Bank Flag June 2026

Bank Flag June 2026
Source: BankFlag-June-26.pdf

Summary
This issue of Bank Flag covers the AIBEA conference aftermath, organisational decisions, the build-up to the 13th Bipartite wage settlement, a demand to review continuous banking without lunch recess, the UFBU position on PLI, social media strategy, and a set of economy and finance commentaries. It also carries commemorative coverage of Com. Tarakeswar Chakraborti and reports on the 30th AIBEA Conference and its resolutions.

Key points
1. Editorial: calls for unity against privatisation and bank mergers, and argues for stronger public sector banking and social objectives. 2. AIBEA conference: reports successful conclusion of the adjourned delegate session in Bengaluru, adoption of resolutions, rule amendments, and elections.
3. Organisational news: thanks Rajen Nagar for his long service and explains the transition in AIBEA leadership.
4. 13th Bipartite wage settlement: forms a sub-committee and invites suggestions from unions and members.
5. Workman Directors: urges unions to submit revised panels when asked by management.
6. Lunch recess issue: asks IBA to review continuous banking hours where employees cannot take proper lunch breaks.
7. UFBU on PLI: explains the current stance on the PLI issue and related agitation.
8. Social media: proposes formal policy and stronger organisation of AIBEA’s social media activity.
9. Economy and opinion: includes pieces on Raghuram Rajan’s concerns, fraud trends, and a commentary on young bankers leaving PSBs.

Full extract

### **Monthly Organ of All India Bank Employees Association**

**VOL XXX No. 06**

**web site꞉ www.bankflag.in June 2026**

**20 Pages**

## **CONTENTS**

|**_Editorial_**|**_1_**|
|—|—|
|**_Centenary celebration of_**||
|**_Com Tarakeswar Chakraborti_**|**_2_**|
|**_by JK unit_**||
|**_General Secretary’s desk_**|**_3_**|
|**_AIBEA Conference_**||
|**_‑ 30th conference of AIBEA_**||
|**_concluded successfully_**|**_4_**|
|**_‑_30th Conference Resolutions**|**5**|
|**_‑ Amendment to the rules & bye laws_**|**_6_**|
|**_‑ Election of General Council members &_**||
|**_Central Council members_**|**_8_**|
|**_Organisational News_**||
|**_‑ Thank you Rajenda_**|**_9_**|
|**_‑ Preparation of 13 BP charter of demand‑sub_**
**_committee formed_**|**_10_**|
|**_‑ Appointment of Workman Director_**|**_11_**|
|**_‑ AIBEA’s letter to Chief Executive of IBA_**|**_12_**|
|**_‑ Suggestion to Charter of Demand_**|**_13_**|
|**_‑ UFBU on PLI_**|**_14_**|
|**_‑ Meeting of Social Media_**|**_15_**|
|**_News on Economy & Finance_**||
|**_‑ Something is off ꞉ Raghuram Rajan_**|**_17_**|
|**_‑ India’s fraud rate almost twice global average_**|**_17_**| |**_Opinion_**||
|**_‑ A quiet exodus ꞉ Why young bankers are_**
**_walking out of PSBs_**|**_18_**|
|**_Birth anniversary of Com Tarakeswar Chakraborti_**||
|**_observed by Women Council & Youth Council_**
**_of BPBEA_**|**_16_**| |**_‑_**|**_20_**|

‑

# **EDITORIAL**

The armed conflict between Iran and USA‑Israel combine is yet to end. Acrimonious debate still goes on. Sooner the conflict ends, better for the world’s economy. Almost each and every country is suffering economically because of the conflict. India has also been suffering and the prices of Petro‑products have shot high. Indian economy whether Pundits of Government of India agree or not, is in tatters. To weed out from the maladies of the faulty economic policy, the economic pundits of the government should put their heads together and find out ways to bring the vast majority of the people out of poverty. But the noted economist, the former Deputy Chairman of Niti Aayog sees the other way. He finds silver line in all economic parameters. He feels that RBI should not fall in psychological trap to let the rupee cross Rs.100 per $. The former Niti Aayog Vice Chairman also said that the government needs to create an independent privatization ministry to accelerate the government’s disinvestment agenda. He further advocates that privatization of PSUs and most Public Sector Banks is integral to economic reforms. He has brought the agenda of bank privatization in the focus. DFS is talking about the big banks, big advances. The agenda of merger is afloat now. Where do we stand? Time is ripe when all of us are to unite to defeat the game plan of the government and corporate combine. With social objectives in mind we fought for Bank Nationalization, for the welfare of the common men. The social objectives have been relegated back in the era of new economic policy. We have to renew our pledge to defeat the pernicious policy of the government.

Let us unite.

**Founder Editor ‑ in ‑ Chief ꞉ Late Tarakeswar Chakraborti** Editorial Board ꞉ Kamal Bhattacharyya, Rajen Nagar, C.H.
Venkatachalam, Sonali Biswas

**BANK FLAG** **01 JUNE 2026**

**BIRTH CENTENARY**

### **BIRTH CENTENARY CELEBRATION OF COM TARAKESWAR CHAKRABORTI JAMMU KASHMIR UNIT OF AIBEA**

The Jammu and Kashmir Bank Employees’ Union (JKBEU), Kashmir under Banner of Kashmir Bank Employees Federation, organized a grand commemorative event on June 2, 2026, to celebrate the birth centenary of the legendary Bank Employees Trade Union leader, Comrade Tarakeswar chakraborty.

