Source: The Sangai Express
Imphal, February 21, 2010:
The employees of United Bank of India (UBI) will go on a one-day all India strike on February 23 against the bank's decision to float Initial Public Offer (IPO) of the private shares in the market.
According to a press release of UBI Employees Association, Manipur State, the management's decision to dilute the Government share holding is based on the vested interest of the top management brass to win accolades from the Central Government.
It further said that the fundamentals of the bank are not strong enough to sustain the load of expected dividends.
In most of the parameters other than the CRR, the bank is below the benchmark level and the bank has to strengthen them before coming out to the market, it opined.
The association said that the latest decision would not be beneficial to the bank but would only add another feather to the caps of top brass leaving more burden to the employees.
Saying that the stock market is extremely fluctuating now, the association said that it is not the right time to go for IPO at all.