V R S - The Golden Hand Shake to rejenuvate the Public Sector Banks

1969 saw banks being a part of the national economic structure and in 1980 the sector being pumped with lot of measures regulating their operations to ensure that they become more focused on their achievements and having back up of their network ensured rapid growth quantitatively and made the banks suffer with inefficiency, not able to produce profit, over burdened banking economy, oversized employee strength and under capitalization. Golden Handshake – the RBI mantra to revive and re surge the growth of public sector banks in the industry was Voluntary Retirement Scheme was formally approved and initiated across the overburdened and oversized public sector banks in the year 2000. This scheme being the exit policy for the bank employees uniformly across the length and breadth of the country, to bring in competitive edge posed by the economy but also to reduce the over sized staff strength that was a huge burden to the economy of the public sector banks. This initiative postulated to shred the unwanted and non productive employee strength and retain the productive, effective and smart employee to build the organisation, the industry and the sector to new zenith.