any more money than shall actually have come into his or their own proper
hands or for the loss or variation in price of securities or for the failure of any
bank or company or dishonesty of any employee or other person with whom
any part of the Trust property may be deposited or be placed in charge or be
liable for any other than his own immediate and respective willful acts, deeds or
defaults and every such Trustee shall be at liberty from and out, all or any part
of the trust moneys, in the first place, to re-imburse himself all sums of moneys,
costs, charges, damages, expenses and demands whatsoever which he can,
shall or may, reasonably bear, sustain or put into in any manner howsoever by
reason of or on account of his acceptance or execution of the Trust anything
herein before contained to the contrary thereof in any wise notwithstanding.
38. The Bank shall, from time to time, on every appointment of any new Trustee or
Trustees, cause the Fund to be vested in his or their name or names under his
or their legal control jointly with any continuing or other Trustee or Trustees or
solely as the case may be, to be so invested.
Powers to alter Regulations, etc.
39. With the prior approval of the Commissioner of Income-tax, the Bank may,
at any time, give notice in writing to the Trustees and to all employees of the
Bank of their intention to amend or alter the Rules and Regulations of the Fund
and such amendment or alteration in rules and regulations shall not affect the
benefits already created for the employees under these Regulations.
40. Notice of amendment, modification or termination shall always affect from the
date of notice when such notice has been served on the Trustees. The notice
to employees shall be in such form and manner that may be deemed sufficient.
The Trustees shall comply with and carry out all directions as given by the Board
of Directors of the Bank from time to time in relation to any matter provided
herein and contained in these Regulations, or under the Regulations and the
certificate of the Bank as to the admission of an employee or as to the death
of any employee or his retirement or dismissal from service of the Bank shall
380
constitute an act and sufficient authority and shall be conclusive of all the facts
set out therein. Every such certificate or direction shall be notified in writing
signed by any Director or other persons authorised on this behalf by the bank
and any such notification purporting to contain any such direction or certification
shall be complete protection to the Trustees in respect of any matter therein
referred notwithstanding any error in such notification.
Winding up
41 Where the Bank’s business or undertaking is to be wound up or discontinued,

the Trustees shall, with the prior approval of, and subject to such conditions
as may be imposed by the Commissioner of Income-tax, make satisfactory
arrangements for the payment of gratuity to the existing beneficiaries.
42 Any arrangements for the winding up of the Fund, or for its amalgamation with
another Fund, shall be subject to the prior approval of and to such conditions
as may be imposed by the Commissioner of Income-tax.
Effect of repugnance
43. Where there is repugnance between any of these Regulations and any provisions
of the Indian Income-tax Act, or of the Rules made thereunder, Regulations shall
to the extent of the repugnance be of no effect.
381
CORPORATION BANK STAFF PROVIDENT FUND REGULATIONS
1. By virtue of the powers vested in the Board of Trustees of Corporation Bank

Staff Provident Fund, and approval of the Commissioner of Income-tax, Chennai
having been obtained, the following regulations are framed which shall come
into force from 1st January 1955 and shall be deemed to be the regulations of
the Fund in supersession of all regulations previously in force.
Short Title and definitions
2. THE FUND shall be called CORPORATION BANKSTAFF PROVIDENT FUND.
3. In these regulations unless there is anything repugnant to the subject or context,

THE BANK’ means ‘CORPORATION BANK’.
THE FUND’ means ‘CORPORATION BANK STAFF PROVIDENT FUND’.
THE BOARD’ means ‘THE BOARD OF DIRECTORS OF THE BANK’.
THE TRUSTEE’ means and includes the present Trustees or survivors or survivor
among them or other Trustees or Trustee for the time being of the Fund.
‘SALARY’ means basic pay, special allowances and officiating allowance, if any,
anddoes not include any other remuneration, allowance, bonus, commission or
any profit whatsoever and in the case of employees on leave, the actual salary
received by them or their fixed salary whichever is less.
‘EMPLOYEES’ means and include -
“MEMBER” means any employee of the Bank who is also a subscriber to
the Fund. There shall be two categories of members. a) Contributory member
b) Non-Contributory member
“CONTRIBUTORY MEMBER” means an employee who is in the services of
the Bank as on 29-9-1995 and who has not opted for becoming a member of
the Corporation Bank(Employees’) Pension Fund and continues to be entitled
to Bank’s contributions at the rate prescribed under Regulation No.13 and also
includes an employee who joins the services of the Bank on or after 29-9-1995
at the age of 35 years or more and opts for Provident Fund within a period of
90 days from the date of the appointment.
“NON CONTRIBUTORY MEMBER” means an employee who is in the service
of the Bank as on 29.9.1995 and who has opted for becoming a member of
Corporation Bank (Employees’) Pension Fund in lieu of Bank’s contribution to
Provident Fund and includes all employees who join the service of the Bank on
382
or after 29.9.1995, except those who have and exercise the option for Provident
Fund and thereby forego the right for pension.
Constitution of Fund
4. The Fund shall consist of the several contributions by the contributory and the
non contributory Members of the Fund as well as the contributions by the Bank
in respect of the contributory members and of interest credited in respect of such
contributions and accumulations, and of securities purchased therewith and of
any capital gains arising from the transfer of capital assets of the Fund.
Provided further that the Fund may also consist of :
a) the accumulated balances payable to members, which are retained in the
Fund as per Rule 20 hereof and interest thereon.
b) any amounts transferred from the individual Accounts of Members in any

recognised Provident Funds maintained by their former employers and
interest in respect thereof.
c) any amount transferred from the individual Accounts of employees on
probation, apprenticeship or part-ime basis, in any recognised Provident
Funds maintained by their former employers and interest in respect thereof,
though such employees have not yet attained eligibility to become members
and to subscribe to the Fund in accordance with these regulations. This
sub-clause is to be effective from 1st January, 1986.
Constitution of Board of Trustees and rules for filling up vacancies
5. (a) The Fund shall be vested in a Board of Trustees consisting of five Trustees
of whom two Trustees shall be Directors of the Bank to be appointed by the
Board, one trustee shall be an Executive of the Bank at HO to be appointed
by board, one trustee shall be an officer of the Bank at the Head Office to be
appointed by the Board and the remaining one Trustee shall be nominated
by the recognised Union of the workmen members from among the workmen
members of the Fund employed at the place where the accounts of the Fund
are maintained.
(b) The Trustees from time to time appointed by the Board from and out of their
number are hereinafter called ‘Director Trustees’. The Trustee appointed
by the Board from among the Executives at Head Office is hereinafter called
‘Ex Officio Trustee’, and the Trustee to be appointed rom among the officer
member and the Trustee to be nominated by the recognised union of the
workmen members are hereinafter called’‘Member Trustees’.
383
(c) During the absence of the Director Trustee or either of them, the Board shall
have the authority to appoint any other Director or Directors to act in the
place of the absent Director Trustee orTrustees. During the absence of the
Ex Officio Trustee, the Board shall have power to appoint any other officer
member to act in his place during his absence.
(d) (i) If the member Trust appointed from among the Officer members is
transferred to a place other than the place where the accounts of the
Fund are maintained, the said Member shall cease to be the ‘Member
Trustee’ and new’‘Member Trustee’ shall be appointed by the Board.
Provided the Member Trustee appointed from among the Officer Members
shall cease to be the Member Trustee after expiry of a period of 3 Years
from the date of his appointment unless he is reappointed by the Board.
(ii) When the person nominated by the recognised Union of Award Staff
and appointed as the Member Trustee, is either transferred to a place
outside the one where the accounts of the fund are maintained or where
he is promoted to the cadre of an officer, the said Member Trustee shall
cease to be a trustee and new member trustee shall be nominated by
the recognised Union of the Award Staff for appointment.
Appointment of a Secretary and his duties

6. The Trustees shall appoint from time to time one of the Bank employees who is a
member to be the Secretary of the Fund. The Secretary shall maintain all the accounts
of the Fund and perform the duties and functions as may be required of him.
Meeting of Board of Trustees-quorum-delegation of powers

7. At every meeting of the Trustees one of their members shall be elected Chairman.
Three Trustees shall form a quorum provided one of them is a Director Trustee
or Ex-officio Trustee. Questions arising at a meeting shall be decided by a
majority of votes and in case of a tie the Chairman shall have a casting vote.
The trustees may delegate the carrying on of the day-to-day administration
including transfer and credit of Bank’s contributions along with entire interest
accused thereon in respect of non contributory members, to one or more among
them or to the Secretary of the Fund. The Trustees may from time to time by
resolution or resolutions under their signature authorise any one or more of them
to sign and endorse for transfer or for conversion or for payment of G.P.Notes,
Securities issued by the Government of India, State Governments and all other
securities held by the Trustees or to sign or endorse cheques, drafts, interest
warrants or receipts for interest.
384
Accounts
8. The Accounts of the Fund shall be made up yearly as at 31st March, and an
audited statement of affairs as on that date shall be submitted to a meeting of the
Trustees to be held not later than 30th September, every year and a copy of such
statement shall be forwarded annually to each member. The accounts shall be
maintained for each subscriber to the Fund and it shall include particulars shown
in the form prescribed under Rule No.6 of the Indian Income- tax (Provident
Fund Relief) Central Board of Revenue Rules.
Employees eligible to become members-agreement to be signed-quantum of

contributions (compulsory and optional) - Rate of Interest, etc.
9. Every employee becoming a member shall be subject to these regulations and

shall sign an agreement in the following form:
I hereby declare that I have read the regulations of Corporation Bank Staff
Provident Fund, and that I hereby subscribe and agree to be bound by the said
regulations.
Dated at .......... on .......... day .............. 20....

Name in full :
Date of birth :
Nature of appointment :
Date of joining the Fund :
Salary per month :
Signature
Witnesses 1) 2)
10. (a) Employees of the Bank as defined in Regulation 3 shall be eligible for
membership of the fund and they shall subscribe monthly to the fund at
such rate as the Trustees may determine from time to time but at present
such rate shall not exceed 10% of the salary payable to him for the month,
i.e. 1/10 of the salary.
(b) Any member of the fund, may at his/her option, subscribe towards the Fund,
in addition to the terms of Sub-Rule (a) of Regulation No. 10, such amount
as the member so subscribing may think fit at a rate in multiples of one
per cent of salary, however, that the sum so subscribed by him in terms of
385
sub-rule (a) and (b) hence shall not exceed `1,00,000/- per financial year.
The Bank shall not pay any contribution equivalent to or in respect of such
additional contribution.
(c) The option of making additional contributions shall be exercisable by a

member subject to prior intimation being given to the Secretary of his
intention to do so and once such option is taken by a member he shall
continue to contribute at the higher rate for at least a period of twelve
successive calendar months before he can, with previous intimation to the
Secretary, reduce the rate of contribution to the minimum prescribed or till
he ceases to be an employee of the Bank whichever is earlier.
(d) A member on leave may choose not to subscribe to the Fund on his/ her
salary for the period of his/her leave and in such a case the Bank also shall
not subscribe its contribution on account of such leave salary.
11. The employees’ subscriptions towards the Fund shall be credited to each
employee’s individual account and earn compound interest at such rate as the
Board of Trustees may fix from time to time, having regard to the interest earned
on investments from the Fund and the market value of investments from the
Fund and on moneys deposited with bank. For purpose of adding interest to
individual accounts of each employee, the balance at credit shall be reduced by
the balance, if any, due on account of any non-repayable withdrawal outstanding
against him.
12. The subscriptions by the employees shall be levied monthly and by compulsory
deduction from their salaries and the total amounts so deducted by the Bank
shall be credited to the Trustees’ Account mentioned in Regulation 17.
13. The Bank shall contribute monthly to the Fund a sum equal to the contributions
of the contributory members only at the rate prescribed in Regulation 10(a)
irrespective of any optional contributions he may make under Regulation 10(b)
and such sum shall be credited to the account of each contributory member
and shall earn compound interest at the same rate as on contributions by the
members.
14. Interest shall be added to the member’s and Bank’s contributions in case of
contributory memberto the Fund at the end of each half year viz. 30th September
and 31st March every year. The amount of contributions and accumulations
thereof shall cease to earn any interest after three months from the date on
which the amount becomes payable.
386
15. The sums subscribed from time to time by each member (hereinafter referred
to as “MEMBER’S CONTRIBUTION” which expression shall include all interest
accrued on the same) as well as sums contributed by the Bank for each member
(hereinafter referred to as “THE BANK’S CONTRIBUTION” which expression
shall include all interest accrued on the same) shall be credited in a special
ledger kept by the Trustees at such Office of the Bank as the Trustees may
decide from time to time.
All calculations forthe purpose of arriving atthe Members’ and Bank’s
contributions to the Fund shall be made to the nearest paisa, fraction of a paisa
being neglected.
As soon as possible after the 31st March of each year, the Secretary shall send
to each member, a statement of his account in the Fund, showing the opening
balance as on 1st April of the year, the total amount credited or debited during
the year, the total amount of interest credited during the year and the closing
balance on that date.
Provided, however that the statement of accounts as on 31.3.1989 shall cover
period of 15 months commencing from 1.1.1988 to 31.3.1989. The members
should satisfy themselves as to the correctness of the annual statements and
errors, if any, should be brought to the notice of the Secretary within one month
from the date of receipt of the statement.
Funds-investment of - delegation of power to Secretary to operate on Bank

Account
16. All the monies contributed to the Fund (whether by the Bank or by the employees)
or received or accruing by way of interest or otherwise to the Fund shall, within
fifteen days from the date of contribution, receipt or accrual, as the case may
be either
a) be deposited -
i) in a Post Office Savings Bank Account; or
ii) in special accounts to be opened for the purpose in the State Bank of
India or in a Scheduled Bank; or
b) be invested in the securities mentioned or referred to in clauses (a) to (e)
of Section 20 of the Indian Trusts Act, 1882.
Every member of the Fund shall be entitled, on request made in this behalf to
the Trustees, to see the Bank receipts or pass-books for any money deposited
and to see the securities such as are referred to above.
387
17. In pursuance of Regulation No.16, all or any moneys of the Fund in the hands of
the trustees from time to time, may be deposited with Corporation Bank, being a
Scheduled Bank, in an account or accounts in the names of the Trustees of the
Fund, and the Trustees may authorise one amongst them and/or the Secretary
of the Fund to operate upon such account or accounts.
Repayment of contributions on retirement, etc
18. A member shall not be entitled to payment of the full amount standing to the
credit of his account in the Fund except on retirement from the service of the
Bank and in accordance with these regulations.
(a) A member who is a whole time Director
(b) A contributory member who retires from the services of the Bank on attaining
the age of superannuation shall be entitled to receive his own contributions,
together with the Bank’s full contributions, irrespective of the period of his
service in the Bank.
(c) A non contributory member who retires from the service of the Bank on
attaining the age of superannuation shall be entitled to receive his own
contribution in full irrespective of the period of his service in the Bank.
(d) A member who has ceased to be entitled to Bank’s contributions consequent to
his exercising the option given to him, to opt for pension, in terms of Corporation
Bank (Employees) Pension Regulations, 1995 shall irrevocably authorise the
Trustees to transfer the entire Banks contribution made at the prescribed rates
together with the interest accrued thereon, to the Trustees of the Fund shall
there after transfer the same to the Trustees of the Pension Fund.
19. (a) Any contributory member who is dismissed for misconduct or voluntarily
leaves his employment otherwise than on account of ill-health or other
unavoidable cause before the expiration of 10 years, shall be entitled to
repayment of the amount of his own contributions with interest accrued
thereon and the Bank’s contributions as per Regulation 21 (b).
(b) Any member who is dismissed for misconduct or voluntarily leaves his/her
employment otherwise than on account of ill-health or other unavoidable
cause before the expiration of 10 years, shall be entitled to repayment
of the amount of his/her own contributions with interest accrued thereon
irrespective of the period of his/her service in the Bank.
20. (a) Subject to the above regulations when a contributory member retires from
the service of the Bank on attaining the age of superannuation or when
his services are dispensed with by reason of proved physical incapacity
388
certified as such by a medical authority recognised by the Trustees or if
his services shall have been dispensed with in consequence of reduction
or reorganisation of the establishment or some other cause than his own
misconduct, the contribution paid by the Bank shall be paid in full to him
and in case of death of contributory member the contribution paid in full to
his nominee or heirs.
(b) The accumulated balance due to a member shall become payable on the
day he ceases to be an employee of the Bank, unless at the request of the
member made in writing the Trustees consent to retain the whole or any
part of the accumulated balance due to him and payable to him at any of
time on demand.
21. (a) A member who ceases to be an employee of the Bank, at any time shall
be entitled to receive the amount of his own contributions with interest
credited thereon.
(b) In case of a contributory member after putting in five years’ service but before
completion of 10 years’ service in the Bank, voluntarily leaves his employment
for reasons other than ill health or other unavoidable causes he shall be
entitled to receive the amount of his own contributions with interest credited
thereon and Bank’s contributions at the rate of 10% of such contributions
with interest for each completed year of service. A contributory member who
has served the Bank for less than five complete years shall not entitled to
any portion of the Bank’s contributions or interest thereon.
NOTE: For purpose of these Rules, the date of commencement of service in
the Bank shall be the date of joining the Fund.
General Fund
22. The Bank’s contributions as shall remain unpaid shall lapse to the Fund and any
sums which may lapse to the Fund under these regulations shall be credited
to a separate account called “General Fund” and may be disposed of for the
benefit of the Fund and the members participating therein in such manner as
the Trustees may decide in their absolute discretion.
Forfeiture of contributions
23. There shall be no forfeiture of any amount due to a non contributory member
under these regulations under any circumstances. In the case of a contributory
member when he is dismissed for misconduct causing financial loss to the Bank
and in such a case the forfeiture shall be limited to the extent of such financial
loss or the Bank’s contributions to the member’s account and interest thereon,
whichever is less.
389
Appointment of nominees and powers of the Trustees to deal with amounts of
deceased members
24. (1) Each member shall be at liberty to nominate in writing any person or any
number of persons in the prescribed form annexed to these regulations,
to whom the amount standing at the credit of such member shall be paid
in the event of his death while in the service of the Bank or before his
claim on the Fund shall have been discharged and may from time to time
change such nomination in writing.
(2) Where a member has a family at the time of making a nomination, the
nomination shall be in favour of one or more persons belonging to his family.
Any nomination made by a member in favour of a person not belonging
to his family shall be invalid.
(3) If at the time of making a nomination, the member has no family, the
nomination may be in favour of any person or persons, but if the member
subsequently acquires a family, such a nomination shall forthwith be
deemed to be invalid and the member may be allowed to make a fresh
nomination in favour of one or more persons belonging to his family.
(4) In the event of the death of the nominee prior to the death of the member
and no other person having in the interval been nominated by the
member, the amount standing at credit of the member shall be dealt with
in accordance with Regulation 27.
Explanation: For the purpose of this rule, “family” means, the member’s spouse,
legitimate children, step-children, dependent parents, sisters and minor brothers.
25. On the death of a member who shall have made a nomination in accordance
with Regulation 24 the full amount payable to him according to these regulations
shall be paid to the nominee irrespective of the period for which the member
may have served and such payment shall be a good discharge to the Trustees
against all claims whatsoever in respect of the said Fund by any one whomsoever
claiming through the said member or otherwise.
26. If the nominee is a minor, the member shall at the time of nomination state the
age of the nominee and shall also appoint in writing a person of full age to whom
the amount standing at the member’s credit is to be paid on behalf of the minor
nominee in the event of the member dying before the minor nominee attains
the age of majority. If any person so appointed predeceases the member before
the minor nominee attains his majority, the member shall forthwith similarly
390
appoint another person of full age to receive the amount on behalf of the minor
nominee and from time to time forthwith make a fresh appointment when this is
necessitated by the death of the person appointed to receive payment on behalf
of the nominee.
The nomination made as aforesaid remains in full force and effect until the
nominee’s death or until his nomination or appointment has been revoked.
27. On the death of a member not survived by a nominee the full amount due to
the member according to these regulations shall be paid to his executors or
administrators or at the absolute discretion of the Trustees, the amount or any
part or parts thereof may be paid to the widow, child or children or his, her or
their guardian or custodian or other near relative or relatives of the deceased
member or any other person or persons appearing to them to be the proper
parties to receive the amount without any representation to the estate of such
deceased member or any succession certificate being obtained and in such
proportion as the Trustees may think fit irrespective of the period for which the
member may have served and such payment shall be a good discharge to the
Trustees against all claims whatsoever in respect of the said Fund by any one
whomsoever claiming through the deceased member or otherwise.
Transfer of interest in the Fund prohibited
28. Save as herein provided with regard to nomination, no member shall be entitled
in any way to deal with or transfer by way of security or otherwise his interest
or any part thereof in the Fund and any such transaction or transfer shall in no
way be recognised by the Trustees and any such transaction or transfer shall
be invalid and the Trustees shall not be bound by any notice to them of any
such transaction or transfer and all moneys standing in the books of the Fund
to the credit of the member so purporting to deal with or transfer his interest
therein as aforesaid shall forthwith be transferred to the General Fund and be
dealt with accordingly.
Attachment, Prohibitory order etc., of a Civil Court-Insolvency of member
29. If any, prohibitory order or attachment or process of a Civil Court be served upon
the Trustees by which any moneys standing to the credit of the member shall
be attached or ordered to be paid into a Civil Court; or ordered to be withheld
from such member and such attachment or order is not raised or rescinded by
the Court within such time as the Trustees deem reasonable or should such
member be adjudged an insolvent or file his insolvency petition or make any
composition or arrangement with his creditors, such moneys shall forthwith be
391
transferred to the General Fund and be dealt with accordingly, provided always
that the Trustees (without being under any legal obligation to do so) may in their
absolute discretion if they think fit at any time or times thereafter, give or apply
such moneys, or any part thereof, to or for the benefit of such member or his
wife, children or relatives.
Temporary and Non-Repayable withdrawals-Rules for sanction and repayment-

