Countrywide bank strike on September 11 may disrupt branch-based banking services across India, particularly at public sector banks, as the United Forum of Bank Unions (UFBU) stages a strike over several pending demands. The action is focused on issues including the implementation of a five-day banking week, differences over the performance-linked incentive (PLI) scheme and pension-related concerns.

Key Highlights

• Countrywide bank strike on September 11 may disrupt branch operations, particularly across public sector banks in India.​
• SBI and PNB advised customers to use digital banking, ATMs and other alternative services during disruptions.

The bank strike falls on Friday and could lead to extended disruption for customers in some states because it is followed by the second Saturday, Sunday and a regional holiday on September 14. However, the impact may vary between banks and locations.

Why Are Bank Employees on Strike?

Bank unions are protesting the delay in implementing a five-day banking week, along with other unresolved issues concerning employees and the banking sector.

According to the UFBU, the Indian Banks’ Association had agreed to the five-day banking proposal under the 12th Bipartite Settlement and 9th Joint Note signed on March 8, 2024. Under the proposal, working hours would increase by 40 minutes from Monday to Friday. However, the proposal remains pending with the government.

The unions are also raising concerns over the performance-linked incentive structure for senior bank managers. They have called for a more equitable bonus structure and are seeking higher pension benefits and allowances for retirees.

Will Banks Remain Closed for Four Days?

Customers in some states could face four consecutive days of branch closures because of the strike and scheduled holidays.

Therefore, customers requiring branch-based services should check their local bank's schedule before visiting. The four-day disruption will not necessarily apply uniformly across all states.

SBI and PNB Issue Customer Advisories

State-owned lenders State Bank of India (SBI) and Punjab National Bank (PNB) have alerted customers about the potential impact of the strike.

PNB has advised customers to rely on digital channels for essential banking services, including UPI, mobile banking, internet banking and ATMs/automated cash machines.

SBI has similarly encouraged customers to use ATMs and automatic cash machines for cash requirements. The bank has also recommended internet banking, the YONO app, mobile banking, UPI and local customer service points for assistance.

Will UPI and Digital Banking Work During the Strike?

Digital banking services are expected to remain the primary alternative for customers during branch disruptions. Customers can use internet banking, mobile banking, UPI and ATM facilities for services available through these channels.

However, customers requiring cash deposits, cheque-related services or other branch-dependent transactions may experience delays during the strike.

Also Read: Banking Operations Disrupted as Unions Strike for Five-Day Work Week

More Bank Strikes Could Follow

The September 11 action may not be the only industrial action planned by the bank unions. The UFBU has threatened a three-day nationwide strike from September 28, coinciding with the half-yearly closure. The unions have also decided to launch an indefinite strike from October 26 if their demands remain unresolved.

For customers, the immediate priority is to complete urgent branch-dependent transactions in advance and use digital banking channels wherever possible during the September 11 nationwide bank strike.