AIBOC Presses for 5-Day Banking, Staff Recruitment Amid Nationwide Strike Call

The All India Bank Officers’ Confederation (AIBOC), in coordination with the United Forum of Bank Unions (UFBU), has reiterated its call for a nationwide 48-hour bank strike from midnight of March 23 to midnight of March 25, 2025. Representing over 8 lakh banking employees across public, private, foreign, cooperative, and regional rural banks(RRBs), the UFBU has raised multiple demands, with the implementation of a five-day workweek and urgent staff recruitment being the most crucial.

Image: All India Bank Officers’ Confederation (AIBOC) statement on 2-days nationwide strike

Primary Concerns of Bank Unions

The UFBU, which represents over 8 lakh bank employees, has outlined several pressing demands:

5-Day Banking: Long-Pending Demand

Banking unions have consistently pushed for a five-day workweek, similar to RBI, insurance companies, and other financial institutions. While banks had previously agreed to the demand and recommended it to the government, the final approval remains pending.

"A five-day workweek is essential to ensure better work-life balance and productivity. The banking industry should not be left behind when financial institutions and government offices already follow this structure," AIBOC stated.

Staff Shortages Impacting Banking Operation

AIBOC has categorically highlighted the severe staff crunch plaguing public sector banks (PSBs). Over the past decade, PSBs have lost approximately 1.4 lakh employees, with clerical and subordinate staff witnessing the highest decline. The unions argue that insufficient recruitment has led to excessive workloads, affecting customer service and the implementation of government schemes.

Image: Staff details of Public Sector Banks and Private Sector Banks

"Banks are public utility organisations serving millions daily. Without adequate staffing, both employees and customers suffer. It is imperative that the government approves fresh recruitments to bridge this growing gap," the statement noted.

Other Key Demands

Apart from these primary concerns, the unions have also put forward the following demands:

Withdrawal of Performance Review and PLI Policy: The recent directives by the Department of Financial Services (DFS) on monthly performance reviews and the Performance Linked Incentive (PLI) scheme have drawn criticism from unions. They argue that these policies threaten job security, create discrimination among employees, and undermine the autonomy of PSBs.

Protection of Bank Staff: Growing instances of assaults and abuse by customers have raised concerns about employee safety. The unions are demanding strict measures to protect banking staff from unruly behaviour.

Filling Vacant Posts of Workmen/Officer Directors: The UFBU has urged the government to fill long-vacant positions of workmen and officer directors in public sector banks, which have been left unoccupied for nearly a decade.

Higher Gratuity Ceiling and Tax Benefits: The unions seek an increase in the gratuity limit to ₹25 lakh, in line with government employees, along with income tax exemptions on gratuity and staff welfare benefits.

Opposition to IDBI Bank Privatization: The unions are demanding that the government retain at least 51% equity capital in IDBI Bank ensuring continued public sector control. Also stop the micromanagement of PSBs by the Department of Financial Services (DFS) in policy matters affecting employee service conditions.

Opposition to Outsourcing and Unfair Labour Practices: The unions are against outsourcing permanent jobs and the growing trend of contractual employment in the banking sector.

Union’s Stand and Public Appeal

With no resolution in sight, AIBOC has justified the strike action, stating, “Since the management or the Government are not coming forward to settle these issues, the agitation and strike has been forced on us.” The unions have appealed for public support, acknowledging the inconvenience the strike may cause but emphasising the necessity of their demands.