Pvt banks workforce up by 40%, public banks by 2%

The Assocham study on 'Workforce Expansion in Banking Sector' also said in FY 2007-08 the employee cost of private banks has sharply gone up by 50 per cent, while public sector banks witnessed only meagre rise of 2 per cent in their staff expenses.

"Consistent increase in the workforce of private banks is a very positive development, in both respects of employment generation and branch expansion," Assocham President Sajjan Jindal said in a statement. The workforce is growing fast owing to rapid branch expansion, he said.

 

Axis Bank has recorded the highest growth of 52 per cent in its workforce, followed by Kotak Mahindra (51 per cent), HDFC Bank (44.35 per cent) and ICICI Bank (31.27 per cent), the study said.

Axis Bank also topped the chart by registering a growth of 76 per cent in its employee cost in the last fiscal, against 59 per cent in the corresponding period of the previous year, it said.

However, public sector banks exhibited moderate growth in its staff expenses. In the last financial year, growth in employee cost has been quite low. PSU banks have recorded a rise of 1.89 per cent against 2.08 per cent in 2006-07, it added.

State Bank of India, Dena Bank and Union Bank of India reported a decline of 1.85 per cent, 3.44 per cent and 3.25 per cent respectively in their employee expenses the last fiscal. The study is based on the data collected from 16 public sector banks and eight private sector banks.