Quick answer: Five-day banking is not approved. Banks still work on the 1st, 3rd and 5th Saturdays, and close on the 2nd and 4th. On 27 September 2026 the Indian Banks' Association (IBA) and the United Forum of Bank Unions (UFBU) agreed to set up a high-level committee, and its first in-person meeting is due on Thursday, 12 November 2026 in Mumbai. The committee can recommend; it cannot decide. Every Saturday becomes a bank holiday only if the Central Government issues a notification under the Negotiable Instruments Act, and government sources have said no commitment has been given.
After three years of settlements, strikes and deferred strikes, the five-day banking week is back in discussion, this time in a formal committee. Social media posts have already "announced" all-Saturday holidays several times. This guide sets out what has actually been agreed, who sits on the committee, what has to happen before anything changes, and which Saturdays branches are open in the meantime.
Where five-day banking stands
Last updated: 3 November 2026. This article will be updated after the committee meeting on 12 November 2026.
| Step | Status |
|---|---|
| 2nd and 4th Saturdays as holidays | In place since 2015, under the 10th Bipartite Settlement |
| IBA and unions agree on all Saturdays off | Done: recorded in the 12th Bipartite Settlement and 9th Joint Note, signed 8 March 2024, subject to government approval |
| IBA recommends it to the government | Done |
| High-level committee formed | Done: agreed on 27 September 2026, constituted by IBA on 29 September 2026 |
| First in-person committee meeting | Scheduled: 12 November 2026, IBA, Mumbai |
| Government approval | Pending |
| Notification declaring all Saturdays bank holidays | Not issued |
Sources: Business Today on the 2024 settlement; Zee Business on the IBA communication of 29 September; Latest Bank Update on the IBA letter fixing the 12 November meeting.
What the 27 September understanding actually said
UFBU had called a three-day nationwide strike from 28 to 30 September 2026, with five-day banking as a principal demand. At a meeting with the IBA at 9.30 pm on 27 September, the two sides agreed that a high-level committee of IBA and UFBU representatives would be formed to examine declaring the remaining Saturdays as holidays. UFBU deferred the strike, and a proposed indefinite strike from 26 October.
The same meeting agreed to begin discussions on changes to the Performance Linked Incentive scheme for officers in Scale IV and above, another long-running union demand.
What the understanding did not do: approve five-day banking. It created a forum to discuss it.
Who sits on the committee
According to the IBA's communication, the committee is chaired by Rajneesh Karnatak, MD and CEO of Bank of India, with Ashok Chandra, MD and CEO of Punjab National Bank, as alternate chairman. Senior officials from Indian Bank, IDBI Bank and State Bank of India are members, and UFBU is represented by the general secretaries of its constituent unions.
Reports differ on whether the committee has met at all yet. A first online meeting was announced for 30 September; one report says it was postponed, another that a meeting took place on 1 October. The IBA letter calling the 12 November meeting refers to it as the committee's in-person meeting and does not set out an agenda.
What has to happen before Saturdays change
- 1. Committee recommendsThe committee examines options and stakeholder views, including customer access, and reports to the IBA. It has no power to change bank holidays.
- 2. Government approvesThe Finance Ministry, through the Department of Financial Services, has to approve the proposal. Reports say the Reserve Bank of India's view will also matter.
- 3. Notification is issuedThe Central Government declares all Saturdays as bank holidays by notification under section 25 of the Negotiable Instruments Act, 1881.
- 4. Branch timings changeBanks revise weekday working hours. Under the 2024 settlement, unions agreed to longer weekday hours in return for the Saturday holidays.
Until step 3, nothing changes for customers or staff, whatever social media says.
What the government has said
The government's public position has been cautious throughout. In April 2025, a senior official told Business Standard the five-day week was unlikely in 2025-26 because many customers still visit branches on Saturdays. In September 2026, government sources quoted by The Tribune said the Finance Ministry had given no commitment on the issue. The government's formal line, as reported, is that the proposal remains under consideration.
One idea reported in September is worth noting: sources quoted by Business Today said the committee might look at giving employees a five-day week while keeping branches open on two Saturdays a month. That would be a different model from closing all branches every Saturday. It is a reported possibility, not a proposal anyone has published, and UFBU has separately called a circulating letter about rotational weekly offs fake.
Saturday bank holidays until a change is notified
| Month | Branches open | Branches closed |
|---|---|---|
| November 2026 | 7 and 21 November | 14 and 28 November |
| December 2026 | 5 and 19 December | 12 and 26 December |
Branches can also close on an open Saturday for a state or regional holiday, so check your bank's local holiday list. UPI, net banking, mobile banking, ATMs and NEFT, RTGS and IMPS work on every Saturday, open or closed.
For bank employees: what to watch
- 12 November: the committee meeting. Look for an official UFBU or IBA circular on its outcome rather than social media summaries.
- Any notification under section 25 of the Negotiable Instruments Act. This is the only document that changes Saturday working.
- The 13th Bipartite Settlement: the 12th runs to 31 October 2027, and the issue has been reported as one to be taken up in the talks for the next settlement.
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Frequently asked questions
Are banks closed on all Saturdays from November 2026?
No. Banks remain open on the 1st, 3rd and 5th Saturdays and closed on the 2nd and 4th. Any message saying all Saturdays are holidays from a particular date is wrong unless it cites a government notification.
Will the 12 November meeting decide five-day banking?
It cannot decide it. The committee can only discuss and recommend. The decision rests with the government, which would have to issue a notification declaring all Saturdays bank holidays.
Does five-day banking apply to private banks too?
A notification under the Negotiable Instruments Act applies to all banks, not only public sector ones. The bipartite settlement itself covers the banks that give the IBA a mandate to negotiate for them, mainly public sector banks.
Would working hours change?
Yes, if it is implemented. The 2024 settlement linked all Saturdays off to longer weekday working hours. Exact timings would be announced after any notification.
Related: who gets the DA hike to 63%, which explains why bank DA follows its own quarterly system.
Position as of 3 November 2026. Sources: IBA communication of 29 September 2026 and UFBU circulars of 27 and 29 September 2026 as reported; reports by Business Today, The Tribune, Business Standard, Outlook and Zee Business. Reported possibilities are attributed to their sources and are not official positions. General information.