Bank unions expressed their opposition to the government’s “unfair interference” in the bank’s internal affairs, particularly regarding the periodic review of employees’ performance.

They strongly opposed the government directive requiring banks to submit monthly performance reviews of employees in a prescribed format, stating that it amounted to “micromanagement”.

“The government should not interfere in this matter. All banks are managed by independent boards. Why would the government ask banks to submit a monthly report on the number of employees under scrutiny or retired prematurely?, said CH Venkatachalam, General Secretary, All India Bank Employees Association (AIBEA). line of business

“Why should banks report to the government? AIBEA has already accepted this and there is provision in the Bilateral solution that if someone is found to be missing, the management can take action and direct early retirement.”

Performance review

The Department of Financial Services (DFS) of the Ministry of Finance had sent instructions to the Chairman of SBI and Managing Directors/CEOs of National Banks in late September that managements should periodically review the performance of employees and officers and prematurely retire those found to be unfit. productive.

PSBs have been advised to submit monthly reports in this regard to DFS by the 8th of every month.

“More than 1 lakh bank employees (above 50 years) will be affected by this DFS order. They will now be in tension, face psychological pressure,” noted Venkatachalam.

This DFS order comes after a meeting chaired by the Secretary of the Department of Personnel and Training (DoPT) on August 14 this year to review the performance of employees with a view to strengthening the administrative mechanism.

The purpose of the review is to ensure efficiency, economy and speed in the administration of government functions.

Bank officers are being examined

In case of bank officers in State Bank of India (SBI), performance appraisal will be applicable for those who are 50 years of age or have 25 years of service. Performance review for nationalized bank will be for officers who are 55 years of age or have 30 years of service.

The examination age for junior staff and clerks will be 58 years and above in case of SBI, while in nationalized banks the age will be 57 years and above.

A civil servant can retire early by paying a 3-month notice period or compensation. Civil servants or assistant personnel may be referred to early retirement with a 2-month notice period.

Venkatachalam said that there are various provisions in the Bipartisan Settlements/Rewards/Civil Service Regulations to take action against any employee or officer wherever warranted.

“What the government wants is outside its jurisdiction. They (the government) have no authority to do these things. We did not agree on the bilateral settlement agreement that the government could review. Our agreement with banks says the administration can take action,” Venkatachalam said.

Forty years ago, he noted, bank unions agreed that management could take action if some employees were found to be inefficient. “Our question is why the government should get involved in the internal administrative matters of banks,” Venkatachalam said.

He said bank management had the right to dismiss people on the grounds of inefficiency and that the government should not get involved.

He said AIBEA plans to hold a meeting with other unions soon to discuss the issue.

At the same time, Venkatachalam also maintained that AIBEA is not opposed to any stringent action against employees who are found to be inefficient or may have committed any fraud.