Psu Banks Set To Adopt 3-Tier Structure

Public sector banks are all set to shed one operational tier after the successful completion of the voluntary retirement scheme which saw the exit of 99,452 employees across 26 banks.

According to the manpower plan drawn up by most banks and submitted to the finance ministry, the PSBs (public sector banks) plan to shut down their regional offices or zonal offices and cut one level from the present four-tier structure spanning across branches, regional offices, zonal offices and head offices.

While Allahabad Bank is planning to close down zonal offices so that it can re-deploy 600 employees to deficit centres, a similar strategy is being followed by Bank of Baroda.

Indian Bank had already initiated this programme in August 2000. For Canara Bank, the strategy is to merge regional offices with circle offices wherever the two are located at the same centre.