RBI officers salary and perks
Rajagopal Shankaranarayana
Reserve Bank of India (RBI) Officers: Salaries and Perks
Salaries at the RBI
The Reserve Bank of India (RBI) is one of the premier employers in India. As the nation's money market and bank, the RBI offers handsome career options, both in terms of salary, benefits, and quality of life.
Compared to other government jobs, including the Civil Services, employment at the RBI is highly predictable and generally brighter with less bureaucracy and corruption. Reserve Bank employees generally work a five-day week at postings in metros or state capitals. RBI work environments are easily adjustable and the pay packages are the best in the industry pay packages. Let us talk about the details.
- Note: The information below was last updated in 2013.
RBI Seniority Levels
Seniority levels for RBI officers are divided six into groups (A to F):
- Groups A and B are the most junior levels. Officers for these groups are recruited directly almost every year. College graduates and postgraduates are recruited for group B through examinations conducted by the Reserve Bank of India Services Board.
- Groups C and D are levels requiring more experience. Direct recruitment for these levels occurs almost every year.
- Group F is the most senior level and includes officers such as Deputy-Governor and Governor. These officers are collectively are called Class-I employees.
- RBI also has a large number of class-III and class-IV employees, which work as service staff and other subordinate levels. Strangely, there is no class-II level in RBI.
Basic Pay
All salary components are based upon basic pay or base salary. The table below shows the annual increment by which base pay will increase (normally irrespective of performance). As you can see, the starting basic salaries for group B officers are 21000. This is supplemented by the Dearness Allowance (58+%), House Rent Allowance(10+%), etc. making the gross salary well above 40,000 (excluding the sweet little perks).
RBI 2020 starting salaries
Cadre | Basic Pay | Increment |
|---|---|---|
Grade A | 28,150 | 1,550 |
Grade B | 35,150 | 1,750 |
RBI 2012 starting salaries
Cadre Level | Basic Pay at Start of Scale | Annual Increment |
|---|---|---|
Group A | 17,100 | 1,000 |
Group B | 21,000 | 1,000 |
Group C | 28,350 | 1,000 |
Group D | 39,850 | 1,200 |
Group E | 42,300 | 1,300 |
Group F | 60,600 | 1,600 |
Local and Family Allowance
All officers except for those in group F are eligible for local allowance. There is a maximum ceiling for this benefit, which varies by level. Similarly, all officers except those in group F are eligible for family allowance. Refer to the table below for details.
Cadre Level | Local Allowance | Family Allowance |
|---|---|---|
Group A | 5% of basic | 4% of basic |
Group B | 5% of basic | 4% of basic |
Group C | 5% of basic | 4% of basic |
Group D | 5% of basic | 4% of basic |
Group E | 5% of basic | 4% of basic |
Group F | Not eligible | Not eligible |
Grade and Special Allowance
These allowances are given to all officers who are confirmed in their grade. In addition to being confirmed, officers must satisfy the eligibility criteria. See the amounts for these allowances below.
2012: Monthly Reimbursements: Educational, Household, and Telephone
Employees are also eligible to be reimbursed for education fees, telephone bills, and domestic help wages. See details below.
Cadre Level | Education (Rs) | Household (Rs) | Telephone (calls) |
|---|---|---|---|
Group A | 2,000 | 2,000 | 500 |
Group B | 2,000 | 2,000 | 800 |
Group C | 2,000 | 2,000 | 1,500 |
Group D | 2,000 | 3,000 | 2,000 |
Group E | 2,000 | 3,000 | 2,000 |
Group F | 2,000 | 4,000 | 3,500 |
2012: Conveyance Expenses
All the employees are eligible for a petrol quota depending upon their city and grade. Those living in Mumbai, New Delhi, Chennai, Hyderabad, or Bangalore get an extra 30 litres above their group quota. Those who don't own a car are given cash instead of petrol. However, the cash payment is less than the petrol value and car owners also receive monthly vehicle maintenance allowances. See the table below for details.