�The event presided by Comrade M Rafi Shah President JKBEU Kashmir witnessed enthusiastic participation from a large gathering of Bank employees ,officers and other working class members like members of the JK Bank Pensioners’ Association, and the AIBOA Jammu, Kashmir & Ladakh Committee. The attendees paid rich tributes to Comrade Tarakeswar’s monumental contributions to the banking trade union movement.

�The solemn gathering was addressed by distinguished guest speakers who threw light on the life, struggles, and enduring legacy of the iconic leader꞉ Comrade Mohammad Amin Khan (Former President, J&K Bank Employees’ Federation; Former Central Committee Member, AIBEA 1983–1987; and current President, J&K Bank Pensioners’ Association, Kashmir) detailed the historical milestones of the bank employees’ movement and emphasized the relevance of Comrade Tarakeswar’s principles in navigating today’s banking challenges.

�Comrade. Riyaz Ahmad Bhat (Former President JKBEU, Gen Secretary AIJKBEF, CC Member of AIBEA and Present Jt. Secretary of AIBOA and President of AIBOA Jammu Kashmir Ladakh Committee) spoke about the current challenges faced by the trade unions, importance of organizational unity, urging the younger generation of bankers to uphold the values of dedication and solidarity.

�Mr. Mohammad Amin Najar (Member, Pensioners’ Association) shared insightful reflections on the welfare of retirees and the historical struggles that secured the rights enjoyed by employees today.

�The event concluded with a vote of thanks by comrade Hakim Asif while administering collective pledge to the members to strengthen the union fabric and continue working with the same missionary zeal that characterized Comrade Tarakeswar’s life.

**BANK FLAG** **02 JUNE 2026**

**GENERAL SECRETARY’S DESK**

### **Democracy is good, unity is better**

The 30th Conference of AIBEA is over. It had to be adjourned due to the deliberate disturbances during the delegate session on the 22nd April, 2024 by a section of the participants. What happened is known to all by now and hence does not require any elaboration.

But what is to be noted is that it was claimed and justified that such things are part of democracy in a trade union organisation. There is no doubt that members of a trade union have the right to express their protest. This is quite legitimate and understandable.

But what was not kept in mind was that the protest disturbed the small conduct of the proceedings besides denting the image and reputation of the organisation at a time when all of us were celebrating the glorious 80th anniversary.

Democratic rights of individual members of a trade union have to be within the overall ambit and domain of the organisation as a whole. It cannot impair, hurt or injure the collective realm of the organisation.

What happened was not mere democratic expression of any protest. It was much more than that and crossed the limit. Hence the Office bearers had to take the hard decision to adjourn the Delegate Session sine‑die.

It was disappointing, frustrating, disheartening and demotivating but the decision had to be taken in the given circumstances.

When the session was re‑convened, the demand arose for democratic elections through secret ballot. This was accepted by the Office bearers and accordingly the process was conducted. The results came and a new team has been elected (not selected).

30th Conference is thus over. It has given us enough lessons. The democratic desire of all our members is a strong AIBEA. Let us unite to further strengthen AIBEA.

**C.H. Venkatachalam**

**BANK FLAG** **03 JUNE 2026**

##### **AIBEA CONFERENCE**

### **30th Conference of AIBEA–Adjourned Delegate Session held at Bengaluru today concluded successfully.**

All our units are aware that the Delegate Session of our
30thConference had to be abruptly adjourned on the 22ndApril, 2026 due to unfortunate but condemnable disturbances to the smooth conduct of the delegate session by a section of the delegates. This deprived many delegates to speak on the General Secretary’s Report on the last day of our Conference. This also created a very bade image about our organisation and injured glorious reputation of AIBEA.

In order to complete the agenda of the conference, the adjourned delegate session was reconvened to be held at the same venue in Bengaluru on the 10th June, 2026. Accordingly, the session was held today as scheduled. Com. Rajen Nagar presided over the session along with other Vice presidents.

Condolence꞉ One minute silence was observed by the delegates to pay our homage to former office bearer of AIBEA Com K Sreenivasan who had passed away very recently.

General Secretary replied to the discussions and the various points raised by the delegates and thereafter the Report was adopted by the Session

##### with overwhelming majority.

40 Resolutions on various important issues and demands, as decided by the Central Committee, were placed before the session and all the Resolutions were adopted by overwhelming majority.

The proposal to amend the Rules and Bye‑laws of AIBEA providing for 2 GC Members (youth) and 2 GC Members (women) for State Federations with membership of 7000 and above was approved by overwhelming majority.

Election of Office Bearers꞉ The delegates by overwhelming majority approved the decision of the office bearers appointing the Election Commission consisting of ou rformer leaders Com D D Rustagi, Com.BSR Mohan Reddy and Com. C D Josson.Members of the Election Commission informed the delegates about the procedure to file nominations and for conducting the elections.

Accordingly election was held and 1028 delegates exercised their votes in the election process. The following Office bearers were elected.

**BANK FLAG** **04 JUNE 2026**

All the delegates with one voice thanked the Reception Committee of Karnataka Pradesh Bank Employees Federation for the wonderful arrangements made for the Conference from 19th to 22nd April and 10th June, 2026.

