The proposed three-day nationwide bank strike from September 28 to 30 has been deferred after the Indian Banks’ Association (IBA) and the United Forum of Bank Unions (UFBU) reached an understanding during a meeting on Sunday night.The decision was announced by the UFBU in a circular issued on September 27 after a meeting with the IBA at 9.30 pm.
What was agreed between IBA and UFBU?
According to the UFBU circular, a high-level committee comprising representatives of the IBA and UFBU will be formed immediately to discuss the demand for declaring the remaining Saturdays as holidays.The committee will explore possible alternatives, consult all stakeholders and work towards a solution acceptable to all stakeholders, including customers.The UFBU had been seeking a five-day banking week, one of the key issues behind the proposed strike. The demand has remained under consideration, with the finance ministry earlier saying it had made no commitment to implement it.On the Performance Linked Incentive (PLI) scheme for Scale IV and above officers, the two sides agreed that discussions could begin with the IBA proposing modifications to the government to address observations raised by unions and associations.The parties will also discuss the residual issues listed in the minutes dated March 8, 2024, with the aim of resolving them expeditiously.“In view of the above, it was agreed by the UFBU that the proposed agitational programmes and strike actions will be deferred,” the union forum said in its circular.
Why was the strike planned?
The UFBU had announced a nationwide strike from September 28 to 30 over several demands, with five-day banking among its key demands.The unions have also sought improvements in pension benefits, a uniform dearness allowance formula for all pensioners and an option for employees covered under the National Pension System (NPS) to shift to the old pension scheme (OPS).The unions had previously held a nationwide strike on September 11. A conciliation meeting earlier in the week had ended without a resolution, with the UFBU saying it would proceed with the September 28-30 strike in the absence of concrete progress on five-day banking.
Banks had opened on Sunday
The proposed strike was preceded by weekend holidays on September 26 and 27. To prevent an extended disruption in banking services, the government had directed public sector banks and regional rural banks to function normally on Sunday.The Reserve Bank of India had also approved the opening of bank branches, offices, ATM-linked branches and currency chests on Sunday. Bank of India had separately approved similar operations.The timing of the proposed strike was also significant because September 30 is the half-yearly closing of banks, involving operations such as reconciliation, provisioning, treasury and market activities.With the UFBU now deferring the strike and other agitation programmes, the immediate disruption planned for September 28-30 will not take place, according to the union body’s circular.
