SBI slashes staff count, 10,000 employees to be redeployed

New Delhi: Country's largest public lender, State Bank of India (SBI), has slashed its staff by 6,622 in the first quarter of current fiscal due to retirements and voluntary retirement scheme. The staff headcount has landed to 2.73 lakh  from 2.80 lakh at the start of the quarter. Following the merger with its subsidiaries, the bank now plans to redeploy more than 10,000 employees. 

The bank experienced an exit of 7,247 employees following retirements in its first quarter of FY18, including 3,569 employees of the former associate banks who were offered a voluntary retirement scheme. The bank had squandered Rs 473 crore ex gratia under this scheme which will lead to salary savings of Rs 400 crore per year. 

Out of the total staff planned to be redeployed, 2,000 amount to shift in administrative offices, and rest because of branch rationalisation.

In contrast to the exits, the bank has employed about 625 personnel only in the first quarter, reducing the total headcount to 2,73,181. There is a possibility of further decline as full year retirements in the current fiscal year are predicted to be around 15,460. 

Reportedly, bank is training specialists for digital space and marketing though not in huge quantity.