The demand for the banking system to transition to a Monday-to-Friday working schedule with weekends on Saturday and Sunday has existed for a long time. Today marks the first meeting of the committee established to review this issue. The final decision on how the five-day banking schedule can be implemented will be made after receiving the commission's report.
The initiative to create a high-level commission was taken by the Indian Bankers Association (IBA) on Tuesday. The commission includes senior representatives from both bank management and trade unions. Rajnesh Karnataka, Managing Director and CEO of the Bank of India, has been appointed as the chairman of the committee. Ashok Chandra, Managing Director and CEO of Punjab National Bank, was appointed as the alternate chairman. Senior representatives of banking trade unions are also participating in the work.
The main function of the committee is to find a way to provide bank employees with a five-day work week while ensuring that customers do not face disruptions in receiving banking services. One possible option being considered is opening banks on two Saturdays during the month. This would allow employees to work from Monday to Friday while still providing banking services on some Saturdays to meet customer needs. However, this is currently only a preliminary idea, and the final scheme will be determined based on the committee's recommendations and subsequent decisions.
Banking trade unions have long insisted on a Monday-to-Friday work schedule. They argue that bank employees have already worked long hours, and the transition to a five-day week will help them achieve a better work-life balance. The unions also point out that the five-day work schedule is already in effect at the Reserve Bank of India (RBI) and in the financial services department, which is the basis for their demand for bank employees.
Currently, banks close on the second and fourth Saturdays of every month. They operate normally on other Saturdays. The proposal for a five-day banking week has been under discussion for over two years. Banking trade unions state that a formal commitment to implementing this schedule was included in the twelfth bilateral agreement.
For now, there are no changes for customers; the previous system remains in place, where banks are closed on the second and fourth Saturdays and open on other Saturdays. Even if the high-level committee recommends a five-day work week, it will not be implemented immediately. After submitting its report, the matter will be passed to the consideration of the Reserve Bank and the Ministry of Finance. Changes may be made to the relevant regulations if necessary.
Banking trade unions have long pressured to achieve a five-day banking week. During this period, the unions withdrew a planned three-day strike scheduled for September 28 to 30. The All India Bank Employees Association (AIBEA) is one of seven trade unions belonging to the United Forum of Banking Trade Unions (UFBU) and has consistently raised this issue.
According to the General Secretary of the All India Bank Employees Association (AIBEA), Chi Enkathalam, after receiving recommendations from the high-level committee, the matter will go to the Reserve Bank of India and the Ministry of Finance. Work will then continue on the necessary procedures and legal changes. Nevertheless, other issues, such as pension reforms, PLI, and employee working conditions, are outside the scope of this commission, and separate negotiations will continue on those matters.