Bank News: Many big decisions are being taken by the Central Government regarding government and public sector banks. Meanwhile, the government has released a big update for the bank employees.
The Central Government has increased the maximum tenure for Chief Executive Officer (CEO) and Managing Director (MD) of Public Sector Banks to 10 years. This step will help the government to retain the best talent in the banking sector for a longer period of time.
The first period was 5 years, the government has given information about this by issuing a notification on 17 November 2022. The government has told that the period of appointment has been increased from the earlier five years to ten years now.
Know what were the rules earlier?
Let us tell you that earlier the managing director or executive director of public sector banks used to get a maximum tenure of five years or till the age of 60 years (whichever is earlier). The same criteria used to apply for whole-time directors of public sector enterprises.
These people will get the benefit , it was said in the notification that the initial tenure of the full-time director including the managing director should not exceed five years, it can be extended, but it should also not exceed ten years including the initial tenure. This decision of the government will help the banks to retain such talents who have reached the post of full time directors at the age of 45-50 years.