Date: 30.06.2026

                                         

The Chief Executive
Indian Banks' Association
Mumbai

Copy to:
The Secretary,
Department of Financial Services,
Ministry of Finance,
Government of India,
New Delhi.

Subject: Objection to the Notice displayed on the IBA website declining to receive representations from bank retirees and denying accountability on service matters

Respected Sir,

We wish to draw your kind attention to the "Note for Information" recently displayed on the official website of the Indian Banks' Association (IBA), wherein it has been stated that IBA is merely a voluntary association of banks, is neither a Government entity nor a regulatory authority, is not amenable to writ jurisdiction, is not subject to the RTI Act, and, therefore, bank employees, retirees and members of the public should not address any communications relating to their grievances to IBA.

The above stand taken by IBA has caused serious concern and disappointment among lakhs of retired employees of the banking industry. We respectfully submit that the notice neither reflects the historical role performed by IBA nor the responsibilities entrusted to it over the last six decades in matters relating to service conditions of bank employees and retirees.

The system of industry-level collective bargaining in the banking sector was introduced in 1966 with the objective of ensuring uniformity in service conditions across banks. Since then, IBA has been the sole representative body of bank managements for negotiating service conditions with workmen and officers' unions. During the last sixty years, IBA has continuously and authoritatively discharged this responsibility by:

conducting negotiations on behalf of member banks;
signing Bipartite Settlements and Joint Notes binding upon member banks;
issuing interpretations and clarifications to banks regarding implementation of settlements;
representing and defending the collective stand of member banks before various judicial forums;
coordinating uniform personnel policies among banks; and
acting as the recognized negotiating agency on matters concerning wages, pension, service conditions and other employment-related issues.
In the case of Public Sector Banks, the Department of Financial Services has consistently entrusted IBA with the responsibility of conducting wage negotiations and settling service conditions on behalf of the Government-owned banks. Every wage settlement and pension revision affecting lakhs of serving and retired employees has been negotiated through IBA. Consequently, retirees are directly governed by decisions taken by IBA.

It is therefore difficult to reconcile the present disclaimer with the actual role performed by IBA. An organisation that negotiates pension schemes, family pension improvements, medical insurance, gratuity, wage revision, service regulations and retirement benefits cannot simultaneously claim that retirees should not approach it on issues arising out of those very decisions.

The issue becomes more significant because retirees are not presently members of the negotiating process, although the settlements negotiated by IBA directly determine their pensionary and other retirement benefits. In the absence of any recognized mechanism for consultation with retiree organisations, refusing even to receive communications from retirees effectively denies them an opportunity to present their concerns before the very institution responsible for framing policies affecting them.

It is respectfully submitted that the question involved is not whether IBA is a statutory authority or whether it is covered under the Right to Information Act. The real issue is one of institutional accountability, fairness, transparency and participative governance.

The principles of good governance require that an organisation exercising substantial influence over the service conditions and retirement benefits of lakhs of former employees should remain accessible to the stakeholders affected by its decisions. Refusing to entertain any communication from retirees creates an impression that IBA intends to function without accountability to those whose rights are directly impacted by its negotiations and policy decisions.

It may also be noted that Bank Retiree organisation's have consistently been requesting IBA to establish a formal mechanism for direct dialogue with recognized retiree organisations on issues exclusively relating to retired employees. Since no such mechanism has been created despite repeated representations, AIBRF has been constrained to seek appropriate relief before the Hon'ble Bombay High Court through a Writ Petition, which is expected to be listed for hearing on 8 July 2026.

The publication of the present disclaimer during the pendency of this important issue sends an unfortunate message to the retiree community and appears inconsistent with the principles of constructive industrial relations that have distinguished the Indian banking industry for decades.

We, therefore, respectfully request the Indian Banks' Association and the Department of Financial Services to:

1.     Withdraw or suitably modify the impugned notice displayed on the IBA website insofar as it discourages or refuses receipt of communications from bank retirees and their representative organisations.

2.     Recognize that retirees are legitimate stakeholders in all matters relating to pension, family pension, medical benefits and other retirement benefits negotiated through IBA.

3.     Establish an institutional mechanism for regular consultation and structured dialogue with recognized apex retiree organisations, on issues concerning retired employees.

4.     Ensure that representations submitted by recognized retiree organisations are duly acknowledged, examined and disposed of through a transparent and time-bound process.

5.     Reinforce the long-standing tradition of harmonious industrial relations in the banking industry by extending the principles of dialogue and consultation to retired employees as well.

We firmly believes that meaningful engagement between IBA and retiree organisations will strengthen confidence among retired employees, facilitate resolution of long-pending issues and contribute to a more transparent and equitable system of industrial relations.

We sincerely hope that our concerns will receive sympathetic consideration and that appropriate corrective action will be initiated at the earliest.

                                                          With respectful regards,

 

 

                                                                                                                 Yours Sincerely