New Delhi, August 30: A consolidated body of state-run bank unions have called for demonstrations across the country on Saturday to protest the amalgamation of 10 public sector lenders into four entities. The mega-merger was announced by Finance Minister Nirmala Sitharaman during a press conference on Friday. The move, claimed the protesting body of unions, will lead to job losses and make the workforce vulnerable.

The United Forum of Bank Unions (UFBU), the umbrella body of nine banking sector trade unions, has issued the protest call. Their agitation has been extended support by All India Bank Employees' Association (AIBEA) General Secretary C.H. Venkatachalam. What May Happen to Cheque Book, Passbook And Account Number of Depositors as Nirmala Sitharaman Announces Mega-Amalgamation of State-Run Lenders

Venkatachalam, while speaking to reporters, said that bankers will hold massive demonstrations and also wear black badges.

Four bank mergers have been listed by the Finance Minister. They are as follows: Punjab National Bank, Oriental Bank of Commerce and United Bank will become a single entity; Canara Bank and Syndicate Bank and the third entity will be the amalgamation of Union Bank of India, Andhra Bank and Corporation Bank. The fourth merger is of the Indian Bank and Allahabad Bank.

Punjab National Bank, Oriental Bank of Commerce and United Bank will be brought together and they shall form the second largest public sector bank with business of Rs 17.95 lakh crore," Sitharaman was reported as saying.

"Canara Bank with (merge) Syndicate Bank, they will be the fourth largest Public Sector Bank with business of Rs 15.20 lakh crores," he added.

"Union Bank of India, with Andhra Bank and Corporation Bank shall become the fifth largest public sector bank now," she said, further adding, " Indian Bank with (merge) Allahabad Bank, they will be the seventh largest Public Sector Bank with business of Rs 8.08 lakh crores."

Sitharaman said the move is part of the Narendra Modi government's concerted strategy to improve the health of public sector lenders. The efforts taken in the last five years has significantly cut down on the non-performing loans, while the recovery of loans has also notably improved.

(The above story first appeared on LatestLY on Aug 30, 2019 07:46 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).