The United Forum of Bank Unions, a body of nine bank unions, has announced a nationwide strike on September 12, 2007 after recent talks with the chief labour commissioner over the implementation of a Memorandum of Understanding (MOU) on pension, compassionate appointments and to oppose outsourcing of the normal banking jobs.
Twenty-seven Public Sector banks, which will include the State Bank of India and its seven subsidiaries and nationalised banks, will go on a strike. Over 60,000 bank branches and 1,100 clearing houses across India will be affected. The strike will affect the call money market and the foreign exchange market also. However, Private sector banks will not be participate in the strike.
From the past three years, the unions had conducted a series of strikes on issues of banking employees such as the pension scheme and the outsourcing of the regular banking jobs. A pension scheme was introduced in the year 1985 for the employees. 52 percent of the employees opted for it. The UFBU is demanding the operationalisation of the scheme for the remaining employees.