The Indian Banks’ Association (IBA) has formally rejected a request from employee unions asking for a five-day work week for bank branches. It also expressed its inability to raise wages by more than its proposal of 12 percent.
According to a circular issued by the staff unions, under the umbrella of the United Forum of Bank Unions (UFBU), IBA has disapproved the suggestion following views of some “important stakeholders”,
The unions are dependent on IBA for the final nod prior to any implementation.
The bank managements, represented by the IBA, have notified the unions that a 12 percent hike in the wages will put an extra cost of Rs 6,300 crore annually on public sector banks (PSBs).
The unions have been demanding for a five-day work week since a long time. From September 2015, the IBA had agreed to allow bank branches to remain shut on alternate Saturdays (the second and the fourth Saturday of every month).
“There is a possibility to get five-day working week on two counts: one is the alternative channel utilised by customers and the digital reach. This issue is of prime importance to us,” said All India Bank Officers Association General Secretary S Nagarajan.