Bank Unions Declare Nationwide Strike

Synopsis

The United Forum of Bank Unions (UFBU) has announced a nationwide strike on September 11, 2026. Demands a five-day workweek for banks, thereby making all Saturdays and Sundays permanent holidays. Moreover, the flashpoint is a severe payout disparity between upper management and lower-level bank staff. The UFBU agitation is not an isolated event.

UFBU Strike Call

The United Forum of Bank Unions (UFBU) has announced a nationwide strike on September 11, 2026, demanding a five-day banking week and a review of the Performance Linked Incentive (PLI) scheme, among other employee-related issues. Followed by a three-day strike on September 28, 29 and 30, alongside an indefinite nationwide strike from October 26, 2026.

The UFBU comprises the All India Bank Employees’ Association (AIBEA), All India Bank Officers’ Confederation (AIBOC), National Confederation of Bank Employees (NCBE), All India Bank Officers’ Association (AIBOA), Bank Employees Federation of India (BEFI), Indian National Bank Employees Federation (INBEF) and Indian National Bank Officers’ Congress (INBOC).

Why are Bank Unions Protesting?

The United Forum of Bank Unions (UFBU) demands a five-day workweek for banks, thereby making all Saturdays and Sundays permanent holidays, instead of the current system where banks are open on the second and fourth Saturdays.

The UFBU has been pushing for a five-day banking week for several years. The Indian Banks' Association (IBA) had already agreed to the five-day-work-a-week proposal under the 12th Bipartite Settlement/9th Joint Note signed on March 8, 2024.

Under the proposal, working hours would increase by 40 minutes from Monday to Friday to compensate for weekly holidays and provide customer service. The UFBU claimed that the proposal has remained pending with the government since 2024.

Revised PLI Draws Criticism

The revised Performance Linked Incentive (PLI) scheme for Public Sector Banks (PSBs). Introduced by the Department of Financial Services (DFS) under the Ministry of Finance, this particular framework has agitated bank unions and employees, resulting in intense pushback that forces the central government to temporarily suspend its implementation for the financial year 2025-26.

The flashpoint is a severe payout disparity between upper management and lower-level bank staff. Historically, PLI was supposed to be uniform up to scale VII and linked to the overall performance of the individual bank, rather than isolated individual metrics.

However, the Centre’s decision on the PLI scheme does not address the unions’ demand for a five-day banking week. The UFBU has said the proposal, which was agreed upon by the IBA and recommended to the government, is still awaiting approval.

The PLI framework has been a key point of contention between the bank unions and the government. The UFBU has opposed the revised scheme, saying it could impose a significant financial burden on banks and a prolonged legal battle in the Delhi High Court, Union Finance Minister Nirmala Sitharaman met with employee delegations. The government subsequently announced it is putting the PLI scheme in abeyance. Instead of a unilateral roll-out, the incentive structure will now be renegotiated under the ongoing 13th Bipartite Settlement and 10th Joint Note discussions.

When Progress Leaves Workers Behind

The UFBU agitation is not an isolated event. Across India, employees in multiple sectors have been increasingly protesting over wages, working conditions, staffing shortages, and delays in policy implementation.

From bank employees demanding a five-day workweek and a fair incentive structure to government doctors, nurses, teachers, and contract workers seeking better payrolls and services. Highlighting that employees across professions are demanding that commitments made on paper translate into tangible action. Many workers are now questioning whether progress can truly be called progress if those driving it feel left behind.