Banking operations at public sector banks across the country are likely to be disrupted on Tuesday as bank unions go ahead with a nationwide strike to press for the immediate implementation of a five-day work week.The strike, called by the United Forum of Bank Unions (UFBU)—an umbrella body of nine unions representing bank officers and employees—comes after a conciliation meeting with the chief labour commissioner on January 23 failed to yield an assurance on their demand.With banks already closed on January 25 (Sunday) and January 26 (Republic Day), the strike on January 27 is expected to disrupt branch-level services for three consecutive days.“Despite detailed discussions during the conciliation proceedings, there was no assurance on our demand. Hence, we have been compelled to proceed with the strike action,” C H Venkatachalam, General Secretary of the All India Bank Employees Association (AIBEA), a UFBU constituent, told PTI.

What services will be affected?

Branch-level services such as cash deposits, withdrawals, cheque clearances and administrative work are expected to be hit at public sector banks, including State Bank of India (SBI), Punjab National Bank (PNB) and Bank of Baroda.However, operations at major private sector lenders such as HDFC Bank, ICICI Bank and Axis Bank are expected to remain largely unaffected, as their employees are not part of the unions participating in the strike.Digital banking services, including UPI and internet banking, will continue to function, though ATM cash availability could face localised issues due to logistical delays.

Why are bank unions striking?

The unions are demanding that all Saturdays be declared holidays, a proposal that they say was agreed upon during the 12th Bipartite Settlement signed with the Indian Banks’ Association (IBA) in March 2024, but is yet to be notified by the government.“It is unfortunate that the government is not responding to our genuine demand. There would be no loss of man-hours as we have agreed to work an extra 40 minutes daily from Monday to Friday,” Rupam Roy, General Secretary of the All India Bank Officers’ Confederation (AIBOC), said.At present, banks remain open on the first, third and fifth Saturdays of every month.

‘Not against customers’: unions

Union leaders said the strike is aimed at improving efficiency and sustainability in the banking system, not inconveniencing customers.“This movement is not against customers, but for a sustainable, humane, and efficient banking system. A rested banker serves the nation better. A balanced workforce strengthens financial stability. 5-Day banking is not a luxury; it is an economic and human necessity,” L Chandrasekhar, General Secretary of the National Confederation of Bank Employees (NCBE), said.

Banks flag possible disruption

Several public sector banks, including SBI, have informed stock exchanges about the possible impact of the strike.“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.