SBI employees likely to get performance linked incentive of 15-days’ salary: Report

SBI employees likely to get performance linked incentive of 15-days’ salary: Report

SBIState Bank of India (SBI), the largest public sector bank in the country, is going to pay its 2.5 lakh employees 15 days’ salary as performance-linked incentive for the previous fiscal, according to reports.

This comes after the bank reported a net profit of Rs 6,450.7 crore for the quarter ended March 2021, registering a jump of 80.1 percent from Rs 3,580.8 crore in the year-ago period.

According to the wage agreement signed with the Indian Banks’ Association in November 2020, the employees of public sector banks are entitled to get incentives when a bank reports annual growth in operating profit and positive net profit.

If a PSU lender reports between a 5-10 percent jump in its operating profit then its employees will get 5 days’ salary (basic plus DA) as an incentive. This incentive will be to 10 days’ salary if operating profit jumps between 10-15 percent and 15 days’ salary if operating profit increases by more than 15 percent, the report mentioned.

Canara Bank and Bank of Maharashtra have already paid their employees’ performance-linked incentives. Canara Bank recently paid 15 days’ salary towards the performance-linked incentive after reporting a net profit of Rs 1,010.87 crore for the fourth quarter of FY21.

Bank of Maharashtra reported a net profit of Rs 165 crore for the fourth quarter of 2020-21, Moneycontrol reported.

Source: https://www.cnbctv18.com/business/sbi-employees-likely-to-get-performance-linked-incentive-of-15-days-salary-report-9393881.htm

Sudhanshu Sharma

Based in Jaipur, Sudhanshu Sharma is a senior editor at Economy News. Previously he has worked for money control and economic times. Sudhanshu is a graduate of economics at the  Amity university Noida.

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