Finance Ministry calls meeting with banks ahead of 3-day nationwide strike

New Delhi: The Finance Ministry has convened a meeting of chief executives of public sector banks (PSBs), regional rural banks (RRBs), the Indian Banks’ Association (IBA) and NABARD on Monday to review preparedness and contingency plans ahead of a proposed three-day nationwide bank strike beginning September 28. The meeting, which will be chaired by the Secretary of the Department of Financial Services (DFS), is expected to focus on measures to ensure continuity of banking operations and the availability of essential customer services during the strike period. Officials are likely to discuss contingency arrangements to minimise disruptions, particularly as the proposed industrial action coincides with the half-yearly closing period for banks. The strike has been called by the United Forum of Bank Unions (UFBU), an umbrella body representing seven bank employee and officer unions. The unions have raised several demands, with the implementation of a five-day banking week emerging as a key issue. UFBU had earlier organised a nationwide strike on September 11 over the same demand. The previous strike affected over-the-counter banking services, cash transactions and cheque clearances in several parts of the country. While banking operations remained largely normal in Mumbai, disruptions were reported in states including Madhya Pradesh, Goa, Telangana, Uttar Pradesh and West Bengal, particularly in smaller cities and towns. Apart from a five-day work week, the unions are seeking improvements in pension benefits, implementation of a uniform dearness allowance formula for pensioners and an option for employees covered under the National Pension System (NPS) to switch to the old pension scheme. UFBU has claimed that it represents nearly 90 per cent of the country's banking workforce. The proposed strike could have a wider impact on customers because September 26 and 27 fall on a weekend. As a result, normal branch operations could remain affected for up to five consecutive days, from September 26 to 30, increasing concerns about cheque processing, cash transactions and other branch-dependent services. The unions had served a strike notice on August 26, following which conciliation meetings were held involving union representatives, the IBA and government officials. However, discussions failed to produce a breakthrough on the demand for a five-day banking week.