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LIC employee unions refuse 14% salary hike offer by management | Company News

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The employee unions of Life Insurance Corporation of India (LIC) have refused the 14 per cent salary hike offered by the company, as the offer does not reflect the efforts put in by the employees.


The state-owned life insurer had offered to give its employees a raise of 14 per cent in a meeting convened with the All India National Life Insurance Employees Federation and other unions in LIC.


According to a press note by the union, “All the unions in LIC have refused the 14 per cent offer of LIC Management as this offer does not reflect the dedication and commitment of LIC employees towards the institution.”


Rajesh Nimbalkar, the General Secretary of the All India National Life Insurance Employees Federation, noted that the offer made by LIC Management has ‘disappointed employees’, considering the performance of the public sector insurer across several parameters.


In Q3 FY24, LIC recorded a 49 per cent year-on-year (Y-o-Y) growth in net profit to Rs 9,444.42 crore from Rs 6,334.19 crore in the year-ago period. While the key profitability margin of the insurance company, Value of New Business (VNB) Margin, was 20.01 per cent in the quarter as compared to 14.62 per cent in Q3 FY23.


In the quarter under review, the employees’ remuneration and welfare expenses of the corporation rose by nearly 71 per cent to Rs 9,543.68 crore from Rs 5,579.55 crore in Q3 FY23.

First Published: Feb 16 2024 | 6:17 PM IST

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