The ministry of finance has called a high-level meeting of chiefs of major public sector banks to discuss recast of HR policies on Thursday.
Financial services secretary R Gopalan and Planning Commission member Arun Maira are likely to meet chiefs of five state-owned banks?State Bank of India, Punjab National Bank, Bank of Baroda, Union Bank of India and United Bank of India ?to discuss Khandelwal committee report suggesting major changes in PSB?s HR policies.
The committee was appointed by the ministry of Finance (MoF) under the chairmanship Anil Khandelwal, former chairman of Bank of Baroda, to chart out action plans for PSBs on HR front. Sources said that a presentation will be made by the government before a select group of bankers and academicians during the meeting.
Representatives from premier management institutes like Indian Institute of Management (Ahmedabad) & IIM (Kolkata) and Indian School of Business (Hyderabad) are also likely to attend the meeting, added the source.
Another committee formed under Alok Nigam, joint secretary MoF, to find out the ways to implement Khandelwal report, has also recently submitted its report.
Khandelwal report has recommended bank specific wage and service conditions instead of industry-wide settlement. The report has also suggested that variable pay should be made a major component of wages and banks should to go in for cost to company (CTC) in the future.
Banks should also monitor staff costs and endeavour to achieve staff cost ratio of 50% in the next five years, said the report.
The report has advocated that based on well defined efficiency criteria major PSBs could be recognised and rewarded for their superior performance and excellence while some large well performing banks to be considered for ?Navratna? status and smaller banks for ?Mini Navratna? status.
Large banks with business mix of over Rs 3 lakh crore to be provided ED (HR) to drive HR agenda from the top. A steering committee of the board on HR to be constituted to discuss critical HR issues, said the report ..
On manpower and recruitment planning, the report has said it should be an annual well structured and rigorous exercise for five year period, factoring gaps in skills and competencies.