Rate of Interest on temporary withdrawals
30. (1) Withdrawals by members shall not be allowed by the Trustees except on special
grounds in the following circumstances or circumstances of a similar nature:
a) To pay expenses in connection with the illness of a subscriber or a member
of his family;
b) To pay for the cost of passage of a subscriber or a member of his family to
a place out of India;
c) To pay expenses in connection with the marriages, funerals or ceremonies,
which by the religion of the subscriber it is incumbent upon him to perform and
in connection with which it is obligatory that expenditure should be incurred;
d) To meet the expenses of education of the dependent children of the
member.
e) To meet the expenditure on building the residential house or purchasing
a site or a site with a house provided that the site with or without house is
assigned to the Trustees of the Fund and covenants with the Trustees of
the Fund that he/she will not in any way encumber or alienate the site with
or without the house other than by way of mortgage favouring the Bank for
securing the repayment of housing loan availed/to be availed under Bank’s
Housing Loan Scheme. However, where the member has already availed
Housing Loan from the Bank by creating mortgage of site, with or without
building thereon, it shall be assigned to the Trustees of the Fund subject
to rights of the Bank;
f) To Pay premia on policies of insurance on the life of the subscriber or of his
wife provided that the policy is assigned to the Trustees of the Fund and
that the receipts granted by the Insurance Company for the premia are from
time to time handed over to the Trustees for inspection by the Income-tax
Authority.
g) To meet expenditure of marriage of daughter/sister/son.
392
NOTE: Withdrawals under clauses (a), (b), (c) and (d) above are called “Temporary
Withdrawals” and withdrawals under clauses (e), (f) and (g) above and also
withdrawals under sub-rule (9) are called “Nonrepayable Withdrawals”.
2) For the purpose of sub-rule (1), “Family”, means any of the following persons
who are wholly dependent on the employee, namely: the employee’s wife,
legitimate children, step-children, parents, sisters and minor brothers.
3) a) A withdrawal under clauses (a) and (b) of sub-rule (1) shall not exceed the
salary of the member for three months at the time when the withdrawal
is made and a withdrawal in connection with expenses on marriages as
specified in clause (c) and (d) of sub-rule (1) shall not exceed the salary of
the member for six months at the time when the withdrawal is made. In no
case, the amount withdrawn shall exceed the total of the accumulation of
exempted contributions and exempted interest contained in the balance to
the credit of the member.
b) A withdrawal for the purpose specified in clause (e) of sub-rule (1) shall be
subject to the following conditions:
i) In the case of any member, the amount of withdrawal shall not exceed
the amount of his own contribution outstanding to his credit or the actual
cost of the house and/or of the site whichever is less.
ii) The employee shall have completed ten years of service or is due to
retire within the next ten years;
iii) The construction of the house should be commenced within six months
of the withdrawal and should be completed within one year from the date
of commencement of the construction;
iv) If the withdrawal is made for the purchase of a house and/or a site for a
house, the purchase should be made within six months of the withdrawal;
v) If the withdrawal is made for the repayment of loan previously raised for
the purpose of construction or purchase of a house, the repayment of
the loan should be made within three months of the withdrawal;
vi) (1) Where the withdrawal is for the construction of a house, it shall be
permitted in two or more instalments (not exceeding four) a later
instalment being permitted only after verification by the Trustees
about the actual utilisation of the earlier withdrawal;
393
(2) However, the Trustees of the fund may, on merit, allow such withdrawal
for the construction of a house in five instalments subject to the
member foregoing one chance to avail the Non-repayable withdrawal
for meeting the expenses of marriage of daughter/sister/ son.
vii) The withdrawal shall be permitted only if the house and/or site is free
from encumbrances and no withdrawal shall be permitted for purchasing
a share in a joint property or building or house or land whose ownership
is divided except where such property is owned jointly with the spouse.
However, such withdrawal may also be permitted in cases where the
property is owned solely by the member’s spouse provided both of them
are members of the Fund.
Further, such withdrawal may also be permitted in cases where the

property is owned solely by the member’s spouse, provided housing
loan is sanctioned to the member by the Bank. The member’s spouse
shall assign the house and/or site in the same manner as assigned by
a member under Sub-Regulation (1) (e) of Regulation 30.
viii) If the amount withdrawn exceeds the actual cost of the purchase or
construction of the house and/or site, or if the amount is not utilised for
the purpose for which it is withdrawn, the excess or the whole amount,
as the case may be, shall be refunded to the Fund forthwith in one
lump sum together with interest from the month of such withdrawal at
the rate prescribed in sub-rule (6).
(b) A withdrawal for the purpose specified in Clause (g) of Sub-regulation (1)
shall be subject to the following conditions:
i) The member shall have completed 10 years of service or is due to retire

within the next 10 years.
ii) the amount of withdrawal shall not exceed the amount standing to the
credit of the member in PF account (own contribution) or the marriage
expenses, whichever is lower; the total withdrawals including temporary
withdrawal availed and outstanding shall not exceed member’s own
contribution.
iii) Subject to Regulation No. 3 (b) (vi) (2), withdrawal shall be permitted
only twice during the entire service.
iv) Proof of marriage should accompany the application.
394
v) Reimbursement shall not be permitted.
vi) Misutilisation of the withdrawal shall make the member liable to refund
the withdrawal in one lumpsum alongwith interest as applicable to
temporary withdrawal besides entailing disciplinary action by the Bank.
vii) The member shall have the option to repay the withdrawal subject to
refunding the same in one lumpsum.
viii) A member who has availed non-repayable withdrawal for the purpose
of meeting expenses of marriage of daughter/sister/son, is required to
reimburse to the fund, the unutilised portion of the withdrawal within
three months from the date of the marriage.
c) A withdrawal for any other purpose referred to in sub-rule (1) shall not
exceed three months’ salary of the member or the total of the accumulation
of exempted contributions and exempted interest lying to the credit of the
employee, whichever is less.
4) a) Subject to the provisions of clause (viii) of sub-rule (3) (b), where a withdrawal
is allowed for a purpose specified in clause (e) or clause (f) or clause (g)
of sub-rule (1), the amount withdrawn need not be repaid. The member,
however, shall have the option to repay the amount of such withdrawal in
one lumpsum payment for credit of his account in the Fund.
b) Where a withdrawal is allowed in connection with marriages as specified in

clause (c) of sub-rule (1), the amount withdrawn shall be repaid in not more
than forty eight equal monthly instalments. The member if he so desires,
may be permitted to make payment of more than one instalment at a time
but interest shall be payable in terms of the total number of such instalments
in the manner laid down in sub-rule (6).
c) Where a withdrawal is allowed for any other purpose, the amount withdrawn
shall be repaid in not more than 24 equal monthly instalments. The member,
if he so desires, may be permitted to make payment of more than one
instalment at a time but interest shall be payable in terms of the total number
of such instalments in the manner laid down in sub-rule (6).
NOTE: i) All withdrawals under clauses (a) to (d) of sub-rule (1) and repayments,
if any, shall be multiples of a rupee;
ii) Number and amount of each instalment in repayment of a temporary

withdrawal under these rules shall be fixed by the member at the time of
395
making the application for such withdrawal in the prescribed form. The
amount of temporary withdrawal shall be divisible with the amount of each
instalment to be fixed for repayment thereof.
5) A second temporary withdrawal shall not be permitted until the sum first
withdrawn has been fully repaid both in respect of principal and interest thereon.
6) In respect of all temporary withdrawals and of the amount referred to in clause

(viii) of sub-rule 3(b), interest shall be paid by the members in accordance with
the following table:
1 2
Where the amount is repaid in not One additional instalment of 4% on the

more than 12 monthly instalments. amount withdrawn
Where the amount is repaid in more Two additional instalments of 4% on
than 12 but not more than 24 monthly the amount withdrawn
instalments
Where the amount is repaid in more Three additional instalments of 4% on
than 24 monthly instalments but not the amount withdrawn
more than 35 monthly instalments.
Where the amount is repaid in more Four additional instalments of 4% on
36 monthly instalments but not more the amount withdrawn
than 48 monthly instalments
Where the amount is refunded under 4% of the amount which is refundable
the clause (viii) of sub-rule (3) (b).
Provided that at the discretion of the Trustees, interest may be recovered on

the amount aforesaid or the balance thereof outstanding from time to time at
one percent above the rate which is payable for the time being on the balance
in the Fund at the credit of the employee.
7) The Bank shall deduct the instalments aforesaid from the employee’s salary and
pay them to the Trustees. These deductions shall commence shall commence
from the second monthly payment of salary made after the withdrawal or in the
case of an employee on leave without salary, from the second monthly payment
of salary made after his return to duty.
8) In case of default of repayment of instalments due under these rules, or where
the amount withdrawn is not utilised for the purpose for which it is withdrawn,
396
the Commissioner of Income-Tax may at his discretion order that the amount of
the withdrawal or the amount outstanding shall be added to the total income of
the employee for the year in which the default occurs or the withdrawn amount
is finally held not to have been utilised for the purpose for which it is withdrawn,
and the Income-tax Officer shall assess the employee accordingly.
9) Notwithstanding anything contained in sub-rule (1) or (8), it shall be open to the

Trustees to permit the withdrawal of 90% of the amount standing at the credit
of an employee if the employee takes leave preparatory to retirement, provided
that if he rejoins duty before expiry of such leave, he shall refund the amount
drawn together with interest at the rate allowed by the Fund.
Responsibility of Trustees with regard to moneys, securities etc.
31 A Trustee or Trustees for the time being shall not at any time be made liable for
any more money than shall actually have come into his or their own proper hands
or for the loss or variation in price of securities or for the failure of any bank or
company or the dishonesty of any employee or other person with whom any part
of the trust property may be deposited or be placed in charge or be liable for any
other than his own immediate and respective willful acts, deeds and defaults
and every such Trustee shall be at liberty from and out, all or any part of the
Trust moneys, in the first place to reimburse himself all sums of moneys, costs,
charges, damages, expenses and demands whatsoever which he can, shall or
may reasonably bear, sustain or put into in any manner howsoever by reason of
or on account of his acceptance or execution of the Trust anything herein before
contained to the contrary thereof in any wise notwithstanding.
32 The Board of Directors shall from time to time on every appointment of any new
Trustee or Trustee cause such fund to be vested in his or their name or names
under his or their legal control jointly with any continuing or other Trustees or
solely as the case may be, to be so invested.
Unclaimed contributions-losses suffered on sale or conversion of investment-

procedure of adjustment
33. The Bank’s contributions together with the interest accrued thereon which
underthe provisions of these regulations shall not be payable to the member
on his retirement, discharge ordismissal as provided in the regulations and all
balances which may remain under these regulations unclaimed for a period of
three years and all amounts which shall lapse to the Fund, and all profits from
397
investment of the funds shall be transferred to the General Fund Account. The
moneys in the said account shall be utilised to meet any loss from investment of
moneys and/or to provide for the difference between the running interest yield of
investments in the Fund and the redemption interest yield of such investments
and interest credited to the individual accounts of the members.
All losses suffered during any half year on sale or conversion of investments
of the Fund during such half year shall so far as such losses are not met from
the General Fund be debited at the end of such half year to the accounts of the
members ratably in proportion to the respective amounts standing to their credit
at the end of such half year.
If during any half year there is such a fall in the market value of the investments
of the Fund as in the absolute discretion of the Trustees requires an adjustment
of the accounts of the members after utilising the General Fund, the Trustees
shall be entitled to debit to the accounts of the individual members ratably in
proportion to the respective amounts standing to their credit such total amount
in respect of the depreciation in the investments as the Trustees may fix.
Power to alter regulations
34. The regulations of the Fund or any of them, may in the absolute discretion of the
Trustees and with the previous approval of the Commissioner of Income- tax,
Bangalore, be from time to time added to, altered or repealed provided always
that no such addition or repeal shall be held to be retrospective or shall affect
the right of any member to be credited with the amount to which he is entitled
to be credited up to the date of such addition, alteration or repeal or shall be
infringement or violation of the Indian Income-tax Act, 1922 or any statutory
modification thereof or any rules made by the Government of India or any local
Government in that behalf and for the time being in force or shall affect the
irrevocability of the Trust. A copy of all such additions, alterations or repeals
shall immediately after the adoption thereof be sent to every member.
35. The Fund shall be vested in the Trustees under a Trust which shall not be
revocable save with the consent of all the members.
The Board shall have power to close the Fund at any time if they consider
that course advisable or necessary and any appreciation or depreciation in
any investments of the Fund shall be for the benefit of and at the risk of the
members, and at the closing of the Fund the cash in hand and the realisation
398
from the investments including the General Fund shall be divided ratably among
the members in proportion to the respective amounts standing to their credit.
Retirement of Trustees
36. Every Trustee shall be at liberty to retire by notice in that behalf addressed to
the Board of Trustees. Every vacancy in the Office of the Trustee shall be filled
up in accordance with the provisions of regulation No.5.
Decision of the Trustees in all respects to be final and binding upon all concerned
37. The decision of the Trustees shall be final and binding upon members in all
respects and upon all matters, questions and disputes relating to or connected
with these regulations or with the Fund or the administration thereof or the
rights or obligations of the members including all disputes or differences which
may arise between any member or his executors, administrators, nominee or
representative and the Trustees as to the meaning or effect of any regulation
or to any matter relating or arising out of the same. In each case of dispute the
decision of the Trustees shall be communicated to the Commissioner of Income-
tax forthwith.
Returns to the Income-tax Authority
38. An abstract for the financial year ending with the 31st March of each year of the
individual account of each employee participating in the Fund (whose income
under the head “Salaries” is `3,000/- or over per annum) shall be furnished by
the Trustees to the Income-tax Officer of the area in which the Bank conducts
business or to such other Income-tax Officer as the Commissioner of Income-
tax may direct, not later than the 15th day of September in each year. It shall
be in the form prescribed under rule No.6 of the Indian Income-tax (Provident
Fund Relief) Central Board of Revenue rules, but shall show only the total of
the various columns thereof for the financial year ending with 31st March. The
Trustees shall also given an account of any withdrawals by any member during
the year and of the repayment thereof.
Effect of repugnance
39. Where there is a repugnance between any of these regulations and any
provisions of the Indian Income-tax Act or of the Rules made thereunder, the
regulation shall to the extent of the repugnance be of no effect.
399
SCHEME FOR COMPASSIONATE APPOINTMENT
IN PUBLIC SECTOR BANKS
[H.O. Cir No. 804/2014 dt. 11.11.2014

H.O. Cir No. 323/2015 dt. 09.05.2015]
(w.e.f. 5.8.2014 vide Ministry of Finance D.O.F.No.18/2/2013-IR dated 7.8.2014)
1. COVERAGE
1.1. To a dependent family member of permanent employee of a Public

Sector Bank (PSB) who –
a) dies while in service (including death by suicide)
b) is retired on medical grounds due to incapacitation before reaching
the age of 55 years. (incapacitation is to be certified by a duly
appointed Medical Board in a Government Medical College/
Government District Head Quarters Hospitals/Panel of Doctors
nominated by the Bank for the purpose).
1.2. For the purpose of the Scheme, “employee” would mean and include
only a confirmed regular employee who was serving full time or part-time
on scale wages, at the time of death/retirement on medical grounds,
before reaching age of 55 years and does not include any one engaged
on contract/temporary/casual or any person who is paid on commission
basis.
2. DEPENDENT FAMILY MEMBER
2.1. Spouse; or
2.2. Wholly dependent son (including legally adopted son); or
2.3. Wholly dependent daughter (including legally adopted daughter); or
2.4. Wholly dependent brother or sister in the case of unmarried employee
3. AUTHORITY COMPETENT TO MAKE COMPASSIONATE APPOINTMENT
3.1 Chairman & Managing Director.

3.2. Executive Director holding current charge of Chairman & Managing
Director.
3.3. Board of Directors in special types of cases.
3.4. While dealing with proposals for appointment on compassionate grounds
in otherwise eligible cases, where disciplinary action was pending
400
against the deceased employee/employee retired on medical rounds or
if the deceased employee was involved in serious financial irregularities,
embezzlement of funds, committing frauds, etc., banks will continue to
abide by the guidelines issued by the Government of India, requiring
consideration and decision in each case by the Board of the Bank/
Authority appointed by the Board.
4. POSTS TO WHICH APPOINTMENTS CAN BE MADE
4.1. The appointment shall be made in the clerical and sub-staff cadre only.
5. ELIGIBILITY
5.1. The family is indigent and deserves immediate assistance for relief from
financial destitution; and
5.2. Applicant for compassionate appointment should be eligible and suitable

for the post in all respects under the provisions of the relevant Recruitment
Rules.
6. EXEMPTIONS
6.1. Compassionate Appointment under the Scheme are exempted from

observance of the following requirements:
6.1.1. Normal Recruitment Procedure i.e., without the agency of

selection like IBPS/Employment Exchange, Recruitment Board of
Bank, etc.
6.1.2. The ban orders on filling up of posts issued by Government of

India or any controlling authority.
7. RELAXATIONS
7.1. Upper age limit could be relaxed wherever found to be necessary. The
lower age limit should, however, in no case be relaxed below 18 years of
age.
(Note-1: Age eligibility shall be determined with reference to the date of

application and not the date of appointment;
Note-2: Authority competent to take a final decision for making

compassionate appointment in a case shall be competent to grant
relaxation of age limit also for making such appointment).
401
8. TIME LIMIT FOR CONSIDERING APPLICATIONS
8.1. Application for employment under the Scheme from eligible dependent
should normally be considered upto five years from the date of death or
retirement on medical grounds and decision to be taken on merit in each
case.
8.2. However, Bank can consider request for compassionate appointment

even when the death or retirement on medical grounds of the employee
took place long back, even five years ago. While considering such
belated requests, it should, however, be kept in view that the concept of
compassionate appointment is largely related to the need for immediate
assistance to the family of the employee in order to relieve it from
economic distress. The very fact that the family has been able to manage
somehow all these years should normally be taken as adequate proof
that the family had some dependable means of subsistence. Therefore,
examination of such cases would call for a great deal of circumspection.
The decision to make appointment on compassionate grounds in such
cases may, therefore, be taken only at the Board level.
9. DETERMINATION/AVAILABILITY OF VACANCIES
9.1. Appointment on compassionate grounds should be made only on regular

basis and that too, only if regular vacancies meant for that purpose are
available.
9.2. Compassionate appointment can be made upto a maximum of 5% of

vacancies falling under direct recruitment quota in clerical cadre or
vacancies identified in the sub-staff category. The Bank may hold back
5% of vacancies in the aforesaid categories to be filled by appointment
on compassionate grounds. A person selected for appointment on
compassionate grounds should be adjusted in the recruitment roster
against appropriate category, viz., SC / ST / OBC / General Category,
depending upon the category to which he/she belongs.
9.3. Widow appointed on compassionate ground upon re-marriage will be

allowed to continue in service, even after re-marriage.
10. WHERE THERE IS AN EARNING MEMBER
10.1. In deserving cases, even when there is already an earning member in the
family, a dependent family member may be considered for compassionate
appointment with the prior approval of the competent authority of the
402
bank who, before approving such appointment, will satisfy himself
that grant of compassionate appointment is justified, having regard to
the number of dependents, assets and liabilities left by the employee,
income of the earning member as also his liabilities including the fact
that the earning member is residing with the family of the employee and
whether he should not be a source of support to other members of the
family.
10.2. In cases where any member of the family of the deceased or medically
retired employee is already in employment and is not supporting the other
members of the family of the deceased employee, extreme caution has
to be observed in ascertaining the economic distress of the members of
the family of the deceased employee so that, the facility of appointment
on compassionate ground is not circumvented and misused by putting
forward the ground that the member of the family already employed is
not supporting the family.
11. MISSING EMPLOYEE
Cases of missing employees are also covered under the scheme for
compassionate appointment subject to the following conditions:-
11.1. A request to grant the benefit of compassionate appointment can be

considered only after a lapse of at least 2 years from the date from which
the Employee has been missing, provided that:
(i) an FIR to this effect has been lodged with the Police,
(ii) the missing person is not traceable, and
(iii) the competent authority feels that the case is genuine;
11.2. This benefit will not be applicable to the case of an Employee:-
(i) who had less than two years to retire on the date from which he
has been missing; or
(ii) who is suspected to have committed fraud, or suspected to have

joined any terrorist organisation or suspected to have gone abroad.
11.3. Compassionate appointment in the case of a missing employee also

would not be a matter of right as in the case of others and it will be subject
to fulfilment of all the conditions, including the availability of vacancy, laid
down for such appointment under the scheme;
403
11.4. While considering such a request, the results of the Police investigation
should also be taken into account; and
11.5. A decision on any such request for compassionate appointment should

be taken only at the level of the Chairman & Managing Director of the
Bank.”
12. PROCEDURE
a) The prescribed proforma may be used by the bank for ascertaining

necessary information and processing the cases of compassionate
appointment.
b) The Officer from the Staff Welfare Department of the Bank should meet
the members of the family of the employee in question immediately
after his death to advise and assist to them in getting appointment on
compassionate ground. The applicant should be called in person at
the very first stage and advised in person about the requirements and
formalities to be completed by him/her.
c) An application for appointment on compassionate ground should be

considered by the Committee of officers consisting of three officers; one
Chairman and two members in the rank of Deputy General Manager/
Assistant General Managers. The Officer from the staff welfare
department may also be made one of the members of the Committee,
depending upon his rank. The Committee may meet during the second
week of every month to consider cases received during the previous
month. The applicant may also be granted personal hearing by the
committee, if necessary, for better appreciation of facts of the case.
The recommendation of the committee should be placed before the
Competent Authority for a decision. If the Competent Authority disagrees
with the committee’s recommendation, the case may be referred to the
higher authority for a decision.
13. UNDERTAKING FOR MAINTENANCE OF THE FAMILY OF THE DECEASED

