The privatization of banks has been in discussion for a long time and there has been news about privatizing two PSU banks. The latest news is that four mid-sized banks have been finalized instead.
In a tweet by Aadesh Rawal an journalist, he stated that four mid-sized state-run banks have been shortlisted for privatization. The four major banks that have been shortlisted by the government for privatization are Bank of Maharashtra, Bank of India, Indian Overseas Bank, and the Central Bank of India.
The shortlisted banks have a massive workforce – Bank of India with 50,000 employees, Central Bank of India with 33,000; Indian Overseas bank with 26000; and Bank of Maharashtra with 13,000 working staff.
Government has big plans of disinvesting in public sector banks so that it can generate revenues. For that, the government will put 2 public banks on sale at the start of next financial year i.e., April 2022.
However, the employees’ unions of these banks including the All-India Bank Officers’ Confederation (AIBOC) and All India Banks Employees Association (AIBEA) have expressed their disappointment about this decision. The associations have gone on strikes to protest against the decision as they feel that risk the dominance of the public sector banks.