Public Sector Bank Strike: Full List of Affected Services Explained

Banking services across India faced disruption on Tuesday as employees of public sector banks observe a nationwide strike. Called by major banking unions, the protest centres on demands related to working conditions, including a five-day work week, prompting concerns for customers and businesses alike.

Here’s all you need to know…

Why did bank employees go for a strike on January 27?

The nationwide strike has been called by the United Forum of Bank Unions to press for a five-day work week and oppose policies that unions say weaken the public banking system, particularly its role in serving rural and underserved communities.

Which banks are affected?

Public sector banks are expected to see widespread disruption. Major government-owned lenders such as State Bank of India, Punjab National Bank, Bank of Baroda, Canara Bank, Union Bank and Indian Bank will be impacted. Private banks including HDFC Bank, ICICI Bank and Axis Bank are likely to operate as usual.

What banking operations are shut down?

Branch-based services at public sector banks will remain closed during the strike. This includes cash deposits and withdrawals, cheque clearing, issuance of demand drafts, loan processing, account opening and in-branch customer support.

Will ATMs work during the strike?

Yes, ATM services are expected to remain operational. However, customers may experience cash shortages as machines may not be replenished during the strike. Withdrawing cash in advance is advisable.

Can customers use digital banking services?

Digital banking will continue uninterrupted. UPI payments, NEFT, RTGS, mobile banking apps, and internet banking services are expected to function normally as these systems do not rely on manual branch operations.

How will businesses be affected?

Businesses dependent on branch-based banking services may face delays. Transactions involving cheque payments, trade finance documentation, bank guarantees and letters of credit, especially for export-import activities, could be affected.

Will salaries and pensions be delayed?

Salary and pension credits scheduled for Tuesday may be delayed for customers of public sector banks if manual processing is required. Automated credits may still go through, but delays cannot be ruled out.

How long will the strike last?

The strike is scheduled for one day. Banking operations are expected to resume on Wednesday, though it may take additional time to clear backlogs.

Have bank strikes happened before?

Yes. Nationwide bank strikes have occurred in the past over issues such as privatisation, wage revisions and working conditions, often causing temporary but widespread disruption.

(With inputs from yMedia)