IBA has commissioned a study to evaluate the pros and cons of keeping banks shut on Saturdays.
The staff unions, under the umbrella of the United Forum of Bank Unions, refuse to budge on this demand, people familiar with the development told Business Standard.
The merits and the challenges of a five-day week will be placed before the new government by IBA after the general elections, sources said.
Private banks are also IBA members but might choose not to follow such a decision; this would not be so for their state-run counterparts if the government approves.
In fact, the Union government had earlier rejected such a proposal on the argument that the public’s perception of state-run banks would be further hit.
“Also, at a time when the government and RBI are pushing financial inclusion, reduced working hours for bank branches could be viewed as one step back,” said a top executive of a public sector bank.
The staff unions say the extra working hours affecting the health and productivity of staffers.
“A five-day week is already available in the international banking system.
“It is also available here -- the Reserve Bank of India, central and state governments, and companies in the public sector work for (only) five days a week.
“We have been saying it should be introduced in the banking industry.
“The government
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