Letter to BS: Efficiency of bank unions has diminished over the decades

The article “Who’s afraid of bank trade unions? (November 25, 2019)” by Tamal Bandyopadhyay made an apt analysis of the role of bank unions particularly in negotiating the wage pact for the employees of public sector banks (PSBs). As correctly outlined by the writer, the efficiency bank unions has diminished over the decades. The writer suggests there should be bank-specific negotiations rather than the current system of bank unions representing the employees of all PSBs. One is not sure whether such bank-specific negotiation will enable employees of strong PSBs to get deserving wages, but it will certainly affect the maneuverability and the strength, as well as solidarity of bank unions. By and large, the working culture of almost all PSBs is similar and hence bargaining jointly can certainly give them an edge. Moreover, in case a stronger bank wants to offer something more apart from the salary, it can do so by offering better perks/allowances separately for its employees as per the capacity of the individual bank. Bank-specific wage negotiation for each of PSB may undermine the interest of employees rather than promote the same.

Yatiksha J Chauhan, Ahmedabad

Letters can be mailed, faxed or e-mailed to: 

The Editor, Business Standard

Nehru House, 4 Bahadur Shah Zafar Marg 

New Delhi 110 002 

Fax: (011) 23720201  ·  E-mail: letters@bsmail.in

All letters must have a postal address and telephone number