# Joint Letter to DFS Secretary on Industrial Relations Meetings **Date: 14 July 2026**
### Summary
The All India Bank Employees’ Association (AIBEA), All India Bank Officers’ Confederation (AIBOC), and National Confederation of Bank Employees (NCBE) have jointly addressed a letter to the Secretary, Department of Financial Services (DFS), Ministry of Finance, regarding a recent DFS advisory on Industrial Relations (IR) meetings.
The DFS communication, dated 10 July 2026, advised Public Sector Banks to hold quarterly structured IR meetings with “all the Recognised Unions.” The joint letter seeks urgent clarification that the expression “recognised unions” must specifically refer to bodies validly recognized under the applicable statutory or bank-specific framework, particularly adhering to the Industrial Relations Code, 2020.
### Key Concerns & Demands
* **Statutory Compliance:** The unions point out that under Section 14 of the newly enacted Industrial Relations Code 2020 (in force since 21 November 2025), there are clear provisions for a *Sole Negotiating Union* (with at least 51% support) or a *Negotiating Council* (for unions with at least 20% support). Registration of a union alone does not confer negotiating status.
* **Violation of the IR Code:** Mandating IR meetings with all unions—regardless of their status as the Recognised Majority Union, Sole Negotiating Union, or a part of the Negotiating Council—is violative of the IR Code’s collective bargaining framework.
* **Risk of Industrial Conflict:** AIBEA, AIBOC, and NCBE
collectively represent over 80% of employees and officers in Public Sector Banks. Recognizing or holding structured negotiations with minority or unrecognized unions under the Banking Companies Act could lead to serious industrial disputes, legal conflicts, and undermine long-standing bilateral agreements.
* **Actionable Request:** The apex unions urge the DFS Secretary to revisit the 10 July decision and issue revised, compliant instructions to all Public Sector Banks.
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### Full Text of the Document
**ALL INDIA BANK EMPLOYEES’ ASSOCIATION**
**ALL INDIA BANK OFFICERS CONFEDERATION**
**NATIONAL CONFEDERATION OF BANK EMPLOYEES**
**Dated 14-7-2026**
To
**Secretary, Dept. of Financial Services,**
**Ministry of Finance, Govt. of India**
**New Delhi.**
Dear Sir,
**Reg: Industrial Relations meetings with the Recognised Unions**
This has reference to the communication No. eF.No.6/8/2014-IR dated 10th July, 2026 issued by your office to all the Public Sector Banks.
Under this communication, all the Public Sector Banks have been advised to hold periodical structured IR meetings with all the **Recognised Unions** in the Banks on a quarterly basis.
Public Sector Banks have long-standing bank-specific arrangements for recognition, membership/support verification and structured dialogue. These arrangements now operate subject to the Industrial Relations Code, 2020 and applicable rules. For Trade Unions, Section 14 identifies either a Sole Negotiating Union or, where no union has 51% verified support, a Negotiating Council.
Registration of a Trade Union does not by itself confer negotiating status. Trade Unions registered under the former Trade Unions Act are deemed registered under Section 9(4) of the Industrial Relations Code, 2020, while their status as Sole Negotiating Union or constituent of a Negotiating Council is governed by Section 14 of the Code.
Bank-specific recognition at different levels or for different categories may also exist under the applicable arrangements.
In this background, we request clarification that the expression “recognised unions/associations” refers to bodies validly recognised under the applicable statutory or bank-specific framework, at the relevant level and for the relevant subject, and that the DFS communication does not by itself confer recognition or negotiating status or right to hold discussions to any and every trade union in a Bank.
Existing arrangements distinguish collective or policy matters at the central/head-office level from individual grievances and local matters at circle, zonal, regional, module or other designated levels. Section 4 of the Industrial Relations Code provides a statutory grievance redressal mechanism and permits an aggrieved worker to pursue conciliation through the Trade Union of which the worker is a member.
These arrangements have evolved through long-standing bipartite negotiations, settlements, recognition agreements, verification exercises and established practice. They should continue insofar as they are consistent with the Industrial Relations Code, 2020 and the applicable rules.
Further, Government has already enacted the new Labour Codes and under the Industrial Relations Code, there are clear provisions under Section 14 which provides for Sole Negotiating Union and Negotiating Council.
The Industrial Relations Code, 2020 has been brought into force with effect from 21 November 2025. Section 14 provides for recognition of the Sole Negotiating Union, subject to prescribed criteria; a Sole Negotiating Union where one Trade Union has 51% or more verified support; or, where no union reaches 51%, a Negotiating Council comprising qualifying Trade Unions with at least 20% verified support. The matters for negotiation, verification procedure and facilities are governed by the applicable rules.
The statutory and voluntary frameworks distinguish collective bargaining from individual grievance representation. Section 4(8) permits an aggrieved worker to proceed to conciliation through the Trade Union of which the worker is a member, while Section 14 identifies the Sole Negotiating Union or Negotiating Council on prescribed collective matters.
Hence the communication of DFS under reference on holding IR meetings with all Unions other than Recognised Majority Union/Sole Negotiating Union/ Negotiating Council is violative of the IR Code.
You are aware that All India Bank Employees Association, All India Bank Officers Confederation and National Confederation of Bank Employees are the three major Apex level Trade Unions in the Banking sector and together our three organisations represent more than 80% of total number of employees and officers in the public sector Banks.
Under the Code of Recognition and by bilateral agreements, our affiliated Unions are also the Recognised Majority Union in the various Banks.
Under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980, there are provisions to declare the Majority Union in every Bank and there is no provision for any other recognised unions in any Bank under this Act.
Hence the DFS communication under reference has created avoidable apprehensions and may lead to serious industrial disputes and conflicts.
In view of this, we request you to re-visit the decision and instruction under reference and issue revised instructions.
Thanking you,
Yours sincerely
**C.H. VENKATACHALAM** (GENERAL SECRETARY AIBEA)
**RUPAM ROY** (GENERAL SECRETARY AIBOC)
**L. CHANDRASEKHAR** (GENERAL SECRETARY NCBE)
**Copy to:**
– Chairman, Indian Banks’ Association
– Chief Executive, Indian Banks’ Association
– Chairman, State Bank of India
– MD & CEOs of all Nationalised Banks
2026-07-14_AIBEA_AIBOC_NCBE_Letter_DFS_IR_Meetings.pdf