If you’re planning to visit your bank tomorrow, you might want to reschedule. Around 8 lakh bank employees across India are going on a nationwide strike on January 27, 2026, demanding implementation of a five-day workweek that was promised nearly two years ago but never delivered.

The strike, called by the United Forum of Bank Unions, will primarily affect public sector banks, creating a three-day banking blackout for customers since January 25 and 26 were already holidays. Here’s everything you need to know about this major disruption.

Why Are Bank Employees Striking?

The frustration stems from broken promises. During the March 2024 wage revision settlement, the Indian Banks’ Association and UFBU agreed to make all Saturdays holidays for bank employees. Nearly ten months later, that agreement remains unimplemented, with government approval still pending.

Currently, bank employees enjoy holidays on Sundays and the second and fourth Saturdays of each month. The unions want the remaining two Saturdays declared holidays too, bringing banks in line with institutions like the Reserve Bank of India, Life Insurance Corporation, and government offices that already operate five days per week.

Union representatives argue this won’t reduce productivity since employees have agreed to work an extra 40 minutes daily from Monday to Friday, offsetting any potential loss of working hours.

Which Banks Will Be Affected?

Bank Category	Strike Impact	Examples
Public Sector Banks	Severely affected	SBI, PNB, Bank of India, Bank of Baroda, Canara Bank
Old Private Banks	Likely affected	Some old-generation private banks under UFBU
New Private Banks	No disruption expected	HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Axis Bank
Cooperative & Rural Banks	Affected	Regional rural banks and cooperative banks

The strike involves employees from state-owned, private, foreign, regional rural, and cooperative banks represented by UFBU’s nine member unions including the All India Bank Officers’ Confederation and All India Bank Employees’ Association.

Timeline of Failed Negotiations

The path to this strike has been long and frustrating for unions:

December 2023: IBA and UFBU sign memorandum of understanding on five-day workweek
March 2024: Wage settlement formally includes the five-day week proposal
March 2025: Two-day strike postponed after government assurances
January 22-23, 2026: Conciliation meetings fail to produce breakthrough
January 27, 2026: Nationwide strike proceeds

Despite detailed discussions involving the Chief Labour Commissioner and officials from the Department of Financial Services, there was no positive outcome from the conciliation proceedings, forcing unions to move ahead with their plan.

What Services Will Be Disrupted?

Customers should expect significant interruptions to branch-based banking services at affected banks. Counter transactions, cheque clearances, loan processing, and in-person customer service will likely be unavailable. However, digital banking services including ATMs, internet banking, mobile apps, and UPI transactions should continue functioning normally.

Plan essential banking tasks either before January 27 or after the strike concludes to avoid inconvenience.

The Union’s Argument

UFBU makes a compelling case by pointing to institutional precedents. The RBI, LIC, GIC, stock exchanges and government offices already follow a five-day work week, raising questions about why banks should maintain a different standard.

The unions have mobilized significant public support through social media, with the hashtag #5DayBankingNow generating over 18.8 lakh impressions and approximately 2.85 lakh posts on X.

For more updates on banking disruptions and financial sector news, check our banking industry coverage and India business updates sections.

Stay informed about official bank announcements by following the Reserve Bank of India’s official website and your bank’s customer service channels.

Frequently Asked Questions

Will ATMs and online banking work during the strike?

Yes, digital services including ATMs, internet banking, mobile apps, and UPI payments should continue operating normally. Only branch-based services at public sector banks will be disrupted.

Does this strike affect private banks like HDFC and ICICI?

No, major private sector banks like HDFC Bank, ICICI Bank, Kotak Mahindra Bank, and Axis Bank are not expected to be affected as their employees aren’t part of UFBU.