Already reeling under a lot of competition from the private sector, the public sector banks have now got another challenge to face — poaching of trained human resource. The public sector banks (PSBs) are constantly working to retain talent, a senior bank official said. “Though I don’t have exact figures.but I have a hunch that big public sector banks lose about 1,000 people a year to the private and foreign sector banks,” Bank of Baroda chairman and managing director Anil K Khandelwal told reporters on the sidelines of a conference here.Compensation was central to retaining trained manpower, he said, adding a bank-level decision was needed to restrict poaching. He also said government’s performance-based scheme required certain revisions for effective implementation.“Today we are unable to reward performance.the Indian Banks Association (IBA) has made a representation to the government for revising the scheme and we feel that at least 20-25 per cent people in our bank could be eligible for performance incentives,” he added. Union Bank of India chairman and managing director M V Nair pointed out that there was too much monitoring by Central Vigilance Commission in the functioning of public sector banks. “For becoming more competitive, we need to perpare a competitive environment,” Nair said.While BoB chairman supported his view by stating that “it was the feeling of the whole banking industry”. However, Punjab National Bank chairman K C Chakrabarty differed. “The CVC stresses on a methodical process of recruitment and lays down a set of rules which otherwise the bank will have to anyway prepare. I see no problem or contradiction with CVC,” he said.On the other hand, private sector banks too feel recruitment of trained human resource was a challenege.“We continue to hire 150-200 people every month. but recruitment remains a challenge,” said Yes Bank managing director Rana Kapoor. German lender Deutsche Bank’s managing director and CEO for India operations Gunit Chadha said the bank continues to be on a hiring spree and recruited about 2,000 people in various capacities last year. The bank now has a 5,000-strong staff and was keenly awaiting branch licences to expand its retail footprint, he said.
