Bank customers can expect regular banking services this week after unions deferred their planned three-day nationwide bank strike.

The decision followed a meeting between the Indian Banks’ Association (IBA) and the United Forum of Bank Unions (UFBU) on Sunday night. The meeting began around 9:30 pm, with the two sides discussing the unions' pending demands.

The proposed strike was scheduled for September 28, 29 and 30. With the strike deferred, the planned disruption will not take place on those dates.

The development is particularly significant because September 30 is the half-yearly closing for banks, a period involving several important financial and administrative processes.

The major issue discussed between the two sides was the demand for a five-day working week for banks.

Under the current system, banks generally observe holidays on the second and fourth Saturdays, while other Saturdays are working days.

The IBA and UFBU have now agreed to establish a high-level committee comprising representatives from both sides. The committee will examine the possibility of declaring the remaining Saturdays as holidays and consider different alternatives after consulting stakeholders, including customers.

However, the agreement does not mean that banks have already shifted to a five-day working week. The proposal remains under discussion.

The five-day banking week was one of several demands behind the proposed strike.

Bank unions have also raised issues concerning pension benefits, dearness allowance for pensioners and pension options for employees covered under the National Pension System (NPS).

The two sides also agreed to discuss the Performance Linked Incentive (PLI) scheme for Scale IV and above officers, with the IBA expected to propose modifications to the government to address concerns raised by unions and associations.

Other unresolved issues mentioned in earlier discussions will also be taken up with the aim of finding solutions.

Yes. The proposed nationwide strike has been deferred, so September 28 is not a nationwide bank strike day.

The Economic Times reported that banks are expected to remain open, although customers should check their individual bank's communication for branch-specific timings or arrangements. SBI has also indicated that its branches will remain open on September 28.

The deferral means customers do not need to postpone routine branch-related work because of the previously announced three-day strike.

The UFBU had announced the strike after earlier discussions failed to produce sufficient progress on its demands, particularly the proposal for five-day banking.

The unions had also staged a nationwide strike on September 11 before announcing the September 28–30 action.

The latest agreement between the IBA and UFBU has temporarily changed the situation, with the unions agreeing to defer the strike and related agitation programmes while negotiations continue.

The immediate focus will be on the newly proposed IBA-UFBU high-level committee.

The committee will examine the five-day banking proposal, including the possibility of making all Saturdays holidays. It is expected to consult relevant stakeholders before working toward a solution.

For bank customers, the immediate outcome is that the planned three-day disruption has been avoided. For employees and unions, however, the key demands remain under negotiation.

The development therefore defers rather than permanently resolves the dispute over five-day banking and other pending issues.