### **30th Conference Resolutions**

All of us are aware that the Delegate Session of our 30th Conference was adjourned on 22‑4‑2026 due to the repeated disturbance by a section of delegates and hence the adjourned Delegate Session was held on 10th June, 2026.

As decided by the outgoing Central Committee of AIBEA, the following Resolutions were proposed and adopted/approved by the Delegate Session on 10‑6‑2026 by overwhelming majority.

– 1 Homage ‑ Condolence Resolution

– 2 On Government Economic Policies

– 3 On Government Labour Law Reforms

– 4 On retrograde Banking Reforms & Privatisation of Banks

– 5 On Privatisation of IDBI Bank

– 6 Our demand ‑ Nationalise all Private Banks

– 7 Recover Bad Loans, Stop the Loot

– 8 Say NO to 100% FDI in Insurance Sector

– 9 Strengthen Co‑operative Banks

– 10 Merge RRBs with Sponsor Banks

– 11 Increase Rate of Interest on Deposits

– 12 Stop Mis‑Selling and Cross‑Selling

– 13 Exempt PSBs from Deposit Insurance Scheme

– 14 Control Price Rise

– 15 Bonus to All Workers and Employees

– 16 Increase Ceiling under Gratuity Act

– 17 Against Outsourcing of Regular Jobs

– 18 We demand adequate Recruitments in Banks

– 19 Fill up posts of Workman/Officer Directors in PSBs

– 20 On problems of Deposit Collectors

– 21 On problems of Bank Mitras/Business Correspondents

– 22 Organise Contract Employees/C2C Employees

– 23 Demands of Temporary Employees

– 24 Hailing 12% Bipartite Settlement

– 25 We Demand Switchover from NPS to OPS

– 26 Exempt additional 4% contributions to NPS from Income Tax

– 27 Introduce 5 Days Banking

– 28 Stop the Divide & Rule PLI Scheme Take Stringent Action on Erring and Unruly

**BANK FLAG** **05 JUNE 2026**

– 29 Customers and Banking Public who Misbehave with Bank Staff in Branches

– 30 Provide exclusive Wash Room facility for Women Employees in all Bank Branches

– 31 We demand ‑ Wage Revision in CSB Bank

– 32 On problems of Ex‑Servicemen Employees

– 33 On Women Employees

– 34 On Young Employees

– 35 On Updation & Other Improvements in Pension

– 36 On Medical Insurance Scheme for Retirees

– 37 Streamline and strengthen AIBOA

– 38 Strengthen UFBU

– 39 Strengthen our Organisation ‑ Unite Today for a Better Tomorrow

These resolutions constitute the important decisions of our Conference and the new leadership and incoming Central Committee will pursue and follow up these resolutions, demands and issues in the days to come.

### **30th Conference of AIBEA‑Amendments to Rules and Bye law**

As per the decisions of the outgoing Central Committee meeting held at Chennai onthe 11thMarch, 2026, the following amendments to the Rules and Bye Laws of AIBEA were proposed at the adjourned Delegate Session held at Bengaluru on the 10thJune, 2026 and the same were approved by the overwhelming majority of the Delegates.

**BANK FLAG** **06 JUNE 2026**

Since these amendments have been approved by the Conference, the same shall be sent to the Registrar of Trade Unions for incorporation in our Rules and Bye‑laws.

**BANK FLAG** **07 JUNE 2026**

### **30th Conference of AIBEA Election of General Council Members and Central Committee Members**

All our units are aware that the election of Office bearers of AIBEA has been duly completed on the 10thJune, 2026 in the adjourned Delegate Session and the new team of office bearers have been elected through elections held by secret ballot.

Now we have to complete the process of election of General Council Members and Central Committee Members.

Electon o fGeneral Council Members and Central Committee Members꞉

In each State Federation, the Delegates have to

meet and elect the General Council. Thereafter, the General Council will elect the Central Committee Members.

First, Delegates will meet and elect the General Council members.

Thereafter, General Council members will elect the Central Committee Member.

Secret ballot process can be resorted to where necessary and wherever Delegates demand.

General Council Members ꞉ As per Clause 11 (a) of the Rules & Bye Laws꞉ (as amended in Delegate Session on the 10thJune, 2026) ꞉

##### **Central Committee Members꞉**

As per Clause 10 (a)(ii) of the Rules and Bye Laws ꞉ (as amended in Delegate Session on the 10thJune, 2026) ꞉

All State Federations are requested to take note of the above and comply with the same accordingly.

**BANK FLAG** **08 JUNE 2026**

**ORGANISATIONAL NEWS**

### **30th Conference of AIBEA Com. Rajen Nagar stepped down as President of AIBEA Thank you Rajenda for your contributions and guidance**

All of us are aware of the successful conclusion of our 30thConference held at Bengaluru from 19thto 22ndApril, 2026 and the adjourned Delegate Session held on 10thJune, 2026.The Conference was unique for its massive participation .For the first time, delegates and observers from all the States including from Kashmir and from far‑flung Nagaland, Arunachal Pradesh, Mizoram, etc .participated in the Conference. Equally notable was the participation of large number of women as well as youth.

