Industrial Development Bank of India (IDBI Bank) has appointed its chief general manager, A V Hodavadekar, to head the erstwhile United Western Bank (UWB) operations as a strategic business unit (SBU). | |
| UWB branches today started functioning as IDBI Bank branches after remaining closed since the Reserve Bank of India (RBI) placed the Satara-based bank under a moratorium as its capital adequacy ratio turned negative as on June 30, 2006. |
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| IDBI Bank chairman, V P Shetty, was at UWB's headquarters and exhorted UWB employees to "think big". He comforted the employees that they are crucial for IDBI Bank's plans. UWB had employee strength of 3,000, including 1,000 clerks. |
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| Shetty urged the employees not to go in for a voluntary retirement scheme (VRS), which would be in force for a month following UWB's merger with IDBI Bank. |
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| The average age of employees is 46-47 years and thus IDBI will have to grapple with challenging of skill sets and knowledge and attitude change. As a part of amalgamation scheme IDBI will get three years to harmonise the human resource related issues. |
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| Shetty said IDBI will benefit from UWB's strong network to grow retail and rural business, he said. As a consequence of merger, the share of Maharahstra will increase in IDBI Bank's business portfolio. |
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| Gradually, IDBI's development finance products would also be rollout through UWB's branches. |
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