New clerk recruits in public sector banks will have to serve three years mandatorily in rural and semi-urban areas. Also, only graduates will now be eligible for taking clerical examinations for banks, as opposed to intermediate passed candidates at present.
These are some of the recommendations of the A. K Khandelwal Committee that have been accepted by the Government. All banks have now been asked to prepare a human resource plan incorporating these recommendations and get them approved by their Boards of Directors latest by December 31, 2011.
The Khandelwal Committee was set up on October 22, 2009 to study human resource issues of public sector banks. The committee has made 105 recommendations.
According to a October 21 letter from the Department of Financial Services to all public sector banks, the recommendation regarding fresh recruitment of clerks to be restricted to rural and semi-urban branches has been accepted. Regarding mandatory service, banks will decide on rural and semi-urban posting of three years to be completed within the first 10 years of service.
Another approved recommendation asks “each bank to carry out detailed and structured manpower planning exercise every year for a time spectrum of five years, linking it with strategic and business plans.” Individual banks will decide and consider, according to their need, on officer-clerk ratio of 1.0:0.5 for metro and urban branches and 1.00:0.75 for semi-urban branches in the next three years.
All banks will now make testing computer skills mandatory for both officer and clerical cadres.
As regards the risk culture, the Government has accepted the recommendation, in principle, about accountability of non-performance to be dealt with through premature retirement provisions. Review for premature retirement will be carried out when an officer reaches the age of 55.