A brief chronology of events in Banking Industry/State Bank of India

Year 1720 1770 Month Date Event Government Bank of Bombay established at Bombay (now Mumbai). Bank of Hindostan comes into existence at Calcutta (now Kolkata) as first to introduce its own paper money which of course was not recognized as legal tender General Bank of India formed. Carnatic Bank established at Madras (now Chennai). Bank of Calcutta established -It was later renamed as Bank of Bengal Bank of Calcutta becomes Bank of Bengal circulating their own currency notes as paper money to be accepted later on as valid legal tender for public transactions extending the status equally to other presidency banks viz. Bank of Bombay and Bank of Madras. Massacre of Peterloo at St. Peters Field, Manchester, occurred killing large number of men and women who had joined a rally of workers. Union Bank established Bank of Bombay is established Bank of Madras is formed Paper Currency Act is passed Allahabad Bank is established.This was the firstfully Indian owned Bank Presidency Banks at Calcutta, Bombay and Madras are granted the status of bankers to the Government of India. Alliance Bank of Simla is established Presidency Banks Act is passed. A resolution demanding fixation of 8 hours of work in a day at the maximum was passed by Workers Organisation of America (WOA) Strike by workers of Chicago where merciless killings at a large scale took place. August Spice, who alongwith 3 other trade union leaders was hanged for trade union activities, said seconds before his death A day will come where our silence will be more louder than our words. May Day (1st May) was internationalized. Punjab National Bank is established. Bank of India and Canara Bank come into existence. Indian Bank is established. Central Bank of India is established. ILO (International Labour Organisation) is formed.

1786 1788 1806 1809

June Jan

2 2

1819

Aug

16

1829 1840 1843 1861 1865 1866 1874 1876 1884

Aug Apr July

17 15 1

Oct

1886 1887

May Nov

1 11

1890 1895 1906 1907 1911 1919

1920

July

09

1920 1921

Oct Jan

31 27

1923 1926 1935

1937 1946 Apr 20

1946

Aug

01

1946

Sep

26

1947 1947

May Oct

1948 1955 1955 1955

July

July Dec

1 28

Imperial Bank of India Indian Staff Association is formed under the Benevolent Societies Act at Calcutta (now Kolkata). It was duly registered under Indian Trade Unions Act only on 24th May1932. AITUC formed under Lala Lajpat Rai's presidentship at New Delhi Imperial Bank of India established by merging 3 Presidency Banks Bank of Bengal, Bank of Bombay and Bank of Madras with their 70 offices/ branches throughout the country.. India falls in line in observing 1st May as May Day Indian Trade Unions Act comes into existence Reserve Bank of India established as Government of Indias Central Bank. Sir Osborne A. Smith, who was earlier one of the two Managing Directors of the Imperial Bank of India, was appointed as its first Governor. Indian Overseas Bank established founder being M. Chidambaram Chettyar. All India Bank Employees Association (AIBEA) founded. This is as claimed by AIBEA itself but there is another version that it was established in September1950 at Jullundur with Soumendranath Tagore, President, All India Imperial Bank of India Indian Staff Federation, elected as the first President and Dayal Das elected as the first General Secretary. In the next conference of AIBEA that followed on 4th March1951 at New Delhi, G.G. Mehta of Bombay and Roshan Lal Malhotra of Imperial Bank of India Indian Staff Association, Jullundur, were elected as President and General Secretary respectively. First ever Strike in Imperial Bank of India by Imperial Bank of India Indian Staff Association continuing for 46 days. It was withdrawn on the 15thSeptember1946. Indian Banks Association (IBA) is formed at Bombay (now Mumbai) with 22 members which figure has since risen to 159 members. INTUC (Indian National Trade Union Congress) formed at New Delhi All India Imperial Bank of India Indian Staff Federation (later named as All India State Bank of India Staff Federation) comes into existence. Industrial Finance Corporation of Indiia (IFCI) is set up. Rashtriya Swayam Sewak Sangh (RSS) forms its own trade union known as Bhartiya Mazdoor Sangh (BMS) State Bank of India is formed by replacing Imperial Bank of India. It becomes the first Bank in India to be nationalized. Pen down strike observed by State Bank of India employees in response to the call given by All India State Bank of India Staff Federation seeking modifications in Sastry Award. This was

