All India Bank Employee's Association (AIBEA) & Bank Employees Federation of India (BEFI) had called on ALL INDIA STRIKE on 25th September 2013 to oppose: - ANTI-PEOPLE BANKING SECTOR REFORMS - CONTEMPLATION FOR MERGER OF PSBs - UNWARRANTED CLOSURE OF ASSOCIATE BANKS & MERGER WITH SBI - RETROGRADE POLICY TO GIVE BANKING LICENCE TO CORPORTE AND BUSINESS HOUSES - UNILATERAL IMPOSITION OF SERVICE CONDITIONS.
"In the next two days, we will be informing the chairman of the name of the entity most suitable for the merger," managing director S Vishwanathan told reporters on the sidelines of an event here this evening. Vishwanathan, who looks after SBI associates and subsidiaries, said by the end of September, he hopes that some decision to be made, after which it will go for regulatory approvals. He, however, declined to comment when asked if a listed or an unlisted bank will be merged. Vishwanathan said the employees of the merged entity will get the same benefit as SBI staff, including pension. Click HERE for the complete article.
State Bank of India will merge one of its associate banks by the end of September, marking one more step towards creating a global-sized Indian bank. The outgoing SBI Chief, Pratip Chaudhuri, clarified that the bank to be absorbed now will definitely not be State Bank of Hyderabad because of the tense atmosphere in Andhra Pradesh over the bifurcation of the State. “Since our retail deposit base is strong, we will absorb a bank whose retail base is weak,” Chaudhuri said. He, however, did not name the subsidiary, which will be lapped up. Sources, who did not wish to be named, said the bank which will merge with SBI could either be State Bank of Patiala or State Bank of Mysore. CLICK HERE for the complete article.
The proposed creation of Telangana State has thrown a spanner in State Bank of India’s plans for merger of its largest associate, State Bank of Hyderabad, with itself. As it is 100 per cent owned by SBI along with State Bank of Patiala, the merger process would be easier and would not involve any share acquisition from outside. “However, Telangana State will change the operational dynamics of SBI in terms of branches and overlapping which needs to be looked into. “Hence, SBH would miss the chances of merger this time,” the executive said. Harshavardhan, General Secretary of SBH staff association and Associate Banks’ employee association, also hinted that the merger could be delayed. The bank now is likely to consider merger of either State Bank of Patiala (SBP) or State Bank of Bikaner and Jaipur (SBBJ) which has limited shares under public holding, if it puts off SBH merger for now. A 100 per cent stake in SBP and absence of local head office for SBI in Rajasthan might work in favour of the merger. Further, according to sources, the Finance Ministry appears to be now tilted towards a merger with SBBJ. CLICK HERE for the complete article