EMPLOYEE
The person appointed on compassionate grounds under the Scheme, should

give an undertaking in writing (as in Annexure) that he/she will maintain
properly the other family members who were dependent on the deceased
employee in question, and in case it is proved subsequently (at any time) that
the family members are being neglected or are not maintained properly by him/
404
her, his or her appointment may be terminated forthwith. This clause should
be incorporated as one of the conditions in the offer of appointment applicable
only in the case of appointment on compassionate ground.
14. REQUEST FOR CHANGE IN POST/PERSON
When a person has been appointed on compassionate ground to a particular

post, the set of circumstances, which led to such appointment, should be
deemed to have ceased to exist. Therefore –
a) He/she should strive in his/her career like his/her colleagues for future
advancement and any request for appointment to any higher post on
considerations of compassion should invariably be rejected.
b) An appointment on compassionate ground cannot be transferred to

any other person and any request for the same on consideration of
compassion should invariably be rejected.
15. SENIORITY
A person appointed on compassionate ground in a particular year may be

placed at the bottom of all the candidates recruited/appointed through direct
recruitment, promotion, etc. in that year, irrespective of the date of joining of
the candidate on compassionate ground.
16. TERMINATION OF SERVICE
The compassionate appointment can be terminated on the ground of non-

compliance of any condition stated in the offer of appointment after providing
an opportunity to the compassionate appointee by way of issue of show cause
notice asking him/her to explain why his/her services should not be terminated
for non-compliance of the condition(s) in the offer of appointment and it is not
necessary to follow the procedure prescribed in the Disciplinary Action and
Procedure therefor.
In order to check its misuse, the power of termination of service for non-
compliance of the conditions in the offer of compassionate appointment should
vest only with the CMD of the Bank.
17. GENERAL
i) Appointment made on grounds of compassion should be done in

such a way that persons appointed to the post do have the essential
educational and technical qualifications and experience required for
405
the post consistent with the requirement of maintenance of efficiency of
administration.
ii) It is not the intention to restrict employment of a family member of

the deceased or medically retired sub-staff employee to an erstwhile
sub-staff post only. As such, a family member of such erstwhile sub-
staff employee can be appointed to a clerical post for which he/she is
educationally qualified, provided a vacancy in clerical post exists for this
purpose.
iii) An application for compassionate appointment should, however, not be

rejected merely on the ground that the family of the employee has received
the benefits under the various welfare schemes. While considering
a request for appointment on compassionate ground a balanced and
objective assessment of the financial condition of the family has to be
made taking into account its assets and liabilities (including the benefits
received under the various welfare schemes mentioned above) and all
other relevant factors such as the presence of an earning member, size
of the family etc.
iv) Compassionate appointment should be made available to the person

concerned if there is a vacancy meant for compassionate appointment
and he or she is found eligible and suitable under the scheme.
v) Requests for compassionate appointment consequent on death or

retirement on medical grounds of erstwhile sub-staff may be considered
with greater sympathy by applying relaxed standards depending on the
facts and circumstances of the case.
vi) Compassionate appointment will have precedence over absorption of

surplus employees and regularization of temporary employees.
406
REVISED MODEL SCHEME FOR PAYMENT OF EX-GRATIA AMOUNT IN LIEU
OF APPOINTMENT ON COMPASSIONATE GROUNDS & APPOINTMENT OF
DEPENDENTS OF DECEASED EMPLOYEES ON COMPASSIONATE GROUNDS
A Scheme for appointment of dependents of deceased employees on

compassionate grounds to be uniformly implemented by Public Sector Banks
was advised by the Banking Division, Government of India, on 12.09.1978.
Appointments could be made against specific existing vacancies or in expectation
of vacancies. Written tests prescribed for regular recruitment to such posts were
waived in these cases. The Government has modified /relaxed the provisions
of the Scheme from time to time. In May 1982, Government permitted banks to
modify the Scheme so as to extend the benefit of compassionate appointment
even to the dependents of those who demit office on medical grounds subject
to certain provisions in this regard.
The Bank vide H.O Circular No. 82/2006 dated 03rd March 2006 communicated
the Scheme for payment of Ex-gratia lump sum amount in lieu of appointment
of dependents of deceased employees on compassionate grounds/employees
retired on medical grounds. Based on the Government directives, a revised
scheme on payment of ex-gratia and providing for compassionate appointment
in exceptional cases, has been approved by the Board of Directors, and the
same has been laid down vide HO Circular No. 900/2007.
Applications received complete in all respects, should be forwarded to the
General Manager, Personnel Administration Division, Head Office, Mangalore
through the concerned Zonal Office [in case of employee of Head Office, through
the concerned Departmental/Divisional Head] promptly. Before forwarding
the Applications, eligibility of the applicant for Ex-gratia lumpsum amount or for
appointment under the provisions of the Scheme may be verified and confirmed
by the Branch Head so as to facilitate quicker disposal of the applications.
2. Objective
To provide relief to the family of a deceased employee to tide over the sudden
crisis brought about by his / her premature death. The relief envisaged could be
of a nature, which would provide the distressed family immediate succour and
financial assistance to recover from the unexpected deprivation of the income
of the sole bread-winner of the family.
3. For the purpose of the proposed Scheme, “employee” would mean and include
only a confirmed regular employee who was serving full time or part-time on
407
scale wages, at the time of death/premature retirement and does not include any
one engaged on contract/temporary/casual/part-time on consolidated wages or
any person who is paid on commission basis.
4. (A) The Scheme for grant of ex-gratia will be applicable in the following cases
of employees:
i) Employee dying in harness (other than due to injury sustained while

performing official duty as a result of violence, terrorism, robbery or dacoity).
ii) Employee dying due to injury sustained while performing official duty within
or outside office premises (other than due to violence, terrorism, robbery,
or dacoity and excluding travel from residence to place of work and back).
iii) Employee seeking premature retirement due to incapacitation before
reaching the age of 55 years.
(B) The Scheme of Compassionate Appointment will be applicable in the following

cases:
(a) Employee dying while performing his official duty, as a result of violence,
terrorism, robbery or dacoity;
(b) Employee dying within five years of his first appointment or before reaching
the age of 30 years, whichever is later, leaving a dependent spouse and/
or minor children.
5. Ex-gratia Payment
a. In the cases as in para 4(A), ex-gratia amount will be paid to the family
of the employee if eligible and if requested for within six months from the
date of death of the employee. The family shall be in indigent or penurious
circumstances. “Family” for this purpose would mean and include spouse,
wholly dependent children (son, including legally adopted son/unmarried
daughter including legally adopted unmarried daughter). In the case of
unmarried employee, parents who are wholly dependent on the employee
will constitute “family”.
b. Ex-gratia may be granted to the family of the employee in the manner and
subject to the ceilings specified below, if monthly income of the family from
all sources is less than 60% of the last drawn salary (net of taxes) of the
employee.
408
Calculation of monthly income
(1) Terminal Benefits
(i) Provident Fund
(ii) Gratuity
(iii) Leave Encashment
(iv) Any other amount paid under Bank’s Scheme(s)
———————
Sub-total (A)
———————
(2) Liabilities :
Loans taken from Bank and/or other financial
Institutions with the prior approval of the Bank
———————
Sub-total (B)
———————
Net corpus of terminal benefits (C=A-B)
(3) Investments :
Deposits
NSCs
PPF
LIC policies
Others
———————
Sub-total (D)
———————
(4) Details of movable property, if any, held
and monthly income derived there from.
(5) Details of immovable property, if any,

held and monthly income there from .
(6) Monthly income of the family from all sources -

(i) Monthly interest at the Bank’s maximum term deposit rate on the net
corpus of terminal benefits (C) ———————
(ii) Monthly income from investments ———————
(iii) Monthly income from movable and immovable property ———————
(iv) Monthly income of dependent family members ———————
(v) Any other monthly income ———————
Total monthly income of the family
———————————
409
c. If the total monthly income of the family arrived at as above is less than
60% of the last drawn gross salary (net of taxes) of the employee, ex-gratia
amount as under will be payable.
(i) The cadre-wise ceiling on ex-gratia amount payable will be as follows:
Category Maximum Amount
Officers ` 8 lakhs
Clerical staff ` 7 lakhs
Subordinate staff ` 6 lakhs
(ii) In case the monthly income of the family as calculated above is less
than 60 % of the last drawn gross salary (net of taxes) of the
employee, an ex-gratia amount calculated @ 60 % of the last drawn
gross salary (net of taxes) for each month of remaining service of the
employee (i.e., up to the age of superannuation in terms of extant
service rules/conditions) at the time of his death/incapacitation
subject to the cadre-wise ceiling of “Maximum amount” mentioned
under ( i ) above, will be payable.
d. In case of an employee seeking premature retirement due to total

incapacitation for work, the ex-gratia is payable only if all the extant
provisions for such retirement are fully satisfied and the retirement has
been approved by the competent authority specified therefor.
e. While dealing with proposals for grant of ex-gratia as above, in cases

where disciplinary action had been taken / was pending against the
employee dying in harness or the deceased employee was involved in
financial irregularities, embezzlement of funds, committing frauds etc., the
Banks will continue to abide by the guidelines issued by the Government
of India requiring consideration and decision in each case by the Board of
the Bank.
f. The ex-gratia amount in eligible cases will be paid within 3 months of receipt
of application, complete in all respects.
g. The ex-gratia relief under the above Scheme is not an entitlement but
may be granted at the sole discretion of the Bank looking into the financial
conditions of the family and in deserving and eligible cases only.
410
INSURANCE COVER FOR EMPLOYEES WHO
HAVE AVAILED STAFF HOUSING LOANS
[Source: H.O.Cir No.204/2004 dt.20.05.2004

H.O.Cir No.307/2004 dt.17/07/2004
H.O.Cir No.365/2004 dt. 30.08.2004
H.O.Cir No.525/2004 dt. 10.11.2004
H.O.Cir No. 543/2005 dt. 21.12.2005
H.O.Cir No. 744/2014 dt. 15.10.2014]
1.0 Eligibility:
All employees who have availed Staff Housing Loan/ Supplementary Staff Housing
Loan/ Enhanced Staff Housing Loan/ Enhanced Staff Housing Loan (New), and
have outstanding balance are eligible to be covered under the Scheme.
2.0 Coverage : upto 70 years:
3.0 Contribution towards premium:
3.1 Premium shall be payable on an annual basis, at the rate of `2.80 per
thousand rupees of Sum Assured. For the purpose of calculation of premium,
Sum Assured should be rounded off to nearest thousand rupees. The rate is,
however, subject to review from time to time and downward revision could be
considered by SBI Sampoorn Suraksha based on the actual experience in the
working of the Scheme.
3.2 An employee will have to pay the prescribed premium in respect of all his Staff
Housing Loan amounts. In other words, he/she does not have the option to cover
only a part of his total Staff Housing Loan liabilities such as only SHL or ESHL,
etc.
3.3 The premium payable for the first year of joining as per 2.3 above is to be
calculated pro-rata for as many number of months from the month of application
till August next year.
3.4 The Premium paid will not be refundable.
4.0 Sum Assured :
The Sum Assured shall be the sum total of the balance outstanding, including
interest, in the Staff Housing Loans of the employees [SHL/SSHL/ ESHL/ ESHL/
NSHL] as on the 31st March of the previous Financial Year. The maximum Sum
Assured shall not exceed `20,00,000/-. (Rupees Twenty Lakhs only).
411
5.0 Medical Checkup:
Medical checkup is not required to the employees upto the age of 65 years.
However, those employees have to give self-declaration on Good Health.
Employees aged above 65 years including the existing members of the scheme
have to undergo medical checkup. In such cases cost of the medical checkup
for the existing members will be borne by the insurer.
6.0 Termination of Membership :
Membership of the Scheme shall terminate upon the happening of any of the
following events:
a) Member ceasing to be in the service of the Bank for whatsoever reasons.

b) Closure of the Staff Housing Loans of the employee.
c) Member exercising his option at the time of Annual Date of Renewal to
withdraw from the Scheme.
7.0 Settlement of Claims :

7.1 In case of cessation of service of the employee due to resignation, retirement,
etc., the risk cover shall continue till the date of next Annual Date of Renewal
since the premium would have been remitted for that year.
7.2 In the event of death of the employee, the Sum Assured (balance outstanding,
including interest, under SHL a/cs as on 31st March of the Previous Financial
Year based on which the latest premium has been calculated and paid) would
be paid by the LIC of India to the Bank, which in turn, shall either adjust the
amount, towards the outstanding balance in the Staff Housing Loan accounts of
the employee or pay the amount to the Staff Provident Fund Nominee, in case
it is decided to permit continuation of the Housing Loan accounts.
7.3 In case it is decided to permit continuation of the Staff Housing Loan accounts,
the terms and conditions as stipulated by the Bank shall be complied with by the
Staff Provident Fund Nominee / Legal Heirs. It may be noted that in such cases,
the risk cover in respect of the Staff Housing Loans of the deceased employee
shall cease.
7.4 In case, however, a dependent has been appointed in the Bank on compassionate
grounds and the Bank has permitted transfer of the Staff Housing Loan accounts
of the deceased employee to such dependent and permission is also given to
continue the Staff Housing Loan accounts, such dependent employee shall have
an option to join the subject Scheme from the next Annual Date of Renewal.
412
8.0 Benefits of the Scheme :
8.1 No prior medical examination of the employee is necessary for joining the
Scheme, where the Sum Assured does not exceed `20,00,000/-.
8.2 Tax benefit under Section 88 of the Income Tax Act is available to the employees
for the premium remitted. Death claim proceeds are totally exempted from
Income Tax as per prevailing tax rules.
9.0 Submission of option letters by employees:
Employees who are desirous of joining the Scheme (as per 2.3 above) shall
submit, in triplicate their options as well as the details of their Staff Housing Loans
to the Branch/Office where they are working along with a Demand Draft drawn
on Mangalore favouring “Life Insurance Corporation of India” for the applicable
premium.
9.2 Where the Sum Assured exceeds `10,00,000/- the employee shall enclose
the original Full Medical Report given by the Medical Examiner, who is on the
approved panel of the LIC of India, after medical examination of the employee.
9.3 The Branch/Office, shall duly forward two copies of the option application/
details of the Housing Loans to the Branch where the Housing Loans of the
concerned employee are maintained, retaining a copy for their records. The full
Medical Report, in applicable cases shall also be forwarded along with the option
letters as aforesaid to the Branch where the Staff Housing Loan accounts are
maintained.
9.4 On receipt of the option application, such Branches shall note/confirm the
particulars of the Housing Loans, the outstanding balance etc. and thereafter
forward the original option application and details of the housing loans of
employee along with the Full Medical Report in applicable cases to PAD in an
envelope superscribed.
SHL - Jeevan Griha Raksha Options”, duly retaining a copy at the Branch.
10.0 General :
10.1 The SBI Sampoorn Suraksha will issue a Master Policy to the Bank incorporating
the terms & conditions under which the benefits are assured.
10.2 The Bank will act for and on behalf of the members in all matters relating to the
Scheme and every such act, agreements and notices given to the LIC of India
shall be binding on the members. There will be no individual communication as
to the renewal of policy.
413
10.3 The Personnel Administration Division, HO will arrange to collect details on
balances outstanding as on 30th June, on a yearly basis in respect of the optees
from the branches where they maintain their Housing Loan accounts and on the
basis of the information furnished by the branches, arrangements will be made
to recover the premium amount from the salary payable in the month of August
every year.
10.4 Addition of new members, upgradation /downgradation of Sum Assured, etc.,

will be made on the Annual Renewal Date (ARD).
10.5 The Bank may discontinue the Scheme at any time subject to giving 3 months’
notice to the members and the SBI Sampoorn Suraksha. Such discontinuation
will be effective from the ARD.
10.6 As the Scheme does not cover the insurance of the House/flat, the risks pertaining
to the property such as fire, lightning, earthquake, etc., are not covered.
10.7 The Scheme does not cover disability of the employee due to accident, etc.,
and as such only death claims will be entertained.
10.8 Corp Home liabilities and Corp Home loan availed in lieu of SSHL/for conversion
of SSHL are not covered under this Scheme.
10.9 It is obligatory on the part of the optees to inform PAD (IR), HO of any major
change in respect of their existing loan account/s like premature closure,
converting SSHL to Corp Home Loan, Converting Staff Housing Loan to Corp
Home Loan either on their own volition or due to resignation/ retirement etc.
10.10 The eligible amount deducted towards premium qualifies for deduction from
Gross Total Income under Section 80C (I). Hence the Branch Managers of
branches/offices where the optee employees are working shall take into account
the premium amount and allow admissible deduction under Section 80C(I) while
issuing F.16. Further, the Branch Managers shall take into account whatever
changes/modifications to the provisions of IT Act in this regard from time to time
and act accordingly.
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CORPORATION BANK EMPLOYEES’ VOLUNTARY
CONTRIBUTION SCHEME FOR DEATH RELIEF
[Source: HO.Cir.No.7/84 dtd.30.1.84]
1.0 Title:
The Scheme is known as “Corporation Bank Employees’ Voluntary Contribution
Scheme for Death Relief”.
2.0 Commencement of the Scheme :
The Scheme has come into force with effect from 1-3-1984.
3.0 Object :
The Scheme is designed to give monetary assistance to the bereaved family of
the constituent member (hereinafter called “member) who dies while in service
of the Corporation Bank (hereinafter called the “Bank”). The simplicity of the
Scheme lies in the fact that no monthly / yearly subscription is charged and no
funds are accumulated. Funds will be collected at the rates specified in para 6.0
below per member at the time of death of any member and given to the next of
kin as specified in para 7 below.
4.0 Scope :
The Scheme will cover all full time employees of the Bank irrespective of pay
scale or grade/ cadre, who have enrolled themselves as members of the Scheme
including whole-time Directors of the Bank. Membership of the Scheme is
voluntary.
5.0 How to become members :
The employees of the Bank will file an application form and an irrevocable letter
of authority (in triplicate). The letter of authority carries standing instruction to
the Bank to deduct a specified amount from the employee’s salary in the event
of death of any member.
New entrants who join the services of the Bank after introduction of the Scheme
will also be eligible to apply for membership by filling in the prescribed application
Form and Letter of Authority which should be delivered to the concerned branch
manager or departmental head.
6.0 Rates of voluntary contribution :
Rates of voluntary contribution to be made whenever any member of the Scheme
dies while in the service of the Bank will be as under:
Contribution from Executives - ` 15/-
Contribution from Officers - ` 5/-
Contribution from Clerks - ` 4/-
Contribution from Sub-staff - ` 3/-
415
Thus, under the Scheme there will be no monthly deduction on a regular basis.
Deductions as per the letter of authority will be made only during the month /
subsequent month in which any death of a member occurs.
7.0 Extent of Death Relief:
7.1 The voluntary contributions of the members (as per the letter of authority giving
irrevocable voluntary consent) will be pooled and aggregate amount paid to the
dependents of the deceased by way of death relief.
For the purpose of administration of the Scheme “Dependents” means the next
of kin of the deceased member as nominated by him / her for the purpose of
payment of his / her Provident Fund. If no such nominee is declared either due
to the employee not having been admitted to the membership of the Provident
Fund or for any other reason or the nomination has become invalid by application
of the rules of the Provident Fund, the benefit will be given to the family member
in the order of preference given below at the discretion of the committee.
a) Wife or husband of the deceased member,
b) Dependent children of the member whether married or unmarried in equal shares,
c) Dependent parents of the member in equal shares,
d) Brother / sister dependent on the member in equal shares,
e) Any other relation, wholly dependent on the deceased member at the
discretion of the Managing Committee constituted under para 7.3 below.
7.2 Cessation of Membership :
Membership will cease on resignation, termination, retirement, death, dismissal
or discharge from the services of the Bank.
7.3 Management of the Scheme :
The Scheme will be administered by a Committee appointed for the purpose
by the Managing Director / Executive Director of the Bank. The Committee will
have authority to take all the decisions regarding the operation / administration
of the Scheme. The decision of the Managing Committee shall be final and
binding. The Committee shall have power to make such rules as they deem fit
and proper for the administration of the Scheme.
8.0 Other Provisions :

8.1 Branches /offices are advised to send immediate information regarding the
death of a member. On receipt of the same the HO will take immediate steps
for advising the branches / offices to deduct the voluntary contribution from the
employees’ salary as per the letter of authority.
416
8.2 Based on the letter of authority filed by the employees, the deduction will be
under check-off system.
8.3 The Bank, will make payment to the family of the deceased member as
expeditiously as possible.
8.4 In the event of death of more than one constituent member in a particular
month, multiple higher amount not exceeding six contributions per month will be
collected from the salary of the employees, who are members of the Scheme.
The remaining contributions, if any, will be collected from the salary of the
employee in the succeeding month provided however the contributions during
any particular month will not exceed four. In such circumstances, the payment
will be made in the order in which the committee shall decide.
8.5 The amount payable under this Scheme upon death of the member will be the
same irrespective of the rank or cadre / grade of the deceased member.
8.6 The amount paid to the person entitled as per clause 6.0 will be intimated to all
employees through the Bank’s circular.
8.7 The contributions herein collected are voluntary contributions payable gratis to
persons entitled as per clause 7.1. and shall not be claimable by such claimants
as a matter of right and if any fund collected remains undistributed, the committee
may refund it to the respective members or hold and appropriate it against any
future contribution payable on death of any member.
8.8 The decision of majority of members of Managing Committee in respect of any
dispute or difference as to the meaning or interpretation of any of the clauses
of this Schedule or as to any claim arising under this Scheme, shall be binding.
If the committee for any reason finds that the deceased member has no nominee,
including cases where a nominee pre-deceases the decease member and / or any
dispute arises between the nominee and legal heir/s as the case may be, the death
relief amount earmarked in respect of the deceased member shall be deposited in
a cumulative interest bearing term deposit with Mangalore Pandeshwar Branch of
Corporation Bank, till such time the committee identifies the next of kin and the death
relief along with the accumulated interest, if any, shall be payable to next of kin, as
the case may be. The committee may authorise any two of its members to jointly
open, operate and maintain deposit accounts in the name of “Corporation Bank
Employees’ Voluntary Contribution Scheme for Death Relief Account (Deceased
member)” with our Mangalore Pandeshwar Branch.
417
PERSONAL ACCIDENT INSURANCE TO THE
EMPLOYEES OF THE BANK
[Source: HO:CIR:PAD:323/2001 dated 19.10.2001]
A scheme for providing on and off duty accident insurance to cover employees
in the case of death due to accidents had formulated by the Bank in the year 1989.
The said scheme also envisaged payment of compensation to employees in the case
of disablement.
Under the present Scheme Capital Sum Insured is revised as under:
Category Capital Sum Insured

( ` In Lakhs)
Clerical Staff 2.00
Sub-Staff/PTS 1.00
In addition to payment of compensation in case of death due to accidents, the

policy also covers disablement, both permanent and temporary. The brief particulars
of the covers and the procedure to be followed in this regard are furnished hereunder.
Personal Accident Insurance (Under Policy obtained from M/s. New IndiaAssurance
Company Ltd.)
I Brief particulars of the covers:
1.0 The Policy provides for payment of a certain amount, depending upon the Capital
Sum Insured for death or disablement of the insured person due to accident.
2.0 Benefits:
Case Compensation
a) Death only Capital Sum Insured (CSI)
b) Loss of two limbs, two eyes or CSI

one limb and one eye
c) Loss of one limb or one eye 50% of CSI
d) Permanent Total disablement from CSI

other than those named above (PTD)
e) Permanent Partial Disablement (PPD) % of CSI as mentioned below
418
Part lost Percentage of
Capital Sum Insured
i) Loss of toes-all 20
Great-both phalanges 05
Great-one phalanx 02
Other than great, if more than one toe 01
lost each
ii) Loss of hearing-both ears 75
iii) Loss of hearing-one ear 30
iv) Loss of four fingers and thumb of one hand 40
v) Loss of four fingers 35
vi) Loss of thumb-both phalanges – 25
One phalanx 10
vii) Loss of Index finger three phalanges 10
two phalanges or one phalanx
viii) Loss of middle finger three phalanges or 06
one phalanx
ix) Loss of ring finger three phalanges or 05
x) Loss of little finger three phalanges or 04
xi) Loss of metacarpals – first or second 03
third, fourth or fifth (additional)
xii) Any other Permanent Partial Percentage as assessed by the
Disablement Panel doctor of the Company
f) Temporary Total Disablement (TTD) at 1% of CSI up to 100 weeks
(maximum weekly benefits not
exceeding `5,000/- per week).
However limited to Capital Sum

Insured.
419
2.1 Additional benefit Benefit Amount
Expenses for carriage of dead Maximum of 2% of CSI or
body of the insured person `2500/-, whichever is lower
(death due to accident only)
to the place of residence.
3.0. Exclusions :
Some of the major exclusions are shown below:

The Policy does not cover death, injury or disablement resulting from:
a) Service on duty with any Armed Force.
b) Intentional self-injury, suicide or attempted suicide, insanity, veneral
diseases, AIDS or the influence of intoxicating drink or drugs. Medical or
Surgical expenses.
c) Aviation other than as a passenger (fare paying or otherwise) in any duly
licensed standard type of aircraft anywhere in the world.
d) Nuclear radiation or nuclear weapons material.
e) Any consequence of War, Invasion, Act of Foreign Enemy, Hostilities
(whether war be declared or not), Civil War, Rebellion, Revolution,
Insurrection, Mutiny, Military or Usurped Power, Seizure, Capture, Arrests,
Restraints and Detainments of all Kings, Princes and People of whatever
nation conditions or quality whatsoever.
f) Child birth, Pregnancy or other physical causes peculiar to the female sex.
g) Whilst committing any breach of law with criminal intent.
II. Procedure to be followed:
1. The documents prescribed by the Insurance company consist of the

