IBA, which represents the bank managements, and bank employees associations have finalised the corpus at Rs 7898 crore.
The groups ,one to be headed by IDBI Bank chief executive Rakesh Sharma and the other under Alok Kumar Choudhary, will distribute this allotted corpus between bank officers and workmen and finalise the other pay-slip components such as HRA, annual medical aid.
IBA and bank unions agreed upon a 15% hike over the base wage bill of Rs 52,625 crore, which was the cumulative wage bill — of all public sector banks and a few other old private sectors which took part in the bipartite wage revision process — for the fiscal year ending March 31, 2017 .
The rise in basic pay and merged dearness allowance is capped at 2.5% while the remaining 12.5% needs to be distributed among other pay-slip components for officers and workmen.
The wage revision, which is the 11th bipartite settlement, will be effective from November 1, 2017. Such revisions in public sector banks take place every five year.