Unions of officers of Public Sector Banks (PSBs) of the country made a u-turn, by cancelling two-day strike beginning September 26, within hours of announcing protest programs including an indefinite strike on Monday evening.

The move follows reconsideration of the decision by the union leaders in Delhi, sources said. Unions had actually planned a series of protest against government's decision to merge PSBs in to four large banks.

"The two-day strike has been cancelled. The program of indefinite strike and other protests also stands cancelled," said Raman Vaghela, general secretary of All India Bank Officers' Confederation (AIBOC) in Gujarat. Earlier during the day, representatives of AIBOC had told media persons that unions of officers have planned an indefinite strike in November, but the dates are yet to be finalized. Leaders of bank unions in Ahmedabad conducted protests on Monday.

They were protesting against a host of government decisions that also include merging of PSBs to form four large PSBs. The move, officers' unions say, is a ploy to hide the issue of bad loans in the country.

They had also demanded fresh recruitment as PSBs have an estimated manpower shortage of 15 per cent, proper pay revision and the existing formula of 12 per cent rise is not acceptable to them.