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Utkal Grameen Bank issues Show Cause Notice to Officers Association GS


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The Utkal Grameen Bank has served a stern show cause notice to the General Secretary of its Officers Association, citing “unauthorized collective action” and “breach of institutional protocols.” The notice, comes in response to the association’s recent correspondence threatening industrial action and alleging mismanagement by the bank.

Key Allegations and Bank’s Response

The association raised allegations regarding unfair treatment and leave cancellation of General Secretary. The bank refuted claims of unfair treatment, particularly regarding the cancellation of special leave for the General Secretary. It clarified that the leave application was initially incomplete and was later approved after resubmission with proper documentation.

The notice highlighted several concerns:

  1. Procedural Impropriety: The bank accused the Officers Association of improperly collaborating with the Employees Association on personal leave matters, violating governance norms.
  2. Misrepresentation of Facts: The bank dismissed claims of unaddressed demands, stating that 90% of legitimate issues from the January 2025 charter had been resolved, including enhanced House Rent Allowance (150%) and National Pension Scheme contributions (14%).
  3. Undermining Institutional Dialogue: The bank criticized the association for issuing “inflammatory industrial action threats” despite assurances of further reviews post-financial year.

Previous Non-Compliance Cited

The notice referenced an earlier show cause, alleging the association’s “unsatisfactory” response—marked by “blanket denials without substantive reasoning.” The current directive demands a detailed explanation within seven days, addressing:

  • Justification for joint representations with the Employees Association.
  • Reasons behind threats of industrial action.
  • Clarification on compromising the Officers Association’s independence.

Failure to comply may trigger:

  • Disciplinary proceedings against association leaders.
  • Review or potential derecognition of the association.
  • Legal action to “safeguard the bank’s institutional integrity.”

Bank’s Stance on Officer-Employee Demarcation

The notice emphasized a “fundamental organizational distinction,” stating that officers, unlike workmen, are part of management and bound by separate conduct rules. The bank accused the association of blurring this line, risking professional decorum.

The bank claimed that during a March 14, 2025, bilateral meeting, the Officers Association remained largely silent, as most prior demands had already been met. It criticized the association for later submitting an “aggressive action programme,” contradicting “good-faith negotiation.