The Finance Ministry has reportedly dismissed claims that it had agreed to the implementation of a five-day work week for banks, saying there was no such commitment from the ministry.The clarification comes days before bank employee unions are set to begin a three-day nationwide strike from September 28 over a range of demands, including five-day banking, according to government sources, cited by PTI.The United Forum of Bank Unions (UFBU), which claims to represent around 90 per cent of the banking workforce, said the Indian Banks’ Association (IBA) had agreed to the five-day work week as part of the 12th Bipartite Settlement/9th Joint Note signed on March 8, 2024.Under the proposal, working hours from Monday to Friday would be increased by 40 minutes to make up for the additional working day being removed. The proposal was subsequently forwarded to the government and remains under consideration, government sources said.The Finance Ministry’s position differs from the unions’ claim that the proposal had effectively been agreed to. Sources said the ministry had made no commitment to implement a five-day work week.Several other issues raised by the unions have, however, been resolved, according to the sources. These include an increase in family pension for bank retirees and the introduction of a pension option for employees who resigned.One of the unions’ key demands, withdrawal of the Performance Linked Incentive (PLI) scheme, has been kept in abeyance, they added. The proposed strike from September 28 to 30 comes at a sensitive time for banks as it coincides with the sector’s half-yearly closing.To minimise disruption to customers ahead of the strike, the government has directed public sector banks to remain open on Sunday, September 27.The Finance Ministry has also asked government departments and ministries to disburse September salaries in advance.According to an office memorandum issued by the Controller General of Accounts, salaries and wages of Central Government employees for September 2026 may be drawn and disbursed on September 25. The measure covers employees in central government offices, including Defence, Posts and Telecommunications.September pensions for central government pensioners may also be disbursed on September 25, according to the memorandum. Wages of industrial employees of the central government may similarly be paid in advance.The Finance Ministry had earlier appealed to bank employees to call off the proposed strike and settle their remaining demands through dialogue, saying that most of the unions’ concerns had already been substantially addressed.Besides five-day banking, the UFBU has sought measures to update and improve pensions, a uniform dearness allowance formula for all pensioners and an option for employees covered under the National Pension System to shift to the old pension scheme.
