Despite branch expansion, PSBs like BOI,BOB and Canara Bank are reporting a decline in staff



The number of staff at various Public Sector Banks (PSBs) in India has been steadily declining over the past three years, despite an increase of bank branches. 


According to the report's comprehensive data, over the past three fiscal years, the number of employees at numerous significant public sector banks, including Bank of India, Canara Bank, Bank of Baroda, and UCO Bank, has decreased. 


 Meanwhile, the number of employees at banks like Punjab National Bank (PNB) and State Bank of India (SBI) has either remained the same or marginally grown.


  • Bank of India:
    • FY23: 52,374 employees
    • FY24: 50,944
    • FY25: 50,564
  • Canara Bank:
    • FY23: 84,978
    • FY24: 82,638
    • FY25: 81,260
  • Bank of Baroda:
    • FY23: 76,513
    • FY24: 74,227
    • FY25: 73,742
  • UCO Bank:
    • FY23: 21,698
    • FY24: 21,456
    • FY25: 21,049
  • SBI (India’s largest public sector bank):
    • FY23: 235,858
    • FY24: 232,596
    • FY25: 236,226
  • PNB:
    • FY23: 102,319
    • FY24: 102,349
    • FY25: 102,316
Even though employee numbers have dropped or remained flat, the number of bank branches has continued to rise, especially in FY25.


Bank Unions Raise Concerns Over Staff Shortage

The declining number of employees in PSBs has prompted concerns from a number of bank employee unions. They have noted that in many branches, only two or three workers handle all of the work, which has an impact on customer service and puts additional strain on current employees. Bank workers protested for improved working conditions and staffing earlier this year in a number of towns. 


 Business Standard was informed by a top bank executive that "there are branches where only two people are working." In such severe situations, we discovered that only three workers were in charge of one or two branches. Urgent action is required in this case.


Government intervenes in response to growing risks to bank employees

According to reports, the Finance Ministry has also urged state and union territory officials to guarantee the safety of bank workers and the seamless operation of banking services. This action was taken in response to many reports of threats, physical attacks, and verbal abuse directed at bank employees at various locations. These reports were extensively disseminated on social media and news outlets.
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Latest Bank Merger News - 2 Banks Amalgamated, RBI issued Notification


The Scheme of Amalgamation of The Adinath Co-operative Bank Ltd., Surat, Gujarat, with Shri Vinayak Sahakari Bank Ltd., Ahmedabad, Gujarat, has been approved by the Reserve Bank of India in the exercise of the authority granted by sub-section (4) of Section 44A read with Section 56 of the Banking Regulation Act, 1949. 



 The plan is scheduled to go into effect on Monday, June 9, 2025. Beginning on June 9, 2025, all of The Adinath Co-operative Bank Ltd.'s branches in Surat, Gujarat, will operate as branches of Shri Vinayak Sahakari Bank Ltd. in Ahmedabad, Gujarat.



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PSU Bank is designated by the Ministry of Finance as the official liquidator for thirty-two bank failures


Punjab National Bank(PNB) is designated by the Ministry of Finance as the official liquidator for thirty-two bank failures. The central government has designated the Punjab National Bank (PNB) as the designated liquidator for thirty-two bankrupt institutions. According to the Ministry of Finance's official notification dated June 3, 2025, which was issued in accordance with Section 39 of the Banking Regulation Act, 1949 (10 of 1949), the Central Government is stating that Punjab National Bank is qualified to serve as the official liquidator in the following banking companies' winding-up proceedings before the Calcutta High Court.


The List of banks is as follows:

1. Associated Bank of Tripura

2. Bank of Calcutta Ltd.

3. Beleghata Bank Ltd.

4. Bengal Bank Ltd.

5. Berhampore Bank Ltd.

6. Bishnupur Bank Ltd.

7. Calcutta Commercial Bank Ltd.

8. Calcutta Industrial Bank Ltd.

9. Calcutta National Bank Ltd.

10. Central Calcutta Bank Ltd.

11. Comrade Bank Ltd.

12. East Bengal Commercial Bank Ltd.

13. Eastern Traders Bank Ltd.

14. Economic Bank Ltd.

15. Girish Bank Ltd.

16. Hazradi Bank Ltd.

17. Kuver Bank Ltd.

18. Lakshmi Industrial Bank Ltd.

19. Mercantile Exchange Bank Ltd.

20. Nath Bank Ltd.

21. National Economic Bank Ltd.

22. Noakhali Union Bank Ltd.

23. Northern Bank Ltd.

24. Pacific Bank Ltd.

25. People’s Credit Bank Ltd.

26. Pioneer Bank Ltd.

27. Pioneer Commercial Bank Ltd.

28. Sonar Bangla Bank Ltd.

29. Sree Bank Ltd.

30. Sterling Bank Ltd.

31. Subarban Bank Ltd.

32. Tripura Modern Bank Ltd.

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PSU Bank asks Branch Heads not to sanction Frequent Leaves of Staff

 


One of India's public sector banks, UCO Bank, has instructed branch managers not to approve frequent staff leaves or request deputations. The Zonal Head of UCO Bank in Dehradun has issued this letter.



