Bank Strike Deferred as IBA Agrees to Set Up Panel on Five Day Banking Week

UFBU has put off its three day nationwide strike after the IBA promised a committee to discuss five day banking and other pending demands.

Bank strike deferred just hours before it began

The bank strike deferred news came late on Sunday from the United Forum of Bank Unions (UFBU). The forum has put off its planned three day nationwide walkout, which was set to begin on Monday. The Indian Banks’ Association (IBA) agreed to form a top level committee with the forum. This panel will look at the demand for a five day banking week.

Late night talks bring a breakthrough

UFBU held a late night meeting with the IBA on Sunday. Soon after, the forum shared a short announcement about the outcome. “After detailed discussions, understandings have been reached, and hence our agitations and strike actions are deferred. Details follow,” UFBU said in the announcement.

Committee to work on five day banking

UFBU key negotiator C.H. Venkatachalam explained what the two sides agreed. He is also general secretary of the All India Bank Employees Association (AIBEA). “On five-day banking, the IBA has agreed to form a high-level committee comprising representatives of the IBA and the United Forum,” he said. He added, “The committee will work towards finding a solution to our demand for implementation of five-day banking and will discuss the matter with all the stakeholders.”

Incentive scheme and other demands on the table

Venkatachalam also spoke about the performance linked incentive scheme and other issues. “Second, on performance-linked incentive (PLI), there will be discussions on the issue of the discriminatory PLI for officers and modification of the scheme will be discussed with us. Third, the other pending issues will also be discussed with us,” he said. Neither side has formally shared the precise terms and modalities of the understanding yet.

How the strike call unfolded

UFBU is an umbrella body of seven major bank employees’ and officers’ unions. It served a strike notice on 26 August. The forum then announced a phased programme of industrial action. Queries emailed to the finance ministry have not received a reply. This bank strike deferred decision ends the threat of a walkout for now.