New Delhi: The proposed three-day nationwide bank strike scheduled from September 28 to 30 has been deferred following discussions between the Indian Banks’ Association (IBA) and the United Forum of Bank Unions (UFBU).
The development came after a meeting between representatives of the IBA and UFBU held at 9:30 pm on September 27. The UFBU subsequently announced the decision through a circular, stating that both sides had agreed to pursue discussions on key issues raised by the banking unions.
High-Level Committee to Examine Five-Day Banking Week Demand
One of the key issues discussed during the meeting was the long-standing demand to declare all Saturdays as bank holidays, effectively providing employees with a five-day banking week.
According to the UFBU circular, a high-level committee comprising representatives of the IBA and UFBU will be constituted immediately. The committee will examine the demand and explore alternative arrangements that could lead to a solution acceptable to the stakeholders as well as banking customers.
The move is intended to provide a structured platform for further discussions rather than proceeding with the proposed industrial action.
Discussions on Performance Linked Incentive Scheme
The meeting also addressed concerns surrounding the Performance Linked Incentive (PLI) scheme for Scale IV and above officers.
The two sides agreed that discussions on the issue could begin, with the IBA proposing suitable modifications to the government in response to concerns raised by banking unions and associations.
The PLI scheme had been among the issues highlighted by bank employee organisations while announcing the proposed strike.
Pending Issues to Be Taken Up
The UFBU also stated that the residual issues referred to in the minutes of the meeting held on March 8, 2024, would be taken up for further discussion.
The objective will be to resolve these outstanding matters at the earliest through continued negotiations between the concerned parties.
Following the agreements reached during the September 27 meeting, the UFBU decided to defer the proposed agitation and strike programmes.
Three-Day Strike Had Been Announced Earlier
The proposed strike was announced by the UFBU on Friday, with banking unions planning a nationwide industrial action from September 28 to September 30.
The proposed action was linked primarily to demands concerning working conditions, the five-day banking week and issues surrounding the implementation of the Performance Linked Incentive scheme.
The deferral means that the planned three-day strike will not proceed on the previously announced dates, subject to the outcome of the discussions agreed upon by the IBA and UFBU.
Bank Unions Had Cited Pending Commitments
Speaking at a press conference in Shimla, UFBU Himachal Pradesh Convenor and President of the Bankers United Forum of Himachal Pradesh Narendra Sharma had explained the reasons behind the proposed industrial action.
He said the unions’ primary demand was implementation of a five-day banking week, with Saturdays and Sundays treated as weekly holidays.
Sharma also raised concerns over the new Performance Linked Incentive scheme for officers and said that commitments contained in an earlier agreement with the government had remained pending for more than two-and-a-half years.
Unions Say Customer Service Remains a Concern
Sharma also said that bank employees and officers did not intend to cause inconvenience to customers through industrial action.
According to him, banking unions recognised the importance of uninterrupted banking services and the difficulties that customers could face during a strike. However, he maintained that prolonged delays in addressing the unions’ demands had led them to announce the proposed agitation.
With the strike now deferred, the focus will shift to the discussions between the IBA and UFBU and the proposed high-level committee’s work on the five-day banking week demand and other outstanding issues.
What Happens Next?
The immediate next step will be the formation of the proposed IBA-UFBU high-level committee and the beginning of discussions on the remaining issues.
The outcome of these negotiations will determine how the unresolved demands, including the Saturday holiday proposal and concerns over the PLI scheme, are addressed.
For bank customers, the deferral means that the proposed nationwide shutdown from September 28 to 30 will not take place as originally announced.
