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    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

    SBI employees likely to get performance linked incentive of 15-days’ salary: Report
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    By CNBCTV18.com  IST (Updated)

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    State 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.

    State 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.

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