Five-Day Banking Week: Panel Begins Talks as Banks Move Closer to Monday-Friday Schedule
A high-level panel has begun discussions on India's five-day banking week proposal, with RBI and finance ministry decisions expected after its report.
A high-level panel has begun discussions on implementing a five-day banking week in India, with its recommendations expected to guide the RBI and finance ministry on the proposal.
The long-pending proposal for a five-day banking week has moved to the next stage, with a high-level committee beginning discussions on Wednesday. The panel is expected to prepare its recommendations quickly, after which the Reserve Bank of India and the finance ministry will decide how to proceed, according to a report by Business Today.
The committee has been formed specifically to examine the implementation of a Monday-to-Friday work week for bank employees. Other demands raised by bank unions, including performance-linked incentives, pension-related issues and working conditions, will be discussed separately.
What the Five-Day Banking Week Proposal Means
The panel will examine how banks can operate on a five-day employee work schedule while maintaining customer services and existing banking operations. At present, banks are closed on the second and fourth Saturdays of every month, while they remain open on the other Saturdays.
Bank unions have been demanding a Monday-to-Friday schedule for several years. They have argued that employees often work beyond regular hours and that institutions such as the RBI and Department of Financial Services already follow a five-day work week.
The proposal has also been linked to the 12th bipartite settlement, which unions say included a commitment toward implementing a five-day banking week.
Who Is On The Committee?
The Indian Banks' Association constituted the committee shortly after bank unions called off a proposed three-day strike following continued negotiations.
The panel includes senior representatives from the IBA and the United Forum of Bank Unions, along with BKSM General Secretary Vinod Nikam. Bank of India MD and CEO Rajneesh Karnatak will chair the committee, while Punjab National Bank MD and CEO Ashok Chandra will serve as alternate chairman.
AIBEA General Secretary CH Venkatachalam said the committee's mandate is limited to the five-day banking week proposal. Once its recommendations are submitted, the RBI and finance ministry will need to determine the next steps, including any required regulatory or legislative changes.
The outcome of the committee's deliberations will therefore determine whether the long-standing demand for a five-day banking week moves closer to implementation.
