DEVI AHILYA VISHWAVIDYALAYA

INDORE

School Of Commerce

Bachelor of commerce
(Accounting & Tax Management)
Batch 2019-22
Major Research Project on:-
“A study on human resources management in Indian
banking sector (special reference to PNB )”
GUIDED BY: - SUBMITTED BY:-
Dr.swati kendurkar. SANGAMSOLANKI
B.COM (ATM) 6th Sem
Lecture (DAVV). Roll No:-BATM/19/1519

[1]
Dr.Swati Kendurkar SANGAM SOLANKI
Lecturer (DAVV) B.COM (ATM) 6THSEM

ROLL NO. :-BATM/19/1519

Acknowledgement

I sincerely express my deep sense of gratitude to Dr.Swati Kendurkar, senior faculty of School
Of Commerce, DAVV, Indore for her extraordinary cooperation and precious guidance
throughout my Major Research Project. She has devoted her valuable time and motivated me at
every step towards completing this project. The study would not been possible without her
generous guidance.

I am deeply indebted to Dr. Preeti Singh for her continuous support and blessings. Her support
has rendered me great help towards this project.

I also express my sincere gratitude to my family members, friends and all those who directly and
indirectly involved for extended support throughout the project.

SANGAM SOLANKI

[2]
 CERTIFICATE

This is certify that Mr. Sangam Solanki has executed the project entitled “A study on

Human Resource Management in Indian Banking Sector (with special

reference to PNB)” under my supervision and the report submitted therewith is the result
of work done under my supervision.

Dr.swati kendurkar
Place: Indore
Date:24/05/2022

[3]
 DECLARATION

I Sangam Solanki, student of Bachelor Of Commerce (Accounting and Tax Management) at

SCHOOL OF COMMERCE of DEVI AHILYA VISHWAVIDYALAYA, 2019-22 batch,
hereby declare that Project Report Titled “A study on Human Resource Management in
Indian banking sector (with special reference to PNB)” is the outcome of my own work and
the same has not been submitted by any Institute for the award of any degree or any Professional
diploma.

Place: Indore SANGAM SOLANKI

Date: 24/05/2022 B.Com (ATM)
Roll no. BATM/19/1519

[4]
 CONTENT

Content Page no.

S.no
1. Chapter 1 07-12

1.1 Introduction

1.2 About HRM

1.3 Literature review

1.4 Objective of the study

1.5 Research methodology

1.6 Hypothesis of the study

2. Chapter 2 13-18

2.1 History of HRM

2.2 Meaning of HRM

2.3 Definition of HRM

2.4 Scope of HRM

2.5 Features of HRM

[5]
 3. Chapter 3 19-24

3.1 What is bank

3.2 Definition of bank

3.3 Features of bank

3.4 Indian banking - an overview

4 Chapter 4 25-30

4.1 Evolution of HRM practices in banking

industry in India.

5. Chapter 5 31-52

5.1 Analysis

6. Chapter 6 53-61

6.1 Findings

6.2 Conclusion & suggestions

6.3 References

6.4 Annexure

[6]
CHAPTER ONE
1.1 INTRODUCTION

1.2 HISTORY OF HRM

1.3 LITRETURE REVIEW

1.4 OBJECTIVES OF THE STUDY

1.5 RESEARCH METHODOLOGY

[7]
1.1 Introduction

The history of Human Resources Management did not begin at the moment when Dave Ulrich
published his first book about Human Resources. He discovered the importance of Human
Resources Management for successful organizations but the people management was crucial
even in ancient China. The HR history is about the evolution of first communes and growth of
first ancient societies.
A modern contemporary HR Organization designs and develops strategic processes and
procedures; it runs difficult and complex communication campaigns as the organization attracts
the best talents from the job market; it retains them with the attractive compensation packages, or
it develops them in talent development programs. On the other hand, the British Honorable East
India Corporation was running complicated procedures to identify new leaders who could
conquer and lead business opportunities in new areas. It just followed inventions and innovations
introduced by the British Navy in the 16th century.

An Introduction of the HR Management has begun in 70's of the 20th century. New

technologies allowed the growth of large multinational organizations; that was the moment when

the new wave of globalization has begun. The Personnel Departments turned into Human

Resources Departments. They started to manage processes and procedures around the globalized

workforce. From that times, most HR Functions are running complex HRIS solutions, which

make information about employees available anywhere and anytime to HR Professionals

The story of the modern Human Resources started as evidence of all employees. It dealt with
issues and requests. Later, the negotiations with Trade Unions were added as a strategic
relationship of the organization. Over time, Human Resources evolved into a strategic business
partner, and it makes the HR Management History fascinating.

[8]
1.2 PUNJAB NATIONAL BANK-

Punjab National Bank, India’s first Swadeshi Bank, commenced its operations on April 12, 1895
from Lahore, with an authorised capital of Rs 2 lac and working capital of Rs 20,000. Far-sighted
visionaries and patriots like Lala Lajpat Rai, Mr. E.C. Jessawala, Babu Kali Prasono Roy, Lala
Harkishan Lal and Sardar Dyal Singh Majithia displayed courage in giving expression to the
spirit of nationalism by establishing the first bank purely managed by Indians with Indian Capital.
During the long history of the Bank, 7 banks have merged with PNB.

The Bank’s brand image and trust reposed by its customers have been reflected in growing
customer base and rising business graph of the Bank. Domestic Business of the Bank is over
Rs.10 lakh crore and the Bank continues to maintain its forte in low cost CASA deposits. The
Bank has shaken off one of the biggest adversities in its history and has rebounded back. Focus
on recovery and arresting fresh slippages with a simultaneous shift towards higher earnings
through qualitative credit growth alongwith rationalization of Risk Weighted Assets (RWAs) has
helped Bank to return to profit and improve CRAR.

The Bank has been able to achieve better results in the quarter owing to MISSION
PARIVARTAN, a transformational exercise underway for Business Excellence aimed at
enhancing Efficiency, Productivity and Profitability for long term sustenance and giving the Bank
an edge over its competitors. `Mission Parivartan Division`, an independent `THINK TANK`
formed to initiate, implement and drive change through improvement in People, Products and
Processes, has enabled Bank to serve the customers with enhanced vigour and zeal to live upto its
tagline “The Name you can Bank Upon”.

