SBI Merger – Pros and Cons
5 SBI Associates and Bhartiya Mahila Bank were merged with State Bank of India on 1st April 2018. The entire process has now been completed with IFSC and branch names of over 1300 have been changed. In this whole merger over 3000 employees of erst while banks opted for VRS scheme which was offered by SBI.
Pros:
- Unnecessary competition between SBI and associates has now been finished. Earlier too except Bhartiya Mahila Bank, SBI associates were following same rules and policies that were being followed in SBI
- Branch network of SBI has been further strengthened and a lot of cost has been saved because many branches of erstwhile banks have been merged with that of SBI.
- With the merger SBI became 53rd Largest bank in the World, holding an assets of over 38 billion Dollars
Cons:
- Post merger there were allegations of staff harassment from the staff of erstwhile associate banks
- Staff of erst while banks were transferred out of their parent locations.
- The perks being given to the staff of erstwhile bank are different from that of employees of SBI.
