Govt diktat on SC/ST quota rankles PSU banks
12 Mar 2010, 0337 hrs IST, Atmadip Ray, ET Bureau
KOLKATA: The long pending issue of reservation for scheduled castes
(SCs) and scheduled tribes (STs) in the country's public sector banks
(PSBs) is
back on centrestage. The Centre has just asked all PSBs to follow a
reservation policy for SC/STs at all officers' categories which has
rankled banking circles. The government's direction was induced by a
Madras High Court judgement, which asked five public sector banks
including Canara Bank, Uco Bank and Union Bank of India to follow the
reservation rule.
According to a government order, PSBs need to promote at least 15% SC
and 7.5% ST candidates at all officers' levels from Scale I
(probationary officer) to Scale VII (general manager). "As the
government issued a general notification following a Madras High Court
ruling, all banks will have to adhere to the direction," a senior
official at Union Bank of India told ET.
Senior officials at various banks feel that such a reservation may be
largely counter-productive. So much so, banks have already moved the
Supreme Court looking for a stay order against the High Court ruling.
The case will be up for hearing on March 15.
Such a hullabaloo over the reservation issue has the potential to
throw PSBs' promotion exercise and manpower management out of gear.
The issue resurfaced at a critical time when PSBs are saddled with
manpower crunch at senior levels amid exodus due to retirement.
When contacted, Canara Bank CMD AC Mahajan refused to comment on the
issue saying: "I don't want to comment on this as my bank was
impacted. I want to remain away from the controversy." Reservation for
SCs and STs in matters of promotion at all government agencies started
way back in 1997 following a Constitutional amendment (77th
amendment).
Consequently, PSBs started follow the reservation policy when clerical
cadres get promoted to officers' level. But these banks never followed
reservation policy for promotions within officers' level. However,
they used to follow a policy called 'zone of consideration', which
translate into favourable treatment for SCs and STs at time of
promotion up to scale III.
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