In a major development, a Memorandum of Understanding (MoU) was signed recently between the Bipartite Wage Negotiation Committee (BWNC) and the Indian Port Association (IPA), averting an indefinite strike that was set to disrupt operations across 12 major ports in India, through the timely intervention of the Union Minister of Ports, Shipping & Waterways, Sarbananda Sonowal.
The MoU signed facilitates the revision of the wage structure and addresses other service conditions, including pensionary benefits. It was agreed that the fitment benefit of 8.5% on the aggregate amount of basic pay as of December 31, 2021, plus 30% VDA as of January 1, 2022, shall be granted. The periodicity of the settlement is set for five years, from January 1, 2022 to December 31, 2026. The new pay scales, effective from January 1, 2022, will be formulated according to existing practices.
Additionally, a special allowance of Rs 500 per month will be provided to working employees during the operative period of the settlement, from January 1, 2022 until December 31, 2026, or until the date of the employee’s superannuation, whichever comes first.
Both parties agreed to consider aligning the periodicity of future wage revisions for both officers and employees, starting from January 1, 2027, to avoid any potential anomalies.
On the successful resolution, Sonowal said, “This agreement marks a significant step forward in ensuring fair and equitable treatment for our port workers, who are the backbone of the Indian maritime sector. The timely resolution of these issues reflects MoPSWs commitment to foster a harmonious and productive working environment across all Indian ports.” The minister also commended both the workers federations and the IPA for their constructive approach to these negotiations.