In an effort to ensure a fair resolution, UBOA Kerala State submitted a Model Proposal to Union Bank of India’s Chief Financial Officer (CFO), urging the bank to absorb the perquisite tax on concessional interest rate loans. This proposal highlighted several key points:

• Inconsistency Across Banks: UBOA Kerala noted that many peer public sector banks have absorbed the perquisite tax, creating an unfair disparity for Union Bank of India officers.
• Financial Strain on Officers: The proposal emphasized the financial hardship caused to officers, who were now burdened by the unexpected tax.
• Call for Fairness and Equity: The submission stressed the need for fairness in treating officers across banks, and how absorbing the perquisite tax would ensure parity.

The proposal was forwarded to the Hon’ble Chairman and MD & CEO of Union Bank of India for further consideration.