Tag: Private Sector

‘Show Me The Money’!

When government appointed veteran banker K V Kamath to head the BRICS bank it reaffirmed Modi’s resolve to put premium on talent. But why is it that the government has yet failed to rope in top private sector talent to fill up key posts lying vacant at major public sector banks? The initial government pitch received mediocre response forcing it to review the qualification criterion. This led to a flexible pay offer, reduction in upper age limit and limited board experience. It, however, is unlikely to help bring top private talent on board. Reason: the wide chasm in pay scales. The average top private sector bank CEO salary is Rs 4 crore per annum as against 25 lakhs for SBI Chief. Unless this core issue gets addressed induction of change agents to run top PSU banks will remain a paper dream.

@rakeshkhar
@rakeshkhar
Pic Courtesy: indiapublicsector.com
Pic Courtesy: indiapublicsector.com

Go, Get Them!

Veteran banker K V Kamath’s appointment as first head of BRICS Bank is significant in many ways. It signals the Modi government’s commitment to rope in private sector talent where it matters most. This is in departure from the tradition of packing in choice bureaucrats and politicians in plum government positions. Modi government’s intent became clear when it appointed a non politician and non babu to head Niti Ayog. Soon after renowned journalist A Suryaprakash was appointed Prasar Bharti Chairman. In between coal ministry dared to invite applications for its CMD from private sector. All eyes are now on top PSU banks where private sector talent is being invited to fill top slots. This well meaning intent has to be matched by ground action in terms of improved processes, pay scales and structures for getting the talent the government deserves.

@rakeshkhar
@rakeshkhar
Pic Courtesy: Sahil Ahuja
Pic Courtesy: Sahil Ahuja