• Thursday, Dec 02, 2021
  • Last Update : 12:45 am

2017 saw 5,470 employees terminated from 25 banks

  • Published at 12:30 am May 25th, 2018
bank-0-1527186583868.jpg
Bigstock

The research has also revealed that the 25 banks studied are reluctant to spend on employee training and career developments

A total of 5,470 employees were terminated in 2017 from 25 commercial banks in the country, according to a recent study of thBangladesh Institute of Bank Management (BIBM).

The study titled “A Review on Human Resource Management of Banks 2017” was carried out by a seven-member team led by BIBM Associate Professor, Mohammad Tazul Islam.

The team interviewed 300 employees from 25 banks, including state-owned, private, and Islamic banks.

According to the research findings presented at a workshop at the BIBM office in Dhaka on Thursday, there were a total of 90,265 employees in the banks in 2016, but in the following year their number came down to 81,245, a 6.5% employee turnover, the highest in history.

The turnover rate was 4% in 2016 and 2015, and 5% in 2014. 

“The rate of employee turnover increased remarkably in 2017, which is not a good indicator of sound HR practices. Therefore, commercial banks should consider reducing the employee turnover rate by ensuring a good work environment and better salary structures, reducing job strains, promoting good ties with employees, and providing career development facilities,” it reads.

“The management of a bank and its board of directors should be honest and sincere in their HR practices, not by terminating employees, but by nursing them. The central bank should play a role in this regard and monitor whether employees are forced to resign at commercial banks.” 

Some 64% of employees said the violation of ethical codes of conduct is alarmingly increasing at commercial banks, while 61% of employees said there is an acute crisis of model professional leaders in the banking industry, with an increase in loan defaults, forgery, and a decline in profitability at banks.

The research has also revealed that the 25 banks studied are reluctant to spend on employee training and career developments. 

In 2017, they spent only 0.25% of their total operation expenditures on employee training, which was 0.50% in 2016.   However, by global standards, a bank is required to allocate 2% to 3% of its total operations budget for employee training and professional development.

Addressing the workshop as its chief guest, Bangladesh Bank Deputy Governor Ahmed Jamal said: “In Bangladesh, banks are actively involved in human resource acquisition and retention management by providing necessary training, counselling, and motivation to their employees. They are making efforts in promoting corporate governance in the banking sector.”

He also said the central bank and the Finance Ministry had issued notifications on several occasions, asking stakeholders to ensure and promote better human resource management in this sector.

Former Dhaka University professor, Barkat-e-Khuda, former AK Gangopadhaya Chair Professor at BIBM, SA Chowdhury, BIBM Supernumerary Professor Md Yasin Ali, Premier Bank Ltd Deputy Managing Director MA Abdullah, Head of HR of ONE Bank Ltd, John Sarkar, also spoke at the event chaired by BIBM Director General, Toufic Ahmed Choudhury. 

62
Facebook 60
blogger sharing button blogger
buffer sharing button buffer
diaspora sharing button diaspora
digg sharing button digg
douban sharing button douban
email sharing button email
evernote sharing button evernote
flipboard sharing button flipboard
pocket sharing button getpocket
github sharing button github
gmail sharing button gmail
googlebookmarks sharing button googlebookmarks
hackernews sharing button hackernews
instapaper sharing button instapaper
line sharing button line
linkedin sharing button linkedin
livejournal sharing button livejournal
mailru sharing button mailru
medium sharing button medium
meneame sharing button meneame
messenger sharing button messenger
odnoklassniki sharing button odnoklassniki
pinterest sharing button pinterest
print sharing button print
qzone sharing button qzone
reddit sharing button reddit
refind sharing button refind
renren sharing button renren
skype sharing button skype
snapchat sharing button snapchat
surfingbird sharing button surfingbird
telegram sharing button telegram
tumblr sharing button tumblr
twitter sharing button twitter
vk sharing button vk
wechat sharing button wechat
weibo sharing button weibo
whatsapp sharing button whatsapp
wordpress sharing button wordpress
xing sharing button xing
yahoomail sharing button yahoomail