Public sector banks across the country may witness disruptions on January 27 following a nationwide strike call by bank employee unions demanding the implementation of a five-day workweek.
If the strike goes ahead, banking services are likely to be affected on Tuesday, January 27. The call for the strike has been given by the United Forum of Bank Unions (UFBU), an umbrella body representing nine major bank unions, after talks with the authorities failed to reach a resolution.
Why are bank unions going on strike?
The demand arises from a wage revision agreement signed in March 2024 between the Indian Banks’ Association (IBA) and the UFBU, which included a provision to make all Saturdays holidays. However, the decision has not yet been implemented, prompting unions to intensify their protest.
Following the strike notice, the Chief Labour Commissioner held conciliation meetings on Wednesday and Thursday to resolve the issue. However, unions said the discussions failed to produce any positive outcome.
“Despite detailed discussions, there was no positive outcome from the conciliation proceedings,” the UFBU said, adding that it has decided to go ahead with the strike on January 27, as reported by news agency PTI. Earlier this month, the union had also said it was unfortunate that the government was not responding to its genuine demand.
Which banks may be affected?
The strike is expected to impact major public sector banks, including the State Bank of India, Punjab National Bank, Bank of India, Bank of Baroda and other government-owned lenders. Several banks have already alerted customers about possible service disruptions if the strike takes place.
At present, bank employees get the second and fourth Saturdays off, in addition to Sundays. The UFBU has argued that a five-day workweek would not affect productivity, as employees have agreed to work an additional 40 minutes per day from Monday to Friday.
The unions have also noted that organisations such as the Reserve Bank of India, LIC, stock exchanges and government offices already follow a five-day workweek, questioning why banks continue with a longer schedule.
Private sector banks, including HDFC Bank, ICICI Bank and Kotak Mahindra Bank, are not expected to be affected by the strike.