LET US MARCH ON TO ALL INDIA STRIKE ON 26TH DECEMBER, 2018 TO OPPOSE THE GOVERNMENT DECISION ON AMALGAMATION OF BANK OF BARODA, DENA BANK AND VIJAYA BANK

Right from the day the Government of India announced their decision on 17th
September, 2018 to amalgamate Bank of Baroda, Dena Bank and Vijaya Bank, we
have been holding protest demonstrations opposing this unwarranted move. In a
country like India, where the Government itself is talking of reaching all people
under banking system, what we need is expansion of banking sector and not
amalgamation and consolidation. Banking density in India is one of the lowest in
the world. There is so much of space for banks to expand and reach all sections
of the people. Hence merger of Banks or amalgamation of banks with a view to
consolidate the Banking sector is unnecessary and illogical.

There is no evidence so far that consolidation of Banks would result in any benefit. Even the mega merger of 6 Banks with State Bank of India undertaken last year has not resulted in any benefit to SBI. On the other hand, SBI is having
compulsions of branch closures and restructuring of their operations. SBI is also facing enhanced stress of bad loans. It had slipped into losses after the merger.
We are also witnessing shrinkage in employment potential in SBI because merger has resulted in surplus staff.
Even in the case of Bank of Baroda, Dena Bank and Vijaya Bank, the only major
problem faced by these Banks is their high level of bad loans. Merger or
amalgamation is no solution to recover these bad loans. In fact, under the merged
entity, the recovery is bound to go haywire.
Unfortunately, the Government is bent on implementing their policy of privatization and consolidation of Banks. Despite our strong protests, these three Banks are appearing to go ahead with the merger. Hence in order to register our protest and to draw public and political attention, UFBU has decided to give the call for observing one day strike on 26th December, 2018.