Bank officers protest over Centre’s merger move

Corporation Bank employees staging a protest in front of the bank’s head office in Mangaluru on Saturday,

Corporation Bank employees staging a protest in front of the bank’s head office in Mangaluru on Saturday,   | Photo Credit: Special Arrangement

Corporation Bank employees wear black bands to work

Corporation Bank officers, all over the country, opposed the move to merge their bank, along with the Andhra Bank, with the Union Bank of India by tying black bands during work on Saturday.

They also staged a protest in different branches across the country, according to Y. Sudhindra, president, and Satish Shetty, general secretary, Corporation Bank Officers’ Organisation (CBOO), affiliated to the All-India Bank Officers’ Confederation (AIBOC).

Referring to the merger proposal, Mr. Sudhindra and Mr. Shetty said that with the recent capital infusion of ₹9,086 crore to Corporation Bank, the government should have waited to assess the outcome. But it took a hasty decision.

The general secretary said that many employees and customers had emotional attachment with the bank and they were also culturally attached with it.

The merger would lead to many service condition issues. In addition, customers especially pensioners would suffer owing to logistical issues, they said.

Watch | Merger of public sector banks

The officers in the bank’s headquarters in Mangaluru, along with other bankers, staged a protest in Pandeshwar in the evening under the auspices of the All-India Bank Officers’ Confederation (AIBOC).

Addressing the bankers on the occasion Mr. Shetty, who is also the vice-president of the AIBOC, said that the Union government has taken the latest decision without properly assessing the impact of the two earlier mergers.

He said that the experience of bank mergers in the last two years has not been encouraging on the business front, customer service, NPA management, and the workforce. The government has not learnt a lesson even after the recent mergers.

Mr. Shetty said that the large-scale merger of banks will adversely impact the ease of banking for the common public.

The business of all the merged entities will suffer due to time, energy and resources that would be spent to put in order the house post-merger, he said.

The government’s move will weaken public sector banking, and will encourage private sector banks at the cost of public sector banks, Mr. Shetty added.

Members of the United Forum of Bank Unions, representing various banks in Mangaluru, participated in the protest demonstration. They also shouted slogans against the Centre, the Prime Minister, and the Finance Minister.


Members of the district unit of United Forum of Bank Unions staged a dharna in front of the zonal office of Corporation Bank. Addressing the protestors, Harold D’Souza, union leader, said that the Union government had taken a wrong decision at a wrong time by unilaterally merging the 10 public sector banks.

The workers and officers of the banks were opposed to this decision. The merger of associate banks with the State Bank of India and that of Vijaya Bank and Dena Bank with the Bank of Baroda had failed.

Yet the Union government was merging 10 banks and creating four banks out of them. With the result six banks would loose their identity. The capacity of the banks would not increase due to merger. Their non-performing assets would not decrease. The capacity of banks to give loans too would not increase, he added.

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Printable version | Apr 10, 2020 8:14:32 AM |

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