1956

1958 1959

1960

Mar

21

1960

Mar

1964 1964 1965 1967

Aug Dec Feb Dec

1 1 1 23

1968

Feb

28

1969 1970 1971

July

19

Oct

01

1972 1972 1975

Jul Jul Jun

1 1 26

followed by strike on 6th and 7th January1956. Mohanlal Majumdar, the then Secretary of the All India State Bank of India Staff Federation was arrested in Calcutta. Staff Welfare Scheme introduced by State Bank of India by allocating an amount of Rs.10 Lakhs as necessary measure to start with. New Delhi Local Head Office, a new Circle, opened by State Bank of India. State Bank of India (Subsidiary Banks) Act is passed enabling State Bank of India to take over 8 former State associated banks as its subsidiaries. National Industrial Tribunal, popularly known as Desai Award, constituted by Government of India. It was headed by Justice K.T. Desai. Published on 30th June 1962, the Award was implemented in two parts (1) with effect from 1/1/1962 and (2) with effect from 30/7/1962. All India indefinite strike in State bank Begins. Major demands included interim relief and payment of additional bonus for 2 months with effect from 1956. It was called off on Federation Secretary Charles Couttos telegram Acceptable solutions arrived. Employees resumed duties on 25/3/1960 Kanpur Local Head Office, a new Circle with 88 branches and 42 sub offices, opened by State Bank of India. Ahmedabad Local Head Office, a new Circle, opened by State Bank of India. Hyderabad Local Head Office, a new Circle with 61 branches and 41 sub offices, opened by State Bank of India. Social Control Bill introduced by the Finance Minister of India, Morarji Desai. The bill, by adding a clause as 36AD in Section 15 of the Banking Regulation Act, aimed at drastically curbing trade union activities of bank employees. Strike by employees in all the banks including State Bank of India in protest of Clause 36AD incorporated through Social Control Bill introduced by the Finance Minister of India, Morarji Desai. The strike was a tremendous success. Nationalisation of Banks -14 major Banks in India nationalized by the Government of India. Centre of Indian Trade Unions (CITU) is formed. State Bank of Indias Banyan Tree emblem changed to Shoonya (Zero) as a result of personal initiative taken in the matter by the Banks Chairman R.K. Talwar. Patna Local Head Office, a new Circle, opened by State Bank of India. Bhopal Local Head Office, a new Circle, opened by State Bank of India. National Emergency promulgated in India by the Prime Minister

1975

Aug

15

1976 1978

Jan Apr 1

1980

July

15

1982 1982

1982

Dec

1983

Oct

25

1985

1986

Nov

20

1993

Oct

29

1995

July

29

2005 2007

June June

2 29

of the country Indira Gandhi. Top leadership of All India State Bank of India Staff Federation met Indira Gandhi, the Indian Prime Minister, in the form of a delegation apprising her of the problems faced by the bank employees during National Emergency in the country. State Bank of India joins IBA (Indian Banks Association) as its full fledged member. First Director of the Central Board of State Bank of India representing workmen appointed with Nirmal Chaudhary as the first incumbent. After his death in December1982, he was replaced by M. R. Awasthi, the then President of AISBISF, who served as such for two terms. Nationalisation of Banks -6 other Banks in India nationalized by the Government of India. With this Government of India owned banking in the country rose to 91%. Bank Employees Federation of India (BEFI) formed. Nirmal Chaudhary, Secretary, AISBISF, falling sick, he hands over his charge to M.R. Awasthi as acting Secretary of the Federation at its headquarters at Kolkata. Nirmal Chaudhary is no more. As decided by the affiliates of the AISBISF, M. R. Awasthi from Lucknow and P. Lakshmi Narasaiah from Hyderabad were authorized to jointly act as Spokesmen of the Federation as an interim measure. General Council Conference of the AISBISF is held at Patna unanimously electing M. R. Awasthi and P. Lakshmi Narasaiah respectively as President and Secretary of the Federation. Employees of Lal Imli (BIC) at Kanpur went on indefinite strike for 18 days demanding fixed working hours. They won the battle after local Court intervened. It was fixed hours of work with one day weekly off and half an hour as lunch recess. National Convention on Financial Institutions held at Vigyan Bhawan, New Delhi. The convention was organized by Mohan Kumar Mangalam, a minister in the then Prime Minister Rajiv Gandhis cabinet. Pension Scheme introduced in other banks (other than banks like State Bank of India) in terms of the settlement signed at the level of the industry. State Bank of India Staff Association (Bengal Association consisting of several states of North India) celebrates its Platinum Jubilee at Kolkata. 8th Bipartite settlement concluded between IBA (Indian Banks Association) and NCBE/ AIBEA/ other unions. Government of India acquires the entire Reserve Bank of India shareholding in State Bank of India consisting of over 314 million equity shares at a total amount of over 355 billion rupees.

2010

Apr

27

2010

May

24

9th Bipartite settlement concluded between IBA (Indian Banks Association) and NCBE/ AIBEA/ other unions providing an over all increase of 17.5% in employees wage structure. Payment of Gratuity Act (amended) made operative raising gratuity limit from 3.5 lakhs to 10 lakhs with effect from date.

There has been a demand by my readers of Evolution of Banking system in India to let them know more on the subject preferably in a chronological order and keeping such a requisition in mind I am adding some more details in the matter. In fact this extract has been taken by me from my book Beyond the barriers (under publication). The table so reproduced is not that exhaustive but briefly covers the salient events occurring in the Banking industry/ State Bank of India, more so in the context of the relative trade union movement. There are certainly more of details worth quoting on the subject but they are avoided at the moment for want of space. I may take them up in the next opportunity that comes my way for the purpose availing necessary chance in the matter.