{"id":1610,"date":"2019-12-05T14:47:15","date_gmt":"2019-12-05T14:47:15","guid":{"rendered":"https:\/\/jobbinghood.com\/finance\/2019\/12\/05\/no-job-loss-from-psu-bank-mergers-heres-what-finance-ministry-says-about-employees-interest\/"},"modified":"2019-12-05T14:47:15","modified_gmt":"2019-12-05T14:47:15","slug":"no-job-loss-from-psu-bank-mergers-heres-what-finance-ministry-says-about-employees-interest","status":"publish","type":"post","link":"https:\/\/jobbinghood.com\/magazine\/2019\/12\/05\/no-job-loss-from-psu-bank-mergers-heres-what-finance-ministry-says-about-employees-interest\/","title":{"rendered":"No job loss from PSU bank mergers: Here\u2019s what Finance Ministry says about employees\u2019 interest"},"content":{"rendered":"<p> [ad_1]<br \/>\n<\/p>\n<div>\n<div class=\"article-image\">\n<figure><img fetchpriority=\"high\" decoding=\"async\" src=\"http:\/\/www.financialexpress.com\/wp-content\/plugins\/a3-lazy-load\/assets\/images\/lazy_placeholder.gif\" data-lazy-type=\"image\" data-src=\"https:\/\/images.financialexpress.com\/2019\/11\/1-1029.jpg\" alt=\"Rajya sbaha, job loss, PSB jobs, public sector jobs, public bank jobs, bank jobs\" width=\"660\" height=\"440\" class=\"lazy lazy-hidden size-full wp-image-1780463\" srcset=\"\" data-srcset=\"https:\/\/images.financialexpress.com\/2019\/11\/1-1029.jpg 660w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-300x200.jpg 300w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-620x413.jpg 620w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-401x267.jpg 401w\" sizes=\"(max-width: 660px) 100vw, 660px\"\/><noscript><img decoding=\"async\" src=\"https:\/\/images.financialexpress.com\/2019\/11\/1-1029.jpg\" alt=\"Rajya sbaha, job loss, PSB jobs, public sector jobs, public bank jobs, bank jobs\" width=\"660\" height=\"440\" class=\"size-full wp-image-1780463\" srcset=\"https:\/\/images.financialexpress.com\/2019\/11\/1-1029.jpg 660w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-300x200.jpg 300w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-620x413.jpg 620w, https:\/\/images.financialexpress.com\/2019\/11\/1-1029-401x267.jpg 401w\" sizes=\"(max-width: 660px) 100vw, 660px\"\/><\/noscript><span class=\"article-caption\">While United Bank of India (UBI) will be merged with Punjab National Bank, Allahabad Bank will be amalgamated with Indian Bank. These two banks are headquartered in Kolkata.<\/span><\/figure>\n<\/div>\n<p>The government on Tuesday assured the Rajya Sabha that merger of 10 public sector banks will not lead to any job losses and employees\u2019 interest will be protected. In August, the government announced a mega plan to merge 10 public sector banks into four with a view to creating fewer and stronger global-sized lenders with robust balance sheets that can be used to boost credit and spur growth. During the Question Hour, Minister of State for Finance Anurag Singh Thakur said lending and other banking services to eastern states will be improved after two Kolkata-based banks are merged. While <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/united-bank-of-india-stock-price\/\" rel=\"noopener noreferrer\">United Bank of India<\/a> (UBI) will be merged with <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/punjab-national-bank-stock-price\/\" rel=\"noopener noreferrer\">Punjab National Bank<\/a>, <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/allahabad-bank-stock-price\/\" rel=\"noopener noreferrer\">Allahabad Bank<\/a> will be amalgamated with <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/indian-bank-stock-price\/\" rel=\"noopener noreferrer\">Indian Bank<\/a>. These two banks are headquartered in Kolkata.<\/p>\n<p>\u201cMerger of banks will strengthen the lending capacity. It has been ensured that no person loses job. The employees of merging banks will benefit the maximum. Merger is being done keeping their interest in mind,\u201d he said. \u201cWe have taken enough precaution,\u201d he said, adding that Narasimham Committee in 1998 and Leeladhar Committee in 2008 recommended amalgamation of the banks. \u201cAmalgamating banks was advised to duly factor in and draw road maps for converging IT systems and HR and to put in place institutional arrangements to ensure expeditious integration,\u201d Thakur said.<\/p>\n<p>After due consideration by their respective boards, the banks have informed that multi-level coordination and integration committees have been set up to ensure faster integration across functionalities, he added. The minister was responding to a query from Trinamool <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/tag\/congress\/\" rel=\"noopener noreferrer\">Congress<\/a> member Manish Gupta who said that about 50,000 employees will be jobless by next year due to the merger. To another query on banking services likely to be affected in eastern states due to the merger, the minister said the reach and lending capacity will be \u201cmuch larger and better\u201d with the amalgamation.