Bank unions have called off a planned three-day nationwide strike after reaching an agreement with the Indian Banks’ Association (IBA). The decision followed a meeting between representatives of the unions and banking management on September 28, 2026.
The United Forum of Bank Unions (UBFU) confirmed that an agreement had been reached after discussions on several long-standing demands raised by bank employees.
One of the key demands was the introduction of a five-day working week in the banking sector. Bank employees currently follow a six-day working pattern in some cases, and unions have been seeking a reduction in working days for several years.
Following the latest discussions, the IBA and UBFU will form a high-level committee to examine how a five-day workweek could be introduced. The committee will study the practical aspects of the proposal, including its possible impact on banking services and customers.
The meeting was conducted online at around 9:30 p.m. and included seven representatives from the unions and six representatives from the banking side. The discussions continued for about an hour before the two sides reached an understanding.
The unions also agreed to hold further discussions with the IBA regarding possible changes to the Performance Linked Incentive (PLI) Scheme for officers in Scale IV and above.
Other matters mentioned in the minutes of earlier meetings will also be taken up for discussion between the two sides. The latest agreement is expected to provide a framework for continuing negotiations without disrupting banking operations.
The proposed strike had raised concerns about possible disruptions to banking services across the country. Calling it off means customers are not expected to face the disruption that could have resulted from a three-day nationwide shutdown.
Devidas Tuljapurkar, head of the All India Bank of Maharashtra Employees’ Federation, welcomed the development. He said the long-standing demand for a five-day working week had received serious consideration during the discussions.
Tuljapurkar also said the formation of the committee was a positive step towards finding a solution while ensuring that customers and banking services are not adversely affected.
The latest agreement does not immediately introduce a five-day workweek. Instead, the committee will examine the proposal and discuss possible ways to implement it. Further decisions are expected after the discussions between the IBA and the bank unions progress.