Public sector banking operations likely to be disrupted on Tuesday amid strike
Public sector bank services may be disrupted Tuesday as employee unions launched a nationwide strike demanding a five-day work week. SBI, PNB and Bank of Baroda could be affected, while private banks and digital services are expected to function normally
New Delhi: Public sector banking operations are likely to be disrupted on Tuesday as bank employee unions called for a nationwide strike, demanding a five-day work week. Private banks, however, will not be affected by the day-long strike.
Several public sector banks have already informed stock exchanges about the possible impact of the strike. The United Forum of Bank Unions (UFBU) went ahead with its nationwide strike. The UFBU is a joint platform of nine unions representing officers and employees of public sector banks.
The decision was taken after a conciliation meeting with the Chief Labour Commissioner on January 23 failed to resolve the issue. Meanwhile, services such as cash deposits and withdrawals, cheque clearances and other routine administrative work are likely to be affected at public sector banks, including the State Bank of India (SBI), the Punjab National Bank (PNB), and the Bank of Baroda.
However, private sector banks such as the HDFC Bank, the ICICI Bank, and the Axis Bank are expected to function normally, since their employees are not part of the unions participating in the strike.
Digital banking services like UPI payments and internet banking are expected to continue without major issues. Still, there could be some local disruptions in ATM cash availability due to operational challenges. In a regulatory filing, the SBI said that while arrangements have been made to maintain normal operations, banking work may still be affected because of employee participation in the strike.
“In this connection, 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,” an official statement from SBI said.
The main demand of the unions is the declaration of all Saturdays as holidays. This proposal was included in the 12th Bipartite Settlement signed with the Indian Banks’ Association in March 2024, but it has yet to receive formal notification from the government.
