Banks closed for 2 Days : News Update

Banking services hit as employees go on 2-day strike

Over 10,000 bank employees will hold a rally at Azad Maidan Wednesday afternoon in support of their demands.

Banking activities were hit in all state run and some private banks as bank employees participated in the Aug 22-23 strike called by United Forum of Bank Unions to protest against various issues, reports said.

UFBU represents nearly 10 lakh bank employees and officers working the public sector banks, private sector banks, foreign banks, regional rural banks and co-operative banks.

Over a million employees and officers of 27 public sector banks, 12 old generation private banks and eight foreign banks were participating in the strike, reports said.

Among the operations hit were normal in-house across the counter services for ordinary customers, foreign exchange transactions, export-import and local bills, clearing of all types of cheques, bank lockers operations, capital markets and other activities carried out through banks.

Over 10,000 bank employees will hold a rally at Azad Maidan Wednesday afternoon in support of their demands, reports said citing secretary of the All India Bank Employees Association, Vishwas Utagi.

The union is mainly opposed to the Government’s proposal of increasing the voting rights to 10% from 1% for public sector banks and to 26% from 10% for private sector banks, reports said citing an official of a public sector bank representing the officer’s association.

“The proposed banking law amendments proposing to adversely amend the Banking Regulation Act, 1949, and Banking Companies' Acquisition & Transfer of Undertakings Act, aimed at merger of banks, allowing private and foreign capital in banks, unrestricted voting rights and granting licences to corporate business houses to start new banks, are aimed at handing over the Indian private sector banking to multi-national banks and increasing the presence of Indian corporate and foreign direct investment in public sector banks,” reports said earlier citing Utagi.

The outcome of these proposed measures would be closure of rural bank branches, resorting to a large number of ultra-small branches, thereby privatising rural banking operations through contractual businesses, he said.

Despite the protests, the Lok Sabha will take up amendments in the Banking Regulation Act for consideration and passage on Wednesday.

The union is also opposed to unfriendly work hours and certain recommendations of the Khandelwal Committee which bypasses the employee unions regarding HR matters. The union has also demanded a five-day working week as is followed in other services industries including insurance, stock markets, foreign exchange markets, among others.

SOURCE : Indiainfoline.com