Public sector banks will recruit big-time this year too

Public sector banks will continue their big-time recruitment drive this financial year. They will be recruiting by the thousands. Last year, the Institute of Banking Personnel Selection (IBPS) helped public sector banks fill 48,000 vacancies and this year the scenario is going to be no different, according to Director of the Institute, Mr M. Balachandran. Given the huge demand for manpower over the next few years, the Institute is planning to offer ‘jobs-ready' candidates for the banking system. The Institute will take care of pre-placement training of the selected candidates on behalf of banks. The manpower crunch in the banking system, depending on productivity improvements, is estimated to be anywhere between 4 lakh and 7 lakh over the next 10 years, according to Mr M. V. Nair, Chairman and Managing Director, Union Bank of India. Banks are facing manpower crunch as thousands of employees who were recruited in the mid- to late-1970s will be superannuating in the next few years. There was a recruitment freeze for the better part of the 1990s. Hence, there is a fear of vacuum at the mid-management level.

HR challenges
“Public sector banks face a host of HR challenges, such as right manpower recruitment, training, retaining talent, succession planning, and leadership development… “Banks have to respond to the needs of the tech-savvy gen-next customers as well as the loyal old customers,” said Mr Nair, who is also the Chairman of IBPS. Union Bank of India is planning to recruit about 3,400 personnel in FY12 to take care of separation due to superannuation and attrition. According to Bank of Baroda Chairman and Managing Director, Mr M. D. Mallya, banks should build competencies based on six pillars: buying (source the right manpower); building (provide training and development); borrowing (bring in specialist resource persons from outside); bounding (provide the right environment); bouncing (weed out non-performers); and binding (retain talent). BoB is planning to augment its workforce by about 4,500 in the current fiscal, said Mr Mallya, who is also the Chairman of the Indian Banks' Association. State Bank of India, according to its Chief General Manager Mr A. K. Garg, is planning to boost its workforce by about 7,000, against 23,000 last year. “Since banking is becoming technology intensive, we need not necessarily replace every candidate who superannuates,” said Mr Garg. - www.thehindubusinessline.com