Career in banking sector

We all know that Banks are considered as the backbone of any country’s economy. During the global financial turmoil that happened in the year 2007-08, our country was least affected because of soundness of Indian Banking and Financial system. This shows, Indian Banking system is very strong and one of the fastest growing sectors in the country.

Career Growth

There is a well defined career progression path in each public sector bank. Performance and potential are key elements which determine this career progression. Most senior officials in public sector banks started their career as clerk or scale I officer only. In tune with the time banks have reviewed their promotion policy and now for bright, hardworking and knowledgeable employees it takes less time to move to higher scales. In many banks a person who joined as an officer may reach to the position of GeneralManager in 14 years. After that one can aspire for the position of executive director or chairman of a bank. These are very high positions, nomination to which is decided by the Government and not by the individual banks.

Many public sector banks have a network of foreign branches. Thus, joining a public sector bank gives you the opportunity of working abroad also. Transferability in a bank job provides you the chance of seeing different parts of the country.

Working as a banker you can ensure an upper middle class lifestyle after a few years of service. After 3 years of work experience in Bank, you can directly try for SCALE II, SCALE III and above Scale.

This Opportunity is not possible in other places. For example,

  • RBI Grade “B” officer: Can’t become the governor. That post is reserved for IAS/Exceptionally talented economists.
  • State services (Class I , Class II): The home Secretary, chief Secretary, DGP = reserved for IAS, IPS are selected.
  • Private sector banks: You’ll need a degree in finance/MBA from a highly reputed institute + long work EXP. + right contacts, if you want to become CEO/MD/Chairman.
  • SSC-CGL: You join as an Income tax inspector; later promotion to group-A but you can never become Finance Secretary to government of India. That post is reserved for IAS.
  • ACIO: you get promotion to Group A, but you can never become DG (Intelligence). Again reserved for IPS.
  • Even if you can’t become MD/CMD , still in the top-management position you’ll get fat salary package and fringe benefits
  • Even after retirement , one can get very high paying jobs in private sector, insurance, finance, NBFC etc. in top positions.
  • Privileges attached to PSU Bank officers: Housing, auto loans at much cheaper rates from the cooperative society/festival allowance/ furniture allowance/Newspaper allowance/ Maid allowance, even money to buy suitcase etc. (varies from bank to bank)

Career progression for Officers in Banking Sector

  • Junior Management Grade – Scale I: Officer
  • Middle Management Grade – Scale II: Manager
  • Middle Management Grade – Scale III: Senior Manager
  • Senior Management Grade – Scale IV: Chief Manager.
  • Senior Management Grade Scale V: Assistant General Manager
  • Top Management Grade Scale VI: Deputy General Manager
  • Top Management Grade Scale VII: General Manager

Recruitment in higher scales

With some experience one can expect to join a public sector bank in a higher scale. Most of the vacancies in higher scales exist in Middle Management Grade II or III. Of course, the candidate should fulfill the eligibility criteria with regards to age and qualification. The experience required for higher scale keeps changing from bank to bank, it may be one year or more. Professionally qualified people (with qualifications like MBA, CA etc) stand better chance in this regard.

Job Satisfaction as a Banker

As a banker, you will find a true job satisfaction as you have to help needy people to get loans for starting business, pursuing higher education, loans for buying home, car, bike etc. you bring happiness to many families in real terms you are helping them to stand on their foot.

  • You’re helping poor women save their money away from their drunkard husband and so on….
  • Banks help the economic growth in small towns and large villages prevent migration to metropolitans and subsequent problems related to slums etc.
  • Thus, a Banker is also doing an essential public service– just like doctor and policeman.
  • So, Apart from good salary, there is job satisfaction, the feeling of having done something good for another fellow Indian.
  • All that is necessary for the triumph of evil is that good men do nothing. E.g. subprime crisis in USA because banks were run by idiots. Indian banking sector is immune from such shocks because by and large the officials are diligent in their work.
  • In way this is just like politics- if good men stop coming then idiots will get in charge and ruin everything. If all good folks stop joining police force then only crooked will don the uniform, criminals don’t fear police anymore and that’s why all the riots and gangrapes.
  • Same way, if good folks don’t join public sector banks and since private banks not interested in serving rural areas= poor people will keep suffering at the hands of evil money lenders, no rural growth, severe problem related with urban migration and abject poverty.

Manpower requirements

According to experts the banking sector may create up to 18lakh new jobs in the next 5-10 years, helped by issuance of new licences and efforts being made by the RBI and the Government to expand financial services into rural areas.

Public sector banks in India employ more than 6.50 lakh people at present. Of these a large number of people will be retiring in next 5-6 years. To fill this gap and to take up the growing business the Banks are on a recruiting spree as can be seen in media and from vacancy announcements.

Campus Recruitment

Since last 5-6 years public sector banks have started recruiting from campuses. This campus recruitment covers only a small part of their manpower needs but it has opened a new window of opportunity to students wanting to make a career in banks. From campuses banks are taking MBAs from different disciplines, agriculture graduates, chartered accountants etc.

Public Sector Banks in India

  • Punjab National Bank.
  • Bank of Baroda
  • Bank of India
  • Canara Bank
  • Allahabad Bank
  • Andhra Bank
  • Bank of Maharashtra
  • Central Bank of India
  • Corporation Bank
  • Dena Bank
  • Indian Bank
  • Indian Overseas Bank
  • Oriental Bank of Commerce
  • Punjab and Sind Bank
  • IDBI Bank
  • Bhartiya Mahila Bank
  • Syndicate Bank
  • UCO Bank
  • United Bank of India
  • Union Bank of India
  • Vijaya Bank
  • State Bank of India
  • State Bank of Indore
  • State Bank of Hyderabad
  • State Bank of Patiala
  • State Bank of Mysore
  • State Bank of Saurashtra
  • State Bank of Bikaner and Jaipur
  • State Bank of Travancore.


Public sector banks may not offer fancy financial packages which multinational and few other companies offer. But the compensation in these banks with the recent wage revision including perquisites is quite good. And there is an element of job security too. The housing and medical facilities are also considered attractive