I have also argued that though some productivity and efficiency gains have happened in Indian banks, they have happened at the cost of compromising on the allocational efficiency. The society at large has not benefited from the operational efficiency gains that the banking sector has seen and there is no perceptible cost reduction for the customers in general.
I would say the only saving grace for us is that we are virtually at the lowest ebb and our performance can only improve from here on. As banking community, we need to change and very quickly at that, to remain relevant to the society. 25. It is in this context that the ability of the unions to influence employee behavior becomes very important.