Bank staff body plans strike against SBI's merger move
BS Reporter / Chennai Jun 12, 2009, 00:11 IST
The All-India Bank Employees’ Association (AIBEA) On Thursday said that it was planning a strike in State Bank of India’s (SBI’s) subsidiary banks in the first week of July to protest the country’s largest lender’s decision to merge these entities with itself.
AIBEA General Secretary C H Venkatachalam said the SBI management has made it clear that it would expedite the process of merger. The Association had chalked out the strike plan in view of this immediate threat, Venkatachalam added.
Yesterday, Finance Minister Pranab Mukherjee had said the government would support public sector banks’ (PSBs’) plans on consolidation to enhance the competitiveness of Indian banks globally, he pointed out.
Venkatachalam was of the view that the Indian banking industry did not need consolidation of banks. Rather, what was required On Thursday was expansion of PSBs. In order to achieve the objective of total financial inclusion, PSBs have to proliferate and expand in un-banked areas, he said.
While on the one hand, consolidation and global competition would result in monopoly of a few big banks and deviation from the needs of the common man and social sectors, on the other, it would push these banks and their resources towards bailing out corporate houses – domestic and foreign.
Merger of banks would lead to closure of a large number of bank branches, thereby curtailing banking services for the masses. The closure of branches would also jeopardise jobs of bank employees, he said.
Mere merger of banks would not make them financially stronger. Nor were these PSBs created for global competition, Venkatachalam argued.
So, both from the country’s point of view and the point of view of social objectives of these banks, the policy of merger was unwarranted and highly retrograde, he contended.
“If the government, or the Reserve Bank of India, or any bank management takes any unilateral measure towards merger and consolidation of PSBs, it would be protested with nation-wide strikes by bank employees,” he threatened.
The General Council of AIBEA has been convened in Mumbai on July 9 and 10 to chart out the future course of action, Venkatachalam said.
All India SBI Associate Banks Merger Forum has strongly opposed the ensuing strike of banks on 6,July 2009 announced by Some associates' Bank's associations being anti-employee, anti- customer and anti-nation as 99% of the employees/officers had favored merger which was revealed during a recent survey conducted by the forum. The merger of all major banks would lead to a global bank; provide world level technology, infrastructure and services ultimately improving world class customer services.
Posted by: ashokmeena
June 29 , 2009, 08:39 IST
we demand a poll conduct by you, for in favore of merger with sbi a lotoff
Merger is to the net benefit of everyone including the employees. Employees know this and actually support merger. The union netas are trying to mislead but it will be their political suicide.
The AIBEA has to strike work because it would cease to be the monopoly union in the banking sector after merger of SBI subsidiaries with SBI. SBI workers have a different union and on merger, all the Subsidiary bank workers would join them only. Bank unions are a multi-crore business and it is right on AIBEA's part to obstruct loss of business. The merger would however, benefit the employees of the Subsidiaries largely. It would give them more perks and more retirement benefits. The AIBEA on the other hand, might have to retire from the banking scene. AIBEA has called for the Strike to benefit themselves and not the membership. They cannot be blamed for self-preservation even at the cost of their members.
Posted by: ashokmeena
June 26 , 2009, 22:13 IST
Sh. Ashok Meena General Secretary of All India SBI Associate Banks Merger Forum stressed that there is need to curb the unwanted strike as it restrict the pace of integrated growth in India by affecting various sectors like agriculture, industrial and services. It would also be leading a number of other benefits like all types of facilities in a branch, fully computerized branches and other offices of banks, a number of schemes of various banks and government schemes may be reduced to a few one, reduction in interest rates on advances, low cost of operation, one interest rates, qualitative training, stiff competition with private banks and adequate awareness among bankers as well as customers. Reserve Bank of India, NABARD, State and Central Government would be in a position to effectively monitor various instructions issued and schemes announced in a more vibrant manner.
Posted by: SanjoyGupta
June 12 , 2009, 16:12 IST
I fully agree with Mr R Sajan. He has told the real truth. We, the ordinary employees indeed support merger as it is of net benefit to us.
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