Normal banking operations may take a hit as over nine lakh public sector bank employees went on strike on Friday, 29 July to protest against the proposed merger of associate banks with State Bank of India (SBI) and banking reforms announced by the government.
ATMs are suspected to run dry of cash as 30 July is the fourth Saturday of the month when banks are anyway shut. This means banking operations will only resume on Monday.
The United Forum of Banks Unions (UFBU), an umbrella organisation of nine bank employees and officers unions representing over nine lakh staff, went ahead with the strike. This will potentially affect services like cheque clearances, cash deposit and withdrawal at branches and other facilities.
Most banks, including the SBI, informed customers that banking services will come to a halt on Friday due to the strike at all banks on “issue and demand to stop banking sector reforms”.
“The All India State Bank Officers’ Federation and the All India State Bank of India Staff Federation are members of UFBU. Thus, it is likely that the bank will also be impacted to some extent by the said strike calls,” SBI said in a statement.
According to the All India Bank Employees Association (AIBEA) General Secretary CH Venkatachalam, the conciliation meeting with the Chief Labour Commissioner on 26 July did not yield any positive results. UFBU is willing to reconsider the strike call if the government considers their demand and addresses it.
Ashwani Rana, Vice-President of the National Organisation of Bank Workers, another affiliate of UFBU, said their will be a strike on Friday, but banks will work as usual on Saturday.
Unions, which are protesting against FDI in the banking sector, are pressing for various demands, which include one not to privatise public sector banks and increase private capital in such banks, Rana said.
The unions are also opposed to the move to privatise regional rural banks and co-operative banks, and consolidate and merge banks, among others, he added.
(With inputs from PTI)
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