Sebi amends hiring policy, to allow 'direct recruitment' only through written exam

Sebi Employee Association wants Sebi to consider its own staffers before tapping external talent

Securities and Exchange Board of India (Sebi) on Friday has amended the employees service regulation to allow 'direct recruitment' only through written examination. The market regulator has also tweaked the composition of internal and external hiring.

The move comes following a petition filed by Sebi Employee Association (SEA) over the market regulator's hiring practice. The Bombay High Court will hear the matter next week.

In the petition, SEA has demanded a stay on the appointment process and has stated that the regulator is resorting to contractual employment instead of promoting eligible candidates from within the organisation. The issue gained momentum when Sebi had recently invited applicants for the executive directors (ED) posts on a deputation basis.

SEA wants Sebi to consider its own staffers before tapping external talent. Insiders say Sebi staffers are being forced to quit and move to the private sector due to lack of promotions within the organisation.