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Staff Shortage and Unfair Practices: Federal Bank Employees Stage Nationwide Protests
Union demands end to staff shortages and unfair practices, threatens more protests if demands are not met.

Author: Abhivad
Published: May 23, 2024
The Federal Bank Employees Union (FBEU) has intensified its nationwide agitation against various issues, including staff shortages, unfair trade union practices, and violations of transfer policies. The union has also raised concerns about outsourcing, the use of contractual labour, and unethical sales practices.

National Agitation Over Multiple Issues
The FBEU is conducting protests across Federal Bank branches to address several grievances. The union highlights a severe shortage of staff due to a lack of recruitment, which has led to increased workloads and operational inefficiencies. In addition, the union accuses the management of engaging in unfair practices against trade union organisers, including arbitrary transfers and vindictive actions.
(FBEU protest at Sankranti branch, Kottayam.)
Speaking to Kanal, A R Sujith Raju, the All India General Secretary of the FBEU, stated, “The management's vindictive actions, including the dismissals of the vice president of FBEU and the Kannur district chairman of All Kerala Bank Employees Federation (AKBEF), are unacceptable. These actions based on petty grounds are aimed at silencing our union activities.”
(Employees of Cuttack branch in Bhubaneswar, Odisha protest)
Violations of Transfer Policies
The union alleges that Federal Bank management has been implementing transfers without adhering to the Tripartite settlement and established transfer policies. These transfers, according to the union, are being used as tools to target and penalise trade union activists and members of unions.
(Protest organised at Thanjavur branch, Tamil Nadu)
“The management is violating transfer norms and policies by implementing transfers without consensus,” Raju told Kanal. “There is clear favouritism and vindictiveness in these actions, which are used to suppress trade union activities and infuse fear among members of the union”, he continued.
Concerns Over Outsourcing and Contractual Labour
FBEU has also raised significant concerns over the bank's increasing reliance on outsourcing and contractual labour. The union argues that appointing officers on contract and assigning them regular clerical work undermines the job security and career prospects of permanent employees.
(Protest gathering at North Paravur, Ernakulam district, Kerala)
Moreover, the union points out the ethical issues surrounding the selling of third-party and subsidiary insurance products. Employees are allegedly being pressured into these sales, which often do not align with their primary banking responsibilities.

Call for Fair Incentive Distribution
Another major grievance of the union pertains to the distribution of profit incentives within the bank. The FBEU claims that the current system disproportionately favours top-level executives, leaving the lower and mid-level employees with minimal incentives. The union demands a more equitable distribution of these incentives to ensure that all employees benefit fairly from the bank's profits.
(Protest gathering at Nalbari, Assam)
Upcoming Protests and Demands
The union has already organised a march to the Federal Bank's head office in Aluva, Ernakulam, Kerala, which saw significant participation. If the management does not address their demands, the FBEU plans to escalate their protests, with zonal dharnas and the head office march.
(Federal Bank employees protest at Kalyan, Mumbai.)
“Our protests will continue until all vindictive actions against our activists, including the dismissal of our vice president, are withdrawn,” Raju emphasised. “Unions have the right to nominate protected workmen as per the Trade Union Act, and the management must recognise this right.”
(Circular released by FBEU on future agitation programmes.)
The FBEU’s demands also include transparent and fair implementation of transfer policies and a more inclusive approach to decision-making processes within the bank. The union stresses that if the management continues its reluctant attitude, the agitation will intensify. Zonal dharnas are scheduled from 7 June to 21 July 2024 and a massive head office march is scheduled on 31 June 2024.
The Federal Bank Employees Union's nationwide agitation highlights significant issues within the bank's operational and administrative practices. With ongoing protests and the threat of further escalations, the union seeks immediate redressal of their grievances to ensure a fair and just working environment for all employees.