Page 47 - Banking Finance June 2025

ARTICLE

As the negative effects of the Policy of Push became more esteem and overall mental health. This environment fosters
apparent, the top management faced a backlash. The initial a sense of helplessness and resentment, further
gains were overshadowed by the long-term damage to exacerbating passive-aggressive behaviour.
employee morale and productivity. Trust between the
management and junior employees eroded, leading to higher A Call for Balance
turnover rates and difficulty in attracting new talent, and The experience of this bank highlights the need for a
the result;
balanced approach to performance management. While
setting high standards and encouraging employees to strive
Siyaram Prasad, a Chief Manager at one of the public for excellence is important, it must be done in a way that
sector bank, committed suicide due to the pressure of supports their well-being and fosters a positive work
achieving loan disbursal targets Similarly, Sandesh environment. Sustainable success in banking, or any industry,
Malpani, a manager, ended his life after facing pressure relies on a motivated and engaged workforce, not one that
related to a significant loan transfer
is driven by fear and pressure.
This is just tip of the iceberg, NCRB's data shows more than Effective leadership is crucial in mitigating the negative
500 suicides by bankers in last decade in India. Which is very effects of the Policy of Push. Leaders must recognize the signs
disturbing, for such a job, which was once considered to be a
of employee burnout and take proactive steps to address
rewarding carrier options among youths. A Study on Stress
it. This includes providing adequate support, offering
among Employees in the Banking Industry done by Dr. Sanjukta
opportunities for professional development, and fostering an
Mishra of RCM, Bhubaneshwar, which was published in 2023, open and communicative workplace culture. Leaders who
shows 93% of the respondents facing work related stress.
prioritize the well-being of their employees are more likely
Major reason for such stress is work overload, amounting to
to build a loyal and productive team. To achieve sustainable
30%, job difficulty, stress due to technological problems and performance, banks must adopt a more holistic approach
impatient customers among other reason for such stress.
to employee management. This includes setting realistic
goals, providing regular feedback, and recognizing and
Although, as per Gallup Global Workplace Report 2024, rewarding employee achievements. Additionally, promoting
compared to global average there is a higher overall stress a healthy work-life balance and offering mental health
among employees in India, which is 86%. But stress among
resources can help employees manage stress and maintain
bankers is much higher, and there are many contributing
their well-being.
factors for such stress, like insufficient staff, lack to technical
support, high competition from private banks, and lack of Employee engagement is a key factor in achieving long-term
empathy among top management. success. Engaged employees are more likely to be

To compete with private banks, top management in PSBs
are following the footsteps of their private peers of applying
more and more pressure on subordinates to obtain desired
result. Moreover, private banks are facing consequences of
this policy as in the form of 25% attrition rate as per data
released by RBI in2024.

We should not forget, working conditions in private and
public banks are different, policies which are giving result
to private players, not necessarily give result to public banks.
The psychological toll of the Policy of Push on junior
employees cannot be overstated. Constant pressure to
perform can lead to chronic stress, anxiety, and even
depression. Employees may feel trapped in a cycle of high
expectations and fear of failure, which can erode their self-

42 | 2025 | JUNE | BANKING FINANCE