LONG TERM SETTLEMENT ON WAGE REVISION

JOINT CHARTER OF DEMANDS IN RESPECT OF REFINERIES, PIPELINES & R&D CENTRE UNIONS
OF INDIAN OIL CORPORATION LIMITED

1. Applicability :
All workmen on the rolls of Indian Oil Corporation Limited in regular pay scales/grades as on
1.1.2017 and joined thereafter.
2. Period of Settlement :
The pay revision will be effective from 01.01.2017. It should not be more than10 years.
3. Scales of Pay :
The scales should be revised as under:-

EXISTING PAY SCALES (Rs.) REVISED PAY SCALES (Rs.)

GRADE MINIMUM MAXIMUM MINIMUM MAXIMUM
I 10500 24500 39400 Open Ended
II 10600 26500 39800 Open Ended
III 10800 29000 40500 Open Ended
IV 11900 32000 44700 Open Ended
V 12800 35000 53400 Open Ended
VI 13800 38500 55200 Open Ended
VII 14800 40500 59200 Open Ended
VIII 16000 43700 64000 Open Ended
IX 20000 49200 75000 Open Ended

4. Induction Level Pay fixation in Grade-IV should be calculated with Rs. 14,500/- i.e. equivalent to
other Oil PSUs where induction level eligibility is Diploma/B.Sc. with 1 to 2 years experience,
instead of Rs. 11,900/- .

5. Fitment Formula:
The basic pay of workmen should be fixed in the revised pay scales as per the following:-
(a) Basic Pay as on 31.12.2016
(b) Variable Dearness Allowance as on 31.12.2016.
(c) Stagnation Increments as on 31.12.2016
(d) Personal Pay/Additional Personal Pay as on 31.12.2016
(e) Full amount of Frozen Personal Pay on 31.12.2016
(f) Fitment Benefit @ 40% on (a)+(b)+(c)+(d)+(e) as above.

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 The sum of (a) + (b) + (c) + (d) + (e)+(f) as above should be the basic pay of workmen in the
revised scales of pay.

Thereafter three additional increments @ 4% should be granted on the revised basic pay.

After adding all the above elements, the figure so arrived should be rounded off to the next nearest
Rs.10/- which should be the revised Basic Pay in the corresponding revised pay scales.

Thereafter annual increment @ 4% due on 1.1.2017 on the revised basic pay should be granted to
all the workmen.

6. Increments:

(a) Annual/Promotional Increments should be granted uniformly to all workmen @ 4% in the

revised scales of pay and should be rounded off to the next Rs.10/-.

(b) Personal Pay/Additional Personal Pay, wherever applicable under any tripartite agreement,
should continue as per the existing policy in vogue and shall be revised in the new pay scales
accordingly.

7. Dearness Allowance :

➢ 100% DA neutralization should be adopted for all workmen as on 31.12.2016 and should be
merged with basic pay. Thus, DA as on 31.12.2016 shall be zero. DA shall be continued to be
paid as per the existing formula on quarterly basis and shall be paid as per the orders issued
by the Govt. of India from time to time.
➢ As and when DA increases above 50%, the same should be merged with Basic Pay and would
be counted for all purposes.

8. House Rent Allowance (HRA) :

The House Rent Allowance (HRA) on revised basic pay should be paid retrospectively i.e. w.e.f.
1.1.2017 at the following rates:-

Cities with Population Revised Rate of HRA

50 lakhs and above (Classified as ‘X’) 40%
5 to 50 lakhs (Classified as ‘Y’) 30%
Less than 5 lakhs (Classified as ‘Z’) 20%

9. Company Leased Accommodation :

Company Leased Accommodation facility should be extended to all workmen.

10. Gratuity :
With effect from 01.01.2017 the ceiling of Gratuity should be removed and Gratuity should be
calculated and paid @ one month of BP+DA for every completed year of actual service rendered.

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11. Superannuation/Retrial Benefits :

➢ Superannuation/Retrial benefits including contributory Provident Fund, Gratuity and Pension

should be increased to 40% of the revised Basic Pay and DA w.e.f. 1.1.2017.

➢ The expenditure incurred on Post Retirement Medical Benefits should be outside the ceiling of
40% of the revised basic pay and DA. The same should be borne by Corporation.

