3-day nationwide bank strike deferred after talks, panel to examine all Saturdays as holidays

Bank unions deferred their three-day nationwide strike after the IBA agreed to form a high-level panel to examine the five-day banking week demand. Bank branches will open as usual today.

In Short

• Bank unions defer 3-day strike after talks with Indian Banks’ Association
• Proposed strike called over demand for 5-day work week
• Banks are currently closed on second and fourth Saturdays

Bank unions have deferred their proposed three-day nationwide strike beginning Monday after talks with the Indian Banks’ Association (IBA) on Sunday night. Bank branches will open as usual today, averting a disruption that would have coincided with the half-yearly closing of accounts.

The United Forum of Bank Unions (UFBU) called off the September 28-30 strike after the IBA agreed to immediately form a high-level committee to examine its demand for a five-day banking week.

The UFBU said its other planned agitation would also be deferred.

WHAT WAS AGREED?

The joint committee will consider declaring the remaining Saturdays bank holidays, examine alternatives and consult stakeholders, including customers. Banks currently close on the second and fourth Saturdays of each month.

The agreement does not introduce a five-day working week. The UFBU’s circular sets no deadline for the committee to reach a decision.

The two sides also agreed to discuss a performance-linked incentive scheme for officers in Scale IV and above. The IBA will propose changes to the government’s scheme to address union objections.

WHY DID THE UNIONS CALLED A STRIKE?

The UFBU had called the three-day strike primarily to press for all Saturdays off, citing long working hours. It says a five-day banking week has been under discussion for more than two years.

Government sources maintain that the change was neither agreed to nor included in earlier wage negotiations.

The unions had gone ahead with the strike call after previous talks failed to resolve the dispute. They had also proposed an indefinite strike from October 26 if their demands remained unmet.

Sunday’s circular defers the planned agitation but gives no new strike date.

WHAT CHANGES FOR CUSTOMERS?

The Finance Ministry had warned that a three-day strike from Monday could disrupt services, particularly because it covered the half-yearly closing date.

Public sector banks and Regional Rural Banks were asked to open on Sunday to give customers an additional day for branch transactions ahead of the planned walkout.

With the strike now deferred, normal branch services are expected to resume on Monday. The five-day week demand and the other issues raised by the unions remain subject to further talks.

- Ends