Banking operations to be hit as unions go on strike seeking 5-day work week

Banking services at public sector banks across the country are expected to face disruption on Tuesday, as the United Forum of Bank Unions (UFBU) has decided to push ahead with a nationwide strike on 27 January to demand immediate implementation of a five-day working week.

The UFBU — an umbrella group of nine unions representing bank officers and employees — confirmed the strike after a conciliation meeting on 23 January with the chief labour commissioner failed to produce an agreement.

With banks already scheduled to be shut on 25 January (Sunday) and 26 January (Republic Day), the strike is set to interrupt branch operations for three consecutive days.

“Despite detailed discussions during the conciliation proceedings, there was no assurance on our demand. Hence, we have been compelled to proceed with the strike action,” said C.H. Venkatachalam, general-secretary of the All India Bank Employees Association (AIBEA).

Rupam Roy, general-secretary of the All India Bank Officers’ Confederation (AIBOC), noted that the proposal to declare all Saturdays as holidays had been agreed between the Indian Banks’ Association (IBA) and the UFBU during the March 2024 wage settlement.

“It is unfortunate that the government is not responding to our genuine demand. There would be no loss of man-hours as we have agreed to work an extra 40 minutes daily from Monday to Friday,” he said.

Another UFBU constituent, the National Confederation of Bank Employees (NCBE), stressed that the agitation was aimed at improving the banking ecosystem, not inconveniencing customers. “This movement is not against customers, but for a sustainable, humane, and efficient banking system… five-day banking is not a luxury; it is an economic and human necessity,” said its general-secretary L. Chandrasekhar.

Core branch-level services such as cash deposits, withdrawals, cheque clearances and administrative work are likely to be affected at major public sector banks including State Bank of India (SBI), Punjab National Bank (PNB) and Bank of Baroda.

Private sector lenders such as HDFC Bank, ICICI Bank and Axis Bank are expected to operate normally, as their employees are not part of the unions participating in the strike.

Digital channels including UPI, mobile banking and internet banking will remain functional, though ATM cash availability may be strained in some areas due to logistical delays.

Several public sector banks, including SBI, have notified stock exchanges about the potential impact. “We advise that while the bank has made necessary arrangements to ensure normal functioning in its branches and offices on the day of strike, it is likely that work in the bank may be impacted,” SBI said in a regulatory filing on Friday.

The unions’ central demand — the declaration of all Saturdays as holidays — was reportedly agreed in principle during the 12th Bipartite Settlement signed with the IBA in March 2024, but remains pending government notification. Banks currently operate on the first, third and fifth Saturdays of each month.

With PTI inputs