The trade and business organisations in Mysuru have flayed the two-day strike called by central trade unions of various public sector organisations which crippled banking operations this week.
Though many public sector units took part in the strike called to protest ‘’anti-workers’’ policies of the Government, it was also supported by public sector banks which affected financial operations, having a direct bearing on trade and commerce. Hence the strike by bank employees has been singled out for criticism.
While the direct impact of bank strike on the commoners was minimal given the easy availability of ATMs, business organisations felt the pinch.
‘’Cash withdrawals from ATMs is sufficient for householders and the general public to meet their daily requirements. But for business establishments engaged in transactions of lakhs of rupees, personal visits to bank branches are a must’’, said A.S. Satish of Mysore Chamber of Commerce and Industry (MCCI). It could be cheque deposits and clearances, purchase of Demand Drafts or bulk withdrawals to meet an exigency like making large payment to purchase raw materials none of which can be met through ATM cash withdrawal where there is a daily limit for transaction, Mr. Satish added.
Other stakeholders said in case of transactions that run into lakhs of rupees even a day’s delay in cash transactions can impact a company’s goodwill or add to the interest component which will ultimately affect the bottomline. ‘’And it is the the MSME and small sector units which will face the maximum brunt’’, said Suresh Kumar Jain of MSME Mysuru.
‘’The strike has come at a time when the economy is poised for recovery after two years of uncertainty due to COVID-19 which is still prevalent. Industry, trade and commerce have direct dealings with banks and such strikes have a cascading impact on the economy’’, Mr.Jain added.
‘’We at the Federation of Karnataka Chamber of Commerce and Industry have made repeated pleas and sent representations to the Government that banking services should be brought under Essential Services and Maintenance Act (ESMA) and the provisions of the Act should be invoked to deter bank staff from resorting to periodic strike’’, said Sudhakar Shetty, former Chairman of FKCCI.
Seconding the view, Mr. Jain said trade and business establishment tend to pay interest on delayed payments for no fault of theirs when the banks are closed due to strike. The cumulative loss to the economy on a single-day strike should also be factored to get a clear picture of the impact of such stirs, he added.
Meanwhile, banking operations in Mysuru region were partially affected on the second day of the strike, according to H. Balakrishna, Secretary, Mysuru District Bank Employees Association. He said a section of the employees did attend the work but the strike affected regular business transaction and turnover.
