Banking services across India are expected to face significant disruption on Tuesday, January 27, as employees' unions under the United Forum of Bank Unions (UFBU) proceed with a nationwide strike. This industrial action comes at an inconvenient time for customers, following three consecutive days of bank closures due to the fourth Saturday, Sunday, and Republic Day holidays on January 24, 25, and 26.
Which Banks Will Remain Closed Today?
While not officially declared a bank holiday by the government, the nationwide strike called by UFBU—an umbrella organization representing nine unions of officers and employees—is anticipated to severely impact public sector banks. Major lenders including the State Bank of India (SBI), Punjab National Bank (PNB), Union Bank, Canara Bank, and Bank of Baroda are among those expected to keep their branches shut.
Customers planning to conduct banking transactions today are strongly advised to contact their nearest branch to confirm operational status, as the strike may lead to de facto closures despite some banks' contingency plans.
Stock Exchange Notifications and Bank Warnings
Several public sector banks, including the banking behemoth SBI, have formally notified stock exchanges about the potential operational impacts. In a regulatory filing issued on Friday, SBI stated, "We advise that while the bank has made necessary arrangements to ensure normal functioning in its branches and offices on the day of strike, it is likely that work in the bank may be impacted by the strike."
Which Banks Will Stay Open During the Strike?
In contrast to public sector banks, private sector institutions are expected to maintain normal operations. Banks such as HDFC Bank, ICICI Bank, IDFC First Bank, and Axis Bank should function without major interruptions, as their employees are generally not part of the unions participating in today's nationwide strike action.
Impact on Banking Services: What's Affected and What's Not
Services Likely to Be Disrupted
Branches of SBI, PNB, and other public sector banks are expected to experience disruptions in several key services:
- Cash deposits and withdrawals at counters
- Cheque clearing and processing operations
- Administrative and back-office functions
- Any services requiring customers' physical presence at branches
Additionally, ATM cash availability might face localized issues due to potential logistical delays in replenishment during the strike period.
Services Expected to Remain Operational
Despite branch closures, several digital banking channels should continue to function normally:
- Unified Payments Interface (UPI) transactions
- Internet banking services
- Mobile banking applications
- Digital fund transfers and bill payments
Why Are Bank Employees Striking Today?
The nationwide bank strike, while not technically a declared bank holiday, is proceeding after a conciliation meeting with the chief labour commissioner on January 23 failed to produce a satisfactory resolution. The primary demand from employees' unions centers on the immediate implementation of a five-day work week for bank employees.
This demand specifically calls for the declaration of all Saturdays as holidays—a key provision that was reportedly agreed upon during the 12th Bipartite Settlement signed with the Indian Banks' Association (IBA) in March 2024. However, this agreement awaits formal government notification and implementation.
Currently, banks in India remain open on the first, third, and fifth Saturdays of each month, with only the second and fourth Saturdays observed as holidays.
Key Takeaways for Banking Customers
- Public sector banks, including major institutions like SBI and PNB, will likely remain closed on January 27 due to the nationwide strike
- Digital banking services including UPI and internet banking should continue to operate without interruption
- Physical banking services requiring branch visits will face significant disruptions
- The strike represents ongoing labor negotiations focused on implementing a five-day work week and declaring all Saturdays as holidays
- Private sector banks are expected to maintain normal operations throughout the strike period
