In the Indian scenario, a career in public sector banks is given preference over private sector banking jobs. There are several factors that differ when you compare the two sectors. These include working hours, competition level, learning curve, compensation, and job security. Hence exploring thoroughly on the pros and cons of each sector will help an individual aspiring for a bank job make a healthy decision.
Here are some important considerations:
Banks in the private sector are known for
The only drawback is alack of job security.
The public sector banks excel in
They require qualifications such as a degree in finance, business or economics. MBA is another requirement by most private banks.
Fresh graduates hired via campus recruitment, walk-in interviews and referrals are common in the private bank jobs.
Sometimes vacancies are advertised in the newspaper.
The only advantage for job aspirants is private banks do not follow any particular reservation policy for recruitment. They require competitive and passionate individuals who can perform well under pressure.
Candidate recruitment is by common entrance exams. Graduates of any discipline can submit their application for the job.
Knowledge in accounting, finance, banking practices is a must. Good communication skills are also a criterion.
But the requirements are less competitive except the need for clearing the entrance test. Other drawbacks include the necessity to adhere to regulations and policies of the government while recruiting such as
These deliver services to a higher end customer base with the help of sophisticated and updated technology. The banks specialise in:
Aggressive strategies for customer engagement
Emphasize on increasing efficiency to quickly deliver top-notch services
With their stringent policies that stress on performance, these banks have gained a reputation for being efficient. As a result, these banks have a growing need for professionals with appropriate academic knowledge and skill set.
The various benefits and job security are clinching factors that make them favorable for aspirants.
The only snag here is clearing the exams, which are really difficult to pass.
The remuneration depends on the individual’s merit such as academic background, competitive outlook, and performance.
Incentives and perks are more for those who show high performance. Promotion is also given in a short span and is merit based.
But long working hours and lack of job security, especially for the mid and low-level professionals are the drawbacks.
The remuneration is fixed for entry level jobs and hikes are not frequent.
Promotions are based on years of experience and not on merit, but sometimes such promotions too occur.
One main advantage that works in favour of public sector banks is job security.
Other pros include easy work hours, less competition, and fewer targets to meet.
In conclusion, it is clear that public sector bank jobs have more advantages to their credit when compared to private counterparts. Deciding on a career in either sector depends more on the individual, the skill set, the capabilities and also on the interests. For an individual aspiring to enter into the banking sector, weighing the pros and cons of each sector against these factors will help in arriving at a better decision.