Mumbai, Jan 25: Employees of nationalised banks are observing a one-day strike today in protest against the proposed merger between State Bank of India (SBI) and its associate banks and entry of large number of foreign banks.

They are also demanding pension.

The strike has been called by the United Forum of Bank Unions (UFBU), an umbrella organisation of nine unions in public, private and foreign banks.

"The management was firm in its stand on several issues, including the merger of SBI's associates," said All India State Bank Officer's Federation, General Secretary, G D Nadaf.

The employees are also demanding the lifting of the freeze on new recruitment in the banking sector.

The strike is expected to affect at least 50,000 bank branches in the country, including public and private banks.

Nearly 12 lakh employees are expected to strike work. (ANI)