The top management of the Reserve Bank of India (RBI) will brainstorm for three days, starting this evening, to find ways to deal with the growing manpower challenges that the central bank faces.
The three-day retreat at a beach resort near Mumbai will be attended by more than 50 officials, including regional directors, chief general managers in-charge, executive directors, and deputy governors. Eminent personalities from various fields will share their views at the event.
The main theme of this year’s annual retreat will be manpower planning, a subject chosen in view of the increasing need for skilled professionals in the wake of introduction of newer accounting and risk management practices around the globe.
There will also be a discussion on inducting professionals from outside. These professionals could be inducted in the level of chief general managers and general managers, a first in RBI’s 75-year history. Currently, only the governor and two of the four deputy governors are from outside. RBI intends to start lateral recruitment from 2010-11 in functions such as risk management, derivatives, and inspection and audit.
“With the pillar-II of Basel going to be implemented, RBI needs of be aware of the nuances of the new system as it supervises financial institutions’ performance,” an RBI official said. Basel norms deal with provisioning and risk management.
Internally, the central bank faces the challenge of retirement of a large number of its Grade-A officers over the next few years. RBI, which has 5,553 Grade A officers that form the largest chunk among all categories, are responsible for operational areas like clearing and cheque processing. As on December 31 2008, RBI’s total staff strength was 20,952.
“Most Grade A officers are above 50. Direct recruitment in this category is about 50 per year. Since the retirement age in RBI is 60, the vacuum created by this category will pose a challenge in the future,” said a central bank official.
In an interview to a London-based publication, Governor D Subbarao had emphasised the need to demystify the RBI governor’s office and said, “I want them to understand that they (RBI officers) will serve me better by disagreeing with me and telling me what to do rather than trying to outguess me.”
The session will also give the governor a chance to “demystify” his office to his senior colleagues.
