Bank strike tomorrow: Bank branches across India could face disruptions on Friday, September 11, as the United Forum of Bank Unions (UFBU) has called a nationwide strike over the delay in implementing a five-day banking week and differences over the Performance Linked Incentive (PLI) scheme.

The planned bank strike on September 11 comes as unions press the government and the Indian Banks’ Association (IBA) to act on their pending demands. The UFBU, an umbrella body representing nine bank employees’ and officers’ unions, has also announced further strike action later this month and in October if the issues remain unresolved.

Why are bank employees going on strike?

The biggest demand is the implementation of a five-day banking week.

The issue goes back to the March 2024 12th Bipartite Settlement and 9th Joint Note between the IBA and bank unions. Under the understanding, Saturdays were to be declared holidays, with employees working additional hours from Monday to Friday to compensate.

According to the unions, the proposal was recommended to the Finance Ministry but has remained pending for more than two years.

Bank unions have made the delay a key part of their latest agitation, arguing that assurances given by the government and bank managements have not been fulfilled.

What is the PLI dispute?

The other major issue behind the bank strike 2026 is the Performance Linked Incentive scheme.

The unions have opposed what they describe as a unilateral and discriminatory PLI structure for public sector bank employees and senior officers.

According to the unions, their understanding with the IBA was that PLI would be connected to the overall performance of an individual bank and would have a uniform structure for employees and officers up to Scale VII.

They have objected to a framework under which officers in Scale IV and above could receive PLI of up to 365 days of basic pay plus dearness allowance, while officers up to Scale III would have a maximum of 15 days.

The unions have demanded that the revised structure be withdrawn and discussed through bilateral negotiations.

Government puts PLI scheme on hold

The PLI issue has also seen movement from the Centre.

The Ministry of Finance said the proposed performance-linked incentive scheme for public sector bank employees for 2025-26 has been kept in abeyance following a meeting between Finance Minister Nirmala Sitharaman and a delegation of bank employees led by the Bharatiya Mazdoor Sangh.

It also said the implementation of the PLI scheme dated November 19, 2024, for FY 2025-26 would be kept on hold and the matter would be taken up during the ongoing Bipartite Settlement/Joint Note discussions.

Despite this, the UFBU has gone ahead with its announced strike programme.

Will SBI and other banks be affected?

The strike could affect physical banking operations at participating branches across India, particularly in public sector banks.

State Bank of India (SBI) and Union Bank of India have cautioned customers about possible disruption.

Customers should not assume that every banking service will stop. Internet banking, mobile banking, UPI, ATMs and other automated services are expected to remain available, although the availability of individual services can vary between banks.

SBI has advised customers to use digital channels, including internet banking, YONO, mobile banking and UPI, as well as ATMs and Automated Deposit and Withdrawal Machines.

What should customers do before the strike?

Anyone who needs a branch for urgent work should try to complete it before September 11.

This includes cash deposits or withdrawals at branches, document submissions, KYC-related work and certain loan-related services.

Customers who need physical cash over the weekend may also want to withdraw it in advance. ATMs are expected to remain operational, but customers with specific cash requirements should avoid waiting until the last moment.

Cheque deposits and clearing may also take longer if branch operations are affected.

More bank strikes planned

The September 11 action is only the first of several strikes announced by the UFBU.

Bank unions have announced another nationwide strike from September 28 to September 30. If their demands remain unresolved, they have warned of a continuous indefinite strike from October 26, 2026.