The entire proceedings from 19thmorning to 21stevening went on smoothly but unfortunately, from 22ndmorning, a section of the delegates and observers were determined to create disturbance and disorder and sensing the need to avoid further precipitation, the Delegate session was adjourned. Every delegate and observer were a witness to the scenario and were aware as to who were the persons creating the commotion. That will remain a blackspot in our
organisation.

However, the adjourned Delegate Session on the 10thJune, 2026 was conducted and concluded successfully. Reception Committee had taken extra care to ensure that the proceedings were completed successfully.

Election꞉ This time, election of Office Bearers was by secret ballot. Earlier, in the Conference held in Lucknow in 1953, there was election at the insistence of one major union. After 73 years, once again, election was held to decide the Office Bearers. The result of the election is already known to all our unions and members.

There was a lot of propaganda in the social media unmindful of its negative and adverse impact on the image and reputation of our organisation. But without getting swayed, the delegates have voted for their choice and elected the leadership.

This time, Com. Rajen Nagar volunteered to step down as President. Everyone will recall the long innings of Com Rajen Nagar in our organisation. He was the General Secretary of Bengal Provincial Bank Employees Association for nearly three decades from 1998 and he voluntarily stepped down this year in February, 2016 in the BPBEA Conference to become the Chairman of BPBEA.He was elected as Office bearer of AIBEA 30 years ago in our Kolkata Conference held in 1996.He was the Treasurer of AIBEA from 1996 to 2004.In our 25thConference held at Hyderabad in November, 2004, he was unanimously elected as the President of AIBEA. Since then, he was being repeatedly and
unanimously re‑elected as President in our Conferences in 2008, 2013, 2017, 2023.

Com. Rajen Nagar had the privilege to work with stalwart leaders of AIBEA like Com. Prabhat Kar, Com. Tarakeswar Chakraborti, Com. Sushil Ghosh, Com. Manoranjan Bose, Com. Ajith Bannerjee, Com. R D Trivedi, Com Kamal Bhattacharya, etc. Hence, he had the benefit of proper perception of our organisation and all our activities and the complexities. This experience and understanding helped him to play his role in a very effective way. He had the knowledge and experience to handle every aspect of our organisation. Thus, AIBEA was immensely benefitted by his long years of contribution and leadership.

Due to his recent ill‑health, he decided to opt out and stepped down from the post of President of AIBEA.

We record our great appreciation and acknowledgement of his immense and huge contribution as President of AIBEA all these years. His matured advices and wise counsel were a great asset of t he
collective leadership of AIBEA. We are thankful to him for the same.

**BANK FLAG** **09 JUNE 2026**

### **Towards preparation of Charter of Demands For the 13th Bipartite Wage Revision Settlement AIBEA’s Sub‑Committee formed**

All our unions are aware that the present 12th Bipartite Settlement signed with IBA on 8‑3‑ 2024 is effective from 1st November, 2022 for a period of 5 years and hence the period of this Settlement is to end by 31‑10‑2027.

We are also aware that negotiations take a longer time and hence there has always been a delay in arriving at the final Settlement. Hence, when the 12th BPS was concluded in 2024, we had expressed our opinion that attempts should be made to commence the negotiations much earlier so that the Settlement can be arrived at before the commencement date of the Settlement.

IBA had also appreciated and desired the same. Recently on 20th April, 2026 the Dept. of Financial Services, Ministry of Finance, Govt. of India has also advised the Banks and IBA to expedite the process of the 13th Bipartite Settlement well in time including the consequential amendment to the various connected Regulations so that the revised wage settlement can be implemented from 1‑ 11‑2027.

We are aware that there are some very important issues like 5 days banking, PLI, updation of pension, uniform DA formula on pension, etc. which need to be resolved expeditiously.

However, looking to the time‑consuming process of wage negotiations, it has been felt necessary to initiate steps in that regard, particularly, when the Government is forthcoming.

Keeping this in view, it has been decided to form a Sub‑Committee to consider the suggestions of our units and members and to submit their recommendations to AIBEA for finalising our Charter of Demands for the 13th

Bipartite Wage Settlement.

A virtual meeting of the Office Bearers of AIBEA was held today morning and the following Sub‑Committee has been formed.

We will shortly issue our communication inviting suggestions from our Unions and members for consideration by the Sub‑ Committee.

All our State Federations and All India Bankwise Federations are also requested to discuss at their level and submit their suggestions to the Sub‑Committee.

The Sub‑Committee’s recommendations will be discussed by the Central Committee and the new Charter of Demands will be finalised.

Thereafter, it will be discussed with the other Unions in the UFBU for formulating the common Charter of Demands before submission to the IBA.

**BANK FLAG** **10 JUNE 2026**

### **Appointment of Workman Directors in PSBs**

Our Unions are aware that after the present BJP/NDA Government came to power in 2014, they have not appointed and filled up the posts of Workman Directors and officer Directors all the Public Sector Banks. We have taken up the issue with the Finance Ministry number of times. We have also met the Finance Ministers (former and present) on more than one occasion and impressed upon them to expedite the
appointments. Every time we were being assured that the proposals sent by AIBEA with the panel of names have been sent to PMO and issue is awaiting their approval.

In the meantime, whenever anyone in the panel crosses 57 years of age, the Finance Ministry has been asking the Unions to submit revised panel of names.

