As bank consolidation process of the Government is gaining momentum, Banks Board Bureau (BBB) functioning under the Finance Ministry, has begun the selection process for top executive in all public sector banks (PSBs) in the country. last month, after having successfully conducted the interviews for the posts of Managing Directors (MD) and CEOs of three public sector banks for the first time, the BBB will be conducting interview now for the post of Executive Directors (EDs) of all PSBs. It is expected that a total of 49 General Managers (GMs) are in race for 17 ED posts, which have been lying vacant for a long time. The interviews are scheduled to take place in Mumbai in two phases, which are slated for June 16 and June 25 respectively.
The BBB headed by former Comptroller and Auditor General (CAG) chief Vinod Rai had interviewed 10 candidates in the middle of May for the post of MD and CEO in three PSBs - Bank of Maharashtra, Indian Overseas Bank and United Bank of India. The bureau then also hinted that it would follow the selection of EDs soon. The results of such candidates are yet to be declared by the bureau.
"After successfully conducting the interviews for the posts of MD and CEOs of three public sector banks for the first time, the BBB will be conducting interview now for the post of EDs of all PSBs starting from this week. The interviews are scheduled to take place in Mumbai in two phases, which are slated for June 16 and June 25 respectively. There are 17 vacancies for the post of EDs and 49 GMs are in fray," a source close to the development told The Pioneer on Monday.
"A day-long selection process will be held at the Reserve Bank of India (RBI) headquarter in South Mumbai for the first phase on June 16, followed by the second phase on June 25," the source added.
After the interview, the source added, the Appointments Committee of the Cabinet would take the final call on the names shortlisted by the BBB. It is, however, expected that the selection process of all top executives will be completed by the end of this month. This is the first instance, where the BBB was engaged in picking up candidates for both the PSB chiefs and its top executives.
"The selected candidates will take charge in the month of July this year and look after their respective departments in the concerned banks from the beginning of second quarter of this financial year," the source added, saying that the result of the interviews held last month for the post of MD and CEOs will be declared on June 15 itself so as to know the exact number of vacancies for EDs.
However, a senior official in the Finance Ministry said that the BBB which got fully operational from April this year weighed on the suitability of each candidate for the post of ED and prepared a shortlist for the post. When asked about the names of the candidates, he declined to disclose the names of the candidates shortlisted by BBB.
As the banking sector has been facing crisis for a long time due to piling up of bad loans or non-performing assets (NPAs), pressures in profitability and other issues as well, the Finance Ministry has been engaged in providing huge relief to the sector in many innovative ways. Strengthening the human resource (HR) departments for cultural integration in the banking sector, has been a great challenge for the Government.
"Many posts of executive directors have been falling vacant for a long time from now. Ahead of banking consolidation, the Government is making its all-out effort to fill them as soon as possible. Human resources are becoming big challenges before the Government to make the sector viable and profitable as well," the official added.
last month, the BBB boss Rai had said that while the Bureau would work on a range of issues including capital infusion and consolidation of PSBs, the immediate priority before would be the selection of senior management personnel for vacancies in PSBs.