[9]
1.3 LITRETURE REVIEW

1. “Management of Human Assets” by M.G.Rao, a compendium, threw light on the

complexities of Managing human beings in the present day organizations. The various aspects of
HRM in relation to small scale units operating in industrial estates have been presented initially,
followed by theoretical presentation on HRD, different aspects of training, organizational
development, employee participation, etc. The effects of training and employee developmental
activities have also been put to close examination. It also has been put to find how the employee
related activities flourish in various other sectors like urban government, cooperatives, informal
sector and small sector.

2. “HRM 2000” by P.Subbarao, a compendium, presented the various developments in the

HRM in a comprehensive form. It is also attempted to look into the current trends in Human
Resource Function with a view to outline the future development that are likely to take place in
the years ahead. It also discussed in a lucid manner the topics such as job analysis, job
evaluation, employee benefits, recruitment and selection, line staff conflicts, social responsibility
policies along with other current topics such as organizational A Study On Hrm Practices In
Public Sector Banks In Krishna giri District culture and climate, organizational politics,
organizational effectiveness, follower ship, participative management, dual career problems,
quality of work life, qualify circles and organizational development.

3. Jayanthi Lal Jain, in his study entitled “An Empirical Model on Micro-Level
Manpower Planning in Banks”, presented an empirical model for micro-level manpower
planning in banks and provided a framework required for evolving certain norms which have
already been in vogue in the Indian Bank and have proved to be extremely useful in planning as
well as allocating staff to various branches of the bank. It also suggested values of
parameters/norms to be used in micro-level manpower planning and provided a frame work for
assessing the viability of norms and gave guidelines for proper implementation of those norms.

[10]
1.4 OBJECTIVES OF THE STUDY

In general research objectives describe what we accept from research. This research contains

following objectives;

[1] To study the different aspects of human resources management in Indian banking sector
(with special reference to PNB).

[2] To study the HRM practices and policies in Indian banking sector (with special reference
to PNB).

[3] To understand the challenges and issues of HRM in Indian banking system sector (with
special reference to PNB).

1.5 RESEARCH METHODOLOGY

The research will use proposed methodology during the tenure of research work:

● Research Design
The present study is unexploratory research. It is an attempt to identify the human resources
management policies and practices in Indian banking system.
● Sample Design
The sample size will consist 50 respondents which include employees of Punjab National Bank.
The respondents will be selected on a random sampling technique.
● The Tools
A questionnaire will be developed after reviewing the literature besides ascertaining personal
view of bank employees.
● Research Methodology
A survey questionnaire has been used as a primary instrument to collect information. The pre-
pilot survey was conducted based on a strong literature survey in consultation with
practitioners and consultants in the field of banking sector. In the last full scale survey

[11]
 was conducted in the Indore city of state MP. A total of 50 questionnaires were
distributed by randomly selecting respondents from Punjab National Bank.

1.6 HYPOTHESIS OF THE STUDY

To give specific focus on the objectives, a few hypothesis have been drawn up and tested by
using appropriate statistical tools.
H01: There is no significant difference between the genders of the respondents.
H02: The level of satisfaction between rural and urban customers does not differ significantly.
H03: All the respondents are well aware of the concept of Human Resource Management.

[12]
CHAPTER TWO

2.1 HISTORY OF HRM

2.2 MEANING OF HRM
2.3 DEFINITION OF HRM
2.4 SCOPE OF HRM
2.5 FEATURES OF HRM

[13]
2.1 About Human Resources Management

The history of Human Resources Management did not begin at the moment when Dave Ulrich
published his first book about Human Resources. He discovered the importance of Human
Resources Management for successful organizations but the people management was crucial
even in ancient China. The HR history is about the evolution of first communes and growth of
first ancient societies.
A modern contemporary HR Organization designs and develops strategic processes and
procedures; it runs difficult and complex communication campaigns as the organization attracts
the best talents from the job market; it retains them with the attractive compensation packages, or
it develops them in talent development programs. On the other hand, the British Honorable East
India Corporation was running complicated procedures to identify new leaders who could
conquer and lead business opportunities in new areas. It just followed inventions and innovations
introduced by the British Navy in the 16th century.

The introduction of the HR Management has begun in 70's of the 20th century. New technologies
allowed the growth of large multinational organizations; that was the moment when the new
wave of globalization has begun. The Personnel Departments turned into Human Resources
Departments. They started to manage processes and procedures around the globalized workforce.
From that times, most HR Functions are running complex HRIS solutions, which make
information about employees available anywhere and anytime to HR Professionals

The story of the modern Human Resources started as evidence of all employees. It dealt with
issues and requests. Later, the negotiations with Trade Unions were added as a strategic
relationship of the organization. Over time, Human Resources evolved into a strategic business
partner, and it makes the HR Management History fascinating.

[14]
2.2Meaning of HRM

Human Resource Management (HRM) is an operation in companies designed to maximize

employee performance in order to meet the employer's strategic goals and objectives. More
precisely, HRM focuses on management of people within companies, emphasizing on policies
and systems.

In short, HRM is the process of recruiting, selecting employees, providing proper orientation and
induction, imparting proper training and developing skills.

HRM also includes employee assessment like performance appraisal, facilitating proper
compensation and benefits, encouragement, maintaining proper relations with labor and with
trade unions, and taking care of employee safety, welfare and health by complying with labor
laws of the state or country concerned.

2.3 Definition of HRM

In Managing Human Resources: Personnel Management in Transition, Stephen Bach (2005:3)

argues that, compared to a decade ago, much of the controversy about the definition of HRM has
dissipated. He considers that, in part, this may be due to the use of a broader and more
encompassing definition of HRM. However, Bach (p.4) shows that the debate has not vanished
by disagreeing with Box all and Purcell's (2003:1) statement that HRM refers to:

"... all those activities associated with the management of the employment relationship in the
firm. The term 'employee relations' will be used as an equivalent terms as will the term 'labor
management'."