12. Perks and Allowances under ‘Cafeteria Approach’ :

➢ Perks and Allowances under the concept of ‘Cafeteria Approach’ should be paid @ 50% of
revised Basic Pay plus DA w.e.f. 1.1.2017.
➢ The recurring cost incurred on running and maintaining of infrastructure facilities like hospitals,
colleges, schools, holiday homes etc. should be outside the ceiling of 50% of Basic Pay plus
DA on perks and allowances.
➢ All the perquisite tax liability under Income Tax Act should be borne by Corporation and shall
not be loaded within the ceiling of 50% of Basic Pay plus DA on perks and allowances.
➢ Cost incurred on LTC/LFA should not be loaded within the ceiling of 50% of Basic Pay plus DA
on perks and allowances being the welfare facility for the workmen and their family members
and to promote tourism.
➢ Entire amount of Transport subsidy should be outside the purview of 50% of Basic Pay plus
DA on perks and allowances as the same is being utilized for official duties.
➢ Once in life time free tour to Andaman & Nicobar and Lakshadweep, and it should be kept
outside the purview of 50% Basic pay plus DA.

13. Travel entitlement of workmen under LTC and TA Rules :

A) The Travel entitlement of all workmen under LTC and TA Rules should be by Air w.e.f.
1.1.2017.
B) LTC facilities for workmen should be extended to abroad also.

14. Payment of Arrears:

Payment of arrears on account of revision of Basic Pay, Dearness Allowance, House Rent
Allowance, Perks and Allowances under ‘Cafeteria Approach’, LTC/LFA, PLI/PIS, Overtime, Leave
encashment, Family Planning Increment, Special Allowance, Personal Pay/Additional Personal
Pay etc. and any other allowances should be paid retrospectively i.e. w.e.f. 1.1.2017.

15. Medical Rules should be revised in consultation with unions and a committee of union’s
management should be consulted in this regard.

➢ Medical facility for the dependent children’s studding at abroad India.

➢ Income Ceiling and condition for living under same roof must be withdrawn for Parents.
➢ During Hospitalization two bedded room should be entitled for all grade workmen.

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16. Leave Rules :

➢ Child Care Leave with full pay for women employees should be introduced in line with
Government of India Policy.
➢ Ceiling of accumulation of Earned Leave encashment should be raised from 300 to 600 leaves.
➢ Restriction for availing Earned Leave six times in a year should be removed.
➢ Restriction for availing 10 days leaves in combination with casual leave and other weekly off
days/festival holidays should be removed.
➢ Availing of Half Pay Sick Leave should be restored.
➢ Leave for weekly off days should not be counted.
➢ Restricted Holiday for Unit.
➢ Modification of leave combination in consultation with Unions.
➢ Review of the list of serious sickness for considering special leave.

17. Special Allowance to workmen to be enhanced to 33% of Basic plus DA.

18. Risk/Hazardous Allowance to be paid to workmen.
19. Hardship Allowance to be revised to 20%.
20. Northeast Allowance to be revised to 20%
21. Remote Locality Allowance to be paid to workmen.
22. Tatkal Sahayata scheme (TSS) should be introduced for all workmen in line with officers.
23. Long Service Award- Long Service Award should also be introducing on completion of 10, 20 and
40 years of services.
24. Khadi Voucher- To all Employees of Rs. 20000/- (Twenty Thousand).
25. Pay anomalies if any by this LTS should be resolved amicably in local Management.
26. A Committee to be formed to see pay anomalies of last two LTS’.
27. Restructuring of nomenclature of workmen.
28. Additional promotional increment :
For Refineries & R&D Divisions For Pipelines Division
An additional promotional increment should be Employees of highest salary Grade after
given to all employees in Grade IX after completion of every three years in the respective
completion of every three years and the same Unit.
promotional increments should also be given to
all employees in Grade VIII in Panipat Refinery,
Refineries Hqrs, and R&D Centre where
Grade IX is not implemented.

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29. 95% of all facilities of the Grade (A) officer:

For Refineries & R&D Divisions For Pipelines Division

95% of all facilities of Grade A officer should be Employees of highest salary Grade after
given to all employees in Grade IX and the completion of every three years in the respective
same facilities should also be given to all Unit.
employees in Grade VIII in Panipat Refinery,
Refineries Hqrs, and R&D Centre where
Grade IX is not implemented.

30. Saturday should be half day for General Shift Employees who are performing 48 hours duty.
31. Recruitment of workmen in ministerial cadre.

Unions reserve their right to add/alter/modify any demand(s) at any time till its finalization.

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