AINBEA, Nabard management sign 9th bipartite wage settlement 

P Dinesh, Chief General Manager, Human Resources, Nabard, exchanges copy of signed wage settlement with Rana Mitra, General Secretary, AINBEA. Also seen are AK Sood, Deputy Managing Director, Nabard, and Jose T Abraham, President, AINBEA.

The All India Nabard Employees Association (AINBEA) finalized the 9th bipartite wage settlement with Nabard management at its Mumbai headquarters on Tuesday. The agreement follows central government approval of wage revisions for Nabard and public sector general insurers.

Pension revisions for retirees from both RBI and Nabard were also approved. Rana Mitra, General Secretary of AINBEA, stated the association pursued extended negotiations to secure Department of Financial Services (DFS) endorsement for the agreed terms.

Distinct Functions

Since its establishment in 1982, Nabard’s founding team primarily comprised personnel transferred from RBI. While inheriting RBI’s operational ethos and developmental emphasis, Nabard functions as a specialized development financial institution (DFI) targeting rural advancement, distinct from RBI’s regulatory role in banking.

Key Settlement Outcomes

AINBEA advocated for pension parity between Nabard-hired staff and former RBI employees retired before November 2017, reinstatement of statutory RBI concessional funding, and opposition to proposed labor codes. The new terms include a 20% average wage increase for workmen across service tiers, effective retroactively from November 2022 through October 2027—aligning with wage adjustment cycles for RBI, public sector banks, and Regional Rural Banks.

Financial Impact

The annual financial commitment for revised wages totals ₹170 crore, with accumulated arrears projected at ₹510 crore. Pension alignment for Nabard-recruited retirees until October 2017 requires a one-time outlay of ₹50.82 crore. Monthly pension disbursements will increase by ₹3.55 crore for 269 retirees and 457 family beneficiaries. All expenditures will be absorbed through Nabard’s internal resources.

Operational Excellence

Mitra highlighted Nabard’s position among top-performing DFIs, with per-capita profitability and business metrics surpassing several domestic and international peers. He emphasized that reinstating concessional finance as originally mandated could further reduce rural borrowing costs for farmers and women’s self-help groups, amplifying developmental impact.

Reinforcing Development Goals

During a headquarters gathering, AINBEA reiterated its dedication to fortifying Nabard’s rural empowerment mission while endorsing the February 12 nationwide labor strike against new labor codes.

Published on February 4, 2026