LM NEWS 24
LM NEWS 24

No Job Loss After Banks Merger: Govt

The merger of 10 public sector banks (PSBs) to form four big lenders will create more jobs and not lead to any retrenchment as being claimed by some trade unions, Finance Secretary Rajiv Kumar has said.

“When the size of a bank becomes big, then its business will also grow, resulting in more job creation. There is no question of retrenchment,” he told ANI in an exclusive interview.

“Look at the past example of mergers with State Bank of India. See the example of three banks merging with Bank of Baroda. There was no retrenchment. This is an issue of providing better facilities to bank employees,” said Kumar.

The merger of PSBs is imperative for India to become a five trillion dollar economy in the next five years. “You have to adopt a banking system which is clean and impactful. In 2017, there were 27 PSBs. Now we have only 12.”

Kumar said there will be three types of banks in future: PSBs with a strong national presence and global reach, PSBs with a national presence and PSBs with a regional presence. After the merger, PSBs can do investments, cut expenditure and increase facilities for customers. The merger will benefit customers in tier 2 and tier 3 cities, he added.

Kumar said the merger will benefits employees working in small banks. Besides, they will have more opportunities for transfers. For example, the merger of Indian Bank and Allahabad Bank will give opportunities to employees to move from North to South, or the other way round.

MORE LM NEWS 24
0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Inline Feedbacks
View all comments

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.

Privacy Settings saved!
Privacy Settings

When you visit any web site, it may store or retrieve information on your browser, mostly in the form of cookies. Control your personal Cookie Services here.

These cookies are essential in order to enable you to move around the website and use its features. Without these cookies basic services cannot be provided.

Cookie generated by applications based on the PHP language. This is a general purpose identifier used to maintain user session variables. It is normally a random generated number, how it is used can be specific to the site, but a good example is maintaining a logged-in status for a user between pages.
  • PHPSESSID

Used on sites built with Wordpress. Tests whether or not the browser has cookies enabled
  • wordpress_test_cookie

In order to use this website we use the following technically required cookies
  • wordpress_test_cookie
  • wordpress_logged_in_
  • wordpress_sec

Decline all Services
Accept all Services
0
Would love your thoughts, please comment.x
()
x