Public non-life insurers’ employees to strike

Around one lakh employees of four Indian government owned non-life insurers will strike work for two hours March 31, demanding 40 percent pay hike and an option to join pension scheme. They claim they have “done well and the management should reciprocate”.All the unions in the four companies — National Insurance Company Limited, New India Assurance Company Limited, Oriental Insurance Company Limited and United India Insurance Company Limited — called for a two-hour walk-out from work places preceding the lunch recess March 31, the last working day of the current fiscal.
The unions warned of serious action if their demands were not met.
“The four government owned non-life insurers have clocked a gross premium of Rs.18,222 crore up to February 2010 this fiscal, logging a growth of 12.21 percent over the corresponding period of the previous year. On the other hand, leading private non-life insurers have logged negative growth,” J.Gurumurthy, secretary of All India Insurance Employees Association (AIIEA), told IANS Thursday.
He said the wage talks are still at the level of general manager level of the individual companies, steadfast on their offer of 17.5 percent salary hike, made at Kolkata Dec 22 last year.
The Governing Board of General Insurers Public Sector Association (GIPSA) Feb 5 informed the unions that it did not find it possible to improve the offer.
After the rejection of the offer of 15 percent increase, the GIPSA came up with a revised offer of 17.5 percent.
The AIIEA had demanded 40 percent wage hike so that there is pay parity with that of the private sector.
“The chairman and managing directors seem to feel that it is not their responsibility to find a satisfactory solution to the wage demand of the employees and officers in consonance with growth, productivity and competitive environment,” Gurumurthy added.
He said wage talks were resumed in Life Insurance Corporation of India (LIC) after the unions rejected the 17.5 percent hike offered.

AI G I F W A
To
GIPSA Chairman and All CMDs
Dear Sirs, Sub: Notice of Agitation on Wage Revision and related issues and other pending issues Ref: our letters AIG/HQ/GIPSA/118 dated 1 January 2010 and AIG/HQ/GIPSA/126 dated 25 February 2010

We have been repeatedly bringing to your attention the larger issue of wage revision effective from 1st August 2007. The approach of GIPSA and its member companies has been totally indifferent to the reality. Considering the present growth level and the future projections in our industry, the wage parity with private sector, the wage revisions in other Public Sector Companies, wage increase for Central and State Government employees and the increased work load in the present scenario, the offer of 17.5% in wage bill was rejected jointly by all the Unions on 22nd December 2009 being inadequate. Though it is nearly three months since last round of discussions, you have failed to come out with a realistic offer. We are repeatedly demanding rectification of anomalies to Marketing Cadre created by 2003 Amendment to our Rationalisation Scheme for which there is no proper response from you. The last Amendment to our Rationalisation Scheme in 2008 was made with a need to avoid contempt of Supreme Court Order but the Administrative guideline was not followed as envisaged. Despite our repeated protests the issue of disputed excess cost recovery is still pending. Those opted for administration as per the 2003 Scheme are yet to be recognised and given the job allocation as envisaged in the Scheme. While we accepted your initial inability due to pending Court Cases, it is two years since the Supreme Court pronounced its verdict. There is no response to our repeated reminders. Again we are demanding up gradation of Grade II Development Officers (administration), the failure of which has put them in a pathetic situation of languishing at below the Record Clerk salary level for the past six years since only 7 slabs in the time scale. These issues have been submitted in detail in our Charter of Demands as well presented during the discussions and followed with our minutes of the meeting. TO PROTEST THE ADAMENT ATTITUDE OF THE MANAGEMENT IN NOT RESOLVING THESE ISSUES THROUGH MEANINGFUL DISCUSSIONS, ALL INDIA GENERAL INSURANCE FIELD WORKERS ASSOCIATION HEREBY GIVE NOTICE OF AGITATION DECLARING TWO HOUR WALK OUT STRIKE ON 31 MARCH 2010 FROM 11.30 AM TO 1.30 PM. We call upon the Management to engage in meaningful dialogue to end the impasse failing which AIGIFWA will be forced to intensify the agitation for which you will be solely responsible.

Insurance employees protest for immediate rivision of wages

The Insurance Corporation Employees Union (ICEU) under the banner of All India Insurance Employees Association has staged a dharna outside the Life Insurance Corporation of India (LIC) Divisional Office here demanding immediate revision of wages. Addressing the agitating members yesterday, ICEU general secretary B B Ganesh said wage revision for LIC was long pending since August 2007 and the Corporation was showing a very indifferent attitude on the issue despite its tremendous growth during this period. The total premium Income of LIC has increased from Rs 1,27,782 crore in 2006-07 to Rs 1,57,186 crore in 2008-09 and the total number of polices has increased from 12.58 crore to 26 crore, he said. He alleged that the Centre, instead of intervening to solve the issue was creating hurdles by imposing new conditions like new pension scheme for employees joining after April, 2009. These counter conditions are not acceptable to the employees, he added.