The divestment of the Life Insurance Corporation of India (LIC) has been opposed from various quarters, while the company's Unions seem to have only shown token opposition to the move, according to reports.
The reason for this is a veritable 'deal' struck with the LIC management and the government last year.
These include a increase in Dearness Allowance and a five-day working week for LIC's 1,35,000 employees, as compared with the rest of the industry.
The LIC staffers were given a 0.08 per cent hike for every 4-point rise in the DA calculation in the last wage revision (April 2021), although the banking industry is getting .07 per cent for every 4-point rise.
"This move by the Centre has created an imbalance in the entire banking and insurance sector with the LIC staffers being given a favourable treatment," said All India Bank Officers Association (AIBOA) General Secretary S. Nagarajan.
