Every citizen has got the right to have freedom and to speak, bank employees union speak so to resist against the proposal for merger and acquisition. It may be against their interest or effecting their existing privilageous. Further it is the nature of the human mind to resist any change, merger between small and big or amalgamation or a combination of these two will always be a conflict between them. To reach at an agreeable position in such an arrangement is a long and some times it is a never ending process, this was very recently as expressed by the chairman of the Bank of Baroda. As far as national interest is concerned there is no much relevance for such a merger or whatever it is, its purely a domestic affairs. Union is expressing their bahaviour, it will be advantageous for the small while it becoming big. Union is fighting for their interest as such we cannot say that they are wrong.
By
RAMANATHA PRABHU N, Chartered Accountant
| 12 17 2009 09:59:40 +0000
BIG may not always be Beautiful. When a big apartment falls down .. so may flats are demolished and residents are made homeless. We have seen large Global Banks to fail within days in the USA or in Europe. The story is still hunting us and every month banks are going for liquidation in those countries where from we ( often ) take our cues. Merger, accusations and consolidation ... all for making a Bank ( look ) Big. May these really help ? Have conclusions drawn ? May these not debated further ? May not recent developments outside India be considered before going further ? Some doubt the haste and say these are prelude of closing some Banks or its branches. Closure is some job-loss. May mean saying good-bye to small deposit and credit customers. May mean " NO Priority Sector Lendings". May mean monopoly of Big Houses from behind. May mean (direct ) Private hands in ownership and may mean going back to old Private Bank pattern etc etc. Best course will be to discuss and discuss - no haste. There shold be answer to : Will these really do good to the people and country ?
By
ASOKE KUSARI, Domestic Private Banking-Executive/Manager, A large leading PSU Bank - India
| 12 16 2009 09:09:29 +0000
I think the bank employees are right here in opposing this Merger & Consolidation as these mergers are not interms of national interest, with these mergers there will be job loss and the bank customers feel unsatisfactory with this kind of move and will loose out most of the customers with this Mergers, and mainly it hampers banking services for small customers across the country and businesses like agricultural business and SME's will get affected in a big way and than these mergers it would be better if the go for extension of public sector banks and thats why even private bank employees are also joining hands in this strike.
By
Swati Raut, Product Manager, Aviva
| 12 16 2009 08:27:07 +0000
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Dear, it is very difficult to directly answer this question, there are Yes for some of the banks and NO for some. the weaker banks for them to survive they have to merge for better and updated technology, network, customer share and future survival, if not one day they would be surely acquired by some body, as it is no banks are very healthy in India, ATM Installation, Core Banking Facilities, networking would cost a lot and the bank does not have that much capital adequacy and liquidity to invest and that too all our Indian banks are traditional banks by nature, it is the transition time for all the banks to process this time for the new change into hi-tech banking. but both the merging and acquisition are the stages that all banks have to go through under the sun taking today's circumstances and competence in to consideration. good article, thank for referral
By
Dr. S.Pruthviraja pande, Visiting Professor, Bangalore/Ravenshaw University
| 01 05 2010 04:34:15 +0000
For competing effectively globally and penetrate to the nooks and corners of India Merger is a necessity. Strike should not be used in 21 century harming the bank customers
By
Ramachandran Mahadevan, Freelancer, Freelancer
| 12 27 2009 06:44:17 +0000
I dont agree with this.Because if we stop merger,consolidation with the fear of lossing customer or loosing job then i compell to say that it would be a very wrong & nostalgic perception.Because in this competative market,one sentence is very true-perform or perish.So merger cant be the reason for that.and simaltaneously,retaining of customer depends on bank employees co-ordination,co-operation,behaviour,trust-worthiness.So customer could be gone away at any point of time due to lack of above reasons.So here also mereger is not the only reason.Actually merger,aquisition all are happening due to short of financial strength of one.So there is no harm for employees as well as customers.During my summerinternship when i was at Centurion bank of punjab,I witnessed it to be merged with HDFC bank.Though employees of CBOP were little afraid,bt after merger rather they got promoted for higher designation according to their qualification & experience.
By
roumi chatterjee, asst commercial executive, century plyboard india ltd
| 12 17 2009 06:50:50 +0000
Its not true. This is a big lie being told by a handful of oldie netas. I know many bank employees who want mergers because it is net beneficial to them individually and to the country as a whole. Majority of branches are open today and the strike has failed. Secondly, there is no reason I can see of private sector bank employees going on strike. If they merge with banks like SBI, they'll be known as "Government Employees" and will get all the benefits government employee gets. They needn't even worry after retirement as they will be keep on getting continuous pensions. In every way, its beneficial for them only.
By
Manoj Chaturvedi, Assistant Professor, Bangalore university
| 12 17 2009 04:59:01 +0000
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