The Hindu : Business : Banks to close shop for three days

Online edition of India's National Newspaper
Friday, Jan 18, 2008
ePaper | Mobile/PDA Version

Business

Business

Banks to close shop for three days

Staff Reporter

Scenario to be repeated in February

Trade unions raising several demands
10 lakh employees to join the strike

KOCHI: The banking sector will be paralysed for three days from January 25. The bank employees are striking work on January 25, Friday, the following day is a holiday on account of Republic Day and then comes Sunday.

This will be repeated in February. Following February 24, Sunday, bank unions will organise a strike on February 25 and 26.

About 10 lakh employees in public and private sector banks will join the strike, union leaders say. They are planning an indefinite strike in March.

The unions are raising several demands, one of the key issues being merger of banks. There have been attempts towards merging public sector banks. The aim is to make them stronger and bigger, to face global competition. But the unions say there is no need for the public sector banks to compete with global banks.

The public sector banks are meant for the country’s basic economic development with special social responsibilities. There is a need to further expand the public sector banks to achieve the objectives of financial inclusion and merger is not an answer to these changes, a union leader says.

Three-fourths of the deposits in public sector banks are household savings of common people. This must be utilised equitably for the development and welfare of the country. The mergers will enable the banks to pool capital and resources for the benefit of big corporates for funding their domestic and overseas business expansion plans at the cost of the common people.

In the name of competitiveness, mergers will lead to closure of branches, curtailment of banking services to ordinary customers and reduction in the number of staff.

A study conducted by the United Forum of Bank Unions says the number of branches of banks in the public sector increased by 9 per cent during 2001-07. The business went up by 170 per cent, but the number of staff was reduced by nearly 10 per cent.

Revision of wages

The employees’ demands include filling up of vacancies and stopping of outsourcing. Early settlement of wage revision is another demand.

Printer friendly page
Send this article to Friends by E-Mail

Business