Banking services could be affected across India from September 28 to 30, as the United Forum of Bank Unions (UFBU) has called a three-day nationwide strike and the proposed strike is mainly over the demand for a five-day banking week and issues related to the Performance Linked Incentive (PLI) scheme.
For customers, the biggest impact is expected at physical bank branches, as digital services such as UPI, internet banking, mobile banking and ATMs are expected to remain available, although customers may face delays in services that require branch staff.
The UFBU, an umbrella body of seven bank employee and officer unions, has called the strike over several demands, with the main demand is implementation of a five-day banking week, which would make all Saturdays holidays for bank employees.
Currently, bank branches are generally open on the first, third and fifth Saturdays, while the second and fourth Saturdays are holidays and the unions have also raised concerns about work pressure, pension-related matters and performance-linked incentives.
The Finance Ministry said on Monday that the PLI scheme had already been kept in abeyance earlier this month following discussions with unions and the government said the remaining demand for a five-day workweek is still being examined and urged employees to resolve their demands through dialogue instead of striking.
The timing of the proposed strike is important for customers.
The strike is scheduled for Monday, September 28, Tuesday, September 29 and Wednesday, September 30. September 30 is also the half-yearly closing of banks, when banks undertake activities such as reconciliation, provisioning, treasury work and market-related operations and the strike comes immediately after the weekend, so as a result, customers could effectively have limited access to branch-based banking services for several consecutive days.
The Finance Ministry has warned that such disruption could affect customers, businesses, government transactions and international banking operations.
This is not the first strike announced by the UFBU this month.
On September 11, bank employees across the country joined a one-day nationwide strike. Several public sector bank branches were closed or operated with limited staff.
In Jalandhar, bank employees also held a protest, raising demands including a five-day banking week, pension-related issues, performance-linked incentives and concerns over increasing workload. At branches, services such as cash deposits and withdrawals, cheque-related work and routine administrative operations were among those affected, however, customers could continue using ATMs, UPI, mobile banking, internet banking and other digital channels.
The proposed strike primarily concerns employees of public sector banks.
During the September 11 strike, employees of banks including State Bank of India, Union Bank of India, Indian Bank, UCO Bank, Punjab National Bank and IDBI Bank, among others, participated and the exact level of disruption during September 28-30 will depend on participation and arrangements made by individual banks.
Banks have already started advising customers to complete important branch-related work in advance.
State Bank of India has said it is taking steps to continue essential banking services and has advised customers to use ATMs, customer service centres, internet banking, mobile banking, UPI and other digital channels. Union Bank of India has also said it is working to maintain essential services while cautioning that branch operations could be affected.
Customers who need to visit a branch for cash transactions, cheque work, documentation or other staff-dependent services may face disruption during the strike and those with important branch-related work can consider completing it before September 28.
For routine transactions, customers can continue using UPI, ATMs, mobile banking and internet banking, subject to normal service availability.
The five-day banking week remains unresolved.
The unions have also proposed an indefinite strike from October 26 over the remaining demand if the issue is not resolved and the Finance Ministry, meanwhile, has said discussions with the unions should continue and stressed the need to keep banking services uninterrupted.
The government has also cited measures for bank employees, including salary and allowance increases, revised pay scales, a higher Staff Welfare Fund, changes in transfer and promotion processes, special leave provisions for women employees, revised family pensions and enhanced medical insurance for retirees, and according to the government, public sector banks recruited around 4.82 lakh employees between FY2014-15 and FY2025-26, with recruitment increasing over the last three years.