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Bank unions announce nationwide strikes over 5-day work week, PLI
The strike will be held on September 11

Bank unions announce nationwide strikes over 5-day work week, PLI

Aug 24, 2026
12:22 pm

What's the story

The United Forum of Bank Unions (UFBU), an umbrella group of major bank employee and officer unions, has called for nationwide strikes. The protests are aimed at demanding a five-day banking week and the withdrawal of the government's revised performance-linked incentive (PLI) scheme. The UFBU has announced three phases of agitation, including a one-day all-India strike on September 11, a three-day strike from September 28 to 30, and an indefinite strike from October 26 if demands remain unresolved.

Strike details

5-day work week proposal pending government approval

The UFBU has reminded that the Indian Banks's Association (IBA) had agreed to introduce a five-day work week under the 12th Bipartite Settlement and ninth Joint Note signed in March 2024.

However, more than two years later, the proposal is still pending government approval.

PLI scheme controversy

Unions oppose Finance Ministry's revised PLI framework

The unions have also opposed the Finance Ministry's revised PLI framework, calling it discriminatory.

They argue that it offers significantly higher incentives to officers in Scale IV and above based on individual performance.

While most employees would get a maximum incentive of 15 days' basic pay and dearness allowance, senior officers could get incentives up to 365 days of basic pay.

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Ongoing disputes

PLI issue being litigated in Delhi High Court

The PLI issue is currently under conciliation before the Chief Labour Commissioner (CLC) and is also being litigated in the Delhi High Court.

The UFBU has demanded that the PLI scheme be kept in abeyance and amended through consultations with unions.

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Banking reforms

UFBU demands protection for small depositors

A few days ago, the UFBU had opposed any top-down and market-centric restructuring of public sector banks.

The forum pushed for democratic boards, greater stakeholder representation, and restoration of public-purpose banking.

It also demanded fair, inflation-protected returns on small deposits and expansion of direct branch-based lending to small borrowers.

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