More than 14,000 employees are going to be hired by SBI – Get all Details

The plan to hire more than 14,000 employees is directed by the State Bank of India (SBI) as its new VRS (Voluntary Retirement Scheme). This is the biggest ever good news of 2020 for aspirants who are in search of bank jobs. It is one of the biggest announcement that largest bank of India is deciding to introduce an ‘On Tap VRS’ to optimise human resources and costs. The large hiring is announced as SBI stated that it is going to expand its operations for that purpose they require people.

VRS Scheme

As it is stated above that ‘On Tap VRS’ is introduced to optimise human resources and costs; a SBI spoke person added that “The proposed VRS is not a Cost- Cutting Scheme”. In addition to their statement, they mentioned that “Bank has always provided an employee friendly environment and now it requires more people to expand its operations”.

Bank cleared that, there are around 2.50 lakh working employees, and bank stands at first to serve the needs and assists the life journey of its employees. At the back, it also provided the solution to ones who expressed desire to make a strategic shift at their vocation, which is either due to mobility issues, physical health or family situations.

According to the scheme, “Second Innings Tap VRS 2020” is opened for permanent employees who have age more than 55 years (as on mentioned cut-off date) or the one who have given their 25 years or more to this service.

“It will work as an option and a reputed exit to the officers who have reached the saturation level in their career”, bank said.

Around 11,565 officers and 18,625 staff members are permissible for this scheme.

Net Savings

“Bank is expecting the net saving of INR 1.662.86 crore only if 30% of the applicable employees opt this scheme for retirement, the approximation is based on the salary of July 2020 and the time period for which the scheme will be open is 3 months, this scheme will work from 1st December to end of February every year”, the statement given by SBI.

Advantages to opt this scheme

As per the statement of bank, the employees who opt this service will be highly benefited. “ The employees who gets retirement under the VRS scheme will be paid an ex-gratia i.e., 50% of the salary for the residual service (up to date of superannuation), which is around salary of 18 months”.

Other benefits like medical benefits, pension, gratuity and many more will be provided to the employees under this scheme.

Also, the retired employees under this scheme will have a chance of re-employment or engagement in the bank after the relaxation period (i.e., 2 years’ time after their last working day).

The VRS scheme had once announced in 2001 with the objective to optimize human resources.

The youth of the country will be most benefited from this scheme as their employment chance increases.

AshwiniRana, vice president of National Organisation of Bank Workers said that “The anti-worker attitude of Management is reflected by this move at this time when country is in the grip of Covid-19”.

Some reports also says that SBi is planning to implement the scheme of voluntary retirement as an ‘Economic Measure’.

The statement of Chidambaram states that, “This is the voluntary plan but we know that somewhere the employees from whom the bank wants to get rid of will get pressurised indirectly.”