Personal accident Insurance Claim form and the Medical Report. The claim
form is to be filled in by the employee, duly certified by an eye witness to
the accident. A medical certificate is also included in the claim form which
is to be obtained from the attending doctor. The Medical Report form which
is to be submitted in all cases involving
Permanent Total Disablement, provides for furnishing the full description

of the nature and extent of injuries, percentage of disability etc. Further,
documents like FIR, Post Mortem Report, Police Investigation Report,
Death Certificate and other such documents should accompany the claim
420
form, wherever necessary. A certificate from the Branch regarding the leave
availed by the employee should also accompany the claim form.
2. Immediately on receipt of information regarding the accident, the concerned

branch/office should collect the details and intimate the concerned Zonal
Office and Personnel Administration Division, Head Office, on receipt of
which an intimation will be given to the Insurance Company.
3. Claim form, duly filled in along with the supporting documents applicable
should be forwarded through the branch and concerned Zonal Office to
Personnel Administration Division, HO. Any delay for submission of the
claim due to unavoidable circumstances should be informed to this Division
so that the Insurance Company is duly intimated.
4. Zonal Offices should keep a register of the claims forwarded to Head Office
duly incorporating the details of the reimbursement of medical expenses
made, special leave granted if any, etc. Submission of insurance claim shall
be a pre requisite for sanction of reimbursement of medical expenses made
in the case of accidents while on duty.
5. The claim will be taken up with the Insurance Company by PAD H.O. The
full benefit of the claim will be passed on to the employee in all cases except
as mentioned in para 6 below.
6. In the case of accidents met with while on duty, the bank reimburses the
medical expenses in full and grants special leave for the period for which
the employee is not able to attend work. In such cases, if the case involves
temporary total disablement (TTD) and the claim is preferred for weekly
compensation, the claim amount will be released to the employee after
deducting the reimbursement already made by the Bank.
421
A. COMPENSATION TO THE FAMILY OF THE PERSONS KILLED IN BANK
ROBBERIES / TERRORIST INCIDENTS: [SOURCE:566/2012]
Contingencies under which compensation becomes ayable:-
(a) Death of an employee as a result of or during bank robbery and /or attacks
by terrorists including left-wing extremism on bank employees during as well
as after office hours, in any part of the country.
(b) Death of a person other than an employee of the bank as a result of or during
bank robberies and / or attack of terrorists including left-wing extremism on
bank.
COMPENSATION:
1. Quantum of lumpsum compensation payable to the family of the deceased:
(a) Employees:
Officers : ` 20 lakh
Clerical / Sub Staff : ` 10 lakh
(b) Persons other than employees: Lumpsum compensation of `3 lakh
2. Facility for educating the children of the deceased employee:
The educational expenses of the children of the deceased employee up to and
inclusive of graduation will be borne by the bank.
3. Employment on compassionate grounds:
(a) One member of the family of the deceased employee will be given
immediate appointment in accordance with the guidelines for “appointment
on compassionate grounds”.
(b) In case it is informed that no member of the family is able to immediately
take up the employment, the entitlement will be held in abeyance till one
of the members of the family becomes eligible for and is in a position to
take up such appointment.
(c) In cases where compassionate employment is not taken up, an amount
equivalent to the last drawn salary of the deceased is payable to the
family of the deceased employee till one of the children of the deceased
employee reaches 21 years of age or till the date on which the deceased
employee would have retired in normal course, whichever is earlier, subject
to the condition that no member of the family of the deceased is gainfully
employed elsewhere.
422
4. Loans in the name of deceased employee – Adjustment thereof:
Loans for housing etc. outstanding in the name of deceased employee would be
considered for being transferred in the name of the member of the family who has
taken up employment under compassionate grounds. In case no employment
under compassionate grounds is sought by the family of the deceased employee,
only the principal amount will be recovered from the compensation / other dues
payable waiving interest portion of the loan/s.
B. REWARDS FOR RESISTING DACOITIES / ROBBERIES ON BANK:
1. Any persons including our employees who actively resist bank robberies / terrorist
attacks on banks would be considered for a cash reward not exceeding `2 lakh,
which would be in addition to the compensation, if any, he / she may be entitled
to, under the provisions of various Acts / Rules applicable to him /her.
2. All expenses for treatment of injury caused during or at the time of resisting
bank robbery / terrorist attack on banks, including hospitalization of the victims
(bank employees / members of public / customers) will be borne by the bank.
3. Our employees who are granted a cash reward as aforesaid would also
be considered for an out of turn promotion provided that they fulfill the minimum
eligibility criteria stipulated for direct recruitees to the post irrespective of the
number of years of service rendered.
Employees who do not fulfill the eligibility criteria for being promoted would be
allowed 3 advance increments in their existing grade / scale on a permanent
basis.
423
CHAPTER - VIII
SCHEMES OF RECOGNITION
SUPPORT TO SELF DEVELOPMENT SCHEME
Our Bank introduced a scheme to support the academic initiatives of employees

by awarding one-time honorarium on acquiring specified educational qualifications
way back in 1985 vide HO Circular 117/85 dated 03.09.1985. The scheme envisages
placing each individual employee at advantage to identify personal developmental
plans and Organization acting as a facilitator in shaping their career prospects while
aligning the objectives of each such an initiative to the goals of the Organisation to
reinforce a symbiotic existence. Considering the dynamic academic scenario and ever-
changing requirements of the beneficieries, the scheme was revised subsequently in
terms of eligibility, scope, coverage, entitlement etc. Prevailing academic environment
and enormous opportunities thrown open for continuing education has further
necessitated a revisit to coverage of the scheme and a need is felt to further tune
the scheme guidelines to ensure its objectives meet our collective requirements of
present and future.
Salient features of the scheme:
1. New academic qualifications are included to provide a vide spectrum of avenues

for self-development. Majority of the courses offered by Indian Institute of Banking
& Finance included in the scheme.
2. Annual ceiling for eligible reimbursement stands enhanced to `15,000/-

with a corresponding increase in the overall ceiling during entire service to
`75,000/-.
3. Reimbursement of periodic renewal/revalidation/re-examination Fees in respect

of AMFI [Advisor’s Module] from Association of Mutual Funds in India/NSE-NCFM
and Certification in Depository Participant Module from NCFM permitted with
retrospective effect.
4. Reimbursement of annual certification maintenance fee in full applicable to

members of ISACA together with 50% of annual membership fee for those staff
members who have completed CISA Certification from ISACA under Support to
Self Development scheme.
424
5. All diploma/PG Diploma/PG Courses offered by University recognised by UGC,
other than those from IGNOU; are de-listed and stands removed from the scope
of the scheme.
Educational qualifications eligible for re-imbursements under Category-1 [Banking-

Academic Related Qualifications] and Category-2 [Banking-Business Related
Qualifications] along with category-specific administrative guidelines are furnished
as Annexure-1 and Annexure-2 respectively.
General Administrative Guidelines of the Scheme [Applicable for both Category

1 and Category-2 Qualifications]
1. The scheme offers reimbursement of Course Fee and Examination Fee on

acquiring listed qualifications along with cost of study materials/study kit if
integrated to course fee as per course prospectus. In order to reward meritorious
completion, the scheme offers category-specific one-time honorarium too. [The
scheme offers course/certification-specific higher level of re-imbursements for
qualification under Category-2].
2. The scheme shall have a combined ceiling of `75,000/- per staff member
during entire service towards reimbursement under the scheme on securing
qualifications listed under category 1 and 2. However, one-time honorarium for
meritorious completion of the course/diploma/certification, Early bird incentives
for securing Licentiate Examination, Associate Fellowship [AFII] & Fellowship
[FII] under Life & Non-Life from Insurance Institute of India [III] & Periodical
certification maintenance along with applicable ISACA Membership Fee will not
be included for arriving the ceiling.
3. Administration of the schemes shall be centralized at Personnel Administration
Division, Corporate Office. In respect of acquiring qualifications under the
scheme, personal records of the employee will be updated while releasing the
incentives.
4. Eligible reimbursement under the scheme shall be against production of
bills/voucher/receipts in original, including any proof on eligibility criteria to
the satisfaction of the sanctioning authority, after acquiring of professional
qualification supported by required undertaking to abide by the terms and
conditions of the scheme by the employee concerned.
5. Fees charged by the Institute/Association/University for lumpsum payment will
be the basis for computation of eligible amount.
425
6. The employees acquiring qualification under the scheme will be liable for
placement, suitable to the additional qualification/s acquired, to the best interest
of Bank.
7. Pursuing any course of study included in the scheme or otherwise shall not
come in the way of discharging their duties in the Bank.
9. All employees intending to pursue listed qualification other than JAIIB and CAIIB
from Indian Institute of Banking & Finance, for which a claim may materialize
at a future date, shall obtain prior permission from Personnel Administration
Division, Corporate Office.
10. Employees while claiming incentives under the scheme shall enclose all proof/
documents in original covering entire eligible fee remitted, Copy of the certificate
attested by Branch/Department Head, Copy of the permission to pursue the
course issued by Personnel Administration Division-Corporate Office along with
undertaking letter.
11. A retention period of three years in the Bank is specified from the date of
receiving such incentives and for breach thereof the entire amount, including
honorarium, memberships, maintenance fees, and such other fees/incentives
as the case may be availed under the scheme shall be made to refund.
426
ANNEXURE-1
Category [1]-Banking-academic Related Qualifications
Eligibility: The scheme under category-1 shall be open to all confirmed employees
under Award Staff and Officer category.
Eligible courses: Following Courses/Certification/Diploma/PG Diploma/Post
Graduation will be eligible under the scheme for reimbursement.
Sl Details of the Course
ourses in academic tie-up with Indira Gandhi National Open University [IGNOU]
C
and Indian Institute of Banking & Finance [IIB&F]
1 Master of Business Administration [Banking & Finance]
ourses/Certification/Diploma/PG Diploma from Indira Gandhi National Open
C
University [IGNOU]
1 Diploma In Management
2 Post Graduate Diploma In Management
3 Post Graduate Diploma in Human Resource M anagement
4 Post Graduate Diploma in Financial Management
5 Post Graduate Diploma in Operations Management
6 Post Graduate Diploma in Marketing Management
7 Integrative Course for conferment of MBA
8 Master of Business Administration [Excluding reimbursements already made for
completion of constituent Diploma/PG Diplomas, if any.
Courses/Certification/Diploma from Indian Institute of Banking & Finance [IIB&F]
1 Junior Associate of Indian Institute of Bankers [JAIIB]
2 Certified Associate of Indian Institute of Bankers [CAIIB]
3 Diploma in Treasury, Investment & Risk Management
4 Diploma in International Banking & Finance
5 Diploma in Banking Technology
6 Post Graduate Diploma in Financial Advising [PGDFA]
7 Certified Information System Banker [CeISB]
8 Certificate in Trade Finance [CTF]
9 Certificate Examination in AML & KYC
10 Diploma in Micro-Finance
11 Certificate Examination in Credit Cards
12 Certificate Examination in “Home Loan Advising”
13 Diploma in Banking & Finance
14 Certificate Examination in SME Finance for Bankers
15 Certificate course in Project Finance [In association with Institute for Financial
Management & Research]
427
In addition to general guidelines of the scheme, following specific administrative
guidelines will be applicable under Category-1 [Banking-Academic related
qualifications]:
1. Reimbursement of incentive shall have an annual ceiling of 15,000/, subject

to a maximum of 75,000/- per employee during the entire period of service.
(Overall ceiling 75,000/- fixed for reimbursement during entire service will be
inclusive of reimbursements under Category [2])
2. Reimbursement of fees in respect of courses offered by Indian Institute of Banking

& Finance will be restricted to such fees charged for the first block of minimum
attempts, if any; stipulated for employees from Member Banks or actual fee paid
by the employee, whichever is lower.
3. Certification maintenance fees/charges or other charges levied, if any, by the

certification agency/Institute/University subsequent to the Award of educational
qualification/s will not be eligible for reimbursement.
4. Any employee securing distinction will be awarded a one-time honorarium

of 1500/- for Certification/Diploma Courses, 2500/- for PG Diploma, Post
Graduate courses. [In the absence of any such stipulation in the Certificate
issued by the Institute/University, 80% and above will be deemed as a pass with
distinction].
5. Wherever Course fee/Exam fee and cost of study kit/s are integrated, as per
the course prospectus, full amount subject to applicable ceiling will be available
for re-imbursement. However, Cost of study kit, if specified separately in the
course prospectus, will be excluded while computing the eligible amount for
reimbursement.
6. Employee will not be eligible for special leave, travelling & halting expenses
for attending examination, Contact classes, practical sessions or any academic
related activities of whatever in nature.
428
ANNEXURE-2
Category [2]-Banking- business related qualifications
Eligibility: Following certification examinations will be classified under Category-2
[Banking- Business Related] with eligibility as furnished thereagainst in the table below:
Sl Course/Certification Eligibility
1 NSDL Depository Operations Module Employees working in DP /Designated

Certification from NCFM [Depository branches and those willing to be posted to
Participant Module] DP/Designated branches and all Marketing
Officers.
2 AMFI Certification [Advisors Module] All employees in Officer cadre only.
from AMFI/NCFM
3 Certified Information System Auditor All Computer Officers working at Information
from ISACA Technology set-up [IT Division, Zonal
Computer Centre, IAD, IAD Cell etc.].
Chartered Accountants in Officer category
up to and including Scale III.
4 Licentiate Examination, Associate
Fellowship [AFII] & Fellowship [FII] All employees in Officer cadre only.
under Life & Non-Life from Insurance
Institute of India [III].
Incentive Package for NSDL Depository Operations Module Certification from
NCFM, AMFI Certification [Advisors Module] from AMFI/NCFM & Certified
Information System Auditor [CISA] from ISACA:
1. Re-imbursement of Course/Examination Fee in actuals, subject to an overall
ceiling of 75,000/- fixed for reimbursement during entire service, including
reimbursements under Category-1. [Please note, annual ceiling under the
scheme will not be applicable to this category]
2. Special Leave for attending examination will be considered if only the examination
is conducted on a working day.
3. Actual journey days required to the nearest examination centre from the
workplace to attend the certification examination depending on the distance
from workplace will be considered as special leave, if the journey is undertaken
on a working day.
4. One time Honorarium of 1500/- [One thousand five hundred only] in case
of DP Module and AMFI Certification. However, employees securing CISA
Certification under the scheme will be eligible for a one-time honorarium of
5,000/-. [Please note, such one-time honorarium will be available for original
429
certification and will not be applicable for subsequent renewal/revalidation/
re-appearing for examination or certification.]
5. An additional honorarium of 5000/- [ Five thousand only] to those eligible
staff members under the scheme securing NSDL Depository Operations Module
Certification from NCFM or AMFI Certification [Advisors Module] from AMFI/
NCFM during 1st June 2008 to 30th May 2009.
6. Periodical renewal/revalidation/re-examination charges in respect of AMFI
[Advisor’s Module] from Association of Mutual Funds in India/NSE-NCFM and
Certification in Depository Participant Module from NCFM [validity period of five
years as on date] after the expiry of original term of the current certification.
[Please note, renewal/revalidation/re-examination fee in respect of AMFI
[Advisor’s Module] from Association of Mutual Funds in India/NSE-NCFM and
Certification in Depository Participant Module from NCFM will be reimbursed
with retrospective effect.]
7. Eligible staff members who have completed CISA Certification from ISACA
under Support to Self Development scheme will be eligible for reimbursement
of annual certification maintenance fees charged by ISACA as applicable to
ISACA Members in full and 50% of annual membership fees for such renewal/
maintenance/membership period commencing from 20th September 2008.
[Please note, such maintenance fee is reimbursable only to those who comply
with Continuing Professional Education Policy of ISACA.]
Incentive Package for Licentiate Examination, Associate Fellowship [AFII] &
Fellowship [FII] under Life & Non-Life from Insurance Institute of India [III]:
1. Re-imbursement of Examination Fee in actuals for Licentiate Examination,
Associate Fellowship & Fellowship in various branches under Life & Non-Life.
(Subject to an overall ceiling of 75,000/- fixed for reimbursement during entire
service, including reimbursements under Category- 1 [Qualifications - Banking
academic related).
Note: At licentiate examination level, candidates appearing for both under life and
non-life branch will be eligible for all re-imbursements eligible under the scheme.
However, under Associate ship, any one of the specializations like, Associate
Fellowship-Life, Associate Fellowship-Non life [Fire], Associate Fellowship-
Non life [Marine], Associate Fellowship-Non life [Miscellaneous] or Associate
Fellowship-Non life [General] etc. shall only be considered for support under
the scheme. Likewise, any one under Fellowship-Life or Fellowship-General
shall be considered for the support under the scheme for acquiring Fellowship.
430
2. One time Honorarium of 1500/- [One thousand five hundred only] each on
completion of Associate fellowship and Fellowship from the Institute. [Being an
entry-level examination, one- time honorarium will not be available on completion
of licentiate examination]
3. An additional Early Bird Incentive, as follows; to those eligible employees who

could complete the Associate Fellowship from Insurance Institute of India on
the first offered attempt but latest by October-November 2008 examination.
3.1 Reimbursement of Life membership fee of Insurance Institute of India.
3.2 Registration Fee for Licentiate Examination & Associate Fellowship.
3.3 Reimbursement of actual cost of course study material released by the

Institute for Licentiate Examination [3+1 courses] and Associate Fellowship
[6 courses].
3.4 An additional honorarium of 5,000/- [ Five thousand only] on completion

of Associate Fellowship.
Note: Early bird incentives under pare [3.1] to [3.4] will not be considered for
computing the overall entitlement of 75,000/- under the scheme]
In addition to general guidelines of the scheme, following specific administrative

guidelines will be applicable under Category-2 [Banking-business related
qualifications]:
1. Fees charged by the Institute/Association for payment of Examination/Course

fee in lumpsum will be the basis for computation of eligible amount and the
increase in the Course/Exam fee due to part payment will not be considered
for re-imbursement.
2. Certification maintenance fees/charges or other charges levied by the certification

agency/Institute subsequent to the Award of Certification other than those
mentioned under Para [5] and [6] above will not be eligible for reimbursement.
[In respect of reimbursements under [5] and [6], claims shall be submitted in
the prescribed format along with xerox copies of relevant certificates and proof/
receipts in original covering the entire amount.]
3. Travelling & Halting expenses for attending examination, Contact classes,

practical sessions or any course related activities of whatever in nature will not
be eligible for re-imbursement.
431
FACILITIES / CONCESSIONS FOR LEARNING HINDI
1.0 Cash Incentive Schemes for Passing Hindi Examinations
a. The above scheme is applicable to the employees:
i) Who have passed the Prabodh, Praveen, Pragya exams, Hindi

typewriting and Hindi stenography exams under Hindi Teaching
Scheme.
ii) Who has passed higher Hindi exams conducted by various Voluntary
Hindi Organisations only. Employees who have passed full fledged
degree in Hindi as a major / special subject /post graduate degree
in Hindi conducted by various Universities are not eligible for cash
incentives.
iii) Who have passed elementary level exams conducted by different

Voluntary Hindi Organisations which are equivalent to the
examinations mentioned above i.e. Prabodh, Praveen and Pragya.
iv) Who have passed the exams Prabodh, Praveen, Pragya, Hindi
typing or Hindi stenography under Hindi Teaching Scheme by
correspondence course conducted by the Central Hindi Training
Institute or the Central Hindi Directorate.
b. Amount of Incentives:
Amount of incentives shall be payable to the aforesaid categories of

employees on passing of the various exams at the following rates.
Category ‘A’ : Employees whose mother tongue is Hindi and who can
express themselves well in Hindi.
Category ‘B’ : Employees whose mother tongue is one of the following

languages – Urdu, Punjabi, Kashmiri or other allied
languages.
Category ‘C’ : Employees whose mother tongue is one of the following

languages – Marathi, Gujarati, Bengali, Oriya, Assamese
or other allied languages or Sindhi.
Category ‘D’ : Employees whose mother tongue is any of the South

Indian Languages or English.
432
GRANT OF INCENTIVES TO EMPLOYEES OF PUBLIC SECTOR BANKS
FOR PROGRESSIVE USE OF HINDI IN BANKS-REVISION IN RATES
Please refer to our Cirulars No. 263/88 and 173/90 dated 10.08.1988, 25.05.1990 and
H.O. Circular No. 100/2000 dated 10th April, 2000 respectively advising the details
of the schee and the amount of incentives payable to staff members on passing of
various examinations in Hindi under the Hindi Teaching Scheme of the Department
of Official Language, Ministry of Home Affairs, Government of India.
In continuation of the above we advise that IBA has since revised the cash incentive
payable to employees on passing various Hindi examinations. The revised rates are
as given below & w.e.f. from 1st January, 2010:
For Employees in Categories

Areas
A & B ( ) C&D( )
Existing Revised Existing Revised
A. Prabodh exam. under Hindi 250/- 2,000/- 500/- 4,000/-
Teaching Scheme
B. Praveen examination of Hindi 250/- 2,500/- 500/- 5,000/-
Teaching Scheme
C. Pragya examination of Hindi 300/- 3,000/- 600/- 6,000/-
Teaching Scheme
D. Examinations which are conduct by 300/- 3,000/- 600/- 6,000/-
the voluntary Hindi Organizations
and recognized by the Govt. of India
(Ministry of Education and Social
Welfare) as equivalent to or higher
than the matriculation examination
E. Hindi Diploma Course conducted by 300/- 3,000/- 600/- 6,000/-
Central Hindi Directorate
F. Hindi Tying / Hindi Stenography 300/- 2,500/- 500/- 2,500/-
Examination
G. Banking oriented paper in Hindi of IIBF 300/- 3,000/- 300/- 3,000/-
H. In addition to the honorarium paid
English Typists English
for acquiring proficiency in typing/
Stenographers
Stenography in Hindi Regional
language, Hindi incentive allowance
80/- p.m. 160/- p.m. 120/- p.m. 240/- p.m.
to English typists and stenographers
who do typing or stenography work in
Hindi respectively in addition to English
433
1.1 All the above incentives are paid as a one time honorarium which will not rank
for DA, PF, Bonus etc., and also not be liable for Income Tax since the amount
is of a casual and non-recurring nature.
1. An employee is eligible for cash incentives for passing any three exams
during the period of his entire service.
2. Reimbursement of Exam. Fee / Tuition Fee / Course Fee :
2.1 Exam Fee :

Examination fee is reimbursed by the bank for the following exams.
1) Hindi Prabodh, 2) Praveen, 3) Pragya conducted under Hindi Teaching
Scheme, 4) Prabodh, Praveen, Pragya, Pravesh and Parichaya exams
conducted by the Central Hindi Directorate correspondence course and Hindi
Typing/stenography examinations conducted by the Government of India or
State Governments, provided –
a) he appears for all the papers of the exams including viva voce.
b) he has claimed for reimbursement of the fees in respect of the exams on
two occasions provided they pass the course on second attempt.
2.2 Course Fee :

In respect of Prabodh, Praveen, Pragya, Pravesh and Parichaya exams. conducted
by the Central Hindi Directorate through correspondence course and the Hindi
typing/stenography examinations conducted by the Government of India or State
Governments, the course fee is reimbursed on production of attendance certificate
by the head of the Training Centre / Course Director provided –
i) the employee has appeared for all the papers of the exams. ii) he has
completed his course / training iii) he has claimed for reimbursement of
course fee in respect of exams. for the first time.
2.3 Tuition Fee / Admission Fee : (Cir No.137/12 dt. 10/03/2012)

