Bank Strike Today: Are Your Accounts Safe? What the Public Sector Shutdown Means for You

If you’re trying to deposit cash, withdraw money, or get a loan sanctioned today—stop right there. A nationwide bank strike today has brought operations at all public sector banks (PSUs) to a grinding halt, marking the third straight day of disruption after the weekend and Republic Day holiday [[1]].

This isn’t just an inconvenience—it’s a full-blown financial logjam affecting over 110 million account holders who rely on institutions like SBI, PNB, Bank of Baroda, and Canara Bank. And it all stems from one core demand: a shift to a five-day work week for bank employees.

With conciliation talks between the United Forum of Bank Unions (UFBU) and the Indian Banks’ Association (IBA) collapsing last week, over 10 lakh bank workers walked off the job on Tuesday, January 27, 2026—the first working day after a long holiday weekend [[2]]. The result? Branches are shuttered, queues are virtual, and customer service is at a standstill.

Why Is There a Bank Strike Today?
Which Banks Are Affected?
How the Bank Strike Today Impacts You
What Still Works During the Strike?
History of Bank Strikes in India
What Happens Next?
Conclusion: Stay Informed, Stay Prepared
Sources

Why Is There a Bank Strike Today?

The immediate trigger is simple: bank unions are demanding a reduction from a six-day to a five-day work week without any loss in pay or benefits. They argue that private banks and most corporate sectors already operate on this model, and PSU employees deserve the same work-life balance [[3]].

But the roots run deeper. This strike is also tied to unresolved wage negotiations from the 11th Bipartite Settlement, which expired in 2022. Despite multiple rounds of talks, the IBA has refused to budge on the five-day week, citing operational costs and service continuity concerns [[4]].

“We’ve been negotiating in good faith for months,” said C.H. Venkatachalam, General Secretary of the All India Bank Employees’ Association (AIBEA). “When dialogue fails, action becomes necessary.”

Which Banks Are Affected?

All 12 public sector banks under government ownership are impacted, including:

State Bank of India (SBI)
Punjab National Bank (PNB)
Bank of Baroda
Canara Bank
Union Bank of India
Indian Bank
Bank of India
Punjab & Sind Bank
UCO Bank
Central Bank of India
IDBI Bank (though partially privatized, still follows PSU protocols)
Indian Overseas Bank

Private banks like HDFC, ICICI, and Axis Bank remain fully operational, as do most fintech platforms and payment gateways.

How the Bank Strike Today Impacts You

If you bank with a PSU, here’s what’s likely disrupted:

Cash transactions: No deposits, withdrawals, or check clearing at branches.
Loan processing: New applications and disbursements are on hold.
Account services: Passbook updates, KYC compliance, and locker access are suspended.
Government schemes: PMJDY, Kisan Credit Card, and pension disbursements may face delays.

Small businesses and daily wage earners are hit hardest—many still rely on physical banking due to limited digital literacy or infrastructure [[5]].

What Still Works During the Strike?

Don’t panic just yet. Several digital channels remain functional:

Internet & Mobile Banking: Fund transfers (IMPS, NEFT, UPI), bill payments, and balance checks work normally.
ATMs: Cash withdrawals are available, though some ATMs may run low on cash due to lack of replenishment.
UPI Apps: Google Pay, PhonePe, and BHIM continue to operate seamlessly.
Customer Care Helplines: Most banks have skeleton staff managing phone support.

However, if your issue requires branch intervention—like a disputed transaction or a new debit card—you’ll likely have to wait until services resume.

History of Bank Strikes in India

This isn’t the first time bank strikes have paralyzed the system. Major walkouts occurred in:

2019: Two-day strike over wage revision and privatization fears.
2016: One-day strike against merger plans and staffing cuts.
2013: Massive strike involving 15 lakh workers over pension reforms.

According to Reserve Bank of India data, each major strike costs the economy an estimated ₹8,000–10,000 crore in lost productivity and delayed transactions [[6]].

What Happens Next?

The UFBU has hinted at escalating actions if talks don’t resume by Thursday. Options include:

A longer, indefinite strike
Refusal to process government transactions
Nationwide protests outside RBI and Finance Ministry offices

Meanwhile, the Finance Ministry has urged both sides to return to the table, emphasizing that prolonged disruption could affect India’s economic momentum ahead of the Union Budget 2026 [[7]].

For now, customers are advised to use digital alternatives and avoid non-urgent branch visits. As [INTERNAL_LINK:digital-banking-tips-during-emergencies] experts recommend, having a backup payment method is crucial during such crises.

Conclusion: Stay Informed, Stay Prepared

The bank strike today is more than a labor dispute—it’s a wake-up call about our banking system’s fragility and our over-reliance on physical infrastructure. While the demand for a five-day week is understandable, the timing—right after a national holiday—maximizes public pain.

As a customer, your best defense is awareness and adaptability. Use UPI, monitor your accounts online, and plan transactions around potential disruptions. Because in today’s India, financial resilience means being ready for anything—even when the banks close their doors.