PSB Mergers After 2019: What’s Next for Public Sector Banks? | AIBEA’s N. Shankar Explains

Public sector banks underwent a major consolidation in 2019, reducing the number of PSBs from 27 to 12. Now, fresh signals from the government suggest that another round of restructuring or mergers may be on the table. What has been the real impact of these mergers? Have efficiency and scale improved or have workload, transfers and stress increased for employees? And do these steps indicate a gradual shift towards privatisation of more PSBs? In this interview, Kanal Media speaks with N. Shankar, Vice President, AIBEA General Secretary, AIUBEA Organising Secretary, MSBEF He discusses: •Whether new consolidation signals hint at privatisation of other PSBs. •How mergers have affected employees’ workload, transfers and promotions. •Whether the “one size fits all” merger model works across India’s diverse states. •The broader implications of reducing the number of public sector banks.