HDFC Bank is going in for a reshuffle of its retail banking operations. The regional retail banking head of Kolkata, J Billimoria, will be replaced by Rakesh Jha. The branch banking head, east and west, J K Basu, is also leaving.
HDFC Bank sources confirmed that quite a few executives will be replaced but refused to comment on the reasons for their departure.
Industry sources said the bank intended to change its functioning style.
The retail banking chief of the bank, Neeraj Swaroop, said some executives left because they were not assessed, while a few chose to leave because the executives themselves reappraised their functioning within the bank. Swaroop pointed out though that most put in their papers for personal reasons.
The phenomenon, said Swaroop, was more pronounced in the eastern part of country.
He refused to comment on whether this was because banks were facing increased competition in eastern India and target achievement was becoming difficult by the day. Even at the branch manager level, where some were leaving, targets were not the issue, said Swaroop.
The branch managers at HDFC Bank's Salt Lake and Alipore branches will be replaced by officers from other branches. In some other branches executives in charge were being replaced by officers from other divisions.
HDFC Bank's retail business was expected to close the year with a 45 per cent growth over the previous year. "Our advances and deposits will be to the tune of Rs 1,500 crore and Rs 10,000 crore, respectively," Swaroop said.
Industry sources said with all players now concentrating on retail banking, retaining 45 per cent growth would be increasingly difficult for banks. Executives would have to put in more effort.
The normal rate of attrition in the industry was around five per cent, though this was higher in new generation banks. Employee turnover at new banks have increased in the last few years as some managers have developed the style on moving with a team rather than individually.