Bach argues that this definition is 'a little too broad', stating that such a broad definition makes it
difficult to:
[15]
 ● Highlight any distinctive features or values that underpin HRM

● Chart changes in the practice of HRM

● Understand the controversy surrounding HRM

In Bach's opinion, HRM differs from employee relations in its focus on management practices
and tendency to ignore the interests of employees. In fact, he holds quite 'hard' views on the
nature of HRM:

● HRM is unitary (employer and employee interests should coincide) with an emphasis on
organizational effectiveness

● The interests of other stakeholders such as employees are marginalized

● There is a predominant interest on the individual firm - specifically, within the firm -

focused on individual employee motivation and aspiration

● There is a consequent playing down of external and collective (unionization) issues.

Human Resource Management, 4th edition discusses the use and meaning of the term 'human

resource management', presents a number of textbook definitions and provide a working

definition for the book:

A philosophy of people management based on the belief that human resources are uniquely
important in sustained in success of business. An organization gains competitive advantage by
using its people effectively, drawing on their expertise and ingenuity to meet clearly defined
objectives. HRM is aimed at recruiting capable, flexible and committed people, managing and
rewarding their performance and developing key competencies.'

2.4 The Scope of HRM

[16]
The scope of HRM is very wide. It consists of all the functions that come under the banner of
human resource management. The different functions are as follows −

Human Resources Planning

It is the process by which a company identifies how many positions are vacant and whether the
company has excess staff or shortage of staff and subsequently deals with this need of excess or
shortage.

Job Analysis Design

Job analysis can be defined as the process of noticing and regulating in detail the particular job
duties and requirements and the relative importance of these duties for a given job.

Job analysis design is a process of designing jobs where evaluations are made regarding the data
collected on a job. It gives an elaborate description about each and every job in the company.

Recruitment and Selection

With respect to the information collected from job analysis, the company prepares
advertisements and publishes them on various social media platforms. This is known as
recruitment.

A number of applications are received after the advertisement is presented, interviews are
conducted and the deserving employees are selected. Thus, recruitment and selection is yet
another essential area of HRM.

Orientation and Induction

After the employees are selected, an induction or orientation program is organized. The
employees are updated about the background of the company as well as culture, values, and
work ethics of the company and they are also introduced to the other employees.

Training and Development

[17]
Employees have to undergo a training program, which assists them to put up a better
performance on the job. Sometimes, training is also conducted for currently working experienced
staff so as to help them improve their skills further. This is known as refresher training.

Performance Appraisal
After the employees have put in around 1 year of service, performance appraisal is organized in
order to check their performance. On the basis of these appraisals, future promotions, incentives,
and increments in salary are decided.

Compensation Planning and Remuneration

Under compensation planning and remuneration, various rules and regulations regarding
compensation and related aspects are taken care of. It is the duty of the HR department to look
into remuneration and compensation planning.

2.5 Features of HRM

Human Resource Management as a discipline includes the following features −

● It is pervasive in nature, as it is present in all industries.

● It focuses on outcomes and not on rules.

● It helps employees develop and groom their potential completely.

● It motivates employees to give their best to the company.

● It is all about people at work, as individuals as well as in groups.

● It tries to put people on assigned tasks in order to have good production or results.

● It helps a company achieve its goals in the future by facilitating work for competent and
well-motivated employees.

● It approaches to build and maintain cordial relationship among people working at various
levels in the company. Basically, we can say that HRM is a multi-disciplinary activity,
utilizing knowledge and inputs drawn from psychology, economics, etc.

[18]
 CHAPTER 3

3.1 What is a Bank

3.2 Definition of a Bank

3.3 Characteristics / Features of a Bank

3.4 Indian Banking - An Overview

[19]
3.1 What is a Bank

A bank is a financial institution which deals with deposits and advances and other related
services. It receives money from those who want to save in the form of deposits and it lends
money to those who need it. The term bank is either derived from old Italian word banca or from
a French word banque both mean a Bench or money exchange table. In olden days, European
money lenders or money changers used to display (show) coins of different countries in big
heaps (quantity) on benches or tables for the purpose of lending or exchanging.

3.2 Definition of a Bank

Oxford Dictionary defines a bank as "an establishment for custody of money, which it pays out
on customer's order."

3.3 Characteristics / Features of a Bank

1. Dealing in Money - Bank is a financial institution which deals with other people's money

i.e. money given by depositors.

2. Individual / Firm / Company - A bank may be a person, firm or a company. A banking

company means a company which is in the business of banking.

3. Acceptance of Deposit – A bank accepts money from the people in the form of deposits

which are usually repayable on demand or after the expiry of a fixed period. It gives safety to the

deposits of its customers. It also acts as a custodian of funds of its customers.

4. Giving Advances - A bank lends out money in the form of loans to those who require it

for different purposes.

[20]
5. Payment and Withdrawal – A bank provides easy payment and withdrawal facility to its

customers in the form of cheques and drafts, it also brings bank money in circulation. This

money is in the form of cheques, drafts, etc.

6. Agency and Utility Services - A bank provides various banking facilities to its customers.

They include general utility services and agency services.

7. Profit and Service Orientation - A bank is a profit seeking institution having service

oriented approach.

8. Ever increasing Functions - Banking is an evolutionary concept. There is continuous

expansion and diversification as regards the functions, services and activities of a bank.

9. Connecting Link - A bank acts as a connecting link between borrowers and lenders of

money. Banks collect money from those who have surplus money and give the same to those

who are in need of money.

10. Banking Business - A bank's main activity should be to do business of banking which

should not be subsidiary to any other business.

