Banking operations were partly affected across the country on Friday due to a day-long strike by employees of public sector and old private sector banks in protest against reforms in the sector. Operations in branches of public sector banks were affected and cheque clearance were delayed.
The bank unions met financial services secretary DK Mittal as well as the IBA (Indian Banks? Association) chairman on Thursday, but no solution could be found. ?About 10 lakh bank employees and officers working in public sector banks, old private banks, cooperative banks and regional rural banks were on strike,? United Forum of Bank Unions (UFBU) convener CH Vekatachalam claimed.
UFBU is an umbrella organisation of five workman unions and four officer unions of public sector and private sector banks in the country. The strike was called by the UFBU. However, employees of new age private sector banks like Axis Bank, ICICI Bank, HDFC Bank Yes Bank and foreign banks stayed away from the strike.
In the name of banking sector reforms, Vekatachalam said the government is attempting to reduce their share of equity capital in the public sector banks, thereby, increasing the hold of private capital in these banks. The government is also pursuing their policy of consolidation and merger of public sector banks, which are totally unwarranted and would in no way benefit in strengthening banks, he said.
TK Unnikrishnan, deputy chief executive,IBA, said by and large, all the nationalised banks remained closed. However, the services impact was not seen much thanks to the fact that the retail customers are now more dependent on ATMs. On the demands being raised by the agitating bank employees, Unnikrishnan said most of the demands are national issues and have nothing to do with either IBA or bank managements.
