New Delhi: The government has appealed to employees of public sector banks (PSBs) and regional rural banks (RRBs) to refrain from strikes and ensure uninterrupted banking services, as bank unions prepare for a three-day strike from September 28 to 30 and have proposed an indefinite strike from October 26.
The United Forum of Bank Unions and other unions and associations have been demanding five-day banking and withdrawal of the Performance Linked Incentive (PLI) scheme. The government said it has already decided to keep the PLI scheme in abeyance, following discussions with employee representatives.
According to the government, the decision addressed one of the unions’ two principal demands. Several rounds of conciliation were subsequently held to resolve the remaining issue of a five-day workweek through dialogue.
Despite these efforts, a one-day strike was held on September 11, while further industrial action has been announced over the five-day banking demand.
The government highlighted a series of measures taken in recent years for the welfare of bank employees, including revised pay scales and allowances, a 56% increase in the Staff Welfare Fund in August 2024, expansion of executive positions and increased recruitment.
Between FY2014-15 and FY2025-26, PSBs recruited around 4.82 lakh employees, with recruitment doubling over the last three years, the government said. As of July 1, 2026, 95.84% of officer positions and 92% of subordinate/award staff positions were filled.
Other measures cited include streamlined promotions and transfers, special leave provisions for women employees, revision of family pensions, ex-gratia payments for pensioners, enhanced medical insurance for retirees and increased conveyance allowance for employees with disabilities.
The government also said it has begun negotiations for the next Bipartite Settlement ahead of the November 2027 deadline, with the aim of completing the process well in advance.
It pointed out that the proposed three-day strike coincides with the half-yearly closing of banks on September 30, when reconciliation, provisioning and treasury and market operations are carried out.
The government said the strike, coupled with the preceding weekend, could effectively disrupt banking services for five consecutive days and affect customers, businesses, government transactions and international banking operations.
Public sector banks play a key role in financial inclusion, digital banking, financial literacy and rural outreach, the government said, adding that continuity of banking services is important to citizens and businesses.
The government also recalled that the second and fourth Saturdays were declared public holidays for public sector banks in 2015, while the remaining Saturdays continue to provide customers with access to banking services.
Urging employees to resolve outstanding issues through dialogue, the government said it remains committed to addressing genuine concerns of the banking workforce and appealed to unions and employees to avoid disruption and ensure uninterrupted services.