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Major Public Sector Banks Collaborate to Establish a Single Small Loan Recovery firm


 Banks in the public sector are making a lot of effort to recover problematic loans. The performance and balance sheet of banks are adversely affected by these problematic loans. Public sector banks are currently planning to establish a single company for loan recovery. The State Bank of India (SBI), Punjab National Bank (PNB), Bank of Baroda, and five other significant public sector banks (PSBs) in India are joining together to establish a pooled collecting agency. 


 Recovering retail and MSME (Micro, Small, and Medium Enterprises) loans under Rs 5 crore would be the primary emphasis of this new company. This partnership aims to streamline and increase the efficiency of the smaller loan recovery procedure. Banks will work together under a single agency rather than handling loan recovery independently.


style="font-family: arial;">For loans made to people and small enterprises, this will lower expenses and increase recovery rates. PSB Alliance Pvt Ltd, a business established by several banks to collaborate on projects, is managing the project. Sources with knowledge of the strategy said PSB Alliance will first develop a "proof of concept." In order to assess how this shared collection firm will function and how it can best handle loan recovery, they will create a working model or pilot.


Once the initial phase is successful, more public sector banks are expected to join the effort and become part of this unified loan recovery system. This collaborative approach aims to help banks better manage their loan portfolios, especially for smaller loans, which can be challenging to recover individually.

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Big Robbery - 59 kg Gold Looted from Bank in Karnataka


A large-scale heist has occurred at Karnataka's Canara Bank. Unknown criminals stole around 59 kilograms of gold jewelry worth ₹53.26 crore and ₹5.20 lakh in cash from the Canara Bank branch in Managuli, which is situated in the Basavana Bagewadi taluk of the Vijayapura district of Karnataka. It is thought that the crime occurred over the long weekend of May 23–25, while the bank was closed for the vacations. When staff member Sambaji D. Kamakar discovered the main shutter lock was smashed at 11:30 a.m. on May 25, the crime was discovered. He then notified Kalmesh Layappa Pujari, the bank-in-Charge, who hurried to the bank and discovered that the window grills and shutter lock had been violently removed, corroborating indications of a break-in.


The Regional Head was promptly informed of the situation and, along by representatives from the Regional Office, arrived by 1:00 p.m. After being notified, the local police arrived at the branch at 1:30 p.m. to start their investigation. When the police and bank officials inspected the strong room, they discovered that the inner grill gate was bent and cut, but the main door was undamaged. One of the steel almirahs that held the pledged gold decorations was empty inside. The bank reported that 1,373 gold packets totaling 59,348.94 grams in gross weight were missing. Nevertheless, about 372 grams of gold were discovered strewn across the floor, making 58,976.94 grams the total amount taken.


A total of ₹5,20,450 was also gone after another cash-containing almirah was inspected. The burglars also took out the CCTV NVR device and its hard drive, deleting all of the crime-related surveillance footage in order to hide their tracks. The heist is thought to have taken place somewhere between 7:00 p.m. on May 23 and 11:30 a.m. on May 25, which coincided with the fourth Saturday and Sunday holiday break. The branch had not been open since May 23. Officials verified that the bank's time to physically inspect and reconcile the remaining gold stock was the reason for the delay in filing the police complaint.


A case has been registered, and a full-scale investigation is now underway. Superintendent of Police Laxman Nimbargi stated that eight special teams have been formed to investigate the incident from all angles. Authorities are treating this as a highly sophisticated and planned heist, and efforts are ongoing to identify and apprehend the culprits.

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Bank Employee Warned for Ordering Pizza During Office Hours





Recently, a shocking explanation letter has been issued to a bank employee for ordering Pizza at office. The employee has been asked to reply why he ordered and ate pizza during office hours. The incident happened at Punjab Gramin Bank in Jalandhar Region.


The Letter said:

With reference to captioned subject, it has been observed that today i.e. 26-05-2025 you have ordered Pizza at 12:00 and started eating the same in office hours at your seat.


Not only it has been violation of lunch hours rules but also created indiscipline and not adhering to set rules and practice.


In view of above, you are advised to submit your reply within two days of receiving this letter, than why disciplinary action should not be initiated against you for violating rules as well as set practices of Bank.


What you think of this, do let us know in the comment section below.