Cadre Level | Petrol (Ltrs) | Reimbursement for Non-Car Owners | Car Maintenance Allowance | Driver Allowance |
|---|---|---|---|---|
Group A | 120 | 4,000* | 0 | 0 |
Group B | 120 | 4,000* | 0 | 0 |
Group C | 150 | 5,000* | 1,000 | 5,500 |
Group D | 180 | 6,000* | 2,500 | 5,500 |
Group E | 210 | 6,000* | 2,500 | 7,000 |
Group F | 270 | 6,000* | 2,500 | 7,000 |
2012: Official Car and House A/C
Officers in grades E and F are eligible for car and home air conditioning. The maximum price of car and AC is Rs. 8,00,000 and 20,000 respectively. An additional 200 units of free electricity is provided by the employer for paying AC costs. A condition is that upon retirement the officer will buy the car for Rs. 50,000 or the actual depreciated value of car, whichever is higher.
2012: Annual Reimbursements: Medical, Book Grant and Briefcase
Apart from monthly reimbursements, there are other allowances reimbursed annually. These are eligible upon presentation of receipts or bills. The maximum permissible amount for medical, book grant, and briefcase allowances are below.
Cadre Level | Medical | Book Grant | Briefcase |
|---|---|---|---|
Group A | 4,000 | 4,000 | 5,000 |
Group B | 4,000 | 4,500 | 7,000 |
Group C | 4,000 | 5,000 | 7,000 |
Group D | 5,500 | 6,000 | 9,000 |
Group E | 5,500 | 6,000 | 9,000 |
Group D | 5,500 | 7,000 | 9,000 |
2012: Easy Loans for Car, Bike, or PC Purchase
Concessional loans are available to all employees planning to purchase either a car, bike, or PC/laptop. The quantum of advance, interest rates, and conditions are in the table below. New loans can be taken out once an old loan is paid off and a period of time has passed (four years for a car, one year for a bike, and five years for a computer.)
Item | Loan Eligible | Interest Rate | Conditions |
|---|---|---|---|
Car | 7,00,000 | 7% | Maximum limit = 90% of cost |
Motor Bike | 75,000 | 6% | Maximum limit = 90% of cost |
Computer | 50,000 | 6% | Maximum limit = 90% of cost |
Well There's More
There is a bagful of other allowances and reimbursements which I will list down in short:
- Furnishing of Residence: All officers are eligible to furnish their residence periodically. This furnishing allowance can be availed once every five years.
- JAIB/CAIIB Allowance: To reimburse those who take CAIIB or JAIB courses at the Indian Institute of Banking and Finance, a banking college with an MoU with RBI. These courses can be taken while on the job.
- Special Functional Allowance: For those who work as private secretaries in grades A or B.
- Provident Fund, Gratuity and Retirement: Though PF is included in basic pay, retirement is a true asset.
- Leave Fare Concessions: AC 2nd Class for all employees with basic pay Rs. 33,200 or less and airfare for those with basic pay above 33,200.
- Deputation Allowance: Up to 7.75% of basic pay is allowed in addition to existing pay for those working on deputation in RBI.
2012: Furnishing Allowance
Cadre Level | Amount Permissable |
|---|---|
Group A | 70,000 |
Group B | 70,000 |
Group C | 90,000 |
Group D | 1,10,000 |
Group E | 1,50,000 |
Group F | 2,00,000 |
Intangible Benefits
That is about all of the tangible benefits of a job with RBI, but there are other, intangible, benefits as well. RBI provides a safety net through life insurance, medical insurance, OPD expense reimbursements, education leave, and more. While the cost of these benefits is borne by the employer, the actual gain can never be overlooked.
Beyond Salary and Perks
Even if we forget the CTC, jobs at RBI offer handsome prospects for learning and growth within the organisation. RBI has become a be-all-end-all institution for budding graduates, who can dream of becoming Deputy Governors before retirement, provided that they land a position at the right age. Others use these jobs as a launchpad for other international organizations. They move to the World Bank, IMF, ADB, and the like. Some others move to high profile jobs in investment banks.
Before venturing deep into the future, perform a reality check. Getting recruited to RBI is as tough as it is easy to like the salaries. Around 40,000 aspirants apply for a meager 200–300 entry-level jobs every year. There will always be those who make the cut in the end because they passionately wanted the job.
Good luck!
This article is accurate and true to the best of the author’s knowledge. Content is for informational or entertainment purposes only and does not substitute for personal counsel or professional advice in business, financial, legal, or technical matters.
© 2012 Gurpreet Seehr
ganpat dhond
Visit our blog site http:://bankpensioner.blogspot.com
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