There are also litigations on this before the High Court of Delhi and High Court of Bombay. In every hearing, the Government has been informing the Courts that the issue is under process.

This issue was also made a part of our strike notice in February, 2025 and hence the issue is in conciliation also. In the conciliation meeting also, DFS representatives have been pleading that the matter is in process and pending approval from

PMO.

##### **It is very clear that the BJP/NDA Government is deliberately delaying the matter for obvious reasons.**

In the meantime, once again, we are informed by the Government that they are asking the Banks to seek revised panel of 3 names and accordingly Banks will be now contacting our All India Bankwise Federations/Organisations in Public Sector Banks to submit a revised panel.

**Whenever such revised panel is sought for by the managements, our All India Bank wise Federations are requested to hold their
physical/virtual Committee meetings and decide the revised of 3 names.**

**This revised panel is to be forwarded to AIBEA and AIBEA will submit the same to the concerned Banks and the DFS, Ministry of Finance as per our standing decision.**

The format for submitting the panel is enclosed herewith.

Sd/‑

C.H. VENKATACHALAM GENERAL SECRETAR

**BANK FLAG** **11 JUNE 2026**

### **AIBEA’S LETTER TO CHIEF EXECUTIVE OF IBA**

Chief Executive, Indian Banks’ Association, Mumbai

Dear Sir,

#### **Continuous banking services in Branches without lunch recess ‑ review needed**

In the recent years, many of the Banks have adopted the system of continuous banking hours without any lunch break in between. Branch staff are advised to have their lunch recess in a staggered manner without interrupting customer service.

There can be no objection or reservation to the idea that we should give the best of customer services to the banking public. But we are getting repeated feedback from our Unions and employees that many times the employees virtually do not get any lunch recess at all. Customers keep coming and in Branches where there are only very few employees like one CSA and/or one Cashier and the staff are not able to take their lunch.

If the staff go for taking lunch and at that time, if customers come in, invariably they start shouting as to why the staff is not in the counter. In many Branches, there is no separate lunch room and hence employees take lunch in their desk/counter and they get shouted by customer when they take lunch.

Employees come to the Bank and work for their livelihood and not to get abuses from customers while taking their lunch. This is totally unacceptable.

Under the various enactments of different States under Shop and Establishment Act, employer has to give lunch recess after four hours of work.

Hence, in the name of uninterrupted customer service, not allowing proper lunch recess for the staff is improper and extending continuous banking hours without fixed lunch hours needs to be reviewed by Banks. We seek the intervention of IBA in this regard.

Thanking you,

Yours sincerely

#### **C.H. VENKATACHALAM GENERAL SECRETARY**

**BANK FLAG** **12 JUNE 2026**

### **Preparation of Charter of Demands For 13th BPS Settlement**

All of us are aware that the 12th Bipartite Settlement would come to an end on 31‑10‑2027. Hence, we need to submit our fresh Charter of Demands for negotiations with the IBA for the 13th BP Settlement.

We have set up a Sub‑Committee with Com. A R Sujith Raju as Convener to consider the suggestions received from our unions and to submit their recommendations to AIBEA for finalisation of our Charter of Demands.

**We request all our unions – State Federations and All India Bankwise Unions to solicit views from their unions/members and send us a consolidated suggestion from each State Federation/All India Bankwise Organisation.**

##### **These suggestions may be sent to us at the earliest but not later than 31‑7‑2026.**

The suggestions are to be sent to꞉

##### **Com. A R Sujith Raju Convener, Sub‑Committee on Charter of Demands, All India Bank Employees Association Singapore Plaza, 164, Linghi Chetty Street, Chennai‑600001**

(email ꞉ aibeahq@gmail.com).

All our Unions are requested to co‑operate and submit their
suggestions in time.

With Greetings,

Yours Comradely,

Yours Comradely,

##### **C.H. VENKATACHALAM GENERAL SECRETARY**

##### **Suggestions to be given on꞉**

**1. Revised pay scales**

**2. Merger of DA into Basic pay**

**3. Revision in special pay and duties**

**4. Treatment of special allowance**

**5. Future DA formula**

**6. Improvement in HRA and Transport allowance**

**7. Improvement in other allowances**

**8. Annual medical aid**

**9. Medical insurance scheme**

**10. Leave rules**

**11. LFC**

**12. Working hours, cash transaction hours**

**13. Procedure on disciplinary action 14. Improvement in retirement benefits 15. NPS to OPS**

**16. Transfers and deployment**

**17. Recruitments and outsourcing**

**18. Technology related duties and service conditions**

**19. Special problems faced by Ex‑servicemen employees**

**20. Service conditions of part time employees**

**21. Service conditions of women employees**

**22. Physically challenged/differently abled employees 23.
Regularisation of temporary employees 24. Service conditions of BCs/Bank Mitras/Jewel Appraisers 25. Other suggestions related to wage revision**

**BANK FLAG** **13 JUNE 2026**

### **UFBU on PLI**

##### Dear Comrades,

UFBU Circular No. 15 dt. 29‑6‑2026꞉ “ Our unions and members are aware that we have been pursuing our important demands like introduction of 5 days banking, negotiated PLI, etc. These issues are also under conciliation before the Chief Labour Commissioner, Ministry of Labour on account of strike notice. However, since the Government was negative and non‑responsive to our demand for 5 days banking, we had observed the massive protest strike on 27‑1‑2026. Thereafter we had followed up the matter with the IBA and Government but there was no development.