Source - Hellobanker

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One more State implement Old Pension Scheme(OPS) for nearly 2,500 employees


Nearly 2,500 government workers will find great relief as the Punjab government formally announces the Old Pension Scheme's (OPS) implementation. Employees who entered the service after January 1, 2004, but whose job postings or appointment letters were posted prior to that date, would benefit from this long-awaited change. Even though their hiring process started before to 2004, these individuals had up to now been incorrectly classified under the New Pension Scheme (NPS).


The government issued the notification on May 23, 2025, following an order by the Punjab and Haryana High Court. This comes after a prolonged legal battle fought by affected employees seeking justice. Many of these employees have already completed over 20 years of service and belong to various government departments like:


  • Punjab State Power Corporation Limited (PSPCL)
  • Education Department
  • Urban Local Bodies
  • Other administrative departments


Who Will Benefit from the Old Pension Scheme?

As per the updated Punjab Civil Services Rules, Volume II, the OPS will now apply to:

  • Employees who joined after January 1, 2004 but whose posts were advertised or appointment letters were issued before that date.
  • Employees appointed on compassionate grounds after January 1, 2004, if their application was submitted and they met eligibility conditions before 2004.


OPS vs NPS: Employee Choice

Eligible employees will be allowed to choose between:

  • Old Pension Scheme (OPS)
  • New Defined Contributory Pension Scheme (NPS)

However, they must make a decision within 3 months from the date of the notification. If they don’t opt within this period, they will automatically remain under the NPS.


Reactions from Employee Groups

Jasvir Talwara, convenor of the Purani Pension Bahali Sangharsh Committee, called the move a “victory for justice.” He pointed out that these employees should never have been placed under the NPS, and the notification has corrected a long-standing error.

Talwara also urged the government to act quickly and open General Provident Fund (GPF) accounts for all 2,500 employees by May 28, 2025, as ordered by the High Court, so the implementation of OPS can begin without delays.


Concerns Over Remaining Employees

However, employee unions also raised concerns that around 2 lakh other employees who joined after January 1, 2004, are still not covered under OPS. Despite the AAP government’s promise in 2022 to restore OPS for all employees, a full rollback has not been implemented.

Talwara criticized recent efforts by AAP ministers to promote the Unified Pension Scheme introduced by the Centre, which unions strongly oppose.

Chief Minister Bhagwant Mann recently reiterated support for employees with pre-2004 appointments but has not addressed the demands of the larger group hired post-2004.

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CBI has filed a case against hotel directors in Rs. 75 crore fraud case of PSU bank


The Central Bureau of Investigation (CBI) has brought a case against two former directors of Maha Associated Hotels Pvt Ltd in a significant effort to combat bank fraud.  Both Yash Deep Sharma and Laxmi Narayan Sharma, who hail from Hyderabad's Gachibowli neighborhood, are charged with defrauding Punjab and Sindh Bank of Rs.75.44 crore.


 Avdhesh Narain Singh, the zonal manager of the bank, filed a complaint, which prompted the CBI's Bank Security and Fraud Branch (BSFB), located in Delhi, to file the FIR.  Charges under IPC Sections 120-B (criminal conspiracy) and 420 (cheating), together with pertinent provisions of the Prevention of Corruption Act, are included in the FIR.  The case also involves a few unidentified private citizens and state employees in addition to the two directors who have been named.


Actual Case

The bank's complaint claims that in 2013, Maha Associated Hotels Pvt Ltd borrowed Rs.75 crore from the Connaught Circus Branch of Punjab and Sindh Bank in New Delhi. In Neemrana, Rajasthan, the loan was intended to finance the building of a hotel, a plaza with food and entertainment, and a hospitality training academy.

However, the bank has claimed that the monies were misappropriated and not used for these initiatives. On December 31, 2016, the account was designated as a non-performing asset (NPA) due to inadequate financial management and loan non-repayment.


What Happened

Maha Associated Hotels Pvt Ltd is not listed as an accused party, despite the fact that the directors are named individually in the complaint.  Under the Insolvency and Bankruptcy Code (IBC), the Jaipur-based business underwent the insolvency process.  A resolution plan for Rs.11.5 crore plus charges for the Corporate Insolvency Resolution Process (CIRP) was authorized by the National Company Law Tribunal (NCLT) in Jaipur on August 13, 2024.  Regretfully, the bank had little to no security available to recoup the outstanding loan balance.


Recovery of Loan Amount

The bank had obtained a mortgage on Neemrana land and other fixed assets in order to secure the loan when it was initially granted.  However, the bank used the SARFAESI Act to take symbolic ownership of the property in 2017 after the borrowers were unable to repay.  The healing process is still ongoing in spite of this.  The bank requested more than 104 crore in a recovery claim submitted to the Debt Recovery Tribunal (DRT).  That lawsuit has not yet been resolved.


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