Government Asks Public Sector Banks to improve Working Conditions, Reduce Employee Stress

The government has asked public sector banks to take steps to reduce employee stress and improve working conditions. This decision has been taken due to lots of complaints from bank employees about high work pressure, long hours, unrealistic business targets, and staff shortages.

According to officials, the finance ministry has directed the boards of all public sector banks (PSBs) to identify the main causes of employee stress and prepare clear action plans to fix them. A government official said the banks have assured that they will take action at both the individual bank level and the overall policy level through the government’s EASE 8.0 reforms programme.

Complaints About Long Hours and Extra Duties

The move comes after repeated complaints from bank unions and officers’ associations. Many employees said they are forced to work long hours, face mounting sales and insurance targets, and are even assigned non-banking work such as election duties. Many employees in PSU Banks have committed suicides. Not only junior employees but senior employees are also facing toxic work culture. Shri Iswar Chand Jha, Bank of Baroda Senior Manager, recently committed suicide. Canara Bank AEO committed Suicide allegedly due to Work Pressure. One news that shook the entire country was the death of a Chief Manager in Bank of Baroda. Bank of Baroda Chief Manager in Baramati Pune Died by Suicide Due to Work Pressure. A few months ago, Central Bank Manager had committed Suicide. His Wife alleged that Bank Seniors were Mentally Harassing Him.

These are just a few cases highlighting the toxic work culture prevailing in Banks. A lot more people working in Banks have committed suicide. If you want you can read news of suicides by bankers here. Now, if we talk about work pressure and toxic work environment, then daily some or the other news is received. A branch manager of Bank of Baroda denied leave to staff to take care of his ill mother. Recently a 29 Year Old Girl left her job at Punjab National Bank due to Toxic Work Culture. Her video had gone viral on social media. She stated that she was not happy with her job and finally left the job. 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.