IDBI Bank Staff Begin Two-Day Hunger Strike Against Fairfax Deal

Employees and officers of IDBI Bank began a two-day nationwide hunger strike on Monday, 2 November, at branches and offices across India, protesting the proposed sale of the bank to Canada-based Fairfax Financial Holdings. The strike, called by the United Forum of IDBI Officers and Employees (UFIOE), runs on 2 and 3 November. The forum served a formal strike notice on bank management under the Industrial Relations Code, 2020.

What the Unions Are Asking For

The UFIOE, which brings together the All India IDBI Officers’ Association and the All India Industrial Development Bank Employees’ Association, wants the government to drop the privatisation and keep majority ownership. It has asked the Centre to buy at least 6 per cent more equity, from LIC or the market, so that the state holds a minimum of 51 per cent. The unions cite a December 2003 assurance given to Parliament on government majority ownership.

They also want legally binding written assurances on service conditions, pensions, welfare and reservation policy, and continued industry-level wage revisions. If the sale goes ahead, the forum wants staff to have the option of moving to public sector banks without losing seniority, salary or retirement benefits, and wants contract and outsourced workers absorbed.

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An Offer Already Defended by the Finance Ministry

The Finance Ministry has defended the Fairfax bid of ₹81 per share, and has earlier said there is no legal bar on cutting its stake in the bank. The transaction would reduce the stakes of the government and LIC and pass management control to Fairfax.

Prolonged Protest Possible

No response from the government or bank management to the strike has been reported so far. The forum said it is willing to hold talks with both sides, but warned that unresolved demands could lead to prolonged protests, including an indefinite strike. Related coverage is on the IPB economy page.

Source: Based on reporting by Free Press Journal and Dainik Jagran English.

Image: Free Press Journal.