Two employee unions' strike partially hits banking services

Banking operations in some parts of the country were affected on Tuesday as two employee unions are on strike, protesting merger of public sector banks.

Some of the services like cash deposit and withdrawal at the counter as well as cheque clearances have been impacted due to the nation-wide strike.

However, branches of public sectors banks in urban areas are operational as officers at these branches are not participating in the strike.

Most of the banks, including SBI, had informed their customers about strike call given by All India Bank Employees Association (AIBEA) and Bank Employees Federation of India (BEFI) to protest bank mergers and fall in deposit rates.

Merger of banks is totally unwarranted in India as there is a need for more banking services and opening of more branches to serve the people, AIBEA General Secretary C H Venkatachalam said.

"The merger has so far resulted in closure of branches and hence it is a wrong policy. Recovery of the huge bad loans is the top priority for banks, and merger will change the priority. Hence, it is a bad idea," he added.