In a significant development, India’s banking sector has formally proposed declaring all Saturdays as banking holidays, as confirmed by the Union Finance Ministry during the ongoing Winter Session of Parliament.
Responding to inquiries about the demand for a five-day work week, Minister of State for Finance Bhagwat Karad acknowledged that the Indian Banks Association (IBA), representing all banks in the country, had submitted a proposal advocating this change.
While banks in India have observed public holidays on the second and last fourth Saturday of every month since 2015, the demand for a complete five-day work week, especially from public banks, has been a persistent one.
The IBA, encompassing public and private banks, foreign banks with a presence in India, cooperative banks, regional rural banks, and all India financial institutions, represents a significant workforce exceeding 1.5 million employees.
The response from the finance ministry did not clarify whether the proposal has been accepted or if it is imminent in the near future. If implemented, the transition to a five-day work week may be accompanied by extended working hours during the remaining weekdays, according to insider sources.
