The Finance Ministry has asked public sector banks to complete the next wage revision process for employees and officers within the next 12 months, aiming to ensure salary hikes are implemented on time from November 2027.
The move relates to the upcoming 13th Bipartite Settlement, under which salaries, allowances and service conditions of bank staff are revised every five years.
Officials have asked banks to begin preparations early and avoid delays that affected previous wage settlements. The government said timely completion of the process is important for smooth operations and industrial harmony in the banking sector.
Usually, wage negotiations are handled by the Indian Banks’ Association with employee unions and officers’ bodies. The final agreement impacts lakhs of employees working in public sector banks and some private lenders.
The ministry has also asked banks to complete necessary approvals and procedural changes in advance so that the revised salary structure can be implemented without delay.
The development comes at a time when public sector banks are reporting strong profits and improved balance sheets after years of clean-up and reforms.
Employee unions are expected to closely monitor the talks, as the settlement directly affects salaries, allowances and retirement benefits.
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