SBI Will Start Recruitment of 10,300 Employees Soon As Workforce Reduced By 15700
Around 15,762 employees who worked in the country’s largest lender State Bank of India, lost their job after the digitization that took place in India. Luckily, for those who were trying to find a job in the banks, the public banking sector is all set to hire more than 10 thousand employees in the banking sector. The recruitment for the jobs in the banking sector will be completed before the end of March 2019.
In a report, Prashant Kumar who is a Corporate Development Officer at State Bank of India said that they are basically replacing the 75 percent of the retirements. These retirements are taking place because of the cost and operational efficiency helped by digitization and the merger process. They are planning to recruit 2,000 probationary officers (POs) and around 8,300 clerical staff in which 1,100 seats will be given to the candidates from the reserved category. The recruitment of the candidates from the reserved category is necessary as per Government norms.
The State Bank of India had to bear the loss of a huge amount of Rs. 7,718 crores which the second highest loss in the banking sector. A total number of 2, 79,803 staff were present at the start of the financial year which eventually reduced to 2, 64,041 in March. As stated by the SBI official, the main reason behind the reduction of staff was retirement and another major reason was voluntary retirement scheme post-merger. Around 3500 employees opted for the voluntary retirement scheme post-merger.
In an interview, Prashant Kumar said that the employees retiring are around 10 to 12 thousand per year and a total of 18,973 employees retired between April 2017 and March 2018. Because of the retirement, the bank has saved around 2.34 percent of staff’s expenses. The employee cost has reduced from Rs. 35,691 crore to Rs. 35,411 crore.
Even though many people lost their jobs but the digitization has helped a lot in improving and modifying the traditional technique which is important for the banking sector. Through digitization, banks are able to provide enhanced customer services which help in saving time.
Digitization also reduces the human error which eventually builds customer loyalty. Digitization has helped the customers with cashless transactions. Because of the digitization, the customers don’t have to carry money every time they go somewhere.
Prashant Kumar at the end of the interview said that the State Bank of India is trying its best to train the employees. He added by saying that they are mostly focusing on the leadership pipeline and it is further planning to improve the skills, technology of the banks.