Government asks PSU banks to take steps to reduce employee stress and improve working conditions

Public sector banks have been urged by the government to take action to lessen employee stress and enhance working conditions. Numerous bank employees have complained about excessive work pressure, long hours, irrational business targets, and staff shortages, which has led to this decision. According to officials, the boards of all public sector banks (PSBs) have been instructed by the finance ministry to determine the primary reasons for employee stress and create detailed plans of action to address them. According to a government official, the banks have promised to implement the government's EASE 8.0 reforms program at the level of individual banks as well as the level of the entire policy.

The action follows many grievances from officers' groups and bank unions. Numerous workers claimed they are required to put up long hours, deal with increasing insurance and sales goals, and even be given non-banking tasks like election work. Numerous PSU Bank personnel have taken their own lives. The toxic work culture affects not just younger employees but even senior personnel. A senior manager of Bank of Baroda, Shri Iswar Chand Jha, recently took his own life. An AEO at Canara Bank allegedly committed suicide as a result of work-related stress. The passing of a Bank of Baroda chief manager was one piece of news that rocked the nation. The chief manager of Bank of Baroda in Baramati, Pune, committed suicide as a result of work-related stress.A few months ago, Central Bank Manager had committed Suicide. His Wife alleged that Bank Seniors were Mentally Harassing Him.

These are only a handful of incidents that demonstrate the poisonous workplace culture that exists in banks. Many more bank employees have taken their own lives. You can read about banker suicides here if you'd like. These days, if we discuss work pressure and a poisonous workplace, we hear about it every day. A Bank of Baroda branch manager refused to allow employees to take time off to care for his ailing mother. A 29-year-old girl just quit her job at Punjab National Bank because of the toxic work environment. On social media, her video had gained a lot of popularity. She claimed that she eventually quit her job because she was unhappy with it.A lot of banks deny leaves to staff and taking leave during month end or quarter end is considered a sin.

This shows that the working environment in public sector banks is now pathetic. The Government needs to immediately intervene and improve the work culture in banks otherwise banks will surely lose the talented staff.

Part of the EASE Reforms

The EASE (Enhanced Access and Service Excellence) programme is an ongoing reform initiative by the Department of Financial Services (DFS) to improve performance and efficiency in public sector banks. Under the EASE 8.0 and EASERise initiatives, the government is focusing on employee welfare, leadership development, and inclusive growth in PSBs.

At the recent PSB Manthan conclave, a special session was held on “Building an inclusive and future-ready workforce.” The session focused on diversity, equity, and skill development across various roles and genders in the banking system.

Banks Introduce New Well-Being Measures

To address stress and improve morale, several PSBs have started new initiatives such as Mentorship programmes for professional growth, Digital counselling platforms for mental well-being, Employee Health Index (EHI) surveys conducted every quarter. Out of 12 public sector banks, seven banks are now conducting EHI surveys regularly, and three banks are sharing the results with their boards to take quick action when needed, a senior bank executive said.