Reiterating the challenges faced by state-run banks in recruitment, State Bank of India chairman Arundhati Bhattacharya said the bank is addressing the issue by taking people on contract and appointing specialists at mid-levels.
"We are trying to get some people directly from campuses on contract," she said while talking to Reserve Bank governor Raghuram Rajan.
She, however, said hiring people on contract obviates their ability to have a career with the bank and may not be that attractive.
"But, we try to explain to them that even if they had gone to some other bank, there the propensity to change is quite high. And therefore, even if they get 5-6 years with SBI or SBI Caps, it's actually very good," Bhattacharya added.
Bhattacharya had earlier said that state-run banks are facing challenges in lateral hiring of quality talents since the pay scale given by these banks are lower than the prevailing salaries in the market.
Echoing her views, Governor Raghuram Rajan said RBI is also having a similar problem in recruitment.
"The inability to recruit from campus, of specific talents that we want, are the issues we have to deal with," Rajan said.
Bhattacharya further said that the bank is trying to get some specialists at middle level.
"We are able to get these people at a higher level and therefore we are able to give them a higher salary," she said.
The bank is also exploring the possibility of getting people on deputation who are recruited by its subsidiaries.
She said ESOP is another way which can make top management committed to the bank over a longer period.
"It (ESOP) is something that we have already taken up with the government. I think being a profit making entity it is possible," the SBI chairman added.