Bank strike today: Employees pay-protest hits public; cheque clearances, deposits, ATMs affected

Normal banking operations across the country were disrupted as 1 million employees of public sector banks from 80,000 branches took part in the two-day countrywide stir that began on Wednesday. The employees are unhappy against the two per cent salary hike offered by the Indian Banks Association (IBA). All customer services including cash withdrawals as well as cheque clearance/deposits were hit.

People also complained that ATMs at several places were without cash. However, major private sector banks continued to function on Wednesday. Industry body Assocham said that the strike may affect customer transactions worth Rs 20,000 crore, urging the United Forum of Bank Unions (UFBU) to call off the strike.

“The chamber also urged the government to come up with a stimulus plan for restoring the health of public sector banks.

State-owned lenders are grappling with high levels of bad loans and as per reports, their losses for the quarter ended March 2018 are set to hit a record Rs 50,000 crore — more than double the losses of Rs 19,000 crore in preceding quarter,” Assocham secretary general D S Rawat said.

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Since the strike coincides with the month-end, salary withdrawals from branches are likely to get affected. The strike also had impact on the deposit in branches, FD renewal, money market operation.

Source: DNA India