<\/p>\n<p>\u201cIn today\u2019s time of competition, I think expansion of these banks is very important\u2026It was our government which went for asset quality review of bank loans given between 2004 and 2014. We adopted an approach for better functioning of the banks and recapitalised them with over Rs 2.35 lakh crore for better strengthening and functioning,\u201d he said. As far as lending to eastern states is concerned, the minister said, \u201cLet me assure the member there would not be any shortage or shortfall of services.\u201d Responding to another query from Trinamool Congress member Manas Ranjan Bhunia on reasons for merger of UBI with <a target=\"_blank\" href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/punjab-national-bank-stock-price\/\" rel=\"noopener noreferrer\">PNB<\/a>, the minister said, \u201cI think the overall intention was to create a strong and competitive bank that may serve as catalyst of growth with improved risk profile of the bank. As far as the interest of the employees are concerned, pay allowances were less favourable overall.\u201d<\/p>\n<p>He said UBI\u2019s total business size is Rs 2,08,000 crore, whereas that of PNB is Rs 11,82,224 crore. With the merger, total business size will be Rs 17,94,526 crore, making it the second largest bank in the country. \u201cWhat we have kept in mind is the software \u2018Core Banking System\u2019 being used by them. All these banks which are using similar kind of software have been merged accordingly so that there would not be any difficulty for the employees,\u201d he said. As far as the sentiment of eastern states or Kolkata is concerned, that will be taken care of, Thakur added.<\/p>\n<div class=\"common-bottom-text\">\n<p>Get live <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/\" target=\"_blank\" rel=\"noopener noreferrer\">Stock Prices<\/a> from BSE and NSE and latest NAV, portfolio of <a href=\"https:\/\/www.financialexpress.com\/mutual-funds-india\/\" target=\"_blank\" rel=\"noopener noreferrer\">Mutual Funds<\/a>, calculate your tax by <a href=\"https:\/\/www.financialexpress.com\/income-tax-calculator\/\" target=\"_blank\" rel=\"noopener noreferrer\">Income Tax Calculator<\/a>, know market\u2019s <a href=\"https:\/\/www.financialexpress.com\/market\/stock-market\/nse-top-gainers\/\" target=\"_blank\" rel=\"noopener noreferrer\">Top Gainers<\/a>, <a href=\"http:\/\/www.financialexpress.com\/market\/stock-market\/nse-top-losers\/\" target=\"_blank\" rel=\"noopener noreferrer\">Top Losers<\/a> &amp; <a href=\"https:\/\/www.financialexpress.com\/mutual-funds-india\/equity-funds\/\" target=\"_blank\" rel=\"noopener noreferrer\">Best Equity Funds<\/a>. Like us on <a href=\" https:\/\/www.facebook.com\/thefinancialexpress\" target=\"_blank\" rel=\"noopener noreferrer\">Facebook<\/a> and follow us on <a href=\" https:\/\/twitter.com\/FinancialXpress\" target=\"_blank\" rel=\"noopener noreferrer\">Twitter<\/a>.<\/p>\n<\/div>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/>[ad_2]<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>[ad_1] While United Bank of India (UBI) will be merged with Punjab National Bank, Allahabad Bank will be amalgamated with Indian Bank. These two banks are headquartered in Kolkata. The government on Tuesday assured the Rajya Sabha that merger of 10 public sector banks will not lead to any job losses and employees\u2019 interest will [&hellip;]<\/p>\n","protected":false},"author":348,"featured_media":1519,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[],"class_list":["post-1610","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-personal-finance"],"_links":{"self":[{"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/posts\/1610","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/users\/348"}],"replies":[{"embeddable":true,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/comments?post=1610"}],"version-history":[{"count":0,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/posts\/1610\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/media\/1519"}],"wp:attachment":[{"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/media?parent=1610"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/categories?post=1610"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jobbinghood.com\/magazine\/wp-json\/wp\/v2\/tags?post=1610"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}