In the meantime, as though a retaliation, the DFS issued instruction to Banks to disburse PLI for 2024‑25 to all employees and officers upto Scale III and also disburse PLI to Scale IV officers and above as per unilateral formula of the Government. Hence UFBU immediately gave the call for agitation including instant strike within 24 hours if the unilateral PLI scheme is implemented for scale IV officers and above in violation of the BPS/Joint Note. The issue was litigated before the Court. Our arguments have been well placed and well‑heard by the Court. The case is coming up for hearing on 6th October, 2026 and as of now there is no indication that the revised scheme will be implemented in a hurry by the Government or the Banks. During our discussions with the IBA, we have informed the IBA that UFBU is ready to discuss the PLI scheme further to make any modification that may be warranted.

Pending conciliation proceedings and the outcome of the litigation in the High Court, it has been decided to take up with the DFS and IBA for implementing the PLI for scale IV officers and above as per the existing formula under the BPS/ Joint Note for the years 2024‑25 and 2025‑26 so that these officers are not deprived and denied of the PLI that has been paid to other employees and officers in the respective Banks.

Since apparently there is no move from the Government or the banks to go ahead with the implementation of the revised PLI scheme for Scale IV and above officers, it is felt expedient to put on hold our agitational programmes for the present except that if there is any attempt to implement the revised PLI scheme, we shall resort to immediate strike action. Units and members are to take note of the same.

As regards 5 days banking, since the new Secretary, DFS has taken charge, it has been felt desirable to take opportunity to meet him in a delegation to appraise him of the issue in detail and to impress upon him to expedite the implementation.

We have already taken up issues like updation of pension, revision in Exgratia, uniform DA formula on pension, etc. These are to be pursued further. In the meantime, DFS has advised all Banks and IBA to initiate steps towards early completion of the 13th BPS/10th Joint Note negotiations.

Government has also decided to set up a High‑power Committee to take forward their agenda on banking sector reforms.

All these developments will be discussed in the ensuing UFBU meeting to be convened shortly.”

With greetings,

Yours Comradely,

**C.H. VENKATACHALAM GENERAL SECRETARY**

**BANK FLAG** **14 JUNE 2026**

### **Meeting of AIBEA’s Social Media Team**

A meeting of the AIBEA’s Social Media Team was held virtually yesterday evening. 37 members participated in the meeting.

This is helping us to communicate to large number of our members instantly and hence it is a great supplementary tool for our organisation.

The meeting reviewed the activities of our Social Media Team in connection with the 30th Conference of AIBEA. All of us are aware that a commendable job was done by our Team before and during the Conference. Their hard work helped to considerably enhance and enliven the Conference proceedings and the same was highly appreciated by all the delegates and observers.

In today’s meeting, the participants gave their valuable ideas and suggestions to further improve our activities under social media platforms.

They also pointed out that after the adjournment of the conference on 22nd April, 2026, there have been a lot of negative propaganda in the social media that has affected the reputation and image of AIBEA.

Our Social Media Team is functioning with different segmented activities like data collection, data processing, data conversion, content creation, watchdog activities about misuse of our social media platforms, legal issues, distribution of contents, promotion of our various social media platforms, etc.

Hence it has been decided to formulate AIBEA’s Social Media Policy and Regulations.

It has been suggested that while our Social Media Team can be re‑organised by adding further suitable members in the various segments of work, all State Federations should also take initiatives to develop and form their respective Social Media Team.

Atpresent our Facebook page has 71,000 followers, X channel of General Secretary 39,500 followers, WhatsApp channel 42,300 followers, YouTube channel 22,600 followers and Telegram channel 7000 followers. Recently we have launched our Instagram page and X channel in the name of AIBEA.

It was decided to hold a full‑fledged meeting of our Social Media Team next month to further concretise our action‑pan.

**Submit your 13th BPS COD suggestions**

**BANK FLAG** **15 JUNE 2026**

### **BIRTH ANNIVERSARY OF COM. TARAKESWAR CHAKRABORTI ON JUNE 2, 20026 BY WOMEN COUNCIL & YOUTH COUNCIL OF BPBEA**

Women Council and Youth council of BPBEA observed 101 Birth
Anniversary of our beloved leader Com Tarakeswar Chakraborti through Blood Donation Camp and a very beautiful pho exhibition of Com Tarakeswar Chakraborti on 2 June 2026 at Lohana Mahajan Hall, Kolkata.

The programme was commenced by Com. Durgasree Basu Roy, Chairperson , BPBEA Women Council.

The blood donation camp and the photo exhibition were inaugurated by Com Rajen Nagar, Chairman , BPBEA, who spoke at length about the unparalleled contribution of Com. Tarakeswar Chakraborti towards the bank employees movement in India , at the same time his constant apåproach towards country.s economic growth and strengthening of the banking system throughout India. Com Indranil Mitra , General Secretary, BPBEA also addressed the gathering. More than 800 visitors visited the exhibition and more than 200 comrades donated blood.

