Due to political instability from 1967 to 1971, the Govt. of India continued to survive on the dependence of a particular political party, which controlled the majority Union in Banks. The said majority union misused the situation and became the sole bargaining agent during 2nd Bi-Partite negotiations in 1969-70. Being encouraged by this status, they decided to routes out the workers and leaders, who did not believe in their ideology and who were treated by them as danger to the political dominance of their party in the trade union movement of bank employees. The dictatorial attitude of the leaders of the said majority union provoked revolts throughout the country in one form or the other, ultimately leading to emergence of an alternative national organization, which is now prominently known as NCBE.

All India PNB Staff Federation came into existence in 1972 and has passed through the period of ups and downs. By the year 1976-77, the Federation developed its affiliates in Bengal, Bihar, U.P., Haryana, Punjab, H.P., Jammu & Kashmir, Delhi and Tamil Nadu and the 2nd National Conference of the Federation was held in 1976 at Delhi. The 3rd National Conference was held at Patna in 1983. The 4th & 5th National Conferences were also held at Delhi in 1992 & 2002 respectively. The 6th National Conference was held at Ranchi in 2006. Due to developments in political scenario and emergence of several other organizations of bank employees, we could not retain our Punjab, Haryana, H.P., J&K and Tamil Nadu affiliates. We have, however developed our affiliates in Rajasthan, M.P., Karnataka, Andhra Pradesh and Maharashtra. On formation of New States of Uttranchal & Jharkhand, two more affiliates of ours came in existence. Now we once again developed our affiliate in Tamil Nadu in 2007.