Bank Strike Today in India: Which Banks Are Closed and What Services Will Be Available

Bank customers across India are likely to face inconvenience on Tuesday, January 27, as the United Forum of Bank Unions (UFBU) goes ahead with a nationwide bank strike to demand a five-day working week for the sector. The bank strike comes after a conciliation meeting with the Chief Labour Commissioner on January 23 failed to resolve the issue.

UFBU, which represents nine unions of officers and staff from public sector banks, has announced full participation in the bank strike, raising the possibility of widespread disruption across government-owned lenders.

Due to the bank strike, branch-based services such as cash deposits, withdrawals, cheque clearance, loan processing, and customer service counters are expected to be impacted at major public sector banks including State Bank of India (SBI), Punjab National Bank (PNB), and Bank of Baroda. While some banks have put contingency measures in place, the extent of disruption will depend on staff turnout during the bank strike.

Private sector banks are not expected to be affected by the nationwide bank strike. Lenders such as HDFC Bank, ICICI Bank, and Axis Bank are likely to operate normally, as their employees are not members of the unions supporting the bank strike.

The core demand behind the bank strike is the implementation of a five-day work week, with all Saturdays declared holidays. This proposal was included in the 12th Bipartite Settlement signed with the Indian Banks' Association in March 2024, but it is still awaiting formal approval from the government, prompting unions to intensify their bank strike action.

Public sector banks have already warned customers and investors about possible disruption due to the bank strike. In a regulatory filing, SBI said it has made arrangements to support essential services but cautioned that normal operations may still be affected if participation in the bank strike is high.

The impact of the bank strike could be more pronounced as banks were already closed on Sunday, January 25, and Monday, January 26, on account of Republic Day, potentially leading to three consecutive days of limited access to branch banking services.

Despite the bank strike, digital banking channels such as UPI, mobile banking, internet banking, and card payments are expected to function normally. However, customers may face localised ATM cash shortages, as cash replenishment depends on branch-level operations that could be affected by the bank strike.

Credit: Oneindia