India is into a longtime debate on 5-day workweek for banks. Currently, banks work six days a week, and observes the close on the second and fourth Saturdays. Meanwhile, there has been a long-standing demand from bank employees to adopt a 5-day workweek for the banks.
In this matter, the United Forum of Bank Unions (UFBU) has called for a nationwide bank strike on March 24 and 25 after negotiations with the Indian Banks’ Association (IBA) fell through. According to a PTI report, the IBA failed to address key demands raised by the union, prompting the UFBU to move forward with the strike, which had been previously warned.
The coalition of nine bank unions highlighted several pressing issues that remain unresolved despite multiple rounds of discussions with the IBA. The major demand they had put forward is a five-day work week for the banking sector and urgent recruitment across all cadres to manage workload efficiently.
The IBA and bank unions agreed to a proposal for banks to adopt a 5-day workweek in December 2023. In March 2024, the IBA and bank unions signed the 9th Joint Note, which highlighted the plans to switch to a 5-day workweek. Moreover, this plan included the offs on Saturdays and Sundays.
5-Day Workweek for Banks: Why Banking Employees Want It?
Banking employees believe that a 5-day work week will release the pressure from them and give them additional time for family and friends. Furthermore, this can further boost the productivity. Currently, in India, most of the financial institutions and governments follow 5-day work week.
Moreover, employees of the central government, state governments’, Reserve Bank of India (RBI), Life Insurance Corporation (LIC), courts, stock exchanges, most MNCs and private companies observe 5-day work week. Therefore, banking employees’ demand seems quite adequate at this given point in time.
Banking employees are ready to compensate. To maintain hassle-free customer service, bank employees will work 40 minutes extra each day to make up for the shorter workweek.
Challenges Ahead
- Reserve Bank of India’s (RBI) approval is one of the most important aspect of this development.
- Implementing a 5-day workweek for banks across India’s vast and diverse landscape poses significant challenges. This can potentially disrupt seamless banking services.
- A mutual agreement between employees and management on working hours, salaries, and operational changes is essential for a smooth implementation of the 5-day workweek system.
