Some of the bank employee unions such as the United Forum of Bank Unions, are for a long time demanding 5-day workweek with Saturdays off for a while.
New Delhi: Bank employees will likely get 5-day working days and 2 days weekly off soon as an agreement has already been signed between the Indian Banks’ Association (IBA) and employee unions. After the agreement, now the Central government’s approval is pending, which the bank employees expect to get approved later in 2024.
Some of the bank employee unions such as the United Forum of Bank Unions, are for a long time demanding 5-day workweek with Saturdays off for a while and these unions have been assured that this would not lead to a reduction in customer service hours.
Changes Subject to Govt Approval
After this development in December 2023, a memorandum of understanding was signed between the Indian Banks’ Association (IBA) and bank unions. This 5-day work agreement included a proposal for 2-days weekly offs, subject to government approval.
After the agreement, the 9th Joint Note was signed by the IBA and bank unions on March 8, 2024 and the it noted the transition to a 5-day week with Saturdays and Sundays off.
Even as the IBA and bank unions have agreed, however, the final decision lies with the Central government and the proposal will also be discussed with the Reserve Bank of India (RBI) as it regulates banking hours and interbank activities.
When 5-day Working Days Will be Implemented?
As of now, there is no official deadline announced by the government on that. However, few bank employees informed news18.com that they expect the notification by the government by the end of this year or early 2025.
After the final decision is approved, Saturdays will be officially recognized as holidays under Section 25 of the Negotiable Instruments Act.
What Will be Revised Working Hours?
After the 5-day working day policy is implemented, the revised working hours for the bank employees will be extended by 40 minutes, from 9:45 am to 5:30 pm.
Right now, the bank branches are closed on second and fourth Saturdays. And the bank unions have been demanding weekly offs on all Saturdays and Sundays. As part of the the 10th Bipartite Settlement signed in 2015, RBI and the government agreed with the IBA and declared second and fourth Saturdays as holidays.