The bank employees union in the letter to the finance minister assures that there will be no reduction in banking hours for customers or in the total working hours for employees and officers.
Mumbai: The year 2024 might bring some good news for the bank employees as they are likely to get 5-day work week and salary hike this year. If the Finance Ministry approves, then by June, the bank employees will get 5 working days and they may get a salary hike as well. In this regard, the United Forum of Bank Unions, the association representing bank employee unions, has written a letter to Union Finance Minister Nirmala Sitharaman to recommend a five-day work week for the banking sector.
What Was The Proposal to Finance Ministry
The proposal from the banks to the finance minister assures that there will be no reduction in banking hours for customers or in the total working hours for employees and officers.
As per an ET report, the United Forum of Bank Unions has urged the finance minister to review the matter favorably and direct the Indian Banks’ Association accordingly. The union also highlighted that the five-day week is already in effect in RBI and LIC.
At present, various banks follow the schedule of closures on the second and fourth Saturdays of each month as finalised in a settlement reached in 2015. In the 2015 settlement, it was agreed to consider the demand for declaring remaining Saturdays as holidays at a later stage.
Salary Hike For Bank Employees
Later, a memorandum of understanding was also signed between the Indian Banks’ Association and bank unions on December 7, 2023, about the wage revision and service condition enhancements for bank personnel.
In this regard, the United Forum of Bank Unions expressed gratitude for the favorable consideration of their demands by the finance minister and the government and added that the ministry acknowledged the timely conclusion of negotiations, facilitated by the memorandum of understanding between bank unions and the IBA.
It should be noted that the MoU between the Indian Banks’ Association and bank employee unions last year resulted in 17% increase in salary for employees across all public sector banks in India, amounting to Rs 12,449 crore.
Now this, if the Centre approves, then about nine lakh employees, including 3.8 lakh officers, in PSU banks like SBI and many private sector banks, will get the benefits of salary hike and probably the 2-days off as well.