Bank unions on Sunday deferred their three-day nationwide strike following assurance from the Indian Banks' Association (IBA) on their demands.

Banks would thus function normally on Monday. 

Banking services such as cheque clearance, cash withdrawals and deposits were to be disrupted for three days, beginning Monday.

The strike call was given by the United Forum of Bank Unions (UFBU), which coincides with half-yearly closing. The UFBU is an umbrella body representing seven bank employees' and officers' unions.

Committee to be formed

A high-level committee of the IBA and UFBU will be formed immediately to deliberate on the issue of declaring the remaining Saturdays as holidays.

"This committee will explore all possible alternatives, discuss with all the stakeholders, and work out a solution acceptable to all the stakeholders, more importantly, the customers," the UFBU said in a statement.

As regards the performance-linked incentive (PLI) scheme for Scale IV and above officers, the discussions can start with the IBA to propose modifications in the scheme to the government to address the observations of the unions/associations, it said.

The residual issues as listed in the minutes dated 8 March will be discussed between the parties for expeditious resolution, it said.

In view of the above, it was agreed by the UFBU that the proposed agitational programmes and strike actions will be deferred, it added.