11. Name Identity - A bank should always add the word "bank" to its name to enable people

to know that it is a bank and that it is dealing in money

[21]
3.4Indian Banking - An Overview

The origin of modem banking in India dates back to the year 1786, when TIIE English Agency
Houses had established the Bank of Bengal at Calcutta. In the year 1770, the Agency House of
Alexander & Co, established the Hindustan Bank at Calcutta, but it was wound up in the year
1932. Subsequently, three more India Banks Calcutta (1806), Bombay (1940), and Madras
(1943) were set up. These banks opened branches at various cities and towns like Bombay,
Delhi, Shimla, Banaras, Madras, Agra etc. As a result of introducing the concept of limited
liability in banking in 1960, several joint sector banks like The Allahabad Bank, The Alliance
Bank of Shimla, The Punjab National Bank and The Oundh Bank. By the end of 1900, there
were three classes of Banks in India viz, • Presidency Banks numbering 3, • Joint-sector Banks
numbering 9, • Exchange Banks or Foreign Banks Numbering 8. Under the influence of
Swadeshi Movement in the beginning of the twentieth century, Joint stock Banks like The
People's Bank of India and the Central Bank of India were established. Three Presidency Banks
were merged to form the Imperial Bank of India in 1921. At the time of Independence in 1947,
there were 648 commercial banks, which included 97 scheduled and 551 non-scheduled
commercial banks, 2987 bank offices with total deposits and advances of Rs. 1080 and Rs.475
crore respectively. Since many banks had failed during the period of 1900-1925, a Central
Banking Committee was constituted by the Government of India in 1929 to examine the issue of
establishing a Central Banking Authority for the whole country. On the basis of major
recommendations of the said committee the Reserve Bank of India 63 Act was passed in 1934
and the Reserve Bank of India (RBI) came into existence in 1935 as the Central Banking
Authority of the country. The Banking Regulation Act 1949 provided the framework for the
RBI's regulation, supervision and development of banking system. The powers given by the
Banking Regulation Act, 1949 to the RBI encompassed establishment of new banks, mergers and
amalgamations of existing banks, closing of existing branches, as well as shifting of existing
branches to other locations, on-site inspection of banks. On the recommendations of All-India
Rural Credit Survey Committee, which examined the issue of credit availability to the rural
areas, State Bank of India Act, 1955 was passed. RBI took the control of Imperial Bank of India
and renamed it as the State Bank of India (subsidiary Banks) Act, 1959 was passed, enabling SBI

[22]
to takeover eight Princely- state- associated banks as its subsidiaries. The establishment of SBI
and associated banks accelerated the pace of extending banking facilities across the country. To
ensure equitable and purposeful distribution of credit, the scheme of social control over Banks
was announced in the Parliament in December 1967. Also National Credit Council was set up in
the year 1968.The period from 1950 to 1969 witnessed further consolidation in banking. As
against a total of 566 commercial (92 scheduled and 474 non-scheduled) banks in 1951 there
were only 89 banks in 1969 (73 scheduled and 16 non-scheduled). Another important
development in the history of banking in India was the policy of Nationalization, under which 14
major scheduled commercial banks were nationalized in July 1969. Again in 1980, the
Government Nationalized another six banks. 64 On the recommendations of a Working Group
set up by the Government of India in 1973 to study the credit availability to rural areas, Regional
Rural Banks Act 1976 was passed. Under this Act 196 RRBs were set up with the Joint
ownership of Central Government, sponsoring commercial bank and the State Government
concerned and with regional-based and rural orientation With the launch of extensive reforms
programme in 1991, reform measures were also introduced in the financial sector. These reforms
were based on the recommendations of the committee on Financial Sector, 1991 (Narasimham I)
and Committee on Banking Reforms, 1997 (Narasimham II). The main objective of the reform is
to promote efficiency of the banking system through competitive forces. To improve operational
efficiency of the banking system, functional autonomy was imparted which ensured not only the
greater transparency and reporting by the entities but also integrated the various segments of the
financial system, such as money market, debt market, foreign exchange market and capital
market.

Banking in India ( 18th century)

Banking in India, in the modern sense originated in the last decades of the 18th century. Among
the first banks were the Bank of Hindustan, which was established in 1770 and liquidated in
1829–32; and the General Bank of India, established in 1786 but failed in 1791.

[23]
The largest bank, and the oldest still in existence, is the State Bank of India (S.B.I). It originated
as the Bank of Calcutta in June 1806. In 1809, it was renamed as the Bank of Bengal. This was
one of the three banks funded by a presidency government, the other two were the Bank of
Bombay in 1840 and the Bank of Madras in 1843. The three banks were merged in 1921 to form
the Imperial Bank of India, which upon India's independence, became the State Bank of India in
1955. For many years the presidency banks had acted as quasi-central banks, as did their
successors, until the Reserve Bank of India was established in 1935, under the Reserve Bank of
India Act, 1934.
In 1960, the State Banks of India was given control of eight state-associated banks under the
State Bank of India (Subsidiary Banks) Act, 1959. These are now called its associate banks. In
1969 the Indian governmentnationalized 14 major private banks, one of the big bank was Bank
of India. In 1980, 6 more private banks were nationalized. These nationalized banks are the
majority of lenders in the Indian economy. They dominate the banking sector because of their
large size and widespread networks.

The Indian banking sector is broadly classified into scheduled and non-scheduled banks. The
scheduled banks are those included under the 2nd Schedule of the Reserve Bank of India Act,
1934. The scheduled banks are further classified into: nationalized banks; State Bank of India
and its associates; Regional Rural Banks (RRBs); foreign banks; and other Indian private sector
banks. The term commercial banks refer to both scheduled and non-scheduled commercial banks
regulated under the Banking Regulation Act, 1949.

History Of Punjab National Bank

Punjab National Bank is a PSU working under Central Government of India regulated by RBI
Act, 1934 and Banking Regulation Act, 1949. Punjab National Bank was registered on 19 May
1894 under the Indian Companies Act, with its office in Anarkali Bazaar, Lahore, in present-day
Pakistan. The founding board was drawn from different parts of India professing different faiths
and of varying back-ground with, the common objective of creating a truly national bank that
would further the economic interest of the country.[1] PNB's founders included several leaders of
the Swadeshi movement such as Dyal Singh Majithia and Lala Harkishen Lal, Lala Lalchand,
Kali Prosanna Roy, E. C. Jessawala, Prabhu Dayal, Bakshi Jaishi Ram, and Lala Dholan Dass.[7]
[8] Lala Lajpat Rai was actively associated with the management of the Bank in its early years.
The board first met on 23 May 1894.[1] The bank opened for business on 12 April 1895 in
Lahore.

[24]
PNB has the distinction of being the first Indian bank to have been started solely with Indian
capital that has survived to the present. (The first entirely Indian bank, Oudh Commercial Bank,
was established in 1881 in Faizabad, but failed in 1958.)

