Banking Industry Shifts Towards Five-Day Work Week: Insights from the IBA Agreement

13 Mar, 2024

In the near future, accessing your bank on a Saturday could become a thing of the past. India's banking sector is on the brink of a potential operational schedule change. Presently, banks are open on the first and third Saturdays of the month, while remaining closed on the second and fourth. However, there are discussions underway suggesting a transition for bank employees to a Monday through Friday work week, resulting in the closure of banks every Saturday and Sunday. 

According to information from ET, both the Indian Banks Association (IBA) and the All India Bank Officers' Confederation have recently come to an agreement to transition towards a five-day work week, wherein Saturdays and Sundays will be designated as days off. This decision was solidified through the signing of the 9th Joint Note on March 8, 2024.

A press release issued in conjunction with this agreement states that all Saturdays will be considered holidays, subject to government notification. The implementation of the updated working hours will occur subsequent to the government's official notification. 

Additionally, an agreement has been reached on a 17% annual salary hike, resulting in an additional annual expenditure of approximately Rs 8,284 crore for public sector banks. This salary increment, which came into effect in November 2022, is anticipated to benefit around 800,000 bank employees. 

Read more at The Times of India

Publisher: Monisha Ponnappa | Bizprout Expert Systems Private limited