Frustration of Bank Employees Erupt Amid Postponing of the Nationwide Strike

New Delhi, 21 March 2025: The United Forum of Bank Unions (UFBU) has postponed the nationwide bank strike scheduled for 24 and 25 March 2025 following positive developments in the conciliation meeting convened by the Chief Labour Commissioner (CLC). Discussions involving representatives from the Department of Financial Services (DFS), the Indian Banks’ Association (IBA), and UFBU resulted in assurances regarding key demands, prompting union leaders to defer the strike for a month or two.

Conciliation Talks and Key Discussions

The adjourned conciliation meeting was held on 21 March 2025, during which serious discussions took place on UFBU’s demands, including five-day banking, recruitment in public sector banks, and performance-linked incentives (PLI). The DFS Joint Secretary, who attended via video conference, conveyed that the Finance Minister and the DFS Secretary had engaged in discussions on the issue of five-day banking, indicating a positive outlook.

(Copy of page 1 of the minutes of the meeting signed by the attendees.) 

As per the minutes of the conciliation meeting, IBA assured that discussions on other issues, such as recruitment and PLI, would continue. The CLC took cognisance of the concerns raised by the union and assured direct monitoring of the implementation of five-day banking.

Key Outcomes from the Meeting

During the deliberations, several important issues were addressed. The matter of five-day banking remains under discussion at the government level, with the CLC assuring periodic review to expedite a resolution. Regarding recruitment in public sector banks, the IBA agreed to engage with member banks to ensure periodic hiring and manpower planning to address staff shortages. The IBA also committed to re-examining the performance-linked incentive scheme in consultation with the DFS.

(Some of the responses to the news on platform X reflect the frustration among ordinary bankers.)

Concerns regarding the safety of bank employees were acknowledged by the IBA, which assured that discussions would be held at the managing committee level. On the issue of workmen and officer directors in banks, the DFS informed that 14 names had been submitted for approval, with the remaining cases still under consideration. The UFBU raised concerns over unfair labour practices, particularly banks preventing certain officer grades from joining unions, leading the CLC to initiate a legal review. Lastly, the DFS stated that increasing the gratuity ceiling and addressing income tax on perquisites would require consultation with the Ministry of Labour and Finance.

(A young banker and active campaigner for bankers’ rights expresses his dissatisfaction on platform X)

Reaction from Bank Employees

Despite the postponement, several bank employees expressed dissatisfaction over the lack of immediate resolution on five-day banking and recruitment. Many took to social media, criticising union leaders for delaying the strike without concrete decisions. Young bankers, in particular, voiced frustration over the prolonged negotiation process.

(A meme posted by a banker on platform X, mocking the long negotiation process which does not yield concrete decisions.)

Meanwhile, UFBU leaders defended the decision, stating that progress had been made in discussions, making it necessary to continue negotiations rather than proceed with immediate strike action.

Next Steps

The conciliation meeting has been adjourned to the third week of April 2025, with the next hearing scheduled for 22 April 2025. The CLC has instructed the IBA to submit a progress report before the next meeting. The unions have indicated that if tangible results are not achieved, they may reconsider their decision to call off the strike.

The UFBU has assured bank employees that they will continue to push for timely resolutions on their demands and will monitor the implementation of assurances given by the authorities in the meeting.