**_Com. Ragen Nagar Com. Indranil itra speaking on the occasion inaugurating the centenary celebration program_**

**_Blood donation by the comrades_**

**_Senior leaders in the – Reminiscenting with the past_**

**BANK FLAG** **16 JUNE 2026**

**NEWS ON ECONOMY & FINANCE**

### **Something is off꞉ Raghuram Rajan questions India’s growth narrative**

##### **Former RBI Governor Raghuram Rajan speaking exclusively to India Today By꞉ Prateek Chakraborty**

Former Reserve Bank of India (RBI) Governor Raghuram Rajan has questioned India’s economic growth narrative, arguing that weak corporate investment and slowing foreign capital inflows were difficult to reconcile with official GDP figures showing the economy expanding at more than 7 per cent.

In an exclusive interview with India Today TV,

Rajan said “something is off” in the economy, pointing to a persistent disconnect between headline growth numbers and investment activity. “I don’t understand it. If the economy was growing at this rate, you would definitely expect investment to be higher. Something is off,” he said.

The former RBI chief described the lack of corporate investment as one of the biggest puzzles facing the Indian economy, noting that the trend has persisted for over a decade despite strong growth
projections.

### **India’s fraud rate almost twice global average꞉ Trans Union By FE Bureau**

**According to TransUnion’s Top Fraud Trends Report, suspected digital payment fraud in India jumped to 7.1% of all transactions in 2025, driven heavily by account login breaches and a 300% surge in the telecom sector.**

Digital Payment Fraud in India Reaches 7.1% in 2 0 2 5 , D o u b l i n g G l o b a l A v e r a g e Suspected digital payment fraud in India rose sharply in 2025, reaching 7.1% of transactions — almost twice the global rate of 3.8%, according to TransUnion’s Top Fraud Trends Report published on Tuesday.

During the year, logistics saw the highest share of suspected digital fraud at 16.3%, followed by telecommunications at 14.7% and insurance at 11.5%.

These sectors often rely on real‑time interactions, distributed networks and high‑frequency transactions, creating opportunities for fraudsters to exploit gaps in identity verification and
authentication, the report noted. Suspected digital fraud in India’s telecommunications sector jumped 300%, marking the largest increase among industries.

The highest fraud exposure occurred at the account login stage, which stood at 3.9%, indicating growing attempts to compromise legitimate user credentials. That was followed by account creation, which was at 3.1%, and fraud during financial transactions, at 1.2%. This pattern suggests attackers are increasingly targeting existing accounts using compromised c r e d e n t i a l s , t h e r e p o r t s a i d . However, globally, account creation was the riskiest point in the digital consumer journey in 2025, with 8.3% of those attempts suspected as fraudulent.

“Fraudsters are weaponizing both consumer trust and emerging technologies. As the scale and sophistication of fraudulent operations continue to grow, the threat landscape is evolving faster than ever. Addressing this requires a new generation of identity centric defences that combine advanced analytics, adaptive authentication and multilayered fraud detection,” said Natarajan Ramani, head of TransUnion India Data Analytics Solutions.

He added that organisations must match fraudsters’ technological innovation to stay ahead of rapidly changing schemes.

**BANK FLAG** **17 JUNE 2026**

##### **OPINION**

### **A quiet exodus꞉ Why young bankers are walking out of PSBs An attempt to tell the untold behind‑the‑scenes story**

When Suresh _(name changed)_ joined as a probationary officer at a large public sector bank (PSB), fresh out of college, he had beaten tens of thousands of aspirants to the job. He had cleared a rigorously competitive aptitude test and a series of interviews. By his late 20s, he was managing a functional department with a reasonably good salary. His colleagues assumed that Suresh would eventually move on to a bigger assignment as many young bank officers do‑at the Reserve Bank of India or a senior role at a Navaratna public sector company.

Instead, Suresh opted for a teaching job in a government school in his home state at a lower salary. His bosses counselled him, recounting his achievements and the opportunities ahead. But their advice fell on deaf ears. Some thing deeper a quiet, irreversible dis illusionment had already set in.

Suresh is not alone. Across India’s public sector banking system, which employs at least 750,000 people, many bright young officers are choosing to exit. They are opting for state government jobs and other public sector undertakings to escape the frustrations of life in a PSB.

The attrition rate in reasonably large private banks currently varies between 18 per cent and little over 33 per cent. In contrast, the PSB attrition rate is lower. State Bank of India, India’s largest lender, consistently reports an annual attrition rate below 2 per cent꞉ for others, it varies between 3 and 8 per cent.

But the attrition rate doesn’t tell the real story the quiet departures of young officers who bring on the table limited
institutional knowledge but enormous technical aptitude and energy to grow into tomorrow’s leaders.

Through the 1980s and into the early ’90s, a banking career commanded enormous attraction, almost equal to the civil service. An entry‑level officer’s per’s salary was comparable with that of a direct‑recruit Class I government officer. Promotions, while structured, followed a

predictable path. Indeed, industrial relations were not stable but the promise of a secure career with steady progression meant talented graduates kept choosing banking over other jobs.

A probationary officer joining a PSB under the current 12th Bipartite Wage Settlement starts at a basic pay of around 36,000 per month. For a banker posted in a metro, the gross take‑home including dearness allowance, house rent allowance, and special allowances could be around 55‑60,000.

