SBI VRS 2020: State Bank of India, India's largest lender is coming up with the Voluntary Retirement Scheme. Under SBI’s VRS, the main focus is put on employees who lost three or more opportunities for promotions. As per SBI's policy, this scheme has been formulated to lead the employees towards retirement by a respectful option.
VRS of SBI gives the employees with an opportunity to make a career outside SBI.
Know who is eligible for SBI VRS 2020:
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This scheme is meant for SBI employees who are aged 55 years and have completed 25 years in service. Adding to it, the SBI VRS is open for the ones having health reasons. Also, the employees of banks merged with SBI are allowed to participate in this scheme.
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It is to be noted that, the SBI VRS will not be applicable to CA, CFA , Forex Dealer, Risk Management professionals.
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Staff on contracts are also not allowed to take part in SBI VRS.
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People who are in suspension or facing departmental inquiry will not be allowed to participate in the scheme.
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Employees who are being investigated by CBI and ED will not be open to SBI VRS.
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Interestingly, even if you participate in SBI VRS, you can join SBI after a 2 years gap.
SBI VRS Benefits:
The good news is that SBI employees who are availing VRS will get 50 percent salary for the rest of the years in service. However, this won't exceed the cumulative amount of 18 months of the current salary.
Adding to it, Income Tax will be deducted from the said amount. As per the rules, workers availing SBI VRS will be provided with provident fund and gratuity benefits also. Adding more to the benefits are pension leaves encashment, rates of housing loan, car loan, educational loan policies will continue to remain applicable according to the per bank rules.
Noteworthy, the SBI VRS will remain open every year from Dec - Feb. You can withdraw the scheme application within 15 days period.
Amount SBI is likely to save due to VRS:
It has been estimated that State Bank of India will save Rs 2171 crore, if all employees according to bank's idea will participate in the SBI VRS. If the scheme shows 30% participation, then Rs 1663 crore will be saved. The basis of the calculation is salary of July 2020 of SBI employees.
