LIC employees seek wage revision, urge FM to intervene

Employees of Life Insurance Corporation (LIC) of India are hoping to initiate talks for a hike in wages even as negotiations for wage revision of employees of public sector banks have been started.  

To this effect, the All India National Life Insurance Employees’ Federation has written to Finance Minister Nirmala Sitharaman requesting her to initiate speedy action on wage revision of LIC employees.

“The month of August 2022 marked the due date for the wage revision, and in adherence to this timeline, all unions of LIC of India duly submitted their comprehensive charter of demands. However, to our consternation, there has been no overture from the management thus far, signaling ·a willingness to engage in discussions regarding the imperative matter of wage revision,” said Rajesh Nimbalkar, General Secretary, All India National Life Insurance Employees’ Federation in the letter.

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He further noted that the IPO value of LIC has experienced a decline, and the new organisational structure of the insurance behemoth has yet to instill a sense of assured confidence among the employees. “In a parallel development, the government has issued directives to the Indian Banks' Association to initiate dialogue regarding wage revision with unions in the banking sector,” Nimbalkar said while seeking intervention of the finance minister in the issue.

Unions are hoping for atleast a 30 per cent hike in wages as well as higher value of Sodexo meal coupons given to employees, apart from revision in the housing cadre loan, although discussions are yet to be started with the LIC management. The state-owned life insurer has over one lakh employees on its payrolls.

The Union has also sought a meeting with LIC Chairman Siddhartha Mohanty and is planning to request for a meeting with the finance minister next month.

In December 2021, the LIC management had approved the wage revision for a five-year period from August 1, 2017. Nimbalkar noted that the next wage revision for a five-year period is now due.