In the case of Prabodh, Praveen, Pragya, Pravesh and Parichaya exams
conducted by the Central Hindi Directorate through correspondence course,
and the Hindi Typing/Stenography exams conductor by the Government of
India or State Governments, tuition fee / admission fee will be reimbursed on
production of certificate from the Directorate / Institution after the completion
of the training / course that the employee has attended the classes regularly/
completed the course successfully and appeared for the exam. The tuition
fee / admission fee of 2,000/- will be reimbursed only once for each exam.
434
2.4 Honorarium for Teaching Hindi Typing / Stenography :
If an employee of our bank works as part-time instructor for teaching Hindi typing
and stenography to our employees, he/she shall be eligible for honorarium as
under:
‘A’ Region:
If the number of trainee employees is upto 5, 100/- p.m. and if the number is
more than 5, 200/- per month.
‘B’ Region :
‘C’ Region :
2.5 Honorarium for Translation Work:
The Bank is paying honorarium as per the following rates to carry out translation
work of the Bank.
150/- for every 1000 words of general nature.
175/- for every 1000 words of technical nature.
2.6 Writing Original Books in Hindi : (H.O.Circular No.165/94 dated 23.06.1994;
152/2004 dated 07.04.2004)
The Reserve Bank of India Committee on Co-ordination of Training in Hindi,
CAB Pune has formulated a scheme of incentives for encouraging writing of
books in Hindi. The name of the scheme is “Scheme for writing Original Books
in Hindi on Banking Subjects”. The employees whose proposal is approved by
the said committee will be eligible for a grant of 10,000/- by the Bank.
3.0 Conveyance charges / Travelling Expenses Pertaining to Hindi Classes &
Exams:
3.1 Actual conveyance charges from Bank to Training Centre and back will be paid to
the trainees subject to the condition that it is by the cheapest mode of transport
and is by the shortest route (paid only once for a course).
3.2 Travelling allowance would be paid to employees attending the exams conducted
by the Government of India including Government sponsored bodies, provided
the employees produce a certificate to that effect from the hall supervisor. TA
in this case is paid only if there is no local centre for the exams. conducted (will
be paid second time if necessary).
435
3.3 Travelling allowance (i.e. by II Class train / bus fare) by the shortest route will
be paid to members sponsored by the banks for attending contact programmes
conducted by the Central Hindi Directorate (paid only once).
3.4 The facilities available under points 3.1, 3.2 and 3.3 will be available to the
employees when they are attending Central / State Government sponsored
training programmes and exams. connected therewith.
3.5 The employees are expected to prepare for the exams. outside their working
hours. No special leave, study leave, halting allowance etc., will be paid for
appearing at any of these exams.
1. Once the candidate chooses to join the classes, attendance in classes
and appearance in immediately following exam. is compulsory.
2. Treating the absence of employees on duty for attending Hindi Classes
and appearing for various Hindi exams :
4.1 Our employees are permitted to attend during working hours –
i) Classes of Prabodh, Praveen Pragya, conducted by our STC or Hindi
Teaching centres
ii) Hindi Typing/Stenography classes conducted by Institution sponsored by
the Government of India or State Governments.
iii) For attending personal contact programme conducted by the Central Hindi
Directorate.
4.2 The absence of employees to appear for exams. (1) Prabodh, Praveen, Pragya,
Hindi Typing, Hindi Stenography, Pravesh and Parichaya exams conducted by
the Ministry of Home Affairs / Central Hindi Directorate is treated as on duty
provided the employee appears for the exams. at a centre nearest to his place
of work (including the period of journey).
1. For attending classes / appearing for exams, conveyance/ traveling
allowance shall be payable. In case, the exams/ classes are conducted
after office hours, no overtime shall be payable merely on the ground that
it is treated as on duty.
2. Supply of Books :
5.1 Necessary books will be supplied to all the employees attending various Hindi
exams. under Hindi Teaching Scheme on returnable basis, wherever possible.
1. If the books supplied are lost or torn, full cost of the books should be
reimbursed by the employees.
2. Claim for Cash Incentives & Sanctioning Authority.
436
6.1 For claiming the cash incentives, the employee will fill in the prescribed form
accompanied by certificate / Xerox copy of the certificate, mark-sheets and
submit the same through the branch/office to the O.L.C of the concerned Zonal
Office/ Head office, as the case may be. The concerned Official Language Cell
will recommend the case and forward the claim to the respective sanctioning
office i.e. for employees at branches the concerned ZO’s and for the employees
at HO, IIBD, STC, SPF, and Printing and Stationery Section, the claim along
with recommendations of concerned O.L.C may be forwarded to PAD, HO, for
sanction. The sanctioning offices will approve the claim and inform the branches/
offices concerned for release of the incentives.
1. Claims for the actual conveyance charges and travelling allowance for
attending the classes and for appearing at exams, on passing the exams
supported by attendance certificate / hall ticket, as the case may be, should
be forwarded to respective Zonal Office for sanction. ZOs shall sanction
the claim after verification of attendance certificate / hall tickets, as the
case may be. For the employees of HO, SPF, STC, Printing and Stationery
Section, the sanctioning office shall be PAD, HO.
2. Reimbursement of Incidental expenses to staff members attending
the training (Circular No.327/2004 dated 28.07.2004 and Circular Letter
No.11/2005 dated 14.09.2005 - Circular No.11/2005 dated 14.09.2005)
Staff Members (officers and clerical staff) undergoing training in Hindi
Prabodh / Praveen / Pragya or in Hindi Typewriting / Stenography shall be
eligible for reimbursement of reasonable amount of incidental expenses
incurred by him / her that on account of deputation for Hindi Training as under:
1) Deputation to Training Centre at Mangalore : `30/- per day
2) Deputation to Training Centre / Branch/ Office at
a) Mumbai and other major ‘A’ class cities : `50/- per day
b) All other CCA Centres : `30/- per day
The staff members who are locally deputed to attend Hindi Workshops
and the personal contact programme under correspondence course are
also eligible to claim the reimbursement of incidental expenses as above.
Incidental expenses are also payable for attending the examinations
conducted within the head quarters under the Hindi Teaching scheme,
certificate and Diploma Exams of Central Hindi Directorate or any other
examination conducted by the recognized institute for imparting usage
knowledge in Hindi or for representing the Bank in a Hindi Competition
conducted by Local TOLIC or other institutions in which the staff members
appears on instructions from the Bank.
437
8.0 Reimbursement of Conveyance / Halting Expenses for attending
examination at outstation centre:
Employees who have to attend Hindi Prabodh/ Praveen/ Pragya or Hindi
typewriting or Hindi stenography examinations at outstation centres will be
eligible for reimbursement of conveyance expenses by the cheapest mode
of transport (bus /II class train) and by the shortest route provided the centre
chosen is nearest to the head quarters or place of work of the employee. They
will also be eligible for halting allowance as per rules. In such cases no incidental
expenses will be reimbursed.
Various schemes & incentives pertaining to usage of Hindi
Introduction :
The Government of India has formulated various schemes to be implemented in all
the Central Government Institutes including Nationalised Banks with a view to promote
usage of Hindi in Official work. Our Bank has also formulated various scheme in line
with the Government guidelines which are mentioned below:
Corp Rajbhasha Puraskar Yojana :
(Circular No. 275/90 dated 14.09.1998 & 429/2005 dated 14.09.2005)
A scheme of Cash Award has been instituted to benefit all members of the Bank
for the Official Language Implementation work in the Bank by them. The Scheme is
applicable to ZOs and HOs. Each region will be treated as a separate unit and HO as
a separate unit. Officers/employees of all categories who do their official work wholly
or partly originally in Hindi can participate in the scheme.
Only these officers / employees will be eligible for award who write at least 20,000
words in Hindi in a year in Region - ‘A’ (i.e. Himachala Pradesh, Rajasthan, Madhya
Pradesh, Chattisgarh, Bihar, Jharkhand, UP, Uttaranchal, Delhi and Union Territories
of Andaman & Nicobar Island) at least 15,000 words in Region ‘B’ (i.e. Gujarath,
Maharashtra, Punjab and Union Territory of Chandigarh) and at least 8,000 words in
Hindi in a year in Region ‘C’ (which comprises all other states and Union Territories
except covered under Region ‘A’ and ‘B’).
The following cash awards will be given to the participants every year according to
the work done by them in Hindi.
Prize No. Amount
I Prize 01 ` 2,000/-
II Prize 01 ` 1,500/-
III Prize 01 ` 1,000/-
Consolation Prize 07 ` 500/-
438
INCENTIVES FOR PROMOTING SMALL FAMILY
[Source: H.O. Circular 553/87 Dt. 11-12-1987]
1. Those employees who themselves undergo or whose spouses undergo

sterilisation operation as a measure for promoting the small family norms are
eligible for the incentives.
2. The quantum of cash incentives are as under:
a) For an employee with 1 child/2 children : ` 500
b) For an employee with three children : ` 400
c) For an employee with more than three children : ` 400
2. The employees must be within the reproduction age group. In the case of male
employees, this would mean that he should not be over 50 years and his wife
should be between the age group of 20 to 45 years and vice versa.
3. The steralisation operation must be conducted and a certificate to that effect
must be issued by the competent authority of the hospital.
4. The term hospital for this purpose would mean any institution which has been
registered as a hospital or a nursing home with the local authorities and is under
the supervision of a registered and qualified medical practitioner.
6. The Certificate must contain the following details:
a) Name of the person on whom the operation was conducted.
b) Nature of the operation.
c) Date on which the operation was performed.d) Number of children the
employee had on the date of operation.
5. Where both the spouses are employed either in the same institution or in different
institutions, only one of them is entitled to claim for cash reward. A declaration
to this effect is to be given by the employee.
6. Applications for cash incentives are to be submitted to respective Zonal Offices.
7. Claims should be submitted within 6 weeks from the date of undergoing the
operation.
8. Reimbursement of hospitalisation expenses in connection with sterilisation
operations shall be as per the Bipartite Settlement.
9 . Special leave for sterilisation operation is explained under Chapter IX (Other
Service Conditions) of this Book.
439
SCHEME FOR HONOURING SENIOR EMPLOYEES ON THEIR COMPLETING
25 YEARS OF UNBLEMISHED SERVICE
[Source: HO/Cir/59/92 dated 26.9.92, 274/92 dtd.20.8.92,
300/95 dt.22.8.95, 213/2000 & 735/2009]
1.0 Eligibility :
i) Employee with 25 years of ‘unblemished service’. The term ‘unblemished
service’ would mean that no penalty/ punishment (other than censure /
warning) has been imposed upon him during the immediately preceding
3 years or rigour of penalty was in operation, whichever is longer. The
Award could be released after the debarment period is over.
ii) The leave record of the employee should be non-assailable. In other words,
all leave availed by the employee should have been duly sanctioned.
2.0 Award
The Award may be in the form of an article like wrist watch, silver salver or any
other article of employee’s choice costing an amount not exceeding `5000/-
irrespective of the fact whether the recipient is an Award Staff or an Officer.
3.0 Presentation of the Award
3.1 The Award may be presented by the Branch Manager in the case of employees
working in branches while Zonal Manager / Assistant General Manager in charge
of Zones may present the Award to employees working in their respective office.
Eligible employees working in Head Office and other Offices may be presented
with the Award by the Heads of Department/ Office concerned.
3.2 The award may be presented by arranging a simple function at the Branch/
Office / Department concerned attended by all the employees working in the
Branch/Office / Department, as the case may be.
3.3 It may, however, be noted that in the case of branches, the presentation of the
award may be made during their monthly staff meeting.
3.4 Light refreshments may be served during the function and for this purpose
an expenditure not exceeding `20/- per employee in the case of metropolitan
centres, `15/- per employee in the case of centres other than rural and `10/-
per employee in the case of rural centres may be incurred. While no separate
ratification is necessary for the refreshments served, expenditure incurred for
the purchase of article presented to the employee should be reported to the
respective Zonal Office for ratification. The cost of the article presented and
the expenses incurred towards refreshment may be debited to Miscellaneous
Expenses Account at the respective branch / office.
440
GUIDELINES FOR EXTENDING BENEFITS TO SPORTS PERSON
EMPLOYEES OF THE BANK
[Source: Cir No.368/2011]
Level of Participation :
1. Group-A :
Employees participating in Inter – State, National and International Meets and
representing the Sate, Zone (comprising two or more States) and the country
are covered under this category.
1.1 Nature of Leave :
On duty Special leave is permissible for participation in local / out station
tournaments of above nature, for the period of actual days of participation in
the tournament and the journey period, if any.
1.2 Travelling Expenses :
For participation in outstation tournaments, actual to and fro conveyance
expenses by the mode and class of travel as applicable to Junior Management
Grade Scale I Officers will be reimbursable. Employees above rank of JMGS
I are eligible for Travelling Expenses as applicable to their Cadre/ Scale.
Reimbursement of traveling expenses for local tournaments is not permissible. In
case the sportsperson is required to travel abroad for participation in international
events to represent country, the quantum of reimbursement will be decided on
case to case basis by Chairman and Managing Director and in his absence by
Executive Director.
1.3 Halting Allowances :
Halting Allowance as applicable to Junior Management Grade Scale I officers is
payable. Employees above rank of JMGS I are eligible for Traveling Expenses
as applicable to their Cadre/ Scale. For local tournaments no halting allowance
is payable. In case the sportsperson is required to travel abroad for participation
in international events to represent country, the quantum of Halting Allowance
will be decided on case to case basis by Chairman and Managing Director and
in his absence by Executive Director.
1.4 Out – of - Pocket Allowance :
Out of Pocket Expenses including local conveyance expenses actually incurred,
if any, and any other expenses of whatever nature shall be payable, without
reference to vouchers/ bills, not exceeding:
i) `200.00 per day if the tournament is held in Major ‘A’ class cities.
ii) `100.00 per day if the tournament is held in other centers.
441
The payment in this regard can be made on the basis of the claims made by the
players, subject their undertaking. Out of pocket expenses are over and above
the halting allowances payable as mentioned above.
2. Group-B :
Employees participating in the events conducted at District, Inter District/ Zone
and State level are covered under this category. Special leave and other benefits
are not available for participation in the events organized/ conducted at the local/
taluk level.
2.1 Nature of Leave :
On duty Special leave is permissible for participation in local / out station
tournaments of above nature, for the period of actual days of participation in
the tournament and the journey period, if any, subject to a maximum of 30 days
per annum (non cumulative).
2.2 Traveling Expenses :
For participation in outstation tournaments, actual to and fro conveyance
expenses by the eligible mode and class of travel as applicable to the cadre of
the employee will be reimbursable as per rules / settlements. Reimbursement
of traveling expenses for local tournaments is not permissible.
2.3 Halting Allowances :
Halting Allowance as applicable to the cadre of the employee will be reimbursable
as per rules /settlements. Reimbursement of Halting Allowance for local
tournaments is not permissible.
2.4 Out - of - Pocket Allowance :
Out of Pocket Expenses including local conveyance expenses actually incurred,
if any, and any other expenses of what ever nature, shall be payable, without
reference to vouchers/ bills, not exceeding:
i) `200.00 per day if the tournament is held in Major ‘A’ class cities.
ii) `100.00 per day if the tournament is held in other centers.
The payment in this regard can be made on the basis of the claims made by the
players, subject their undertaking. Out of pocket expenses are over and above
the halting allowances payable as mentioned above.
Note : The overall limit on number of days of special leave for participation
in sports events is 30 days per annum (non-cumulative). The number
442
of days of special leave availed will not be reckoned for computing
privilege/ sick leave as in case of privilege leave. Special leave can not
be combined with casual leave.
3. Additional Facilities/ Benefits extended to Sports person employees :
3.1 Time Off :
A time – off of 12 hours for daily practice in the afternoon is permitted.
3.2 Uniform and Kit :
The following items are provided to all participants who participate in various
District/ State/ National level Sports Meets :
i) One pair of tracksuit costing not more than `1,000.00, once in two years.
ii) Sports kit once in two years, consisting items commensurate with
sportsperson’s specialization, l ike athletics, weight lifting, cricket etc. The
sports person should seek prior approval for the items selected by him/
her by submitting quotation from an authorized sports shop/ outlet and
having CST/KST/VAT regn. no. The sanction of the sports kit amount rests
with the General Manager, HRM, HO only.
Note: Sportspersons claiming any of the above facilities should submit proof
of their participation in any of the activities under Group “A” or “B”,
during the previous two years from the date of claim.
3.3 Kit Money/ Allowance for participation in international events :
1. The Chairman and Managing Director and in his absence Executive
Director may, at his discretion, grant kit money to a sportsperson employee,
if he/ she is selected to participate in international tournaments, in case
the sponsoring organization/ association is not sanctioning the kit money
and confirms the same. The claim should be supported by a certificate
from sponsors and is restricted to `10,000 once in 2 years.
2. The Chairman and Managing Director and in his absence Executive
Director may, at his discretion, grant out of pocket expenses to the
employee participating in international tournaments, subject to a maximum
of `5000.00 in case the sponsoring organization/ association is not able
to meet the expenditure.
4. Special Leave for other activities related to sports :
4.1 Pre-participation coaching camps :
Sportsperson employees selected for undergoing conditioning camps/ coaching
camps after their selection to participate in the events of National / International
443
importance may be released on duty as per the request from the Association/
Federation concerned. The benefits/ allowance in this case are as applicable
under Group A.
4.2 Pre-selection trials/ camps :
Special leave within the overall limit of 30 days is also available in the following
cases :
i) For participation in pre-selection trials connected with sports events of
National/ International importance.
ii) For attending training camps held in connection with sports events of
National/ International importance. However, such coaching camps should
be organized by National Institute of Sports, Patiala or National Sports
Federation / Sports Boards recognized by All India Council of Sports.
Traveling and out of pocket expenses as available under Group B are
payable in these cases.
4.3 Mountaineering/ Trekking Expeditions :
i) Special leave facility for mountaineering / trekking expeditions may be
granted by the Bank provided the expeditions are approved by the Indian
Mountaineering Foundation.
ii) The special leave facility for mountaineering / trekking expeditions shall
not exceed 30 days and will be restricted once in the employee’s entire
career. This facility is available even to those employees who are not
recruited under Sports Quota. These employees should apply for on duty
special leave as per format in annexure – IV.
iii) For such expedition there should be approval of the Indian Mountaineering
Foundation and a certificate should be produced of having participated in
the approved expedition.
4.4 Participation as Coaches/ Umpires/ Referees/ Officials :
When the employees of the Bank are requested by the State/ National
Association or Federation to take part in the Sporting events of National/
International importance as referees, umpires and officials etc., they will be
eligible for special leave, traveling allowance and out of pocket expenses as
specified under Group B.
It may however be noted that the requests for special leave under this category
will be considered only when the duties assigned to the employees as officials
444
require professional competence on their part in respective sports field. The
intention is to grant special leave to a qualified person who is actively involved
in conduct of the tournament and is required on the ground or with the team and
not to a person who is associated in a honorary or decorative capacity such as
a member of the Reception Committee, Refreshment Committee etc.
4.5 Sustaining injuries while participating in tournaments/ practices :
When a sports person employee receives injury while representing the Bank
in a tournament or practicing as a part of the Bank’s team and not as a part of
any other team or as an individual, he/she will be extended all the benefits as
are available to employees who sustain injuries in the course of duty. All other
cases will be examined on a case to case basis.
5. Application for Special Leave/ duty release :
Permission to participate in sports events/ selection trials must invariably be

obtained from this office sufficiently in advance. The application should be
forwarded through respective Zonal Office/ Division for our consideration.
Applications received after events or not sufficiently in advance or not through

proper channel will not be entertained.
Applications seeking permission should contain full details such as :

a) Name of the event,
b) Date, venue and fixture of the event,
c) Name & address of the Organizers of the sports event,
d) Name & address of the State/ National Sports Organization to which the
Organizers re affiliated,
e) Whether the said State/ National Sports Organization has been recognized
by All India Sports Council.
A copy of the invitation from the Organizers or a copy of the notification issued
by the organizers should accompany the application. Forwarding authority is
required to offer specific recommendations while forwarding the application.
After the completion of the sports event the employee concerned should forward
following documents as proof of his/ her participation, within 7 days of resuming
duty, failure which his/ her subsequent request for any facility under the scheme
will not be entertained.
a) Copy of participation certificate issued by the organizers,
445
b) Copies of the Certificate of Merit, if any, won at the sports event, c) A brief
report on his/ her performance in the sports event,
d) News paper clippings, if any, published in leading dailies regarding the
sports event,
Format of the application is furnished as annexure – IV. All applications in

future must be in the format only.
6. Submission of TA Bills :
Claims for payment of TA and other allowance/ expenses as applicable must be

submitted to the respective Zonal Office/ sanctioning authority within 7 days of
resuming duty. The following certificates/ declaration must be enclosed while
submitting TA bills :
a) Leave sanction letter,
b) In case out station travel is involved, Journey tickets or details thereof,
like ticket no., date & place of where tickets were booked, destination, fare
etc.
c) Participation Certificate obtained from Organizers,
d) Declaration as per format given in annexure – V.
7. Facilities to Veteran Sportspersons : (New Clause)
7.1 Veteran Sportspersons are defined as sportspersons who have played /

participated in a particular sports discipline at the International/ National level
in the past and are over 35 years of age.
7.2 Sportsperson employees who retire from active sports arena, will be eligible for
the facilities applicable to Veterans for till the age of 40 years.
7.3 Veteran sportspersons may be granted time off facility after business hours, two
months prior to participation at a veteran’s event at the National/ International
level for preparation against specific invitation from the Recognized Veterans’
Federation/ Association of a particular discipline to participate at the National /
International level in a particular event.
7.4 Sportspersons selected by the State Veterans’ Federation of a particular

discipline to represent the State at National level or to represent the Country
at the International level are eligible for Special Leave and other facilities as is
being provided to active sportspersons.
446
8. De-categorization :
8.1 The Sports Board of the Bank shall review the performance of sports person
employees who are recruited under the scheme for recruitment of outstanding
sports persons, every year. For this purpose the sports person employees who
are recruited under the said scheme have to forward their sports performance
reports to Head Office every year on or before 31st January of the succeeding
year as per format in annexure - III.
8.2 After review of the performance of each sports person employee, in case the
sports Board observes that there is continuous decline in the level of performance
of any sport person employee during the past 2 years, it may recommend for
de-categorization of such sports person employee.
8.3 The de-categorized sports person employees will not be eligible for the benefits
such as Time off, Uniform and kit, Kit Money etc. besides benefits as applicable
to veteran sportspersons.
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I. Guidelines for Recruitment of Sportsmen/ Women Employees for the Bank :
1. Posts identified for the appointment :
The appointment shall be made in the following categories:
a) Sub-Staff category b) Clerical category & c) Officers category
2. Eligibility Criteria :
Category Age Educational Sports Qualification

qualification
SubStaff 18-26 8th pass- Should have represented the district in

12th fail a state level event or should have
participated in an All India School event
in the games identified in the scheme.
Clerical 18-28 12th and above Should have participated in State level/
National level events with distinction in
the games identified in the scheme
Officers 20-30 12th and above a) Should have represented the

cadre in Country in the games identified in
JMGS I the scheme
b) For Cricket - should have played in
Ranji/Deodhar/Irani/Duleep trophy
Any degree a) Should have represented the state

at least for 3 years, in the games
identified in the scheme
b) For Cricket - should have played in
Ranji/Deodhar/Irani/Duleep trophy
Officers in Higher In exceptional cases, the Board may consider

Grade/Scale appointment of a sportsperson, who has won gold medals
for the country in International Sports events
in a higher grade.
Probationary a) Sub-staff and Clerical cadre 6 months.

