Govt approves wage structure revision for port workers

A memorandum of understanding (MoU) was signed 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.

The MoU facilitates the revision of the wage structure and addresses other service conditions, including pensionary benefits, says an official release from the Ministry of Ports.

"It was agreed that the fitment benefit of 8.5 percent on the aggregate amount of basic pay as of 31-12-2021, plus 30 percent VDA as of 1-1-2022, shall be granted. The periodicity of the settlement is set for five years, from 1-1-2022 to 31-12-2026. The new pay scales, effective from 1-1-2022, will be formulated according to existing practices."

Both parties agreed to consider aligning the periodicity of future wage revisions for both officers and employees, starting from 1-1-2027, to avoid any potential anomalies, the release added.

"Additionally, a special allowance of Rs 500 per month will be provided to working employees during the operative period of the settlement, from 1-1-2022 until 31-12-2026, or until the date of the employee’s superannuation, whichever comes first."

Sarbananda Sonowal, Minister of Ports, Shipping & Waterways says: “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 MoPSW's commitment to foster a harmonious and productive working environment across all Indian ports.”

A drafting committee meeting will prepare the settlement within ten days. This committee will include one representative from each federation as well as management representatives appointed by the Chairman of IPA, the release added.