PNB has had the privilege of maintaining accounts of national leaders such as Mahatma Gandhi,
Jawahar Lal Nehru, Lal Bahadur Shastri, Indira Gandhi, as well as the account of the famous
Jalianwala Bagh Committee

CHAPTER 4
Evolution of HRM Practices in banking industry in India

Evolution of HRM Practices in banking industry in India

HRM Practices in banking industry in India have evolved over a long period of time through a
reactive process. To understand the evolution of HRM Practices, it becomes necessary to
examine the historical development of the establishment of these practices. To have an
understanding of bank employees and their service conditions, one has to look back to early
forties and fifties of the previous century and accept that the condition of bank employees vis-a-
vis other middle and working class employees was worse. The employees in the sector were
unorganized, had helplessly low 65 wages, worked in inhuman and intolerable working
conditions for unlimited working hours, had no leave facility, no security of service and the
policy of hire and fire was ruling the roast. Employers used all inhuman and tyrannical ways to
extract work from the employees as there was fear of losing jobs and getting a new job
elsewhere. The bank employees would not be sanctioned a day's leave for attending their own
marriage ceremonies. "An example is cited of an employee whose minor son had died and the
concerned Manager withheld the telegram from the employee till he finished his day's job and in
the evening was given the telegram, which announced his son's death, (Lone,1992). Mankidy
(2000) puts this situation as:- "From a stage of extreme exploitation of the employees prior to

[25]
1940's, the industrial relations process unfolded itself into labour militancy and crisis in the 60's
and 70's. Most of the human resource management practices in the industry, such as the salary
structure, promotion, transfer, placement, etc. are the by-products of this reactive process."
Changing such conditions and circumstances could not wait the evolutionary process but
required a catalyst that would hasten the decay of such unfavorable system. The catalyst was
bom on 20th April, 1946, when the suffering bank employees came together and founded an
organization called All India Bank employees Association (AIBEA). The later part of the year
1946 saw a spate of bank employee's militant actions and agitations, which forced the
Government to intervene in the bank employees' disputes in the shape of tribunals. Since
Government policies favoured the employers and foiled the possibilities of bilateral negotiated
settlements coming up in the industry, bank employees under the 66 militant banner of AIBEA
struggled a lot against Government and bankers for achieving this bilateralism in banking
industry. A landmark in the history of this reactive process was when the Bank of India Staff
Union called the first ever strike of the industry on June 26, 1946, which lasted for seventeen
days. Justice H.U.Devatia was appointed as adjudicator in 1946 to resolve the dispute between
Bank of India Ltd. and its employees. His award popularly known as the Devatia Award was
published in the Bombay Government Gazette dated 9th April, 1947, which provided bank
employees with a number of facilities like a pay scale, annual leave, casual leave, gratuity etc.,
that were hitherto absent. This led to many awards, like B.B. Singh Award in United Provinces,
Gupta Award in Bengal and Chakravarty Award in Calcutta— covering bank employees in
different states as the banks were under state regulation. The passing of Industrial Disputes
(Banking and Insurance Companies) Act, 1949, brought banks under Central Government and
uniformity in human resource management practices began from then onwards. Undeterred by
Government interventions and chaotic service conditions created by multiple awards, the bank
employees under the banner of AIBEA kept on struggling and fighting and in 1949 Government
instituted an All India Tribunal under Sh K.C.Sen, as its Chairman, but soon a jolt for bank
employees came when the Sen Award was declared void by the Supreme Court in April 1951.
Thereafter the bank managements started another phase of repression, which was responded by a
49 days strike by the employees of Punjab National Bank. The disputes between bank employees
under the militant banner of AIBEA and bank managements led to a series of Awards like Sastri
[26]
67 Award 1953, Banking Award Commission 1954, Desai Award 1962 and Industrial Disputes
(Banking Companies) Act 1955. The Industrial Disputes Act allowed for settlements covering
only the clerical and subordinate staff categories. Bank employees succeeded in improving
wages , salaries and working conditions for all these twenty years from 1946 up to 1966, when
the first country-wide industry-wise Bi- partite Settlement was signed between AIBEA on the
one side and Indian Bankers Association ( IBA) and Exchange Bank Association on the other,
concerning the wage and service conditions of bank employees. Starting with the first Bl-partite
Settlement, the industry went through a series of settlements and agreements at the individual
bank level covering a wide variety of items relating to the service and working conditions. The
industrywise uniformity in salary and service conditions for officers in nationalized banks began
later than clerical and subordinate staff and it was only when Pillai Committee Report came in
1979

Over a period of time, Human Resource Management Practices were begun to be dictated to the
banks by the Unions because of their strong and militant nature during late sixties. Their strength
was furthered by the Government due to the organized role they played during the independence
movement and also because of the socialistic principles guiding the Government. Unions not
only successfully fought for raising the salaries and wages and improving service conditions, but
also raised such issues as promotion, medical benefits, other welfare measures, 68 different types
of leaves, gratuity and other terminal benefits etc. Unions also fought relentlessly during 1970's
and early 1980's against the introduction of technology but their militant approach began to
dwindle from mid 1980's. The attitudinal change of unions led to the signing of the agreement in
1989 by SBI management with the unions on introduction of computers and subsequent
liberalization of economy in 1991 made industrial relations in banking industry very conducive.
Unions began to think about the effects of liberalization and number of strikes as well as their
durations shortened drastically after the launch of economic reforms. Economic liberalization of
1991 and the financial sector reforms of 1997 saw a sea change in the overall HRM Practices and
performance and efficiency of banks on individual as well as on industry level. The entry of
private and foreign banks into the banking industry complicated the situation for the existing

