CONCERN: Government has no policy to curb price and contain recession

Ludhiana, February 3, 2013: As per the decision of office bearers of All India State Bank of Patiala Employees Federation, Zonal Level Conventions are being held throughout the state. 

As per this decision, Zonal Convention of Ludhiana Zone held here on Sunday, in which more than 500 comrades attended the convention.

The zonal conventions are being held for demanding among other things to control alarming price rise, and urging upon the government to stop anti-labour policies, banking reforms and outsourcing.

On this occasion, State Bank of Patiala Employees Union also felicitated S. K. Gautam, General Secretary, All India State Bank of Patiala Employees Federation for being elected as Joint Secretary, All India Bank Employees Association. 

While inaugurating the Convention, S. K. Gautam, Joint Secretary, AIBEA and General Secretary, All India State Bank of Patiala Employees Federation said that the sky high inflation of food prices and stagnation of the economy are the characteristics of the crisis that has engulfed the nation.

Adding, he said, the government has no policy to curb the price and contain the recession of the economy, mitigate poverty and job loss. In the race to implement banking reforms, there is grim all around politically and economically. The Government has no policy to face the challenge. It seeks to throw all the burden of the crisis on the common people. Turning its back to the national interest, the government is initiating steps one after another which is inflaming inflation and accentuating economic stagnation. The Government is recklessly increasing the price of all the commodities that is so urgently necessary for daily life. It is not the organized workers in the industrial sector who are grossly affected; it is the contract workers, informal and casual labour which is the worst victim. While the industrial workers who are organised are sure to be denied of the legitimate rights, increase in bonus and wages, the unorganised sector will be more rudely affected through job loss, wage cut and on payment of  minimum wage and denial of statutory dues.  

Further, he said banking sector is no exception. Attempts are on to reduce and dilute the Government’s equity capital in Public Sector Banks. Attempts are equally on to boost private capital in the equity of our PSBs. For public sector banks, the Government talks of mergers and consolidation to shrink the scope of social banking. But in the same breath, the Government wants to encourage and expand private sector banking. New Licenses are sought to be given to industrial houses to start their own private Banks. This is the double standard of the Government. Banking Laws are amended to convert bad loans of corporate houses as investments in the equity capital of the very same defaulters. Huge loans are being written off to favour the rich borrowers. Rural branches are sought to be closed down and rural banking is being given to private outsourced Business Correspondents. Priority Sector loan targets are not being reached by many Banks. Corporate loans are increasing. Banks are appearing to draft from the goals and objectives of bank nationalization. In one word, the clock is sought to be reversed.

Gautam said banking industry is one of the potential employment generating agencies in our country. But in the last 20 years, recruitments were virtually banned and after our struggle, some recruitments are taking place recently. But this is totally inadequate. Bank’s business has increased manifold. More and more services have been undertaken but matching recruitments are not taking place. In the next few years, large scale retirements will take place and hence further recruitment is needed. But  Banks  are trying to outsource the regular and permanent jobs to contract employees. This will reduce the scope for permanent jobs and affect the job security. This will also result in exploitation of unemployed youth. We oppose outsourcing of permanent jobs and demanding adequate recruitments and revival of BSRBs for recruitment of bank staff. 

Gautam placing his viewpoint on the budget stated that as a marginal relief, a tax credit upto Rs. 2000 to individual tax payer with an income of not more than Rs. 5 lacs has been proposed. With a view to mobilizing additional revenue, a surcharge of 10% on individuals earning Rs. 1 crore and more has been levied. According to government this levy is likely to impact only 42,800 tax payers and that too for one year. With introduction of this levy, it has put to rest the widespread speculation in the market on how the govt. would tax the super-rich. There is a disappointment to the salaried class since the much-awaited relief by way of enhanced exemption limit for allowances such as conveyance allowance, medical reimbursement, children’s education allowance were not provided.     

Among others, Yadvinder Gupta, Parveen Moudgil, Ashok Malhan, Jasvir Singh, Rajesh Sondhi, Rakesh Bajaj, A. K. Chhiber, Parkash Singh and Jagan Nath Makhija were also present on this occasion.