Banking services impacted as unions go on nationwide strike for 5-day week

New Delhi: Banking operations at public sector banks across the country were impacted on Tuesday as the United Forum of Bank Unions (UFBU) went on nationwide strike demanding the immediate implementation of a five-day work week.

The strike call by the UFBU, an umbrella body of nine unions representing officers and employees, comes after a conciliation meeting with the Chief Labour Commissioner on January 23 failed to yield a positive outcome.

"Since there was no positive outcome and the government did not agree to our demand, hence this strike is forced on us. Bank employees and officers are highly aggrieved that they alone are being discriminated against," All India Bank Employees Association (AIBEA), a constituent of UFBU, general secretary C H Venkatachalam told PTI.

Most branches of public sector banks across the country were either completely closed or partially closed as both employees and officers were observing Tuesday's strike.

Services such as cash deposits, withdrawals, cheque clearances, and administrative work are hit at branches of all public sector banks (PSBs) and some old generation private sector banks.

However, operations at major private sector lenders like HDFC Bank, ICICI Bank, and Axis Bank are expected to remain largely unaffected as their employees are not part of the striking unions.

Digital banking services, including UPI and internet banking, will continue to function, though ATM cash availability could face localised issues due to logistical delays.

Several public sector lenders, including the banking giant SBI have informed 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 by the strike," SBI said in a regulatory filing on Friday.

The unions are demanding the declaration of all Saturdays as holidays, a key point that was reportedly agreed upon during the 12th Bipartite Settlement signed with the Indian Banks' Association (IBA) in March 2024 but is awaiting government notification.

Currently, banks remain open on the first, third, and fifth Saturdays of the month.