[27]
players in the industry and facilitated the pro-active approach on the part of bank managements
to make changes in the existing HRM Practices and emulate the HRM Practices of foreign and
private players. The establishment of HRM Practices in the banking industry could be made
possible not only with the sustained and continuous struggle of employees associations for
decades, but also the managements introduced changes on pro-active basis over a long period of
time. During 1950's "staff departments' were established to look after the employee matters. The
same departments were changed into "personnel departments' with the enlarged function of
manpower planning, employee training, performance appraisal of employees, employee
discipline, employee administration and the like. Still further, during 70's and 80's of the last
century, emphasis was laid on Human Resource Development (HRD), which provided 69 a new
orientation to HRM in banking industry. HRD has been responsible for bringing about some
changes in so far as the training and skill development of employees in banks is concerned.
Various HRM Practices which were hitherto absent in banks were acquired by banks, with the
help of changes introduced by the bank managements over a period of time. Since these HRM
Practices by the banks were acquired under various circumstances and situations, inter-linkages
and complementarities between the practices were missing. While evolving various HR Practices
like induction, training, transfer policy, promotion, performance appraisal, placement etc., the
need for expected future business development, expansion and diversification have never been
considered. So, these HR practices were evolved in a truncated form and haphazard manner.
Summing up the developments in respect of HRM in banking industry during the second half of
the last century, Mankidy (2000) observes:- > The employees in the early stages were exploited
by bank managements who held traditional views about employees and employment relations.
There was, therefore, hardly any personnel management worth the name in banks then. >
Emergence of trade unions was partly in response to these exploitative conditions which existed
in banks > Most aspects of HRM in banks today, viz. promotion, wages and salaries including
other monetary allowances, welfare measures such as medical aid and leaves of different types,
superannuation facilities, etc., were taken out of the unwilling hands of managements through
the organized efforts of 70 employees. In other words, a major part of banks' HRM is dictated to
the banks by the trade unions. > Banks have also adopted certain aspects of HRM like training,
performance appraisal and related HRD activities. Some of these have had partial success in
[28]
operation. > The pressure-oriented development of HRM, to some extent, continues in banking
even today. Even in the non-bargainable areas of HR management like training, performance
appraisal system, traces of reactiveness is clearly visible. For instance, training efforts are
primarily carried out as a statistical process to satisfy the requirements of the Reserve Bank of
India and the Banking Division. Performance appraisal systems have been adopted because they
are in vogue in other organizations and are now viewed more as rituals than as effective means
and preconditions for employee development. Bipartite settlements and agreements in the
banking industry are made between the IBA, which represents bank managements, and
employees and officers associations, which include five major industry level associations for
clerical and subordinate staff and four major industry level officers associations. The majority
associations like AIBEA, NCBE and BEFI for clerical and subordinate staff and AIBOA for
officers, which have a majority membership actually take part and dominate the bargaining
power of employees and officers. The RBI also intervenes in human resource practices, on the
basis of recommendations of various committees and working groups. Likewise, the Government
also has the power to issue directions and guidelines to public sector banks under Section 8 of
Banking Companies (Acquisition and Transfer of Undertakings) Act 1970/1980 with regard to
policy matters involving public interest. 71 On the directions of RBI, Banking Service
Recruitment Boards (BSRBs) were established in the year 1978-79 by the government for
recruitment in public sector banks. Prior to this, no standardized recruitment procedure was in
practice. Recruitment for subordinate staff is being done by individual banks with the help of
local employment exchanges. A competitive written examination, vivavoce, medical test are
used for selection by the individual banks for the recruitment of subordinate staff. Subordinate
staff includes peons, messengers, drivers, sweepers, watchmen, guards and cleaners. There are
two points of entry for direct recruitment in public sector banks. One is at clerical level and the
other at Probationary Officers or Junior Management level. While 75% to 100% of the vacancies
of clerical staff are filled by BSRBs, 20-25% vacancies at the Junior Management level are filled
through direct recruitment. Clerical staff includes clerks, godown keepers, typists, stenographers,
telephone operators, key punch operators etc .The number of vacancies for clerical staff and for
officers are determined on the basis of branch expansion, business growth, pattern of staffing and
future diversification. Government directions regarding the reservations of socially deprived
[29]
classes are being complied with. However, as a result of economic reforms in 1991 and financial
sector reforms in 1997, the recruitment policy has seen a drastic change. Now more emphasis is
on the recruitment of officers and not on clerical staff and subordinate staff. Now the trend has
changed in favour of officers so far as the composition of Human Resource is concerned. Since
the stress is on enhancing productivity and efficiency, earlier designations as well as functions
are witnessing a fast change. The private sector banks on the other hand 72 have a different
composition and they are in the process of establishing all officers' branches, with no clerical
staff or subordinate staff, no national level competition and no reservations whatsoever. Public
sector banks and old generation private sector banks are under tremendous pressure to change
the composition of human resource as well as their functions and designations. After the
selection, formal induction is being provided to different levels of staff as per the needs. While
subordinate staff requires only an induction programme of few days, the officers are put on
probation for up to two years in public sector banks and old generation private sector banks;
where as in new generation private sector banks with no clerical or subordinate staff, officers are
given a formal induction programme with some preliminary job training. Before nationalization
in 1969, training was haphazard and limited to a privileged few. As per the directions of the
Reserve Bank of India, the apex institute for training and research namely the National Institute
of Bank Management was set up in 1968. In the beginning of 1970, bank managements and the
Government felt the pressing need for development of human resource through training.
However, it was only in 1974, that the individual banks could establish their own staff training
colleges. Today not only the training in being imparted to employees and officers of all cadres
with the help of network of in-house training colleges but also specialized institutions like
Administrative Staff College, Hyderabad, National Institute of Bank Management, Mumbai etc.
However, it has been difficult to assess the impact of in-service training on the performance of
bank employees as well as on the overall total performance of the bank.

[30]
 CHAPTER 5
ANALYSIS OF THE STUDY

ANALYSIS

Analysis is a “process of organizing and synthesizing data in such a way that research questions
can be answered and hypothesis tested”. The term analysis refers to the computation of certain
resources along with searching for patterns of relationship that exists among data groups.

In this chapter, the data collected were systemically processed, tabulated and made suitable for
analysis and interpretation. It was a study on human resource management in Indian banking
sector with special reference to Punjab National Bank through data collected by questionnaire.
The results obtained were classified and the following analyses were performed in fulfilling the
objectives of the study.

[31]
Question 01 –GENDER

GENDER No of respondent
Male 30
Female 20
Total Respondent 50

[32]
On the basis of sample size taken by me for the analysis i.e. 50 among them;

60% are male respondents,40% are female respondents.

Question 02 – AGE

[33]
 Age groups No. of respondent
21-30 21
31-40 16
41-50 08
Above 50 05
Total Respondent 50

On the basis of sample size taken by me for the analysis i.e. 50, among them;

42% are of 21-30 age, 32% are of 31-40 age, 16% are of 41-50 age and 10 % are above 50 of
age.