Period b) Officers cadre 2 years.
448
3.0 Games identified for the purpose of appointment :
1 Foot ball 11 Table Tennis
2 Hockey 12 Bodybuilding
3 Volleyball 13 Weight lifting
4 Basketball 14 Acquatics
5 Cricket 15 Kabaddi
6 Athletics 16 Kho Kho
7 Tennis 17 Chess
8 Badminton 18 Shooting
9 Wrestling 19 Boxing
10 Shuttle Badminton 20 Judo
4.0 The Sportsmen/Women seeking appointment in the Bank shall under go the
selection process to be conducted by the Bank.
4.1 On appointment the Sportsmen/Women will have to give an undertaking to the
effect that :
a) he/she will represent the Bank in sports etc., whenever called upon to do
so.
b) he/she will work in the Bank for a minimum period of 5 years.
c) he/she she will not represent any other club without prior permission of
the Bank.
II. Guidelines for Out-of-Turn Promotion of Outstanding Sportsmen/ Women
Employees :
With a view to encourage the sportsmen/women employees the scheme for
out - of - Turn promotion from Sub-staff to Clerical and Clerical to Officers cadre
in JMGS I and within the Officers cadre is proposed as follows :
1. Eligibility Criteria in the Sports events :
Should have won Gold Medal for the Country in an International Sports event/s.
or
Should have represented the state at the National (Junior/Senior Nationals/
National Games) for 3 years.
or
Should have represented a Zonal level event with a medal winning performance.
or
Should have played for 3 years in Ranji/ Deodhar/Irani/ Duleep trophy in case
of Cricket.
449
2. Other eligibility criteria :
Players who have actually played on the field ONLY are eligible. Sports
performance after joining the services of the Bank shall be reckoned and the
employees with a minimum of two years of service only are eligible.
3. Only one out-of -turn promotion would be given in the entire service of the
Sportsmen/ Women Employee.
4. Sportsmen/Women Employee who on promotion to higher cadre will have to

give an undertaking to the effect that :
a) he/she will represent the Bank in sports etc., whenever called upon to do
so.
b) he/she will work in the Bank for a minimum period of 5 years after promotion.
c) he/she will not represent any other club without prior permission of the
Bank.
III. Guidelines for grant of Special Increments to Sportsmen/ Women Employees

for achieving excellence in National/ International Sports events :
1. It is proposed to award with out-of-turn increments for achieving ‘excellence’
in National/International sports events and for this purpose excellence
would mean: “winning of medal/award/prize for his/her having actually
played National or International event and for his/her individual merit in
an event and not merely on account of his/her participation in the event
as a member of the winning team.”
2. In the case of team events “excellence” would mean the sportsmen/women
winning a prize/ medal/award for his/her individual performance i.e., being
declared as ‘man of the match’, ‘man of the series’ or scoring a winning
goal etc., and not merely on account of his/her participation in the event
as a passive member of the winning team.
3. The total number of increments to be awarded to an individual shall not
exceed five in his/ her entire career.
4. An employee granted with special increments as above would continue to
draw the same till retirement and the same would count for the purpose
of retirement but not for pay fixation on promotion.
450
TRAINING
The Bank is periodically imparting the following training to the employees at the STC/
Zonal STCs.
Name of the Programme Duration Days
FOR CLERKS / SPL. ASSTS.
1. Induction 6 days
2. Marketing for front line staff 3 days
3. Credit & Documentation 4 days
4. Branch Banking 4 days
5. Product Awareness & Customer Service 3 days
6. Orientation to procedure 3 days
7. Core Banking Solutions 3 days
8. Awareness Programme 4 days
9. Personnel Development Programme 3 days
10. Pre-promotion Training for SC / ST 6 days
11. Transformation 2 days
12. Product Awareness & Professional Etiquette 3 days
13. Programme on Soft Skills with Etiquette,
Grooming & Communication 1 day
14. Programme for Retiring Employees 2 days
SUB - STAFF
1. Parichay 2 days
2. Excellence in Customer Service 2 days
3. Pre promotion Training 3 days
4. Transformation 2 days
5. Programme on Soft Skills with Prof. Etiquette,
Grooming & Communication 1 day
PTS
1. Workshop for Part time Sweepers 1 day
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CHAPTER - IX
OTHER SERVICE CONDITIONS
GUIDELINES ON TRANSFERS
Whereas Award Staff are transferable to any branch/office of the Bank within the
State/language area and whereas transfers of employees are effected depending
upon the overall needs of the Bank with reference to its business requirements and
administrative exigencies, the following broad guidelines will be followed, as far as
possible, with regard to the transfers and postings :
Rotational Transfers :
1 Such of the employees belonging to clerical cadre who complete a term of 4 to

5 years at a particular branch/office, will be considered for rotational transfer
to another branch/office. Such transfers will be made, as far as possible, to
a branch/office within the district or to a nearby branch/office in the adjacent/
nearby district/s.
2 Rotational transfers of employees are normally finalised and orders are issued
during March/April every year. Generally, a period of 15 days is allowed before
the employees are relieved on transfer except in the case of local postings.
3 However, the vacancies caused during the year on account of additional
sanctions, opening new branches, resignations, retirements etc., and postings
on appointment as Special Assistants and consequential vacancies thereof, will
be filled as far as possible by requests and in the absence of any requests the
same will be filled by transfers from the nearby branches.
Request Transfers:
4. All request transfer applications should be submitted as far as possible, by

20th February of each year; such applications will be acknowledged for
consideration, at the earliest opportunity available, subject however to the
conditions stipulated as under:
a) Request for transfer shall be normally considered only after the employee
puts in a minimum of 2 years of service at a place; this stipulation of
2 years will not be strictly made applicable in the case of married ladies.
b) In the case of employees who are transferred to a place of their choice on
request, subsequent request will be considered normally after a period of
3 years.
452
c) Applications for transfers on compassionate grounds such as death,
serious illness in the family, etc. will be considered on priority basis at the
Management’s discretion.
5. Any request from an employee whose spouse is working in other Public Sector
undertaking or any other Company/Establishment, will be considered to the
place where her/his spouse is working as per the Government guidelines in the
matter.
6. In case both husband and wife are our employees, they will be posted to a place
where the Bank has more than one branch/office.
7. Number of request transfers shall be normally limited to 3 in the entire service
of an employee.
8. An employee who is aged 55 years and above will be transferred to a place of
his/her choice or to place nearer to the place of his/her choice.
9. The management agreed that there will not be any transfer of Award staff out
of the City/Town on account of computerisation of the branches and in places
where the bank does not have more than one branch, staff displaced if any, may
be considered for transfer as per the existing transfer guidelines on rotational
transfers.
10. The management also agreed that there would not be any retrenchment/transfer/
redeployment of Award Staff out of the existing city/town on account of installation
of ATMs and in places where the bank does not have more than one branch,
staff displaced if any, may be considered for transfer as per the existing transfer
guidelines on rotational transfers.
453
SPECIAL LEAVE/SPECIAL CASUAL LEAVE
[Source : HO Cir. No. 19/80]
In Case of Injuries on Duty
In case of injuries sustained by a workman in course of his duty besides full
reimbursement of medical cost and hospitalisation expenses over and above his
normal entitlement, he shall also be given special leave for the period of his absence
required for treatment.
For Exercising Franchise (Election)
During parliamentary or assembly elections, where the Central or State Govt. have
advised granting of special casual leave to its employees for exercising their franchise,
similar facility of special casual leave on the same terms and conditions may be
allowed to the employees of the Banks.
For Joining duties in civil defence/ Home Guards etc.
The absence of employees, who are called by the Civil Defence/Home Guard
Authorities to perform the duties/work as volunteers in civil defence and as home
guards during office hours, may be treated as on special leave provided a request to
that effect is made by the said authorities.
For Family Planning
a) 6 days special casual leave to male employees for undergoing sterilisation
(vasectomy operation)
b) 14 days special casual leave for female employees who undergo non-puperal
tubectomy operation.
c) One day special casual leave to female employees who had IDU insertions.
d) 7 days special casual leave to male employee whose wife undergoes nonpuperal
tubectomy operation, subject to the production of medical certificate from the
Doctor who has performed the operation, to the effect that the presence of the
employee is essential for the period of leave to look after the wife during her
convalescing after the operation.
e) An employee developing post-operative complication after sterilisation may
be granted special leave to the extent of the period for which he or she is
hospitalised for such post operative complications, subject to production of
necessary certificate from the concerned Hospital Authorities/ Authorised Medical
Attendant.
f) An Employee is not entitled to special casual leave after maternity leave, if the
sterilisation operation/ recanalisation was done during the maternity leave.
454
For Blood Donation
a) One day special casual leave is to be granted for the day the employee donates
blood, subject to the production of a certificate from the medical officer of the
hospital where he has donated the blood.
b) If the employee donates blood after office hours, he is to be granted one day
special casual leave on the next day, if the next day does not happen to be
holiday or weekly off.
For Attending courts or enquiries
Special leave is granted to employee, who is summoned to attend courts or
departmental enquiries outside the Bank for giving evidence on behalf of the Bank.
For the period of accident while playing for the bank
Special leave is to be granted to employee who meets with an accident/sustains injury
while playing for the Bank in an official tournament or while representing in a team at
the State or National Level in any tournament for the period he is required to remain
absent from his duty due to injury sustained by him.
For non-attendance due to curfew
a) Where an employee was not able to attend the office on account of imposition
of curfew either at the place of residence or at the place of work, the absence
should be treated as special casual leave.
b) If the curfew was imposed only for a part of the working hours either at the place
of residence or at the place of work, the employee who attended office during
the non curfew part of working hours should be treated as having attended for
the full day and the absence of those employees who did not attend during the
non-curfew hours should be adjusted against their usual leave.
c) This special casual leave is provided only where it is physically impossible to
attend office. This leave is also granted when it is impossible to reach office
from curfew bound area which falls between the route from residence and office
of the employees and it is also not possible to reach office even avoiding such
route and the Government authorities have not permitted employees to travel
through curfew bound area.
d) Breakdown of public transport system or natural calamities or civil commotion
or any other cause beyond the control of the Bank.
455
If the closure of the Bank is necessitated for reasons of natural calamities such
as fire, rains, deluge or civil disturbances such as riots or any other cause beyond
the control of the Bank, only appropriate leave including casual leave, but not
special leave, should be granted to bank employees in terms of paragraphs 511
of the Sastry Award.
e) Absence of employees due to bundh, morcha, strike, rail/rasta roko etc. organised
by various political/religious and other parties, unconnected with the banking
industry:
i) In all cases where the bundh etc., is supported, co-sponsored or actively
assisted by bank employees or their affiliated union/association, action
should be taken against employees who absent themselves from duty by
effecting ‘Wage cut’ on the basis of the principle ‘No work No pay’.
ii) In all cases where the bundh etc., is not supported/co-sponsored or

actively assisted by bank employees or their affiliated union/association
if an absenting employee give a letter stating that he was not a member
of any union/organisation which gave the call for the bundh etc., and he
did not participate in the bundh etc., but could not attend the office due
to non-availability/disruption of transport facilities, physical prevention or
obstruction or other legitimate reasons, his appropriate leave account may
be debited.
456
GRIEVANCES REDRESSAL COMMITTEE
[Source: H.O. Circular 307/90 H.O. Circular 374/98]
1. The Grievances Redressal Committee/Cell would be in addition to the existing

formal administrative channels available for grievance redressal.
2. Any workman aggrieved or not satisfied with the decision or action from the
Branch or Zonal Office or any other office or Head Office may refer the matter
to the grievance cell, for redressal.
3. All individual grievances of workmen in the matter of the interpretations of their

service conditions, excluding disciplinary matters & issues relating to collective
bargaining, come within the purview of the grievance cell. They are:
a) Scales of pay including fitment, increments and recovery of dues.

b) Allowance of all types viz., special allowance, D.A., H.R.A., officiating
allowance and other allowances.
c) Medical aid and hospitalisation expenses.
d) Leave matters
e) L.F.C.
f) T.A. and halting allowance.
g) Sanction/Disbursement of staff loans.
4. Grievance Cell consist of an officer from PAD, H.O. to coordinate the functioning
of the grievance machinery and to assist the Grievance Committee in its
functioning.
5. The Grievance Cell shall acknowledge the receipt of the grievance and shall
collect, wherever necessary, the relevant records, process the same and place
before the committee.
6. An employee has to forward his grievance in the prescribed format, to the

Grievance Cell. PAD., H.O., Mangalore, either directly (through proper channel)
or through the authority in respect of whose decision/action the grievance is
preferred. If the form is sent through the said authority, it shall forward the same
within 3 days from the date of receipt thereof, together with his comments thereon
and the relevant documents to the cell.
457
7. If a grievance arises out of an order given by a competent authority, the said order
shall be complied with before the workman concerned invokes the procedure
laid down for preferring his grievance to the cell.
8. The Grievance Redressal Committee shall consist of 6 representatives, 3 each
from the management and the recognised workmen Union viz., Corporation
Bank Employees’ Union.
9. The committee shall examine the issues relating to the grievance and make
their recommendations.
10. Minutes of the proceedings of the committee are recorded and signed by the
members of the committee.
11. Normally, the Grievance Committee meets once in a month. But in case of an
extraordinary circumstances, the committee may have more than one meeting
in a month.
458
ROTATION OF DUTIES AT BRANCHES
Source: Routine Procedure 47, BID Cir 18/78, BID Cir 10/83, H.O. Cir 274/86,
H.O. Cir 77/87, H.O. Cir 223/91,
H.O. Cir 46/92, H.O. Cir 127/95,
H.O. Cir 210/95, H.O. Cir 302/96
H.O. Cir 219/99, H.O. Cir 30/2009
1 Duties of the employees are rotated at periodical intervals to provide adequate

work exposure to each and every one.
2 Rotation of duties are also aimed at preventing frauds.
3 Certain duties at branches attract special allowances and regular rotation of

department works ensure smooth and equal distribution of such allowance
amongst all eligible employees of the branch.
4 The duties of clerical staff like Departments on counter, Cash Dept., Operation
of Computers, Clearing section etc., are to be rotated once in four months.
5 Duties of Special Assistants & Officers are to be rotated once in a year.
6 It is stipulated that the duties of Clerical Staff and Supervisory Staff are not rotated
simultaneously, to ensure that there is no disruption in the smooth functioning
during the transition period due to the absence of continuity in guidance in the
department.
7 Duties of the probationary clerks are to be rotated from desk to desk during
their probationary period, to enable them to work in all the departments, under
the guidance of a senior clerk.
8 While rotating the duties of supervisory staff, it is to be noted that, in case of joint
key holders of the branch, who happen to be senior most officers in the branch,
there shall be no rotation of duties of joint custody unless they are transferred
out of the branch or replaced by officers senior to them.
9 During the first six months of the probationary period of Officers directly recruited,
the Branch Managers should ensure that these officers are rotated in key
Departments and they work under the guidance of senior officers to enable
them to get fully acquainted with various facts of branch operations.
10 Clerical duties attracting special allowance excluding officiating allowances,

should be entrusted based on the seniority of service of the employee at the
branch level.
459
11 A seniority list of all clerical employees reckoned from the respective date of
their joining duty at the branch should be maintained at all the branches.
12 No weightage for educational qualifications should be given for determining the

seniority as above.
13 Special allowance duties like Cash Dept. etc., can also be entrusted to Typist-
cum-clerks, provided the typing work is not disturbed.
14 As far as possible, duties attracting special allowance should not be entrusted

to probationers.
15 In the absence of any separate category of clerical staff employees to do such

duties, the Typist-cum-Clerks (including Hindi Typists) can be entrusted with the
special allowance duty of telex operation on rotation with other Clerks.
16 Clerical staff can forgo special allowance duties on their written unwillingness
towards the same. But such an action will forgo the special allowance.
17 The employees who are interested and have greater involvement in fields like
marketing consumer banking, credit follow up and other special functions can
be assigned with such duties to suit their aptitude and in case, such employees
are found to be effective and successful, they can be allowed to handle such
functions for longer duration also, instead of four months’ stipulation.
18 The details of the rotation of duties of all the staff members as effected from
time to time, should be noted in book No. 37 and this book should be maintained
upto date.
19 The prescribed yearly statement on rotation of duties should be submitted by 10th

October every year to the concerned Zonal Office, detailing the duties entrusted
to the clerical and supervisory staff members during the period from 1st October
to 30th September.
20 In the matter of effecting the temporary placements during leave, absence of

employees etc., the Manager of the branch has to take his decision, based on
the practice adopted at the respective branches.
21 Managers, while distributing works to the staff, must ensure best utilisation of
the available manpower for smooth functioning of the branch.
22 The last and foremost point is that the Department allocation must be handled
in such a way that it fosters a sense of cordiality and harmony amongst all the
employees.
460
MONTHLY STAFF MEETING AT THE BRANCHES
[Source : HO CIRCULAR NO.12/2009]
1.0 Meetings of Staff shall be held at all Branches and Offices every month. Notice
of meeting is to be given a week in advance with agenda.
2.0 The Monthly Staff Meeting as a forum of sharing the developments within the
banking industry in general and the bank in particular is found to be highly
effective to enable employees feel connected and important. It is said, the better
informed is the staff, the better decision they will make.
3.0 The Forum is also made use of in celebrating or sharing the joy of birthdays,
wedding anniversaries and success stories of staff and their family members.
4.0 By organizing such meetings, the staff members also get opportunity to
involve themselves in various activities such as preparing summary of circular
instructions issued by the Bank during the preceding month for presenting them
in the Meeting, to put forth suggestions to improve working and cost reductions,
to get intimate knowledge about process changes introduced by the Bank, if
any, new product and services etc. It is a learning experience for all the staff
members. Thus Staff Meetings provides the key to unlock the door to self and
team improvement and helps to bring about overall effectiveness in the Branch
Unit performance.
5.0 Minutes of Staff meetings must be recorded and kept in a separate file at the
Branch/Office. This may be undertaken by the second line officer of the branch/
office. Copy of the minutes is to be sent to respective Zonal Offices.
6.0 The dates of such meetings are to be noted in the branch performance record.
7.0 The branch manager should take necessary follow-up action on the suggestions
received from the employees and the same is to be reported in the next meeting.
8.0 The Branches/Offices may also refer to HO Circulars bearing No.13/1994 dated
12/01/1994 and 494/2007 dated 30.06.2007 for details regarding the agenda,
process of conducting Staff Meetings, drawing of minutes and reporting system
etc. as the case be.
461
CUSTOMER SERVICE COMMITTEE
[Source: HO Cir No.687/2007]
Customer Service Committee is one of the important functional mechanisms of the
branches to oversee the level of service rendered by a branch to its clients and
advise the officials to improve the level of satisfaction of clients by suggesting ways
and means. Customers’ Committee is a catalytic agent in transforming the clan of
“satisfied customers” of a branch into “delighted ones”.
The various guidelines about formation and functioning of the Customer Service
Committee are furnished below:
Formation of Committee: Each branch, including specialised branch and each Zonal
office of the bank shall constitute the Customer Service Committee on 30th Sept.
every year. The committee shall be re-constituted every year. The Committee shall
consist of the following members.
Chairman: Head of the branch or the office or the Zone (permanent).
Convener: Person next to the Branch/Zonal head (permanent).
Members: One member from Officer to Senior Manager Cadre and two members
from clerical and Spl. Asst. Cadre (Rotational). One member from amongst customers
and one member from amomgst the Senior Citizens customer category.
Term of the Committee: The committee formed on 30th September of the year will
be from 1st of October of the year to 30th Sept. of the next year. Thereafter fresh
committee shall be constituted.
Reporting of Committee Formation: All the Branches shall inform their Zonal Offices
about the date of formation of the committee, with names, E.Nos. and designation of
the committee members.
Zonal Offices shall inform similar details of the Zonal CSC to CSD, H.O. Mangalore.
Periodicity of the meeting: All the Customer Service Committees must meet at
least once in a month without fail. The committees may meet more than a month to
discuss any particular urgent agenda of importance.
Notice of meeting: Every member of the committee must be given a notice of the
meeting with agenda at least 24 hours before the meeting.
Agenda of meeting: The purpose of the Customer Service Committee meeting
is to plan, implement and monitor various measures for improvement of customer
satisfaction in the office. The convener of the meeting may decide the agenda of the
meeting. The following matters may be included in the agenda.
i) Approval of minutes of the previous meeting.
ii) Monitoring of implementation of decisions taken in the previous meeting
462
iii) Discussion on complaints and suggestions received from clients subsequent to
the last meeting. This includes complaints/suggestions received from clients of
the branch at ZO/HO level and referred to the branch.
iv) Discussion about minutes of the ‘Customers Meet’ organised during the quarter.
v) Deficiencies pointed out in the inspection reports, Zonal Head’s branch visit
reports, surprise verification reports in the area of customer service.
vi) Findings of the internal and the external surveys on customer service and
customer satisfaction, communicated by the ZO/HO.
vii) Commendation letters received from customers on excellence in customer
service.
viii) Dissemination of information from circulars/letters/newsletters received from
ZO/ HO on customer service.
ix) Review of compliance of Goiporia Tarapore Committee recommendations in the
office/ branches.
x) Review branch of any codes of Bank’s commitment to customers.
xi) Review of infrastructure, amenities, assets for better customer satisfaction.
Expenses: Branches, Zonal Offices are permitted to incur expenditure for serving
refreshment to the committee members within the overall ceiling of `20/- per head.
Actual Conveyance expenses incurred by the member from customer and Senior
Citizen for attending the meeting may be reimbursed.
Maintenance of Records: A separate register should be maintained by all branches
and Zonal offices.
Reporting of meetings: Xerox copy of the minutes of monthly meeting of CSC should
be sent by the branches to the respective Zonal Office by 5th day of the following
month. Similarly the Zonal Offices should submit the copy of the minutes of monthly
meeting of the Zonal CSC to the Head Office by the 5th day of the following month.
A quarterly report giving the dates of Customer Service Committee Meetings held in
the branches during the quarter with details of action taken on the decisions taken in
these meetings should be sent by the branches to respective zonal offices within 5
days after the close of the quarter, in the specified format.
Zonal offices should send similar quarterly reports to Head Office within 15 days
after the close of the quarter. The Zonal Offices should give their observations about
implementation of decision arrived in the CSC Meeting in the branches. On the basis
of the above reports of the ZOs, CSD, HO., has to prepare a report and place it before
the Corporate Customer Service Committee every quarter.
463
CONSTITUTION OF OFFICIAL LANGUAGE IMPLEMENTATION COMMITTEE
AT BRANCHES/OFFICES
[Source : H.O. Circular 265/92, 181/99 & 260/2000]
An Official Language Implementation Committee is constituted at all the branches/
offices under ZOs and functional units at HO to review the progress achieved by
the Bank at various levels in the implementation of Official Language Policy of
the Government of India in the respective units. At HO, the OLIC shall have the
General Manager, under whom the OL Division is functioning, as the Chairman of
the Committee. The Senior Manager, OL Division shall be the Member Secretary.
The DGM, OLD, will be a permanent member. Two more executives preferably DGM
(PAD), DGM (HRD & Training) will be other members of the OLIC. For every meeting
of the OLIC at HO, two more DGMs/AGMs shall be invited as invitee member with
the approval of the Chairman of the Committee.
The Branch / Office/Divisional/Departmental Head shall be the ex-officio Chairman and
the Hindi Liaison Officer shall be the ex-officio Member Secretary of the committee.
The other members can be co-opted by the Chairman of the committee subject to
the following conditions :-
a) The maximum number of members in a committee shall not exceed 6
including the Chairman and the Member Secretary. However, at Zonal
Offices, the maximum number of members can be 8.
b) The quorum shall be the Chairman, the Member Secretary and half the number
of other members.
Convening the quarterly meetings of OLIC
All the branches & other offices including Currency Chests, STCs IIBD and Division /
Departments at Head Offices are advised to convene the quarterly meetings of OLIC.
Further guidelines in this regard are as follows :
a) The meeting should definitely be convened under the presidentship of the
Chairman of the committee.
b) Only one meeting is required to be convened during the first week of the month
following the quarters ending June, September, December and March.
c) The date of the meeting should be communicated in advance to the OL Section
of the respective Zonal Office or OL Division, HO, as the case may be.
d) The local branches/offices located in the area of a Zonal Office may once in a
year invite the Zonal Head and/or the OL Officer/Manager of the Zonal Office
for the meeting, subject to his/their convenience and availability.
464
e) Agenda items/notes are to be prepared in advance and should be forwarded
to the OL Sections of respective Zonal Office/OL Division, H.O. The review on
observations of quarterly progress reports, received from the Zonal Offices,
branch visit follow ups received from the Zonal Office, check lists from IAD
pertaining to OL implementation at branch/office received through Zonal Office
etc. are, inter alia, to be discussed in the meeting and remedial measures should
be taken and implemented to rectify the shortcomings pointed out in the review
reports.
f) For preparation of agenda items/notes, the branches/offices can seek assistance/

guidance from the OL Officer/Manager of the Zonal Office, the Division/
Department may consult the OL Division for guidance.
g) After each meeting a detailed minutes signed both by the chairman and the
Member Secretary of the committee should be sent to OL Section, ZO/OL
Division, HO within 7 days from the date of the meeting.
h) As per rules, the minutes is required to be prepared in bilingual (Hindi & English)
form. However, the branches/offices can prepare the minutes only in Hindi. But,
minutes shall not be prepared in English only.
Incurring Expenses in connection with the meeting of OLIC
The competent authority has approved extending the facility of incurring expenses
in connection with the meeting of OLIC as applicable in the case of staff meetings.
The following rates applicable in the case of staff meetings as communicated vide
H.O. Circular No. 102/2000 (Index No. 21.00/01/2000) dated 19th April 2000 shall be
applicable in this regard :
AREA EXPENDITURE PER HEAD
Branches/Offices located in Delhi, Mumbai, Calcutta, ` 25/-

