The Hindu Business Line : South Indian Bank lets offspring inherit their parent’s job

Coimbatore, Sept. 21 Who says only those to the manor born inherit papa’s corner room? Even if you are the son or daughter of a humble bank clerk, you may well stand to inherit your dad or mom’s job. That is, if they happen to be working in the Thrissur head-quartered South Indian Bank.

The bank’s Chairman, Dr V.A. Joseph, said that this was part of a ‘welfare’ scheme that he had conceived in order to give the bank a younger age profile. The average age of the bank employees was about 48 years until recently. This has been brought down to about 42 with the induction of a number of younger employees.

A conventional ‘VRS’ scheme has negative connotations and earns the displeasure of both the unions and employees. But when that is sugar-coated with the sweetener of having your own offspring occupy your seat, there is a warm reception from everyone.

The parent who gives up his or her job doesn’t feel too bad. The new employee feels proud to work in the same organisation as that of his parent. And the bank gets to have younger and fresher employees who want to stick to the job at a time when high attrition is the norm in the job market.

Passing a test

Of course, the offspring would have to pass a test to find out if they are fit for the job. And if they get through it and the parent is ready to step down, the bank is ready to take them on its roll. About 100 such staff who opted to retire early have seen their children take over the office reins.

Mr Joseph said he counselled the new employees in the presence of the retiring parent, saying that they were getting the job because of the parent’s sacrifice and that they should look after them. That often leads to a kind of emotional bonding and sentimental attachment to the job for the youngsters. The response has been encouraging in Kerala and Tamil Nadu where the bank has most of its branches.

Element of dynasty

In a country where every office — be it corporate or political — has an element of dynastic succession, the scheme may not seem totally radical. Many organisations do offer a more- than-fair chance for offsprings of their tried and tested lieutenants.

Even in government organisations and public sector banks, there are ‘compassionate appointments’ when a serving official dies in service. But this experiment of ensuring continuity and loyalty while also bringing down the age profile must mark a new win-win arrangement in Indian banking.

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