Despite repeated appeals from the Department of Financial Services (DFS), the Indian Banks Association (IBA), and bank management, bank unions are adamant on their proposed three-day nationwide strike from September 28 to 30, 2026. The unions have stated that there has been no positive progress from the government and management on their demand for a five-day working week for bank employees, and hence they have no option but to go on strike.

“We appeal to all our unions and members to come forward and implement the call for a three-day strike on September 28, 29 and 30,” the United Forum of Bank Unions (UFBU) said in a statement on Tuesday.

When will the bank strike begin?
The bank strike is scheduled from September 28 to 30, 2026, meaning it will continue from next Monday to Wednesday. However, banks will be closed for five consecutive days due to the Saturday and Sunday preceding the strike. September 26 will be a holiday as it is the fourth Saturday, and September 27 will be a Sunday.

What are the employees' demands?
The two main reasons for the UFBU strike are the long-standing tensions between bank employees and management.

Implementation of a 5-day working week: This is a long-standing demand of bank employees. The Indian Banks' Association (IBA) implemented a 5-day working week in March 2024 as per the 12th Bilateral Wage Revision Agreement. The Indian Banks' Association (IBA) and bank unions also agreed to declare all Saturdays as official holidays. Following IBA's approval, the file was sent to the Finance Ministry's Department of Financial Services (DFS) for final approval. However, the government has not notified this for the past two years, causing resentment among the unions.

Withdrawal of the Performance-Based Incentive (PLI) Scheme: Bank unions are also strongly opposing the recently introduced incentive system. They argue that the current PLI scheme's rules and evaluation criteria are not practical. They also argue that the current rules are discriminatory and, instead of providing equal benefits to bank employees, are creating unnecessary competition and work stress among them.

What are the big banks saying?

Services that require a visit to a branch or assistance from staff are likely to be most affected by the strike. State Bank of India (SBI) and Canara Bank have already issued advisories to customers, warning that branch operations may be affected during the proposed strike. Therefore, customers who need to visit a branch for any banking-related work are advised to complete their work before September 28th.

Punjab National Bank has appealed to its employees, stating that the government and the bank are committed to the well-being of their employees. The bank urged employees not to participate in the strike and to contribute to the institution's continued progress.

In its appeal, Bank of Baroda said, "Millions of families, pensioners, entrepreneurs, and businesses depend on us every day. Let us work together to ensure that every customer continues to receive uninterrupted banking services."

Will there be any problem in withdrawing cash?

The strike does not mean that customers will be unable to withdraw cash. SBI has informed customers that they can use ATMs and ADWMs to withdraw cash during the strike. Canara Bank has also mentioned ATMs/BNAs as an alternative option available to customers.

Will UPI service be affected?

No, UPI services will not be affected during the strike. SBI has advised customers to use internet banking, YONO, mobile banking, and UPI. Canara Bank has also advised customers to use its UPI app along with mobile and internet banking. This means customers will have the option to make digital payments or use online banking.

What is the government's position?
The Finance Ministry's Department of Financial Services (DFS) held a key review meeting with the heads of public sector banks (PSBs) on Monday regarding the issue. During the meeting, the ministry advised banks to remain alert for the strike and be fully prepared to mitigate any disruptions.

The Finance Ministry stated, "Strikes disrupt banking services, inconvenience the public, impact bank operations, and ultimately harm the interests of bank employees. Strikes do not yield any concrete results. The government is committed to the welfare of bank employees and resolving their genuine issues through dialogue."

According to the ministry, most of the unions' issues have already been largely resolved, and the remaining demands are still under consideration. The ministry has appealed to bank employees to refrain from strikes, resolve issues through dialogue, and ensure that banking services continue uninterrupted.

PC: Navarastra