A fresher joining a Navaratna public sector enterprise earns significantly more, with structured increments and perquisites that PSBs cannot match. The gap widens at the middle management levels, the compensation has not

kept pace with the nature and pressure of the work. (At junior and middle levels, the overall package of a PSB officer is better than that of their counterparts in private banks but, at the top, private bankers earn many times more than their PSB peers. But that’s a different story.)

The staff structure at PSBs remains a steep pyramid, with an overwhelming concentration of Scale I and II officers and a shrinking pool of vacancies at Scale III and above. What was once a systematic, merit‑based path of advancement has turned into a bottleneck, with too many qualified candidates competing for too few opportunities.

One of the triggers of discontent in recent years has been the growing practice of lateral recruitment at senior scales. Several PSBs are directly inducting officers from private com panies and consultancies at Scale III and Scale IV, bypassing the internal promotion ladder.

For an officer like Suresh who had spent years mastering banking operations, complying with regulatory requirements, and navigating through the complex internal culture of a PSB, watching an outsider with com parable years of experience but no banking back‑ground joining two scales higher is frustrating. As these lateral recruits require time to understand the ground realities of a PSB, senior

**BANK FLAG** **18 JUNE 2026**

officers need to work longer hours during the adjust period.

Compounding the problem is increasing outsourcing of core banking functions to external agencies ‑ a function for which many banks have trained their own officers. Some of the banks are paying a hefty sum to large II consultancy firms for this. It doesn’t end there꞉ Risk management frame works are being designed by multinational management consultancies and HR processes are being redrawn by outside agencies. Every year, thou sands of IT graduates join PSBs through the specialist officer route, only to watch the bank paying external vendors to perform the tasks they have been hired for.

A chartered accountant, a qualified risk professional, or a seasoned operations officer who has spent years building expertise feels redundant as the institution has chosen to import experts instead of harnessing what it already has. For decades, PSBs have been a train‑ing ground for many talented bankers. In fact, it has been the blood bank for the sector. But the institutional capacity is now being quietly dismantled.

There are other reasons. Many of the young officers in their late 20s and early 30s are navigating the demands of ageing parents, young families, or mar‑ riages. The inability to secure a posting near their home‑state weighs heavy, Transfer policies at PSBs are governed

by seniority and operational needs. This leads to junior officers being routinely posted at locations far from their support networks, often for years at a stretch. It’s a constant source of per‑sonal and family stress and is one of the most frequently cited reasons when young officers say goodbye.

Then, there is the fear of disproportionate consequences for operational errors. Officers in PSBs function in an environment where any transaction irregularity even an inadvertent one can attract vigilance proceedings that leave lasting marks on a career. Several talented executives, performing well under difficult conditions, have seen their professional lives

upended by minor procedural lapses. The asymmetry is striking. Private sector banks operate in a performance‑driven culture where corrective action is largely internal. PSBs, by contrast,

function under a vigilance framework that can transform a good‑faith mis‑take into a career‑ defining blemish. This is why officers are often reluctant to take the initiative and approve bor‑ derline but legitimate proposals.

The talent crisis of today is partly the consequence of decisions made two decades ago. The PSBs went through an extended period of mini‑mal recruitment roughly from the mid‑1990s through to around 2010 15‑year freeze that left a structural void in the workforce. When recruitment resumed in the last decade, it did so rapidly with officers moving through the scales at an accelerated pace to fill vacancies left by mass retirements.

The result is visible in the leader‑ship of many PSBs where general man‑agers and regional heads in their early‑to‑mid 40s are managing large. institutions, with considerably less field exposure than their predecessors had at the same grade. The proven, incremental path of promotion that created many legends in the banking sector in the pre‑ economic liberalisation era is compressed out of necessity. At the same time, fresh recruits face a different problem꞉ The top of the pyra‑mid is occupied by a generation pro‑moted quickly, slowing down the creation of vacancies at the senior level.

The combined assets of 12 12 put public sector banks are to the tune of around 1.70 trillion, holding close to 55 per cent market share. They are the pri mary vehicles for financial inclusion, rural credit, and lending to medium and small enterprises besides infra‑structure financing.

The PSBs have been built by professionals who chose to stay on, invested decades in mastering the craft of banking and passed that knowledge down through the ranks. That chain of institutional transmission is now under serious strain. Suresh is a casualty of that. It needs to change.

The writer, a consulting editor at Business Standard, is an author and senior advisor to Jana Small Finance Bank Ltd. His latest book is Roller Coaster꞉

###### _An Affair with Banking._

To read his previous columns, log on to www.bankerstrust.in X꞉ @TamalBandyo

**BANK FLAG** **19 JUNE 2026**

###### **Registration No. KOL RMS/43/2019‑21 Published on 31 May 2026ST Regd. No. RN/63148/95**

To
AIBEA
LONG LIVE
From BANKFLAG ALL INDIA BANK EMPLOYEES’ ASSOCIATION 3B. LALBAZAR STREET 1ST FLOOR KOLKATA – 700001 PHONE꞉ 2262‑2192

**Published by Shri Kamal Kumar Bhattacharyya on behalf of All India Bank Employees Association, 3b Lal Bazar Street, Kolkata‑700001 & E‑Journal by Rang Pencil, www.rangpencil.co.in Editor – Shri Kamal Kumar Bhattacharyya.**

**BANK FLAG** **20 JUNE 2026**
doc_bace9de942ca_BankFlag-June-26.pdf