State Bank of India to provide Performance Linked Incentives; 2.5 lakhs employees to be benefited
According to the reports, around 2.5 lakh employees of SBI are likely to get 15 days' salary as a performance-linked incentive.
As per the wage agreement with the Indian Banks’ Association (IBA) in November 2020, "if any of the public-sector banks report annual growth in operating profits, an increase of 5 to 10 per cent, the staff of the bank are to be given an incentive of five days’ salary, and if the increase is 10 to 15 per cent, they will get 10 days’ salary as an incentive. In case of an increase in operating profits of over 15 per cent, the staff are entitled to an incentive of 15 days’ salary.
SBI has reported a net profit of over 6,000 crores in quarter four of FY21, which is greater than the profit of over Rs 3,000 crore it reported in Q4 of FY20. The bank has recently reported an 80.15 per cent hike in net profit.
Other banks like Canara Bank and Bank of Maharashtra have already paid their employees their performance-linked incentives.
Canara Bank posted a net profit of Rs 2,557 crore for FY21, the Bank of Maharashtra posted a net profit of Rs 165 crore for Q4.
