Banks to remain closed for 5 days from September 26 as unions call strike

Mumbai: Banking operations are likely to be disrupted for five days from September 26 to 30 as bank unions have called a three-day nationwide strike from September 28 to 30, following the weekend.

The strike has been announced by the United Forum of Bank Unions (UFBU), which represents seven unions and claims to have nearly 90% of bank employees and officers as members.

The unions are pressing for the immediate introduction of a five-day working week, a demand that has remained pending since the wage settlement reached in 2024. They are also seeking changes to the performance-linked incentive (PLI) scheme, alleging that its revision was carried out unilaterally and discriminates against some employees.

Among their other demands are improved pension benefits, a common dearness allowance formula for retirees, restoration of the Old Pension Scheme in place of the National Pension System, and settlement of pending service and wage-related matters.

The government on Monday urged bank employees to call off the strike, saying several of the concerns raised by the unions had already been addressed through negotiations and employee welfare measures.

It also pointed out that the proposed strike falls during the half-yearly closing of accounts, which could have an impact on banking operations.

According to the government, public sector banks recruited around 4.83 lakh employees between financial years 2014-15 and 2025-26. It also said the Staff Welfare Fund was increased by 56% in August 2024.

The government cited several other measures, including enhanced pensions, improved medical insurance, changes to promotion and transfer policies and special leave provisions.

On the PLI issue, it said the scheme had been kept in abeyance after discussions with the unions. However, differences between the two sides have not been resolved.

The unions had earlier observed a one-day strike on September 11. They have now announced the three-day strike from September 28, followed by an indefinite strike from October 26 if their demands remain unresolved.

Ahead of the proposed strike, the State Bank of India has advised customers to complete branch-related transactions before September 28.

SBI said it was taking steps to minimise disruption and ensure that essential banking services continue during the strike period.