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Wednesday, Oct 22, 2025 | India

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Finance Ministry Directs PSBs to Address Employee Stress and Staffing Shortage Immediately

The Finance Ministry has asked Public Sector Banks to act on rising employee stress. Clear action plans on workload and staffing are now mandatory. Employee well-being becomes the new operational priority.

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Author: V.Gayathri

Published: 6 hours ago

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In a decisive move, the Ministry of Finance has instructed Public Sector Banks (PSBs) to prepare immediate action plans to tackle employee stress, long working hours, and staffing shortages. According to a report by The Economic Times written by Dheeraj Tiwari, the directive follows months of complaints from bank unions and officers about increasing workloads, unrealistic targets, and non-banking duties. The ministry’s intervention signals a strong emphasis on protecting the mental and physical well-being of employees across state-run banks.

Government’s Directive to PSBs
According to reports, the Finance Ministry has urged bank boards to identify corrective measures and implement clear strategies to reduce work-related pressure. The ministry’s communication emphasizes the need to balance business targets with employee welfare, noting that overburdened staff can affect productivity and service quality.

Focus on Employee Health and Well-Being
Under the EASE Reforms framework, several PSBs have begun conducting quarterly Employee Health Index surveys. These surveys aim to assess staff well-being and identify stress triggers. The results are expected to guide new wellness initiatives, digital counseling programs, and leadership training sessions across the banking network.

Response from Bank Unions and Management
Bank unions have welcomed the move, citing it as a long-awaited acknowledgment of ground realities faced by staff. They have repeatedly highlighted concerns over extended working hours, mounting targets, and lack of manpower. Senior officials have assured that employee 

health and gender-inclusive capability building will remain a core focus under upcoming reforms.

Implementation Through EASE 8.0
The latest phase of the government’s EASE 8.0 reform framework prioritizes employee support and sustainable work environments. PSBs are launching mentorship programmes, wellness assessments, and leadership development initiatives to ensure balanced performance delivery while maintaining mental and physical health.

The Finance Ministry’s directive marks a significant shift towards human-centric banking governance. By recognizing employee well-being as a key factor in operational efficiency, the government aims to create a more resilient and motivated workforce across India’s public sector banking network.

Tags:Finance MinistryPublicSectorBanksEmployee StressWork LoadBank Unions

Comments

  • Uttamkumar Holikar

    But who is going to decide the very defination of ", Adequately Staffing Pattern, Proper Work Load & Balanced Targets ?" After all the Parameters for these key factors are going to decide by Board Of Directors of PSBs, Where No Any Representatives of Bank Employees & Bank Officers are incorporated by DFS Since Decades together. Such instructions by DFS is new Jumla By the Central Government or Ruling Political Party. This is mere Slogan Without Any Action. PSBs CMDs are Greedy for Profit at the Cost of Lives of Workforce.

    Posted on 5 hours ago

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