Taking forward the process of privatization, the government has selected these two banks. The government may soon propose VRS to bank employees. This will help the workers.
The work of privatization of banks by the government is going on continuously. In this episode, two banks coming under the state government are also involved. In such a situation, the government can offer VRS to about 83 thousand employees of these banks. Through which they can take retirement of their own free will. By taking this option, they will not have to lose their job, while the work of privatization of the government will also become easier.
Finance Minister Nirmala Sitharaman had proposed privatization of public sector banks (PSBs) and a general insurance company during the 2021-22 budget on February 1. According to sources, an attractive VRS will make them suitable for acquisition by private sector entities through the scheme.
NITI Aayog has been entrusted with the task of identifying suitable candidates for privatization. For this a high level panel was constituted under the chairmanship of Cabinet Secretary Rajiv Gauba. This panel will recommend the names of eligible candidates to work in private banks.
Other members of the high-level panel include Secretary of Economic Affairs, Secretary of Revenue, Secretary of Expenditure, Secretary of Corporate Affairs, Secretary of Legal Affairs, Secretary of Department of Public Enterprises, Secretary of Department of Investment and Public Asset Management (DIPAM) and Administrative Secretary. . After approval from the core group of secretaries, the final name will go to its (AM) and it will go to the cabinet headed by Prime Minister Narendra Modi for final approval.
Central Bank of India, Indian Overseas Bank, Bank of Maharashtra and Bank of India are some of the names that are being considered for privatization by the core. VRS scheme can be offered to the employees working in these banks. Under this, they are not forcibly fired, but this option is better for those who want to take early retirement with good financial package.