Question 03 - Work experience

Years No of respondent
Below 5 yr 05
06-10 yr 04
11-15 yr 09
[34]
 16-20 yr 13
Above 20 yr 19
Total respondent 50

On the basis of sample size taken by me for the analysis i.e. 50 among them;

38% are below of 5 yr work experience, 26% are of 6-10 yr work experience, 18% are of 11-15
yr work experience,8% are of 16-20 yr work experience and 10% are of above 20 yr of work

experience.

Que 04 - Post

Post No of respondent
Clerk 15
Cashier 15
[35]
Manager 05
Assistant manager 05
Po 10
Total respondent 50

Among the 50 respondents,

30% are clerk, 30% are cashier, 10% are managers, 10% are assistant managers and 20% are

PO.

Question 5 - Income
Income No of respondent
Below 20k 16
20-40k 08
40-60k 14

[36]
 60-80k 07
Above 80k 05
Total respondent 50

On the basis of sample size taken by me for the analysis i.e. 50 among them;

32% earning below 20k, 16% earning 20-40k, 28% earning 40-60k, 14% earning 60-80k

and10% earning above 80k.

-
Objective 01 To study the different aspects of human resources management in Indian
banking sector (with special reference to PNB).

[37]
Question 06 - Your bank organizes a formal induction program for new comer very
effectively?

Options – 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 05
Disagree 03
Neutral 12
Agree 17
Strongly agree 13
Total respondent 50

In the

In above study, respondents have to give rate according to the attribute given. Among the 50
respondents; 10% rated on strongly disagree,6% rated on disagree,24% rated on neutral,34%
rated on agree and 26% rated on strongly agree.
[38]
Question 07 - Employees in your branch are asked by their superior to participate in decision

regarding operations?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 05
Disagree 03
Neutral 12
Agree 16
Strongly agree 14
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50

respondents;

[39]
10% rated on strongly disagree,6% rated on disagree,24% rated on neutral,32% rated on agree
and28% rated on strongly agree.

Question 08 - Performance based incentives and bonuses are available to all employees?

Options- 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 05
Disagree 05
Neutral 11
Agree 15
Strongly agree 14
Total respondent 50

In the above study respondents have to give rate according to the attribute given. Among the 50
respondents;

[40]
10% rated on strongly disagree,10% rated on disagree,22% rated on neutral,30% rated on agree
and28% rated on strongly agree.

Question09- The new recruits find induction training very useful in your branch?

Options- 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 05
Disagree 05
Neutral 05
Agree 20
Strongly agree 15
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents;
[41]
10% rated on strongly disagree,10% rated on disagree,10% rated on neutral,40% rated on agree
and30% rated on strongly agree

Question 10 -It is very difficult to dismiss an employee from the job?

Options- 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 10
Disagree 04
Neutral 12
Agree 10
Strongly agree 14
Total respondent 50

In the above study respondents have to give rate according to the attribute given. Among the 50
respondents;

20% rated on strongly disagree,8% rated on disagree,24% rated on neutral,20% rated on agree

and28% rated on strongly agree.

[42]
Objective 02 - To study the HRM practices and policies in Indian banking sector (with special

reference to PNB).

Question 11 - Your bank conduct extensive training programs for its employees.

Options- 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 03
Disagree 08
Neutral 11
Agree 14
Strongly agree 14
Total respondent 50

Among the 50 respondents of the study, 6% rated on strongly disagree,16% rated on

disagree,22% rated on neutral,28% rated on agree and28% rated on strongly agree.

[43]
Question 12 -Performance appraisal reports in your bank are based on objective quantifiable

assessment and adequate information and not on favoritism?

Options- 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 04
Disagree 05
Neutral 11
Agree 15
Strongly agree 15
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents;

[44]
8% rated on strongly disagree,10% rated on disagree,22% rated on neutral,30% rated on agree
and30% rated on strongly agree.

Question 13 -Employees are offered an extremely flexible compensation and benefits package

like housing assistance, stock options, soft loans and asset acquisition assistance?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 05
Disagree 05
Neutral 14
Agree 12
Strongly agree 14
Total respondent 50

[45]
In the above study respondents have to give rate according to the attribute given. Among the 50
respondents;

10% rated on strongly disagree,10% rated on disagree,28% rated on neutral,24% rated on agree
and28% rated on strongly agree.

Question14- Are you satisfied on job security provided by your bank?

Options - 1) Yes 2) No
Options No of respondents
Yes 43
No 07
Total respondent 50

[46]
In this question respondents have to give rate according to the attribute given. Among the 50

respondents; 86% rated on Yes and 14% rated on No.

Question 15 -Promotion decision are based on the suitability of the promote rather than any
Favoritism?

Options -1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly agree

Options No of respondent
Strongly disagree 03
Disagree 04
Neutral 10
Agree 16
Strongly agree 17
Total respondent 50

[47]
In this study respondents have to give rate according to the attribute given. Among the 50
respondents;

6% rated on strongly disagree,8% rated on disagree,20% rated on neutral,32% rated on agree

and34% rated on strongly agree.

Objective 3 : To understand the challenges and issues of HRM in Indian banking system sector

(with special reference to PNB).

Question16 - Management style is very flexible for employees and they involve with the

managerial decision making?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly

Options No of respondent
Strongly disagree 05
Disagree 05
Neutral 12

[48]
Agree 10
Strongly agree 18
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents; 10% rated on strongly disagree,10% rated on disagree,24% rated on neutral,20%
rated on agree and36% rated on strongly agree.

Que 17- Development of employees is seen as an important part of their jobs by the
seniors?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly

Options No of respondent
Strongly disagree 05
Disagree 05
Neutral 05
Agree 20
Strongly agree 15

[49]
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents; 10% rated on strongly disagree,10% rated on disagree,10% rated on neutral,40%
rated on agree and30% rated on strongly agree.

Question 18- Employees are provided performance based feedback and counselling?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly

Options No of respondent
Strongly disagree 04
Disagree 05
Neutral 09
Agree 13

[50]
Strongly agree 19
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents; 8% rated on strongly disagree,10% rated on disagree,18% rated on neutral,26%
rated on agree and38% rated on strongly agree

Question 19 -The appraisal data is used for making decisions like job rotation, training, and

compensation?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly

Options No of respondent
Strongly disagree 04
Disagree 06
Neutral 10

[51]
Agree 10
Strongly agree 20
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents;

8% rated on strongly disagree,12% rated on disagree,20% rated on neutral,20% rated on agree

and40% rated on strongly agree.

