The State Bank of India and other public sector lenders have warned of possible service disruptions on 12 February 2026 due to a nationwide bank strike called by major unions protesting labour codes, privatisation concerns and working conditions, while digital services are expected to function.
India’s largest lender, the State Bank of India (SBI), has alerted customers about potential disruptions in banking services on 12 February 2026, as major bank employee unions have called for a one-day nationwide strike. The strike, part of a broader general protest by central trade unions across sectors, is expected to affect routine branch operations in several parts of the country.
In a regulatory filing, SBI stated that while it does not expect a complete shutdown, “work may be impacted to a limited extent” if employees participate in the strike. The bank added that it has made necessary arrangements to ensure normal functioning as far as possible.
Other public sector banks, including Bank of Baroda and IDBI Bank, have also issued similar advisories, acknowledging that branch-level services such as cash transactions, cheque clearing and customer assistance may face delays.
No official bank holiday has been declared, and online banking, ATM services and mobile applications are expected to remain operational. Customers have been advised to plan important transactions in advance to avoid inconvenience.
Why Are Bank Unions Protesting?
The strike has been called by leading bank unions including the All India Bank Employees’ Association (AIBEA), All India Bank Officers’ Association (AIBOA) and the Bank Employees Federation of India (BEFI). The action coincides with a larger nationwide general strike announced by several central trade unions.
At the heart of the protest is opposition to the Central Government’s implementation of four new labour codes, which consolidate 29 existing labour laws. Union leaders argue that these codes dilute workers’ rights, make union registration more restrictive, extend permissible working hours, and make it easier for employers to hire and fire workers under certain conditions.
Bank unions have also reiterated long-standing sector-specific demands. These include the implementation of a five-day work week in banks, adequate recruitment to address staff shortages, improved work-life balance, and protection of public sector banks from privatisation or strategic disinvestment. Union representatives have claimed that increasing workload, reduced staffing and rising pressure to meet business targets are affecting both employee wellbeing and customer service.
In several states, unions have announced demonstrations, rallies and coordinated protests on the day of the strike. Some union leaders have publicly stated that lakhs of employees from banking and other sectors are expected to participate.
Impact on Customers and Financial Operations
Although banks have sought to reassure customers that contingency plans are in place, the scale of participation will determine the extent of disruption. In previous strikes, public sector bank branches in metropolitan as well as semi-urban areas witnessed partial closures, delayed transactions and longer waiting times.
Private sector banks are unlikely to be significantly affected, as most of them are not directly involved in the strike call. However, services such as inter-bank clearing and settlement processes may see minor delays if participation is widespread.
Industry observers note that while digital banking has significantly reduced dependency on physical branches, a large section of the population – particularly senior citizens, rural customers and small business owners — still relies on in-person banking services. For them, even limited disruption can cause inconvenience.
Bank managements have emphasised that ATMs, online fund transfers, UPI payments and card transactions should function normally. Customers have been encouraged to use digital channels for urgent requirements.
Meanwhile, government officials have not issued a detailed public response to the specific demands raised by bank unions, but have previously defended the labour codes as reforms aimed at simplifying compliance and improving ease of doing business.
The Logical Indian’s Perspective
The proposed strike highlights an ongoing tension between economic reform and labour protection in India’s evolving financial landscape. On one hand, bank employees have legitimate concerns about workload, job security and the implications of new labour regulations.
On the other, uninterrupted banking services are essential to the daily lives of millions of citizens.
Strikes are a recognised democratic tool for expressing dissent, yet their impact on ordinary people cannot be overlooked. Senior citizens waiting for pension disbursements, small traders dependent on daily transactions, and families planning urgent financial transfers often bear the brunt of such disruptions.
Constructive dialogue remains the most sustainable path forward. Transparent engagement between unions, banking leadership and the government could help address worker grievances while ensuring that essential public services remain reliable and accessible. Reform and rights need not be opposing forces; they can coexist if shaped through inclusive consultation.
