Around two lakh male executives in the 20 to 35 age bracket will benefit from this.
As the society turns more gender neutral, the world is waking up to the idea that new fathers also need to take some time off after the birth of a child. Only recently, investment banking firm, Goldman Sachs, announced that it was increasing the paternity leave it offered to its employees from 2 weeks to four weeks. After the private sector, it was for the nationalised banks to offer the same.
The recent wage settlement, which was signed between the Indian Banks’ Association and bank unions, has been announced some good news for new fathers working in nationalised banks in India by making every male executive entitled to a paternity leave.
All the officers, subordinate employees and clerical employees will be eligible for 15 days of leave before the due date of the spouse or up to six months post-delivery. However, this entitlement can be availed for two children only. As an employee of a nationalised bank, each individual is entitled to 30 days if paid leave every year, which can be accumulated up to 270 days. Banks have come up with a provision to let employees club their paternity leaves with a paid leave but not casual leave.
With the central government employees in India already entitled to a paternity leave, this move for public bank sector employees comes as a welcome news for the almost two lakh male executives across the country.
As the Indian banking sector has a license for the creation of new banks, such as payment banks and small finance banks, the poaching of experienced hands from the nationalised pool is imminent. According to experts, this move will ensure talent retention in the industry.