Chennai, Ahmedabad, Bangalore & Hyderabad
Branches/Offices located in all other Urban Centres ` 20/-
Branches/Offices located in Semi-Urban & Rural ` 15/-

Centres
The above rates will be applicable to OLIC meetings in all the branches and other
offices including Zonal Offices/Currency Chests/STCs/IIBD and Divisions/Department
at Head Office.
465
CHIEF LIAISON OFFICER FOR SC/ST/PH/EX-SERVICEMEN EMPLOYEES
OF THE BANK
[Source: HO CIRCULAR NO.86/2011]
As per the Government of India guidelines an executive in the rank of a General

Manager from Corporate Office has to function as Chief Liaison Officer for SC/ST
employees of the Bank. The Chief Liaison Officer, assisted by an SC/ST Cell, interalia
ensures due compliance of the orders and instructions pertaining to the reservation and
other benefits admissible to SC/ ST employees and takes steps for prompt disposal
of the complaints/ grievances if any, of the SC/ ST employees. He would also be the
Liaison Officer for Physically Handicapped and Ex-servicemen employees.
CHIEF LIAISON OFFICER FOR OBC/MINORITY COMMUNITY EMPLOYEES

OF THE BANK
[Source : HO CIRCULAR NO.87/2011]
As per the Government of India guidelines an executive in the rank of a General

Manager from Corporate Office has to function as Chief Liaison Officer for OBC
employees of the Bank. The Chief Liaison Officer, interalia ensures due compliance of
the orders and instructions pertaining to the reservation and other benefits admissible
to OBC employees and takes steps for prompt disposal of the complaints/ grievances
if any, of the OBC employees. He would also be the Liaison Officer for employees
belonging to Minority Community.
Further to the above, in line with the directions issued by the Government of India,
Ministry of Finance that a separate Liaison Officer may be nominated at appropriate
Zonal / Regional levels, it is hereby informed that all the Zonal Heads have been
designated as Liaison Officers for OBC employees at their respective Zonal levels,
by the Competent Authority, to interalia monitor the implementation of the reservation
policy in favour of OBC employees and also to coordinate appropriately with the Chief
Liaison Officer for OBC employees at Head Office level.
466
FELICITATION ON RETIREMENT
[Source H.R.D. Circular 48/83, H.O. Circular 292/92 & 16/2013]
1 Whenever an employee retires from the service, a small farewell function may
be arranged at the respective branches/offices on the date of his relief.
2 The concerned zonal Manager, wherever possible, would participate at such
functions.
3 The terminal benefits like P.F., Gratuity due to such employees be paid to them
at the function.
4 PAD Head Office will furnish the complete biodata of the employee to the
branch/ office to enable them to felicitate the outgoing employee in the proper
perspective.
5 At the farewell party arranged to felicitate such employee, they may be garlanded
and light refreshments may be served to the employees working in the said
branch/office.
6 The retiring employee shall be awarded with a memento costing `7,500/-
7 The above expenditure incurred is to be debited to Misc. Expenses A/c.
8 The Branch/Office should send a brief report on conclusion of such functions
to PAD, H.O. Mangalore.
SPORTS COUNCIL OF THE BANK

[Source: H.O. Circular 38/39 Dated 24-01-1989]
1 Sports Council functions from the Head Office of the Bank, for encouraging
sports/cultural/recreational activities amongst the employees and to extend
financial assistance to sports activities in the bank.
2 The management of the sports council is vested with a committee of 4 executives/
officers duly nominated by the Chairman and Managing Director of the Bank.
3 Records pertaining to the conduct of the meetings etc., will be maintained by
the Manager, M.P.P.D of PAD, who will be the member secretary of the council.
4 The objectives of the Sports Council are as under:
a) To encourage sports, cultural/literary/recreational activities among all the
employees of the bank.
b) To advice in respect of policy matters relating to recruitment of sportsmen/
women and the facilities extended to them.
467
c) Receiving of applications from the sportsmen/women for employment in
the bank under the sports quota and its scrutiny.
d) Considering the applications/requests from the employees for establishing
sports/recreational clubs.
e) Recommending grants to be given to such sports/recreational clubs.
f) Formulating policies with regard to grant of time-off for practice, special
leave, T.A./H.A., personal sports gear etc., to the sportsmen/women
employees in the bank.
g) To advise in the matter of promotion of games/sports in the rural areas.
h) To advise in the matter of organising sports events particularly in rural
areas and instituting rolling shields/prizes to encourage rural sports.
i) Suggesting ways and means to develop/promote sports/games recreational/
cultural activities in rural areas.
j) To sponsor candidates for the sports events/competitions held by the
Bank’s Sports Board and organise/associate with any sports meet under
the auspices of the Bank’s Sports Board.
k) To draw up specific plans for implementation of suggestions made by
the Dept. of Youth Affairs and Sports, Govt. of India, from time to time for
encouragement of sports/games.
l) Any other related matters for development of sports/games in the bank.
BRINGING EXTERNAL PRESSURE ON SERVICE CONDITIONS

[Source Cir. No. 25/2005, 06/2006, 012/2007, 1099/2008,
207/2010, 413/2011 & 644/2012]
The Employees may prefer their grievances in the matters of their transfers, postings,
disciplinary matter, promotions and various other service conditions to the appropriate
authorities in the Bank. However, employees are resorting to bring outside pressure
including political, in furtherance of their cause, on matters relating to transfers and
other service conditions.
Employees are, therefore, exhorted not to bring any outside pressure, including political
pressure on the Executives/Top Management seeking undue favours in matters relating
to transfers, promotions and other service conditions and such action on the part of
the employees will be viewed seriously by the Bank and such intereference will not
in any way, weigh in favour of the employees concerned.
468
GIST OF FACILITIES/RELIEF AVAILABLE TO AWARD STAFF ON
RETIREMENT/ AVAILABLE TO SPOUSE/LEGAL HEIRS OF AWARD STAFF
WHO DIE IN HARNESS.
Nature of Facility/Relief Entitlement Authority for disbursement/
sanction to be approached
A. ON RETIREMENT
1. Provident Fund Accumulated The Secretary, Staff Provident Fund,
balance Head Office, Mangalore.
2. Pension including As per Pension The Asst. General Manger, Pension Fund,
Commutation of Pension Regulations Corporation Bank, Head Office, Mangalore
(only in case of pension optees)
3. Gratuity As per Gratuity The Secretary, Corporation Bank, Gratuity
Rules Fund, Head Office, Mangalore.
4. Leave Encashment As per relevant The Asst. General Manager, PAD,
(Subject to workman having rules Corporation Bank, Head Office, Mangalore
privilege Leave to his credit)
5. T.A. For shifting to place of As per relevant The General Manager, PAD, TA rules
settlement Corporation Bank, Head Office, Mangalore
6. Reimbursement of Medical `3,500 per — do —
expenses of retired employees/ financial year
spouse on declaration basis
7. Employees Savings Linked Accumulated The Asst. General Manager PAD
Insurance Scheme with interest Savings together Corporation Bank, Head Office, Mangalore
8. Group Term Insurance Scheme
9. Holiday Home Facility
B. DEATH
1. All facilities/Relief mentioned
under [A] 1, 2, 3, 4 (Family
Pension Only) above PLUS
2. Death Relief from Staff Welfare `1,00,000 The Senior Manager, Staff Welfare Section,
Fund (`10,000 will be released PAD, Corporation Bank, Head Office, M’lore.
immediately to be adjusted from
final payment)
3. a) Employees Savings Linked `2,25,000 Clerical The Asst. General Manager, PAD
Insurance Scheme `1,50,000 Sub-staff Corporation Bank, Head Office, Mangalore.
`75,000 PTS
(b) Group Term Insurance Scheme `3,00,000
4. Corporation Bank Employees `75,000 — do —
Voluntary Contribution Scheme (Approx.)
469
Nature of Facility/Relief Entitlement Authority for disbursement/
sanction to be approached
5. Corp. Jeevan Suraksha `1,00,000 The Branch Manager with whom the account
(If the scheme is opted) is debited with policy premium annually
6. Corp Jeevan Griha Raksha To the extent of Asst. General Manager, PAD, H.O. Mangalore.
(If the scheme is opted) Liabilities outstand-
ing in SHL/SSHL/
ESHL/ESHLN/NSHL
7. Corporation Bank Employees’ `2,00,000 The Secretary, Corporation Bank Employees’
Union Welfare Fund (only if the Union Welfare Fund, Mangalore.
workman is a member of the fund)
8. Ex-gratia in lieu of compassionate Maximum Request to be made to Chairman & Managing
appointment (if eligible as `7,00,000-Clerks Director within six months from the date of death
per norms ) `6,00,000-Sub-staff by spouse/son/daughter.
9. Educational Grant to Children of The Scheme will cover cases where appointment
Employees who die in harness is not given to the spouse upto 2 children in a
family.
i) Upto SSLC `2500 p.a.
ii) PUC `3000 p.a
iii) Graduation/ `4000 p.a
Post Graduation
iv) Graduation PG in specified
professional courses as in
Scholarship Scheme `5500 p.a
The Senior Manager, Staff Welfare Fund, PAD,
H..O. Mangalore.
10. Expenses incurred on As per deceased In case the workman dies while undergoing
Hospitalisation workman’s entitle- treatment in hospital and the hospitalisation
ment expenses to be claimed by the nominee of
the workman (concerned ZO/HO)
11. Insurance Policy Claims / Other To be taken up with respective Insurance Companies.
Investment, if applicable Eg. LIC, ICICI Prudential etc. UTI (In case of
ULIP) Post Office Life Insurance etc.
B-1. ACCIDENTAL DEATH
1. All facilities under B PLUS
2. Personal Accident `2.00 lakh Clerical Claim to be submitted to The Asst. General
Insurance Scheme `1.00 lakh Manager, Corporation Bank, PAD, Head Office,
Sub-staff & PTS Mangalore.
3. Insurance under Corp `1,00,000 The Asst. General Manager, Cards Division,
Convenience Debit Card Head Office, Mangalore
(if the workman is a card
holder only)
470
PREVENTIVE VIGILANCE LEAVE(PVL)-RISK CONTAINMENT MEASURE
[SOURCE : HO CIRCULAR NO.751/2011 & 45/2013]
Dr. N.L. Mitra Committee Report on Legal Aspects of Bank Frauds, recommended,
as one of the preventive measures, that Bank’s should insist their officials to go on
leave periodically.
This risk containment measure being followed by organisations to counter/

pre-empt frauds, is to make employees step in to the shoes of their colleague who
goes on leave, which would help quicker detection of fraud or detection of instance of
undesirable banking transactions, if any, put through by the officials who are on leave,
which are prejudicial to the Bank’s interest. Further, availing of continuous leave for 10
days in a year also helps individual to overcome fatigue / monotony and rejuvenates/
recuperates one physically as well as mentally, besides helping psychological well
being. Therefore, it is essential to encourage all the employees to avail PVL for
10 days at a stretch in a year, in the interest of the organisation as well as their own
interest.
As per the policy all the permanent employees are required to avail a continuous
minimum period of 10 days Privilege or Sick Leave in a calendar year. The operational
guidelines shall be implemented from 01.01.2012. It is further provided that if any
employee do not avail PVL for any reason, such employee be deputed to any other
nearby Branch / Office of the Bank at least for a continuous period of 10 days. Even
if an employee is deputed for a training program which keeps him away from work for
a continuous period of 10 days, the same would be sufficient for the purpose.
OFFICIATING ALLOWANCE TO SWO & SPECIAL ASSISTANTS

01. When a clerk is asked to officiate temporarily, he will discharge only the duties
stipulated for Special Assistant, irrespective of the fact whether he is working
in place of a Special Assistant or an officer. Therefore, he is entitled for special
allowance applicable to the post of Special Assistants, on pro-rata basis.
02. When a Special Assistant is entrusted with officiating duties, he will discharge
the duties of an Officer. In such cases, he is entitled for officiating allowance
as under:
a) Where the basic pay of the junior most Officer working in the branch at the
relevant time, exceeds the basic pay of the Special Assistant, then 15% of
471
the basic pay of the Special Assistant or the difference between the two
basic pays, whichever is less, with a minimum of 72% of basic pay of the
Special Assistant.
b) Where the basic pay of the junior most officer working in the branch at the
relevant time is equal to or less than that of the Special Assistant, then
72% of the basic pay of the Special Assistant.
Ref: 01. Clause 5.8 of First B.P.S. DT. 19.10.1966
02. H.O. Circular 401/91 DT. 04.11.1991
Determination of seniority for officiating
03. Branches have to maintain a seniority list of all clerical cadre employees.
04. While determining the seniority, the date of joining the services of the Bank in
case of direct recruitees and the date of promotion to clerical cadre in case of
sub-staff promotees have to be reckoned, only completed years of service as
on 1st January of each year shall be taken into account.
05. The notional weightage for different educational qualifications to be added while
computing seniority list are as follows:
a) C.A.I.I.B. Part I Examination .......... 1 Year
b) C.A.I.I.B. Part II Examination ......... 2 Years
c) First Graduation/N.D.Com ......... 2 Years
d) Double/Post Graduation ......... 1 Year
06. For the purpose of adding notional weightage, educational qualifications as on

1st January of each year are to be taken into account.
Ref: 01. H.O. Circular 478/87 Dt. 20.10.1987

02. H.O. Circular 287/92 24.08.1992
IDENTITY CARDS TO EMPLOYEES

01. In terms of the recommendations of the Working Group on Customer Service
in Banks, all employees of the bank are supplied with Identity Cards.
02. These cards indicate name of the employee, his file number, his colour
photograph and his signature, attested by the office/executive in charge of the
branch/office.
472
03. Identity cards are issued in different colours for each cadre, as under:
FOR EXECUTIVES ...... PURPLE
FOR OFFICERS ...... BROWN
FOR CLERKS ...... PINK
FOR SUB-STAFF ...... GREEN
04. When an employee is promoted to a higher cadre, a fresh Identity Card will be
supplied as applicable to that cadre.
05. Identity Cards facilitate easy identification of employees while meeting various
Government Departments, other banks and various agencies in connection
with official work. They also prove one’s identity especially during riots, civil
commotions and facilitate movement of employees to attend office in curfew
bound areas when permission is granted by the Government / Police authorities.
06. All employees are expected to carry their identity cards while on duty.
07. In case of Identity Card supplied by the bank is lost, the concerned employee
has to bear the cost of the duplicate card.
Ref: 01. H.O. Circular 303/87 DT 17.07.1987
02. H.O. Circular 26/91 DT 14.01.1991
03. H.O. Circular 406/91 DT 31.10.1991
CHECK-OFF FACILITY
01. Facility of check-off for deduction of membership subscription to Unions and
their Welfare Funds is extended to all registered trade unions, which are of all
India standing, irrespective of the status enjoyed by them, provided a request
for the same is given by such unions.
02. The letter of authority for the check off shall be submitted by the employees
concerned authorising the bank to deduct the subscription from their salary and
the same shall be lodged with the concerned branch/office.
03. Such letter of authority shall be submitted by the employees concerned, in
triplicate, to the manager of the concerned branch/office.
04. The subscription deduction will commence in the month in which the letter of
authority is filed provided such filing of the letter of authority is done on or before
15th of the said month. Deductions in other cases would commence from the
succeeding month.
473
05. Such monthly membership subscription would be discontinued, wherever the
letter of authority is revoked by an employee, in writing.
06. The deduction under check-off facility will not be effected from the subsistence
allowance payable to an employee placed under suspension.
07. The branch/office on receipt of authority letter has to forward a copy each of the
letter of authority to the salary bill preparation centre (HRMS H.O. Mangalore)
and to the office of the union mentioned in the letter of authority, while retaining
the third copy with them.
08. In the case of employees working in H.O/Z.O./lead district offices, the letter of
authority shall be submitted to the departmental head for onward transmission
to the concerned authorities.
09. Whenever an employee is transferred from one branch/office, the letter of
authority relating to the same shall be forwarded to the branch/office, where he/
she is transferred.
Ref: 01. Personnel Dept. Cir 90/82 DT 17-12-1982
02. H.O. Circular 414/88 DT 23-11-1988
03. H.O. Circular 68/90 DT 21-02-1990
04. H.O. Circular 91/90 DT 20-03-190
BONUS
In terms of the provisions of the Payment of Bonus Act, 1965 (as amended from time
to time), in our Bank Bonus @ 20% of the salary/wage earned during the accounting
year has been paid to the eligible employees consecutively for three Accounting Years.
I. Eligible employees
a) Only those employees whose salary/wage does not exceed `21,000/- p.m. are
eligible for payment of bonus.
b) An employee’s salary/wage will have to be taken into account on a month-to-
month basis. As a result, for those months in the ‘accounting year’ in which an
employee’s salary/wage was `21,000/- p.m. or less, he would be treated as
an eligible employee and for those months in which his salary/wage exceeded
`21,000/- limit, he would not be regarded as an eligible employee for those
months.
474
c) For determining the eligibility of an employee for bonus, salary/wage payable to
him in a month should be taken into account. In other words, the salary/wage
he would have been paid, had he worked on all the working days of the month
should be considered and not the actual salary/wage paid to the employee.
d) All Award Staff employees including Probationers, temporary employees, Part-
time employees, who are eligible to receive bonus as per the guidelines laid
down in this Memorandum, shall be paid the eligible bonus amount provided
they have worked in the Bank for not less than 30 working days in the ‘accounting
year’. The minimum requirement of 30 working days for eligibility need not be
continuous. In other words, whether the service is continuous or intermittent, if
an employee has worked for 30 days or more in the ‘accounting year’, he would
be eligible for bonus, if he is otherwise eligible.
e) Employees who have been appointed by the Bank on contract basis directly,
are also eligible for payment of Bonus.
f) Those persons who have been engaged by the Bank on contract basis through
a contractor, are not eligible for bonus.
g) The persons engaged in toilet maintenance are also eligible for payment of
Bonus.
II. Salary/Wage:
The components of Salary/Wages for computation of Bonus payable would be

as under:
a) Basic Pay
b) Dearness Allowance
c) City Compensatory Allowance
d) Special Pay
III. a. Ceiling on salary / Wage ranking for bonus payment:
Salary/wage ranking for bonus payment shall not exceed `7,000/- p.m.
i. Thus, for employees drawing wages of `7,001/- upto `21,000/- p.m., bonus
amount will be calculated as if they were drawing `7,000/- p.m. only. For
those employees whose wages are less than `7,000/- per month, actual
wage is to be reckoned for bonus payment.
ii. The maximum bonus payable to any employee for the accounting year
shall not exceed `16,800.00 i.e., 20% of `84,000/-.
475
B. Proportionate reduction of bonus in certain cases:
The minimum bonus payable to eligible employees is `100/-.
Branches/Offices may note that the minimum bonus of `100/- is payable to an
employee only if he has worked on all the working days in the accounting year. Where
an employee has not worked for all the working days in the accounting year, the
minimum bonus of `100/- as aforesaid, if such amount is higher than 8.33% of his
salary/wage, for the days he has worked in the accounting year shall be proportionately
reduced.
The computation in such cases will be made as follows:
No. of days the employee has worked
`100/- x
No. of working days of the branch in the accounting year.
Note: 1. Where a Branch was opened during the accounting year the total number
of working days of that branch for the purpose of calculating proportionate
amount of bonus should be notionally taken as that of any other branch in
the same State which was in existence as on the first day of the accounting
year.
2. For the purpose of computation of number of days worked by an employee
during the accounting year, he shall be deemed to have worked on the
days on which he has been on leave with salary/wage.
3. If an employee drawing a salary of more than `7,000/- p.m., avails leave
on loss of salary or where wages are deducted on account of participation
in strike, etc., adjustments are to be made from the total salary drawn in
the particular month and no proportionate deduction be made from the
ceiling amount of salary of `7,000/- p.m.
IV. Temporary / Part-time employees:
i. Temporary / Part-time employees of the Bank as stated in paragraph I
above will also be eligible for the bonus at the same rate of 20% of the
wages earned by such employees during the accounting year provided
they have worked in the Bank for not less than 30 working days in the
accounting year.
ii. Proportionate deduction to be made:
Where a temporary / part-time employee who is drawing less than
`100/- p.m has not worked on all the working days in the accounting year
minimum bonus of `100/- should be proportionately reduced as explained
in the paragraph III(b) above.
476
V. Disqualification for payment of bonus:
i. No bonus shall be paid to an employee, who has been dismissed from the
service of the Bank for:
(a) Fraud or
(b) Riotous or violent behaviour while on the premises of the
establishment or
(c) Theft, misappropriation or sabotage of any property of the
establishment.
ii. Employees under suspension belonging to any category shall not be eligible
for bonus during the period for which they were under suspension during
the accounting year. In cases, where the suspension has been revoked
with full wages for the period of suspension, such employees are eligible
for bonus for the period of suspension.
VI. i) In the case of eligible permanent employees who have retired/resigned/

expired or whose services have been otherwise terminated during the
accounting year (except the cases mentioned in Paragraph V above)
the branches/offices, must send the particulars of the salary and the
bonus payable to the respective Zonal Offices for verification and onward
transmission to this office. The permanent/last known address of such
employees and also the claim application for bonus, if any, received
are to be forwarded to the Zonal Office along with the salary particulars
immediately. The Zonal Office in turn must ensure that the salary particulars
are verified immediately and all papers connected with the same are sent
to HeadHe office, for effecting the payment from PAD, Head Office.
ii) In the case of eligible temporary employees who had worked during the
accounting year, the branches/offices, shall send the particulars of salary
and bonus payable, to the respective Zonal Offices for verification. The
Zonal Offices shall verify the same and advise the branches/offices to pay
the bonus and if necessary to remit the amount of bonus minus the money
order commission by means of a money order to the permanent/last known
address of the employee before the expiry of the stipulated period. The
Money Order, if returned undelivered, an endorsement to this effect is to
be made against the name of the employee in the form ‘C’ Register and
the M.O. form is to be preserved and made available for inspection by the
Labour Authorities and the amount so returned should be held in Sundry
477
Creditors Account at the branch furnishing the full particulars such as name
and address of the employee, money order commission incurred, the net
amount, etc., under advice to this Office.
VII. Deduction of Income Tax:
Appropriate amount must be deducted from the amount of bonus towards income tax
in all cases where total salary inclusive of bonus exceed the minimum taxable limit.
Amount of income tax should be calculated to the nearest rupee. The total amount
of tax so deducted should be remitted to the appropriate authorities.
PRESENTATION AND ENFORCEMENT OF THE RIGHT TO GENDER

