Second and fourth Saturdays will henceforth be holidays for banks. The remaining Saturdays in a month will be full working days.
This was one of the agreements arrived at the meeting of the Indian Banks' Association with associations of bank employees and staff in Mumbai on Monday.
The agreement, primarily settling the long pending negotiations over the wage revision, led to the United Forum of Banking Unions (UFBU) deferring its four day strike plan later this month.
"It is a balancing act," UFBU (Andhra Pradesh and Telangana) Convenor VVSR Sarma told The Hindu about the agreement on the additional holidays. The influential body of the bank staffers was insisting that all Saturdays should be holidays.
By limiting it to two Saturdays and making other Saturdays full working day, the banks have ensured that the impact on the customers due to the additional holidays is less.
On the key wage revision component, Mr.Sarma said 15 per cent increase is what the IBA has agreed. The negotiations had hit a stalemate after the banks struck to 13 per cent, while the UFBU demanded 19 per cent. According to Mr.Sarma, the cost for the banks due to the 15 per cent hike that has been agreed works out to Rs.4,725 crore.
The agreement on the wage revision would be implemented with effect from November 1, 2012, he added.