The amalgamation of Punjab National Bank, United Bank of India and Oriental Bank of Commerce came into effect from April 1, 2020
Punjab National Bank, MD & CEO of Punjab National Bank SS Mallikarjuna Rao today told news agency ANI that there will be no layoffs of employees due to the merger Oriental Bank of Commerce, Union Bank of India.
“There will be no retrenchment of employees due to the merger Oriental Bank of Commerce, Union Bank of India with Punjab National Bank: SS Mallikarjuna Rao, MD & CEO, Punjab National Bank,” Rao said.
“PNB has a strength of 1.03 lakh employees and, as the business grows, our employee strength will also grow,” he added.
The amalgamation of Punjab National Bank, United Bank of India and Oriental Bank of Commerce came into effect from April 1, 2020.
On August 30 last year, Sitharaman had announced the biggest merger exercise of PSBs.PNB, OBC, and United Bank to be merged. The newly merged bank will be the second-largest PSB in the country with Rs 18 lakh crore business and second-largest branch network in India.
Rao also addressed concerns over the extension of loan moratorium and said that moratorium on repaying loans till August 31 as announced by the Reserve Bank of India (RBI) should not be extended as green shoots are emerging in the economy.
Similar views were recently expressed by leading bankers like HDFC Chairman Deepak Parekh, SBI Chairman Rajnish Kumar, and CII President Uday Kotak. They said some borrowers who have the ability to pay are taking advantage of the relaxation.
In March, the RBI extended the moratorium as a step to mitigate the burden of debt servicing and enable continuity of viable businesses impacted by COVID-19 pandemic. The RBI initially allowed it for three months ending May, but later extended it till August.