Question 20- Employees in your bank are encourage to have open communication with their

superior in the bank?

Options - 1) Strongly disagree 2) disagree 3) neutral 4) agree 5) strongly

Options No of respondent
Strongly disagree 04

[52]
Disagree 06
Neutral 10
Agree 10
Strongly agree 20
Total respondent 50

In this question respondents have to give rate according to the attribute given. Among the 50
respondents;

8% rated on strongly disagree,12% rated on disagree,20% rated on neutral,20% rated on agree

and40% rated on strongly agree

[53]
CHAPTER -6
6.1 Findings

6.2 Conclusion & Suggestions

6.3 References

6.4 Annexure

[54]
6.1 FINDINGS
● From the study it has been observed that out of 50 respondents 60% of them are females
and 40% are male respondents.

● It has also been observe that the employees of the bank agrees with the induction
programs arranged for the new comers are good but need more importance on some
attributes.
● It has been observed that the new comers find induction program useful but need the
improvement on some attributes.
● Important to give more emphasis on training and development of employees.
● It has been observed that the employees are not satisfied with the benefits and
compensation packages offered by the bank.
● By the data collected, it has been observed that the performance appraisal system of the
bank needs more improvement.

6.2 CONCLUSION & SUGGESTIONS

CONCLUSION

The success of banks basically depends on the coherent development of the banks employees.
Along with coherent development of the knowledge worker, technical infrastructures of the bank
must be ensured to develop the effectiveness of the employee and the bank.

Banks (PNB) have to take initiation to modify in their HRM policies and practices, in order to
compete with other banks in present circumstances. Bank should spread out their HR activities in
all branches and develop strong HR polices.

Decision making Power and accountability should be properly circulated to all HR managers.
Bank should give some significant power and role to HR director in order to authorize the HR
departments.

It will help to recruit and maintain skilled, knowledgeable and well performed workforce to
meet current and future organizational as well as individual needs.

[55]
 Henceforth, the bank (PNB) in have to utilize many opportunities to meet certain challenges
under the changed circumstances.

The present dynamic global business environment, the present research mainly focused on the
HRM system in PNB bank in India and find out that it need to pursue more modernized HRM
practices.

SUGGESTIONS

Based on findings emerged from the analysis of the data collected through questionnaires and
interacting with the management officials of the public sector banks, the following suggestions
are offered to improve the HRM as prevalent in banks.

● Awareness is to be created at all levels that HRM is everybody’s business and systems for
creating such awareness are to be developed.

● Open communication in the bank with the superiors of employees should be encouraged.

● Motivation of the employees can be increased by providing more benefits.

● The HRM surveys should be carried out in the banks every 3 years and findings of these
surveys should be interpreted and suitable HRM interventions should beamed. The suggestions
emerging from these surveys need to be examined and followed up seriously.

● Scope of employee suggestion schemes needs to be expanded to make it more

participative and effective practical and useful suggestions should be encouraged.

6.4 REFERENCES
Books

[1] D. Hristos and L. Patrice, “Human Resource Practices, Unionization and the
Organizational Efficiency of French Industry,” In: D. Lewin and B. E. Kaufman, Eds., Advances
in Industrial & Labor Relations, Vol. 15, Emerald Group Publishing Limited.

[56]
[2] P. Boxall, “The Strategic HRM Debate and the Resource Based View of the Firm,”
Human Resource Management Journal, Vol. 6.

[3] J. Nelson, “HR Focus Efficiency and Effectiveness”.

Websites

www.HRM.hestory.com www.bank.hestory.com

https://en.wikipedia.org/wiki/Punjab_National_Bank#History

https://www.pnbindia.in

6.5 ANNEXURE

1. NAME _____________________

2. GENDER

[57]
 Male [ ] female [ ]

3. AGE

(a) 21-30 (b) 31-40 (c) 41-50 (d) above 50

4. WORK EXPERIONS

(a) Below 5 yr (b) 6-10 yr (c) 11-15yr (d) 16-20yr (e) above 20yr

5. POST

CLERK [ ] CASHIAR [ ] MANAGER [ ] ASSISTANT MANAGER [ ]

6. INCOME

Below 20[ ] 20-40 [ ] 40-60 [ ] 60-80 [ ] above 80 [ ]

Objective 01 - aspects of human resource management in your branch

SCALE

1 = Not true at all 2 = Not true most of the time

3 = sometimes true or sometimes not true

4 = mostly true 5 = very much true

Question 1 - your bank organizes a formal induction program for new comer very
effectively

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 2 – employees in your branch are asked by their superior to participate in

decision regarding operation

[58]
 1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 3 performance based incentives and bonuses are available to all employees

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 4 -The new recruit’s find induction training very useful in your branch

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 5- It is very difficult to dismiss an employee from the job.

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Objective 02 - practices and policies

Question 6- Your bank conduct extensive training programs for its employees?

1[ ] 2[ ] 3[] 4[ ] 5 [ ]

Question 7 performance appraisal reports in your bank are based on objective quantifiable
Assessment and adequate information but and not on favoritism.

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 8 -employees are offered an extremely flexible compensation and benefits package

like housing assistance, stock options, soft loans and asset acquisition assistance.

1[ ] 2[ ] 3[] 4[ ] 5[ ]

Question 9 -Are you satisfied on job security provided by your bank .

▪ Highly satisfied
▪ Satisfied

[59]
 ▪ Neutral
▪ Dissatisfied
▪ Highly dissatisfied

Question 10 Promotion decision are based on the suitability of the promote rather than any

Favoritism.

1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

Objective 3: challenges and issues.

Question 11 Management style is very flexible for employees and they involve with the
managerial decision making.

1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

Question 12- Development of employees is seen as an important part of their jobs by the
seniors.

1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

Question 13 -Employees is provided performance based feedback and counseling.

[60]
 1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

Question 14- The appraisal data is used for making decisions like job rotation, training,
and compensation.

1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

Question 15 Employees in your bank are encourage to have open communication with their
superior in the bank.

1. Highly satisfied
2. Satisfied
3. Neutral
4. Dissatisfied
5. Highly dissatisfied

[61]