Saturday, 28 May, 2022

BAB demands more time to implement new salary structure

  • Staff Correspondent
  • 26th January, 2022 06:46:08 PM
  • Print news
BAB demands more time to implement new salary structure

The owners of banks have sought more time to comply with the directive of Bangladesh Bank (BB) for salary hike of the employees.

Leaders of Bangladesh Association of Banks (BAB) also requested a review of the guideline during a meeting with BB Governor Fazle Kabir on Wednesday.

“The associations met with Governor. There were some misconceptions about the circular. Bankers agreed with most of the points at the meeting. We asked the bankers to implement this in March, but they seek more time to comply with the directive,” Serajul Islam, executive director at Bangladesh Bank told the Daily Sun.

He also mentioned that the central bank will ‘review’ the demand of the bankers to extend timeline for implementation.

Earlier on 20 January, BB fixed a minimum wage of Tk 39,000 for private bank officials subject to the completion of their probation period. The central bank issued a notice in this regard which will come into effect from next March.

According to the notification, the minimum monthly wage for trainee assistant officers (general and cash) will be Tk 28, 000 during their probation period. Office assistants, including security guards, cleaners, and messengers will get Tk24, 000 as minimum wage.

The banks’ owners said the guideline is hard to implement within the timeline.

“The proposed salary structure for banks can’t implement from March 1,” Nazrul Islam Mazumder, chairman of Bangladesh Association of Banks (BAB) told media after the meeting.

He said the guidelines regarding the minimum salary and allowance for private bank officials will be difficult to implement within the time.

"It is difficult for us to comply with the BB guidelines on salaries and allowances for entry-level bank employees by March.  We have requested the governor to give us an extension and also to reconsider the whole matter. We have been assured that the central bank will look into the matter further," Nazrul added.

The central bank began backtracking on Tuesday through issuing a circular clarifying a point of January 20 directive from Banking Policy department.

It asked banks to not sack officials, stop promotion or force to resign for failure to reach targets in the name of inefficiency.

“But some misinterpreted the directive that the banks were asked not to sack officials or stop their promotion due to inefficiency, the circular said.

In the circular, BB claimed the partial presentation of the directive by some, the banks face difficult to implement the guidelines, which is not acceptable.