QUALITY OF WORKING WOMEN
As per the direction given by the Hon’ble Supreme Court in the judgement dated 14th
August 1997 in one of the Public Interest Litigations (PIL) Writ Petition (Criminal) it is
obligatory for every employer to provide for specific protection of women from sexual
harassment in the workplace.
In the absence of a suitable legislation/conduct rules in the matter, the following
directions have been issued in accordance with the judgement of the Hon’ble Supreme
Court in the above case, is binding and enforceable in law:
(i) Duty of the Executives/Branch Managers/Officers-in-charge in work places:
It shall be the duty of Executives/Branch Managers/Officer-in-charge of Branches/
Offices to prevent or deter the commission of acts of sexual harassment and
to provide the procedures for the resolution, settlement or prosecution of acts
of sexual harassment by taking all requires steps.
(ii) Definition of Sexual Harrassment
For this purpose, sexual harrassment includes such unwelcome sexually
determined behavior (whether directly or by implication) as:
a) physical contact and advances;
b) a demand or request for sexual favours ;
c) sexually coloured remarks ;
d) showing pornography ; and
e) any other unwelcome physical, verbal or non-verbal conduct of sexual
nature.
478
Whether any of these acts is committed in circumstances whereunder, the victim
of such conduct has a reasonable apprehension that in relation to the victims
employment or work whether she is drawing salary, or honorarium or whether
the services are voluntary, such conduct can be humiliating and may constitute
a health and safety problem. It is discriminatory for instance when the women
has reasonable grounds to believe that her objection would disadvantage her
in connection with her employment or work including recruitment or promotion
or when it creates a hostile work environment. Adverse consequences might
be visited if the victim does not consent to the conduct in question or raises any
objection thereto.
(iii) Preventive Steps:
All Executives/Branch Managers/Officers-in-charge of offices/branches will

take appropriate steps to prevent sexual harrassment. Without prejudice to the
generality of this obligation they should take the following steps:
a) Express prohibition of sexual harrassment as defined above at the work

place should be notified, published and circulated in appropriate ways.
b) Appropriate work conditions should be provided in respect of work, leisure,

health and hygiene to further ensure that there is no hostile environment
towards women at work places and no woman employee should have
reasonable grounds to believe that she is disadvantages in connection
with her employment.
(iv) Criminal Proceedings:

Where such conduct amounts to a specific offence under the Indian Penal Code
or any other law the Bank will initiate action in accordance with law by making
a complaint with the appropriate authority.
(v) Disciplinary Action:
Appropriate disciplinary action will be initiated by the bank in accordance with

these guidelines.
(vi) Complaint Mechanism:
Whether or not such conduct constitutes an offence under law or an instance of

sexual harrassment within the meaning of clause (ii) above, if a woman employee
is sexually harassed, she should report the matter immediately to her reporting
479
officer or to the Regional Head or to the Assistant General Manager, PAD, Head
Office as the case may be.
In this regard, it is advised that as soon as complaint on sexual harassment

is received, the Regional Head (in the case of offices/Branches in the Region)
and Asst. General Manger, PAD (in the case of Head Office) shall constitute
a committee consisting of 3 members, 2 of whom are lady members, one
each from the Recognised Officers’ Organisation and Employees’ Union and
the Manager, Personnel/Personnel Officer. The Committee shall hear the
complainant and collect such other details considered necessary and submit a
report as expeditiously as possible.
(vii) Employees’ initiative:
Employees would be allowed to raise issues of sexual harassment at employees’

meeting and in other appropriate forum including employer-employee meetings.
(viii) Third Party Harassment
Where sexual harassment occurs as a result of an act or omission by any third

party or outsider, the employer and the person in charge will take all steps
necessary and reasonable to assist the affected person in terms of support and
preventive action.
(ix) These guidelines will not prejudice any rights available under the Protection of
Human Rights Act, 1993.
Complaints relating to sexual harassment of women at the work place, if any may
be directly addressed and sent to the General Manager, PAD., H.O. Mangalore.
A committee has been constituted at Head Office to dispose of the grievances
in the matter.
480
CASH REMITTANCE ORDERS ON ESCORTS, QUANTUM OF CASH AND
MODE OF TRANSPORT
1. Quantum of cash and escorts
The quantum of cash and the strength of escorts for cash remittance are given
hereunder. The remittances to be made by our Bank’s staff can be local or outstation,
but it should be completed on the same day.
Sl. No. Limits of Cash Escorts No. of staff

Remittance
All Zones
a) Upto `2 lakhs An officer or a clerk (singly) 1
b) Above `2 lakhs upto An officer/clerk and a sub-staff 2

`20 lakhs
c) Above `20 lakhs upto An officer/special assistant/clerk and 3

`50 lakhs a sub-staff with one armed guard
d) Above `50 lakhs upto An officer and a sub-staff with two 4

`5 crores armed guards in a cash van
e) Above `50 lakhs upto An officer with sub-staff and armed 2+

`5 crores (Inter-state police guards in a cash van police guards
movement of cash)
f) All moves above An officer with sub-staff and armed 2+

`5 crores police guards in a cash van police guards
NOTE: 1.1 Confirmed Officer, clerk and sub-staff will only be detailed as cash
escorts. Part-time sweeper will not be detailed for remittance duties.
In case sub-staff is not available, an additional staff can be taken.
1.2 Police escorts are required for all overnight remittances irrespective
of quantum of cash.
481
2. Criteria for remittance
2.1 Mode of transport (same day of remittance) :
Police van or own/hired cash van or taxi or Bank’s car Local and outstation
in that order of preference. remittance
Public transport like bus and train may also be used. Local and outstation
But train is preferable to bus. Remittance by bus be remittance
made less frequently and that too for as low an amount
as possible
Rural branches may remit cash by 2 wheeler upto Upto 30 kms. one way
`2.00 lakhs as per the following conditions :- (along main/busy roads)
a) Branches are rural based.
b) The two wheeler used is a minimum 100 cc
motorised vehicle.
c) Enroute, there should be adequate facility
available for repairs of motorised vehicles
d) The route is inhabited by villages/hamlets.
e) The vehicle is having proper anchoring and
locking facilities for the cash box.
f) Irrespective of the amount carried, an escort
should invariably accompany the cash carrier.
Personal cars of the Branch Managers may be used for Local and outstation
carrying cash, provided adequate escort other than the remittance
person driving the car is taken and the cash box is
chained to the body of the car. Reimbursement will be
as per norms prescribed by PAD. Branch Managers
are not permitted to drive.
Remittance by train -
Local and outstation
a) If cash is being transported by train, the seats
remittance
which are farthest away from the door should be
occupied.
b) Police escorts are required for overnight journey
irrespective of the quantum of cash.
482
c) If cash remittances by train are a regular
feature, different trains should be used on
different days, if they are available during the
day.
d) Containers/boxes are to be chained to the
seat and escorts vigilant throughout.
Under some special circumstances cash may be Only same day of remittance
taken by air, subject to prior approval from General subject to availability of armed
Manager (PAD) through Security Division, Head escorts at either end other than
Office the cash carrier.
2.2 `50.00 lakhs and above, should be transported only in Bank’s cash van/hired
cash van as per approved design.
2.3 The cash box should be of steel and it should be chained to the body of the
vehicle in which the cash is being carried. For small amounts upto `2.00 (two)
lakhs to be carried in 2 wheeler or on foot, moulded brief case may be used, but
this brief case is to be chained to 2 wheeler while on the move. Foot movement
should be resorted to only when distance is walkable i.e., 100 meters or less.
2.4 The escorts/armed guards shall always remain with the cash box as safety of
the cash is their full responsibility till the cash is handed over to the receiving
branch/currency chest.
2.5 All local cash remittances to the currency chest should be completed within
the timings prescribed by the currency chest and to the branches well before
closing hours of the branch. In case due to exigency this becomes difficult, then
the cash should be lodged in one of our own branches having a strong room,
located nearby. If our branch is not located nearby then the currency chest
should help the escort party by accepting the remittance as “Late cash” and
account for it the next day. In the event of neither the currency chest nor our
branch being available nearby, the escort party should go to the nearest police
station and remain there till next morning. Cash will remain in the custody of
the escort party at all times.
483
TERMINAL BENEFITS TO WORKMEN EMPLOYEES
A) Effect of punishment
Nature of Own Contribution Bank’s Contribution Gratuity Pension Leave
punishment to PF to PF (only for optees) Encashment
a) Dismissal Yes No No No No
But eligible for
compassionate Allowance**
b) Compulsory Yes Yes Yes Yes Yes

Retirement
c) Removal from Yes Yes, if has Yes, unless provisions of No No

Service completed 5 years Sec. 4 (6) (a) or (B) of the But eligible for (HO Cir.375/2000
of service Act is attracted * compassionate Allowance** dtd. 29.12.2000)
d) Discharge/ Yes No No No No
Termination But eligible for
484
compassionate Allowance**
e) Voluntary Yes Yes Yes Yes No

cessation
(B) Exit modes other than on punishment :
a) Superannuation Yes Yes Yes Yes* Yes (Max. 240 Days)
b) Resignation Yes Yes Yes* -NA-# Yes

(1/2 of PL @ credit-
(Max. 120 days)
c) Voluntary Yes -NA-# Yes Yes** Yes (Max. 240 Days)
d) Death while in Yes No No No No

Service
* Sec. 4 (6) (a): the gratuity of an employee, whose services have been terminated for any act, willful omission or negligence causing any
damage or loss to, or destruction of, property belonging to the employer, shall be forfeited to the extent of the damage or loss
so caused;
Sec. 4 (6) (a): the gratuity payable to an employee may be wholly or partially forfeited-
- (i) if the services of such employee have been terminated for his riotous or disorderly conduct or any other act of violence on
his part, or
- (ii) if the services of such employee have been terminated for any act which constitutes an offence involving moral turpitude,
provided that such offence is committed by him in the course of his employment.
** the authority higher than the authority competent to dismiss or remove or terminate him from service may sanction a compassionate
allowance not exceeding two-thirds (2/3) of the pension which would have been admissible to him on the basis of the qualifying
service rendered up to the date of his dismissal, removal or termination, if the case is deserving of special consideration.
485
CHAPTER - X
MISCELLANEOUS
RECOGNITION TO CORPORATION BANK EMPLOYEES’ UNION
[Source: Chairman’s Cir. 6/75 dt. 28.08.1975]
1 Both the parties agree to abide by the Code of Discipline in Industry as

formulated and laid down at the Indian Labour conference known as the
Tripartite Agreement, a true copy whereof is annexed hereto and marked as
Annexure ‘A’.
2 The Bank hereby recognises with immediate effect the Union, viz., Corporation
Bank Employees’ Union (Regd. No. 1574) as the majority/ representative Union
and the sole bargaining agent for the Award staff employee in the Bank.
3 It is agreed that if a Union of workers in a particular branch/centre has a
membership of 50 per cent or more of the workers of that branch/centre, it will
have the right to deal with matters of purely local interest such as, for instance,
the handling of grievances pertaining to its own members. All the other workers
who are not members of that Union might either operate through the Corporation
Bank Employees’ Union or seek redress directly. In all others cases, the Bank
accepts the Union’s right to negotiate with the bank on issues directly affecting
the Award Staff.
4 The Union on its recognition will be permitted to display its notice boards in
all branches of the bank throughout the country, provided however, that such
notice boards will be used for displaying notices and communications strictly
relating to the Union and its activities. It is hereby further provided that no
notice or communication which in the opinion of the Administrative Office is
either derogatory or prejudicial to the interest of the Bank will be permitted to
be displayed on such notice boards.
5 The Bank and the Union hereby agree to discuss and remove anomalies, if any,
which are not in accordance with the various Awards and Settlements which are
in force.
Code of discipline in industry
I - To maintain Displine in Industry (both in Public and Private Sectors)

There has to be (i) a just recognition by employers and workers of the rights and
responsibilities of either party, as defined by the laws and agreements (including
486
bipartite and tripartite agreements arrived at all levels from time to time) and (ii) a
proper and willing discharge by either party of its obligations consequent on such
recognition.
The Central and State Governments, on their part, will arrange to examine and set right
any shortcomings in the machinery they constitute for the administration of labour laws.
II - Management and Union agree (to ensure better discipline in Industry)
i) that no unilateral action should be taken in connection with any industrial matter
and that disputes should be settled at appropriate levels;
ii) that the existing machinery for settlement of disputes should be utilised with the
utmost expedition;
iii) that there should be no strike or lockout without notice;
iv) that affirming their faith in democratic principles, they, bind themselves to settle
all future differences, disputes and grievances by mutual negotiation, conciliation
and voluntary arbitration;
v) that neither party will have recourse to (a) coercion, (b) intimidation,
(c) victimisation or (d) go-slow;
vi) that they will avoid (a) litigation, (b) sit-down and stay-in strikes, and (c) lock-
outs;
vii) that they will promote constructive co-operation between their representatives
at all levels and as between workers themselves and abide by the spirit of
agreements mutually entered into;
viii) that they will establish, upon a mutually agreed basis, a grievance procedure
which will ensure a speedy and full investigation leading to settlement;
ix) that they will abide by various stages in the grievance procedure and take no
arbitrary action which would by-pass this procedure; and x) that they will educate
the management personnel and workers regarding their obligations to each
other.
III - Management agree :
i) not to increase work loads unless agreed upon or settled otherwise; ii) not to
support or encourage any unfair labour practice such as (a) interference with the
right of employees to enroll or continue as Union members, (b) discrimination,
restraint or coersion against any employee because of recognised activity of
487
trade Unions and (c) victimisation of any employee and abuse of authority in
any form;
iii) to take prompt action for (a) settlement of grievances and (b) implementation
of settlements, awards, decisions and orders;
iv) to display in conspicuous places in the undertakings the provisions of this Code
in the local language(s);
v) to distinguish between actions justifying immediate discharge and those where
discharge must be preceded by a warning, reprimand, suspension or some
other form of disciplinary action and to arrange that all such disciplinary action
should be subject to an appeal through normal grievance procedure;
vi) to take appropriate disciplinary action against its officers and members in cases
where enquiries reveal that they were responsible for precipitate action by
workers leading to indiscipline; and
vii) to recognise the Union in accordance with the Criteria (Annexed) evolved at the
16th Session of the India Labour Conference held in May 1958.
IV - Union agree :
i) not to engage in any form of physical duress;

ii) not to permit demonstrations which are not peaceful and not to permit rowdyism
in demonstration;
iii) that their members will not engage or cause other employees to engage in any
union activity during working hours, unless as provided for by-law, agreement
or practice;
iv) to discourage unfair labour practices such as (a) negligence of duty, (b) careless
operation, (c) damage to property, (d) interference with or disturbance to normal
work, and (e) insubordination;
v) to take prompt action to implement awards, agreements, settlements and
decisions;
vi) to display in conspicuous places in the Union offices, the provisions of this Code
in the local language(s); and
vii) to express disapproval and to take appropriate action against office - bearers
and members for indulging in action against the spirit of this code.
488
CBEU WELFARE FUND
1. Objects
To provide financial assistance to the members in the case of the total disability
affecting continuity in Bank Service or substantial disability like loss of limb/s, but not
affecting continuance in Bank service, serious illness like paralysis, leading to total
or partial disability.
To provide financial assistance to the family of the members in the event of the death
of the member.
To provide financial assistance to the members in the case of hospitalisation of the

members
To provide such assistance which could be allied or connected object or purpose of

the Fund as may be decided by the Managing Committee from time to time subject
to the ratification of the Executive Committee of the Union.
2. Membership
The Membership of the Fund is open to all the members of the Union/Association.
Any member of the Fund shall automatically cease to be a member of the Fund, if
he ceases to be a member of the Union/Association. However, if such a member is
re-admitted to the membership of the Union/Association, he/she shall be restored to
the membership of the Fund it he/she pay the arrears of the subscription.
In all matters concerning the Membership of the Fund of any person, the decision of
the Managing Committee shall be final.
3. Admission Fee
Every member of the Fund shall pay to the Fund an Admission Fee of `50.00
irrespective of their cadre which shall be non-refundable, along-with the application
in prescribed form for admission to the Fund and shall nominate a person as his/her
nominee/s who shall be from and out of the members of his family viz., mother, spouse
and children in case of a married person and mother, father, brother and sister, in
case of bachelors/ spinsters.
4. Subscription
Subscription to the Welfare Fund shall be @ `100.00 per month and is payable in
advance every month.
489
A member whose subscription to the Fund are in arrears for a period not exceeding 6
months shall not be eligible for any benefits declared in these Rules, unless decided
otherwise by the Managing committee.
A member whose subscription are in arrears for more than six months shall
automatically cease to be member of the fund.
However, he/she shall be restored to the membership of the fund, in case he/she
pays the arrears of the subscription.
5. Management
The fund shall be managed by a Managing Committee constituted by the Executive

Committee of the Union. The Managing Committee shall consist of not more than 6
members as may be nominated by the Executive Committee of the Union. This shall
include one member from the Officersí Association as may be recommended by the
Executive Committee of the Association.
6. Benefits
A total sum of `2,00,000/- shall be paid to Nominee/s of the member in the event
of the Death of the member while in service. This amount is inclusive of `5,000/-
payable initially to the nominee/s, Dependent/s of the deceased member on receptor
information through the local representatives of the Union/Association.
Every Member shall furnish name/s and address/es of the nominee/s on admission
and shall inform immediately whenever there is a change of name or address of the
nominee/s.
In case member has not nominated any one to receive the benefits shall be payable
to the spouse of the member or any one of the legal heirs as the Managing Committee
may deem fit. Claim application for benefits in the event of death of member shall be
preferred by the nominee/s only.
An amount of `1,00,000/-shall be paid in lumpsum to the member of the Fund in case

of Permanent Disability i.e., Loss of both the Limbs/Loss of both the Hands/ Loss
of both the eyes due to accident incapacitating him/her to continue in the service of
the Bank.
In the event of partial/permanent disability caused by accident or sudden. illness

resulting in the loss of a Leg or Hand, whole or substantial part thereof, but not
affecting the continuity of service in the Bank, the member concerned shall be paid
a lumpsum relief of `10,000.00.
490
A member on retirement (of whatsoever nature) from the services of the Bank or on
resignation to the services of the Bank or on Dismissal/Termination/Discharge f rom
the services of the Bank shall be paid a sum of equivalent to his/her total monthly
subscriptions paid to the Fund. In addition to this, the member shall be paid an
incentive to the extent of quantum specified herein below on the total subscription
amount paid by him/her :
a) Membership of less than 10 years : NIL
b) Membership of 10 years and above : 10%
Irrespective of number of claims, maximum benefits per member, except in the event
of Death/Permanent Disability, shall not exceed `40,000/- during his/her entire service.
7. Refund
10.1 A member shall be eligible for refund of subscriptions made by him/her in the
event of him/her ceasing to be a member of the Fund as per these Rules or if
he/she voluntarily opts out of the Fund by withdrawing his/her subscription in
writing in the manner and to the extent specified herein - below only subject to
deduction of the benefits availed by him her :
Subscription made to the Fund -

a) for a period not exceeding one year : NIL
b) for a period exceeding one year but not : 50% of the
more than 3 years Subscription
c) for a period exceeding 3 years : Full Subscription
NOTICE BOARD TO CBEU AT BRANCHES/OFFICES

[Source : Cir.No. 6/75, 58/75 & 31/76]
01. The recognized Workmen Union in the Bank viz., Corporation Bank Employees’
Union can display its Notice Board in all the branches and offices of the Bank
throughout the country.
02. The Notice Board shall be of the size measuring not more than 18” height and
27” length.
03. Union’s Notice Board will be placed just by the side of the Bank’s Notice Board.
491
NOTES
492
NOTES
493
NOTES
494
24th Triennial Conference Publication

MANGALURU OFFICE
CBEU Golden Jubilee Hall,
Opp. Sharada Vidyalaya, PVS Kalakunj Road,
Kodialbail, Mangaluru-575 003

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24th Triennial Conference Publication

CORPORATION BANK EMPLOYEES’ UNION (Regd.)

(24th Triennial Conference Publication)

CORPORATION BANK EMPLOYEES’ UNION (Regd.)

With Conference Greetings,

LIST OF ABBREVIATION USED IN THIS BOOK

L.A.T. : Labour Appellate Tribunal

PART - II OF THIS BOOK CONTAINS VARIOUS BANK LEVEL SETTLEMENTS/

655 815 980 1145

325 410 490 570

Allowances hitherto termed as Special Allowance, Graduation Allowance, Professional

The increment component of Fixed Personal Pay as given in column 2 of Schedule

(A) Graduates and/or holders of

Graduation Pay/Additional Increment for Direct Post Graduation:

1. PQP / Graduation Pay

a) A clerk on 19th Stage passing Graduation or CAIIB Part II will be granted

For Subordinate Staff (w.e.f. 1.11.2012)

Sr. No. Post Special Pay (`)

GRADUATION PAY/ PROFESSIONAL QUALIFICATION PAY

DUTIES OF SPECIAL PAY CARRYING POSTS IN CLERICAL CADRE

(a) Passing and cash payment of all cheques/withdrawal forms/bankers’ cheques

(c) Receipts of cash and issuance of pre-signed drafts/gift cheques/travellers’

✦ Countersigning would mean signing in a manner whereby the primary

✦ Checking/verifying would mean verifying that the instrument/material

✦ Passing includes verification of signatures and scrutiny as to the correctness

DUTIES OF SPECIAL POST IN CLERICAL CADRE (ERSTWHILE POSTS)

Their work involves operating a Telephone PBX/EAPBX Board with a minimum of

AUDIT CLERKS - CATEGORY ‘A’:

Their duties include:

1. Assisting in the counting of cash balances, securities, etc., in the presence of

TELLER - CATEGORY ‘B’:

Passing and cash payment of all cheques/withdrawal forms/travellers’ cheques/gift

Employees required to take dictation in shorthand and/or type letters, statements,

ASSISTANT HEAD CASHIER:

Their duties involve:

(ix) To assist in the deposit mobilisation efforts by encouraging farmers/small

(x) To collect information about the conditions of crops in the villages;

COMPUTER OPERATOR ‘A’ (without passing powers):

COMPUTER OPERATOR ‘B’ (with passing powers):

(a) Passing and cash payment of all cheques/withdrawal forms/bankers’ cheques,

2) To stitch currency note bundles

3) To stitch and seal parcels and packets containing

4) To transit cash from the bank of an office

Liftman Persons required to operate the lifts on regular

Watchman Persons other than “Armed Guards” who are

Armed Guard Persons required to perform watch and ward

Bill Collector Their work involves:

Daftary Their work involves:

7) Stacking under guidance old records in orderly

8) Undertaking the whole process and sorting,

Head Peon Persons required to assist in supervision of various

(i) Cleanliness of the office premises ;

(ii) Cleanliness of uniforms ;

(iii) Leave arrangements ;

(iv) Arrangements for safekeeping of keys; and

(v) Distribution of duties amongst the subordinate

Air-Conditioning Semi skilled persons who under the supervision

Electrician Their work involves carrying out semi-skilled

Drivers Persons required to drive, maintain and effect minor

Head Messenger As per bank level agreements.

Clerical and Subordinate Staff

PAYMENT OF HOUSE RENT ALLOWANCE