There is a good news for the employees of Life Insurance Corporation of India (LIC). The central government is likely to take a decision on the pay hike in the coming weeks.The Finance Ministry has approved in principle a pay hike proposal for LIC employees, which is expected to increase by up to 20 per cent.
The salary hike for LIC employees is sure to be announced this year. The LIC management has recommended a 20 per cent pay hike to the finance ministry, which is expected to get final approval from the Center next week.
Recently, the LIC president had an online discussion with union representatives. It informed about the salary increase proposal given by the management. Last time, a 17 per cent pay hike was proposed. Apart from this, a 1 per cent cut was proposed on home loans.
This year, however, LIC employees are expected to get a pay hike of between 18.5 per cent and 20 per cent. It is learned that the salary of LIC employees has not been increased since August 1, 2017.
Meanwhile, Union Finance Minister Nirmala Sitharaman had announced the sale of stake in LIC under the central government's divestment scheme while presenting this year's budget. It is said that LIC's IPO will come in the near future. The 10 per cent stake in the IPO will be reserved for LIC policyholders. The central government also aims to raise at least Rs 1 lakh crore from the sale.