About ten lakh bank employees and officers would take part in the countrywide strike.
Bank employees have called a nationwide strike on December 26 opposing the merger of Bank of Baroda, Dena Bank and Vijaya Bank. The move to merge more banks after State Bank of India (SBI) was unwarranted as it would not be beneficial to the economy and the people at large, All India Bank Employees Association (AIBEA) said.
“The merger will also affect the interests of employees, their jobs and job security. The move would also affect employment opportunities in the banking industry,” PTI reported citing the Association general secretary C H Venkatachalam. About ten lakh bank employees and officers would take part in the countrywide strike, he added.
Considering a large number of villages which needs banking services, the consolidation move is unwarranted, he further said. There is no evidence when the move will reach conclusion since SBI has not become any larger after six banks were merged last year, he added.
“After merger of the six banks with SBI, the non-performing assets have further gone upto Rs 2.25 lakh crore. Hence, it is also a wrong presumption,” he told PTI.
Meanwhile, of the three banks to be merged, Dena Bank is the weakest, with non-performing asset (NPA) ratio of 11.04 per cent and business of Rs 1.72 lakh crore, as compared to 5.4 per cent NPA and Rs 10.2 lakh crore business of Bank of Baroda and 4.10 per cent NPA and Rs 2 lakh crore worth business of Vijaya Bank.