Arunish Chawla, Secretary, Department of Investment and Public Asset Management
The service conditions of IDBI Bank employees will remain unchanged even after the sale of the lender to Canada’s Fairfax Financial Holdings, a government official said on Friday.
Existing staff as well as retirees are “not afraid” of the Rs 52,878 crore sale of more than 60 percent held in IDBI Bank, Arunish Chawla, secretary of the Department of Investment and Public Asset Management (DIPAM), said.
“According to the share purchase agreement, the existing service conditions of the employees cannot be changed, altered or converted to disadvantage by the strategic buyer,” Chawla told PTI.
The comments from the top bureaucrat came as the lender’s employees protested against the government’s move. IDBI Bank staff have called for a strike at all branches in early November. The United Forum of Bank Unions also gave its support to the strike.
Allaying the concerns of pensioners, Chawla said a special pension fund has been set aside, and “all commitments” will continue to be honoured.
Stating that IDBI Bank is not a nationalized bank, he also clarified that the service requirements of IDBI employees are not determined by the government of India but by the board in consultation with the employees.
“IDBI Bank is being restructured as a concern and even in the future it will be a Board-managed company. It works in the company and labor law today; it will continue to work in the company and labor law tomorrow,” said Chawla.
Published on October 23, 2026